Premium Pay For Essential Workers

On April 14, 2022, the Fairbanks North Star Borough Assembly approved Ordinance 2022-21, which allocated $1,000,000 to eligible workers in the Fairbanks North Star Borough. Eligible workers are personnel who were needed to maintain continuity of operations of essential critical infrastructure sectors during the COVID-19 pandemic.

Eligible employers may nominate employees to receive up to $2.00 per hour, per eligible worker, up to *1040 hours worked during the March 3, 2021 through December 31, 2021 time period.

*NOTE: The maximum number of hours worked has been corrected from 1080 to 1040. 

Program Schedule

What to Expect After you Apply

• Applications will be reviewed in the order they were received. You may get a call asking clarifying questions.
• Once employer/employee eligibility has been determined, you will receive an electronic grant agreement which must be signed.
• Once you have received a copy of the signed grant agreement, you can then pay your employees the premium pay.
• Submit to the Borough grant administrator documentation that your eligible employees have been paid.
• Within 30 days of the Borough receiving the required payroll documentation, you will receive a reimbursement check.

The on-line application will be available to begin receiving applications on Monday, May 16, 2022, at noon. Interested businesses can get a head start with preparing the application by reviewing the following questions, gathering the required application information, and preparing required worksheets and attachments. 

Part 1 of the application will ask the applicant eligibility related questions. Applicants must answer YES to the first nine questions and NO to #10 in order to proceed to Part 2.

Prior to applying, start gathering the Application Details information (below) and preparing the associated worksheets.

Applicants will need to attach four different documents types to the on-line application:

1. IRS W-9
2. FNSB ARPA Premium Pay Eligible Employees Worksheet (.xls) UPDATED on 18 MAY 2022
   
3. Alaska Business License
4. Employment and wages verification documents*

*For each eligible employee nominated, the applicant will need to provide evidence of hours worked, hourly pay rate, date range of the hours worked, and job title. There must be documentation for the entire period of time the applicant is requesting premium pay. System generated reports will be easier to verify and approve. 

Examples of reports that would be acceptable:

• Copy of check stubs or earnings statements
• Check history reports
• Certified Payroll Worksheets
• Payroll Summary Reports

Ordinance 2022-21 refers to 31 CFR 35.3 for the list of eligible workers needed to maintain continuity of operations of essential critical infrastructure sectors. They are:

Note: Employees of state or local governments are NOT eligible for premium pay per FNSB Ordinance 2022-21.

1.  How do I apply? 

The application portal will be LIVE on Monday, May 16, 2022 at noon. Please go to this website (www.fnsb.gov/arpa) and click on the "Apply Now" button to get started.

2. Can families or individuals apply?

Unfortunately, no. Only eligible employers can apply on behalf of their eligible employees.  

3. I'm an eligible employee? How do I get my employer to apply on my behalf?

The Borough Administration recommends that you speak to your employer and ask them if they know about this opportunity!

4. What does this mean "the business must operate within the Fairbanks North Star Borough?"

This provision was implemented to ensure payments for Premium Pay went to eligible workers employed by businesses operating within the boundaries of the Fairbanks North Star Borough. An applicant with business operations outside the boundaries of the Fairbanks North Star Borough will not be accepted.

5. What is the maximum amount an employer can apply for?

The total program for all applicants is capped at $1 million. Applications are processed on a first-come, first-serve basis, until all funds are exhausted.

6. What types of hours worked can be included for reimbursement?

Hours worked during an eligible period only include regular and overtime hours. Do not include sick, leave or holiday hours.

7. How long will it take for an application to be processed? When will we find out if our employees are approved?

Applications are processed on a first-come, first-serve basis and will be processed as quickly as possible. To ensure the the fastest process time possible, please make sure all application questions are answered and all supporting documentation is attached to the application. Staff may reach out to applicants to ask questions or gather additional information - please respond as quickly as possible to questions from staff.

8. If my application is not approved, is there an appeal process?

If part of the application is incomplete, staff will contact applicants requesting additional information. If it is determined that an application does not qualify based on program requirements, the application will be denied. There is no appeal process for denied applications.

9. Will there be priority given to certain businesses?

Unfortunately, no. Applications will be processed on a first-come, first-serve basis until funding is exhausted.

10. Can I apply more than once?

Yes. Businesses can apply as many times as they'd like. Be advised however that individual eligible workers will only be paid once.

11. Is the grant award taxable? If so, does this grant cover taxes and deduction expenses?

Grant payments will reimburse employers up to an additional $2.00 per hour, for hours worked. The grants do not cover payroll taxes or employer deductions. Please consult your payroll tax professional for further guidance.

12. I was contacted by an employee from the Mayor's office requesting more information on my application. Why is the Mayor's office calling me about this?

The Mayor's office is the responsible department in the Fairbanks North Star Borough that will be processing the Premium Pay for Essential Workers grant applications for eligible employers. Mayor's office staff will be first to review applications, work through the approval process with applicants, and enter into grant agreements with employers. 

All of the information transmitted in the application will secured in digital systems. If we ask you to send sensitive information, staff will direct you to a secure transfer folder to upload the requested documents. Please do not email sensitive or private documents or files.

If you have other questions, please call 907-459-1300 or send an email: arpagrants@fnsb.gov.