The City of Memphis and Shelby County, along with local governments throughout the nation, are receiving unprecedented levels of flexible funds from the federal government to help them recover from the economic impacts of the COVID-19 pandemic. How these funds are spent could either ameliorate or reinforce historical inequity. This fact sheet assesses the extent to which the City of Memphis and Shelby County’s ARPA allocations align with the building blocks of an inclusive recovery. We find that across the three entities (the mayor, city council, and county), 72 percent of American Rescue Plan Act dollars will go to operations and revenue replacement, emergency public health response, and public safety. In comparison, an estimated 28 percent will go toward allocations that can be categorized as addressing the building blocks of an inclusive recovery.