The American Rescue Plan Act (ARPA)
On April 18, 2022, the City Council held a Public Hearing and voted to authorize the City Manager to apply for, accept and expend the Coronavirus State and Local Fiscal Recovery Funds through the American Rescue Plan Act of 2021 in the amount of $6,440,140.00 subject to the Terms and Conditions of the Offer and Rules and Regulations Pertaining Thereto. This was the second tranche of the anticipated $12.88 million in ARPA funds coming to the city.
- The FY23 Budget along with previous City Council actions have earmarked approximately 57.5% of those funds for eligible projects. Go to details on those City Council resolutions and projects.
- City staff are now preparing materials for the City Council to invite public involvement this fall in the process of deciding how ARPA funds might be allocated. Go to list of ARPA allocation requests (as of September 2022).
Background
To support immediate pandemic response, bring back jobs, and lay the groundwork for a strong and equitable recovery, the American Rescue Plan Act of 2021 established the Coronavirus State and Local Fiscal Recovery Funds, designed to deliver $350 billion to state, local, territorial, and Tribal governments to bolster their response to the COVID-19 emergency and its economic impacts.
The US Treasury Department launched the program on May 10, 2021 to make much-needed relief available to local jurisdictions to:
• Support urgent COVID-19 response efforts to continue to decrease spread of the virus and bring the pandemic under control;
• Replace lost public sector revenue to strengthen support for vital public services and help retain jobs;
• Support immediate economic stabilization for households and businesses; and,
• Address systemic public health and economic challenges that have contributed to the inequal impact of the pandemic on certain populations.
The Coronavirus State and Local Fiscal Recovery Funds provide substantial flexibility for each jurisdiction to meet local needs—including support for households, small businesses, impacted industries, essential workers, and the communities hardest-hit by the crisis. These funds also deliver resources that recipients can invest in building, maintaining, or upgrading their water, sewer, and broadband infrastructure
For more details on how cities can use funds, please review Treasury’s fact sheet.