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HomeMy WebLinkAboutRes2022-025 1.8 Million in ARPA Funds CITY OF SEWARD,ALASKA Sponsored by: Bower RESOLUTION 2022-025 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, ACCEPTING $1,806,416.27 IN ARPA LOCAL GOVERNMENT LOST REVENUE RELIEF PROGRAM ("LGLRRP") FUNDS FROM THE ALASKA DEPARTMENT OF COMMERCE, COMMUNITY AND ECONOMIC DEVELOPMENT TO OFFSET SIGNIFICANT REVENUE LOSS DUE TO THE COVID-19 PUBLIC HEALTH EMERGENCY AND APPROPRIATING FUNDS WHEREAS, the State of Alaska appropriated $50 million from the State's American Rescue Plan Act(ARPA)COVID State and Local Recovery funds toward a local government relief grant program; and WHEREAS,the City of Seward is eligible to receive a portion of these funds based on 2020 revenue loss greater than the required 10%; and WHEREAS, on December 13, 2021, the Seward City Council approved resolution 2021-141, authorizing the City Manager to apply for the ARPA Local Government Lost Revenue Relief Program for the intended purpose of improving and expanding water and sewer infrastructure; and WHEREAS, on February 9, 2022 the Division of Community and Regional Affairs (DCRA) notified the City of Seward that it has been awarded $1,806,416.27 in local government revenue relief grant funds; and WHEREAS, the City of Seward has identified the need for investment in water and sewer infrastructure as the most appropriate use of these funds; and WHEREAS, the grant funds will be split evenly between the Water and Wastewater Funds. NOW,THEREFORE,BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD,ALASKA that: Section 1. The grant for ARPA Local Government Lost Revenue Relief Program ("LGLRRP")in the amount of$1,806,416.27 is hereby accepted to Federal Funding grant revenue account no 80084-0000-4251. Section 2. This grant will be used for expansion of water and sewer infrastructure which is a permitted use for the LGLRRP grant. Section 3. This resolution shall take effect immediately upon adoption. CITY OF SEWARD, ALASKA RESOLUTION 2022-025 PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 28th day of February, 2022. H CI / �`' • ' LASKA 4 i AACS -- - Christy Terry, ayor AYES: Osenga, McClure, DeMoss, Calhoon, Terry NOES: None ABSENT: Casagranda, Wells ABSTAIN: None ATTEST: Brenda J. Ba ou, MMC City Clerk rni (City Seal).. OV SEPIA. :+ _ p . r r SEAL ti.�.F OF,A�,.••. I City Council Agenda Statement r Meeting Date: February 28, 2022 � To: City Council From: Janette Bower, City Manager -- Agenda Item: Resolution 2022-025: Accepting $1,806,416.27 in ARPA Local Government Lost Revenue Relief Program C'LGLRRP'� Funds from the Alaska Department of Commerce, Community and Economic Development to Offset Significant Revenue Loss Due to the COVID-19 Public Health Emergency Background and justification: The Alaska legislature appropriated $50 million from the State's American Rescue Plan Act (ARPA) COVID State and Local Fiscal Recovery funds toward a local government relief grant program to promote economic recovery and continuity of government services to local governments that experienced revenue loss due to COVID-19, to be administered by the State of Alaska Department of Commerce, Community and Economic Development, Division of Community and Regional Affairs (DCRA). Local governments must demonstrate at least a 10% revenue loss in 2020 revenue according to DCRA's formula-based calculation tool. According to this tool, Seward has demonstrated a loss of revenue of$3,491,342 or 26.1% in 2020, making Seward eligible for this funding. Award amounts will be determined based on qualifying revenue loss due to COVID-19 and the total amounts applied for. Resolution 2021-141 approved the submission of the application for ARPA Local Government Lost Revenue Relief and on February 9, 2022, DCRA notified the City of Seward that it was being awarded $1,806,416.27 in grant funding. This resolution accepts and appropriates that grant funding to Of the allowable use of funds, City Administration has identified water and sewer infrastructure as the best available use based upon DCRA usage criteria. The funds will be split evenly between the Water and Wastewater Enterprise Funds and placed in their own capital project funds. Comprehensive and Strategic Plan Consistency Information This legislation is consistent with (citation listed): Comprehensive 3.7.1.4 Expansion of Utilities Plan: Strategic Plan: Page 9: Promote Residential and Commercial Development Other: Certification of Funds Total amount of funds listed in this legislation: $ 1,806,416.27 This legislation (✓): x Creates revenue in the amount of: $ 1,806,416.27 Creates expenditure in amount of: $ Creates a savings in the amount of: $ Has no fiscal impact Funds are (✓): Budgeted Line item(s): x Not budgeted Not applicable Finance Signature: Attorney Review,/ Administration Recommendation RxYes x Adopt Resolution Not applicable Other: