American Rescue Plan Homeless II Funds

Guidance for Districts and Schools

The American Rescue Plan (ARP) provides substantial federal resources to support states and local school districts. In recognition of the extraordinary impacts of the COVID-19 pandemic on students experiencing homelessness, the ARP includes additional funds to support the specific needs of homeless children and youth (ARP Homeless). ARP Homeless funds are in addition to the larger pool of ARP funding and must be used to meet the needs of students experiencing homelessness. The ARP Homeless funds are divided into two disbursements: ARP Homeless I and ARP Homeless II. ARP Homeless II funds will be distributed to Ohio’s districts and schools, referred to as Local Education Agencies (LEAs) by the federal government, by formula. This webpage is designed to provide more information on ARP Homeless II funds and how LEAs can use funds to meet the needs of students experiencing homelessness.

ARP Homeless II Formula

ARP Homeless II award amounts are determined by a federal formula to streamline the grant award process and to get supports to students experiencing homelessness expeditiously. The formula, determined by the U.S. Department of Education, calculates an LEA’s allocation based on Title I allocation and homeless student count:

  • Fifty percent in proportion to the amount of funding the LEA received under Title I Part A for the most recent fiscal year; and
  • Fifty percent in proportion to the number of children and youth experiencing homelessness identified by the LEA relative to the other LEAs in the state as reported in the 2018-19 or 2019-20 school years (whichever is greater).
ARP Homeless II award amounts for schools and districts are now allocated in the Comprehensive Continuous Improvement Plan (CCIP) system.

Consortium Requirement for LEAs allocated less than $5,000

LEAs allocated less than $5,000 in Phase II funding as stipulated by the formula are not eligible for the subgrant on their own. To receive an ARP Homeless II subgrant, the LEA must join a consortium of LEAs in which the sum of its members' allocations meets the $5,000 threshold.

Allowable Uses for ARP Homeless II Funds

ARP Homeless II funds are meant to mitigate the burden the pandemic has put on families experiencing homelessness. Funds should be used to target the immediate needs of families. Funds are supplemental; therefore, LEAs should consider how to supplement other funds already being spent to meet the needs of students experiencing homelessness in this order:

The image below describes the flow of homeless youth funds from the most general and long-term to the most specific and short-term. It shows an arrow progression of general funds, Title 1 Set Aside, ESSR-1 Funds, ESSR-2 Funds, ARP-ESSR Funds and ARP Homeless Funds.

Examples of how to use of ARP Homeless II funds as supplemental to other funding sources:

  • LEAs can pay for short term stays at a hotel or other temporary housing arrangements for families experiencing homelessness.
  • LEAs can purchase cellphones and Wi-Fi hotspots for students to facilitate participation in school activities.
  • LEAs can provide wraparound services. This includes using funds to identify students newly experiencing housing instability and to eliminate barriers for identified students that have not been engaging with school because of the pandemic.

Allowable Uses for ARP Homeless II Funds

McKinney-Vento allowable uses of funds are allowable uses for Elementary and Secondary School Emergency Relief (ESSER) I, ESSER II, and ARP-ESSER. ARP-Homeless II is an unprecedented additional funding source that allows LEAs to pay for wraparound supports and services that beyond the allowable uses for ESSER I, II and ARP-ESSER. All ARP Homeless II funds must be spent by Sept. 30, 2024.

For assistance in determining how to use funds, utilize the National Center for Homeless Education's Use of Funds Tip Sheet

Engaged and Challenged

Item Can McKinney-Vento Funds be used? Can ARP Homeless Funds be used?
Supplemental transportation to enable attendance in school and  school-sponsored activities Yes Yes
Cell phones or other devices to enable attendance and full participation No Yes
Reliable, high-speed internet for students while family is homeless and needs internet to participate in instruction beyond what is provided to all students and families No Yes
Tutoring, supplemental instruction and enriched educational services Yes Yes
Expedited evaluations Yes Yes
Assistance to defray the excess cost of transportation Yes Yes
Developmentally appropriate early childhood education programs Yes Yes
Before-and after-school, mentoring and summer programs  Yes Yes


Item Can McKinney-Vento Funds be used? Can ARP Homeless Funds be used?
Wraparound services (through contracts with community-based organizations, and could include academic supports, trauma-informed care, social-emotional support and mental health services) Yes - in some circumstances Yes - ARP expands funding opportunities
Professional development designed to heighten the understanding of the needs of homeless children and youth and their rights Yes Yes
Services to attract, engage and retain students experiencing homelessness Yes Yes
Education and training for families about their rights and available resources Yes Yes
Coordination between schools and agencies providing services Yes Yes

Safe and Healthy

Item Can McKinney-Vento Funds be used? Can ARP Homeless Funds be used?
Needed supplies related to COVID-19 No Yes
Short-term, temporary housing during emergencies or to enable full participation in school activities No Yes
Referral services for medical, dental, mental and other health services Yes Yes
Specialized instructional support services (including violence prevention counseling) and referrals for such services Yes Yes
Activities to address particular needs that may arise from domestic violence, parental mental health or substance abuse problems Yes Yes
The adaptation of space and purchase of supplies for any non-school facilities Yes Yes
Other extraordinary or emergency assistance needed for attendance and full participation Yes Yes



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Last Modified: 1/12/2023 11:06:29 AM