In general, federal funds cannot supplant state and local funds.  However, in the current pandemic, states may cut budgets out of necessity, not because there are cases in which they have identified federal funds to replace state funds. States can contact EAC to review the specifics of their situation to determine if federal funds are being used to supplant state funds.

No, Section 200.306 of 2 CFR stipulates that federal funds provided to a grantee under another award cannot be used to match other federal funds. 

In-kind match is always a contribution by a third party. Expenditures that the state incurs through its own budget are cash match, they are paid directly from its own accounts. Expenditures the state incurs, regardless of whether they were formerly paid for with federal funds, can be counted as state match as long as they are expended for activities within the approved budget for the grant (allocable to the grant). 

In-kind contributions are costs covered by a third-party for eligible activities under the grant, e.g., costs for training approved as part of the grant activities and paid for by another agency. Grantees must document these kinds of contributions They can be used to meet the match requirements for 101 grant funds (including Election Security grants) if the grant has a matching requirement.