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HomeMy WebLinkAboutResolutions - No. 2021-129RESOLUTION NO. 2021-129 A RESOLUTION OF THE LODI CITY COUNCIL APPROVING THE ALLOCATION PLAN FOR THE USE OF FEDERAL AMERICAN RESCUE PLAN ACT OF 2021 BLOCK GRANT FUNDING; SETTING THE PARAMETERS FOR A VACCINE INCENTIVE PROGRAM, UTILITY DEBT RELIEF PROGRAM, AND LOCAL ECONOMIC DEVELOPMENT GRANTS PROGRAM AND APPRROPRIATING AMERICAN RESCUE PLAN ACT FUNDS; AND APPROPRIATING FUNDS FROM THE AMERICAN RESCUE PLAN ACT OF 2021 GENERAL FUND REVENUE REPLACEMENT ALLOCATIONS ------------------------------------------------------------------------ ------------------------------------------------------------------------ WHEREAS, COVID-19 has greatly impacted the economies and personal lives of people across the world, including in Lodi where the City Council approved a local emergency due to the COVID-19 pandemic on March 16, 2020; and WHEREAS, on March 11, 2021, the President signed the American Rescue Plan Act of 2021 (ARPA) that in part authorized $65 billion in block grants to all states, counties, local governments, tribes, and territories in the United States, with an estimated $16,135,201 allocated to Lodi, as outlined collectively in Exhibits A, B, and C to this resolution; and WHEREAS, the City Council desires to set Revenue Replacement (calculated as actual revenue received in a Fiscal Year as compared to the Fiscal Year 2018/19) for the General Fund; Parks, Recreation and Cultural Services; and the Library as the Priority 1 use for ARPA funding in the estimated amounts listed in Exhibit A to this resolution; and WHEREAS, after ARPA funding is used to replace revenue, it is no longer subject to ARPA restrictions but is instead subject to local restrictions tied to the revenue source it was intended to replace; and WHEREAS, Exhibit D outlines the uses for the estimated $2,243,921 of General Fund revenue replacement to be authorized by this resolution and appropriates the full amount of General Fund revenue replacement, currently estimated to be $2,243,921, as outlined in Exhibit A; and WHEREAS, the City Council desires to set Expense Reimbursement for spending by the City on pandemic response that has been deemed ineligible by the Federal Emergency Management Agency ineligible items as the Priority 2 use for ARPA funding in the estimated amounts listed in Exhibit B to this resolution, covering actual expenses to date and estimated expenses through the end of Calendar Year 2021; and WHEREAS, after funding Priorities 1 and 2, it is estimated that $10,247,500 will be available for programming to various Community Priorities; and WHEREAS, the City Council desires to set Community Priorities as the Priority 3 use for ARPA funding in the estimated amounts listed in Exhibit C to this resolution; and WHEREAS, the City Manager is authorized to make additional allocations to Priority 3 - Community Priorities should more resources become available for these projects through outside funding sources, project completion under budget, initial allocation from the federal government or other means as follows: 1.) Fully fund Community Priority 8 — Refund the Electric Utility Greenhouse Gas fund for bill credits provided in July 2020; then 2.) Fund Community Priority 10 — Additional Economic Development Programs up to $500,000; then 3.) Fund Community Priority 11 providing additional revenue loss reserves for PRCS, the Library, and the General Fund up to $500,000 for potential Fiscal Year 2022 revenue losses as defined in ARPA; then 4.) Any additional reallocation would take Council action. WHEREAS, the City Manager is authorized to negatively adjust allocations for Priority 3 — Community Priorities should less resources be available on a reverse priority order beginning with Priority 9 — Vaccine Incentives; and WHEREAS, the Vaccine Incentive program is time sensitive and immediate approval of the program as outlined in Exhibit E of this resolution is needed for the program to have its intended impact; and WHERAS, the Utility Bill Debt Relief program is time sensitive and immediate approval of the program as outlined in Exhibit F of this resolution, including the reinstatement of collection efforts including late fees and service suspension for nonpayment, is needed for the program to have its intended impact; and WHEREAS, the Local Economic Development Grants Program is time sensitive and immediate approval of the program as outlined in Exhibit G of this resolution is needed for the program to have its intended impact; and WHEREAS, the Capital Improvement Projects "Navigation Center" and "Broadband Infrastructure Project" are hereby created and approved as shown in Exhibit H of this resolution; and WHEREAS, the City Manager is authorized to direct staff to initiate the City Wide homeless cleanup program; and WHEREAS, all other Priority 3 projects will take additional Council action to implement; and WHEREAS, the City Manager is authorized to make budget adjustments, including making additional appropriations should allocations be higher than estimated, based on the priorities outlined in this Resolution; and WHEREAS, the City Manager shall bring a quarterly report every three months beginning with the second meeting in October, and recurring the second meeting of January, April, July, and October, until such time as all ARPA funds are expended. NOW, THEREFORE, BE IT RESOLVED that the Lodi City Council does hereby approve the allocation plan for the use of federal American Rescue Plan Act of 2021 block grant funding; set the parameters for a vaccine incentive program, utility bill relief program, and a local economic development grants program and appropriate funds (estimated $16,135,210); and appropriate funds from American Rescue Plan Act of 2021 General Fund revenue replacement allocations (estimated $2,243,921), as outlined collectively in Exhibits A, B, C, D and E. Date: May 5, 2021 ------------------------------------------------------------------------ ------------------------------------------------------------------------ I hereby certify that Resolution No. 2021-129 was passed and adopted by the Lodi City Council in a regular meeting held May 5, 2021, by the following vote: AYES: COUNCIL MEMBERS — Chandler, Hothi, Khan, Kuehne, and Mayor Nakanishi NOES: COUNCIL MEMBERS — None ABSENT: COUNCIL MEMBERS — None ABSTAIN: COUNCIL MEMBERS — None JENNIFER CUSMIR City Clerk 2021-129