HomeMy WebLinkAboutAgenda Report - July 15, 2020 H-02Agenda ltem
CrrY OF LODI
CoUNCIL COMMUNICATION
AGENDA TITLE:Adopt Resolution Authorizing an AdditionalAppropriation and Expenditure of Fiscal
Year 2020-21 Funds in the Amount of $690,228 to the Existing Appropriation of
$1 ,138,037 for a Total Amended Appropriation of $1 ,828,265 to be Reimbursed by
FEMA and State Government at a Rate of 93.75 Percent for the lmplementation of
the Great Plates Delivered Program
MEETING DATE: July 15,2020
PREPARED BY: Business Development Manager
RECOMMENDED AGTION: Adopt Resolution authorizing an additional appropriation and
expenditure of fiscal year 2020-21 funds in the amount of $690,228
to the existing appropriation of $1 ,138,037 for a total amended
appropriation of $1 ,828,265 to be reimbursed by FEMA and State Government at a rate of 93.75 percent
for the implementation of the Great Plates Delivered Program.
BACKGROUND INFORMATION: This Council Communication and resolution seeks City Council
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Additional cost for this five week extension is estimated to be $690,228. This resolution amends the
original appropriation approved by City Council on June 17,2020 of $1,138,037 to a new total GPD
appropriation of $1 ,828,265.
ln early May, the City of Lodi made the decision to participate in the GPD, a program designed to provide
meals to adults 65 and older, and adults 60-64 who are a high-risk for COVID-19, and to provide economic
stimulus for restaurants. Currently, three local restaurants participate in the program. This program, the
first of its kind in the nation, was developed by the State of California in partnership with FEMA to provide
senior citizens access to meals while staying at home during the COVID-19 pandemic, and to support
restaurants struggling to stay in business. To be reimbursed by FEMA at a 75 percent rate, and Cal OES,
at an 18.75 percent rate, the City of Lodi will participate by contributing 6.25 percent, and serve as local
administrator of the program. lmportantly, in its role as local administrator, the City is responsible for all
program administration including a timely payment of invoices to local participating restaurants at a rate of
$66 per day per senior citizen.
On May 11,2O2O,local restaurants began preparing and delivering meals to 42 senior citizens. Today, the
program prepares and delivers meals to senior citizens ranging in number between 315 to 379 participants
weekly, three times per day, and seven days per week. As of July 5, 2020, the City of Lodi, in conjunction
with the LOEL Senior Center and three local restaurants have delivered 48,723 meals at a total cost of
$993,356.
The City has applied for an expedited reimbursement of $217,800 which has been approved. However,
only a portion of this $217,800 has been received ($183,769). The City continues to apply for additional
funds, and is in regular communication with FEMA and CaIOES to receive advance reimbursement.
H-Z
IM
APPROVED
Ë /Stephen S , City Manager
As stated in the staff report to authorize the initial budget allocation for GPD, staff has concerns this will
lead to the creation of an ongoing program that will potentially impact the city's ability.to.deliver other
services. while the city has a strong caîn position aná c"n
"arry
this program through July 10 and further
at stated reimbursement rates, staff is conc'erned with program '"re"pt and the possibility that federal and
state officiats may not be able to meet ineir obligations'at Ëome poini leaving the city to foot the entire bill
of a popular program. ln addition, the longer thé program runs, ihe more residents become reliant on the
service. This may lead to pressure to ðontinue beyond the disaster period. The General Fund anö
possibly community Development Block Grant funds are the city's only funding sources for this program'
with generat revenues falling and the- po$initity that. other serviðes wili oe reduced to balance the budget
in the near future, the city cannot affbrd to take this obligation long-term without equally offsetting cost
reductions elsewhere.
while these concerns still exist, the risk to the at-risk population is at its highest as the county and state of
california continue to see increasing covlD-'l9 positive cases and hosþitalizations. The approximately
one month extension can be aosoroeã oy th" city with no impact to current operations and provide a
valuable benefit to these covlD-1g vulneiable members of the'community. staff will continue to monitor
expenditures and general revenues "gäinrt
tháse and other expenditures meticulously going forward'
FISCAL lMpAcT: This resolution will appropriate funds from FY 2O2O-21 unallocated fund
balance in the amount of $690,228 thereby increasing the total GPD
appropriation from 91,138.037 to itre amended appropriation of.$1 ,828,265
to be reimbursed by FEMA and state government at a combined rate of
93.7b percent. Îfre City of Lodis final participation rate after
reimbursement will be 6.25 percent'
FUNDING AVAILABLE: staff requests additional expense appropriations of $690'228' The Account
Code for the expenditure "pptopiiation
is 10095000.72355' Additional
pro¡ecteá revenue of 9647,o8b'wili also be recognized by this action'
þr en Schwabauer
City Manager