HomeMy WebLinkAbout2021-144 Council Resolution CITY OF LINO LAKES
RESOLUTION NO. 21-144
A RESOLUTION TO ACCEPT THE REDISTRIBUTION OF
UNREQUESTED CORONAVIRUS LOCAL FISCAL RECOVERY FUND
ESTABLISHED UNDER THE AMERICAN RESCUE PLAN ACT
WHEREAS, Congress adopted the American Rescue Plan Act in March 2021 ("ARPA")which
included $65 billion in recovery funds for cities across the country.
WHEREAS,ARPA funds are intended to provide support to state, local, and tribal governments
in responding to the impact of COVID-19 and in their efforts to contain COVID-19 in their
communities, residents, and businesses.
WHEREAS, The Fiscal Recovery Funds provides for$19.53 billion in payments to be made to
States and territories which will distribute the funds to nonentitlement units of local government
(NEUs).
WHEREAS,NEUs generally have populations below 50,000.
WHEREAS, The ARPA requires that States and territories allocate funding to NEUs in an
amount that bears the same proportion as the population of the NEU bears to the total population
of all NEUs in the State or territory.
WHEREAS, after the deadline of October 11,2021,passed for NEUs to request ARPA funds,
nearly $12 million of the $377 million available to Minnesota's NEUs remained unrequested.
WHEREAS, as allowed by the U.S. Treasury,the State of Minnesota has redistributed these
remaining funds amongst eligible local governments who requested ARPA funds.
WHEREAS,the redistribution amount is approximately $3.47 per capita, capped at 75%of the
most recent budget adopted as of January 27, 2020.
WHEREAS, $76,647.12 has been allocated to the City of Lino Lakes ("City")pursuant to the
ARPA(Redistribution).
WHEREAS,the Redistribution will be distributed in two tranches with half received in 2021
and the second half in 2022.
WHEREAS,the United States Department of Treasury has adopted guidance regarding the use
of ARPA funds.
NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
LINO LAKES,MINNESOTA AS FOLLOWS:
1. The City accepts the Redistribution of coronavirus local fiscal recovery fund established
under the ARPA to be used in a manner consistent with guidance adopted by the United
State Department of Treasury.
2. The City Clerk and Mayor are authorized to take actions to secure the Redistribution for
the City, if necessary.
Adopted by the City Council of the City of Lino Lakes this 13th day of December 2021.
The motion for the adoption of the foregoing resolution was introduced by Councilmember
Ruhland and was duly seconded by Councilmember Lyden and upon vote being taken thereon,
the following voted in favor thereof. Ruhland, Lyden, Cavegn, Stoesz, Rafferty
The following voted against same: None
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R'3156 Rafferty,Mayor
ATTEST:
*ine Bartell, Ci Clerk
CITY COUNCIL
AGENDA ITEM 1F
STAFF ORIGINATOR: Hannah Lynch, Finance Director
MEETING DATE: December 13, 2021
TOPIC: Accepting the Redistribution of Unrequested American Rescue
Plan Act Funds
VOTE REQUIRED: 3/5
INTRODUCTION
Local governments were required to request American Rescue Plan Act (ARPA) funds by
October 11, 2021. After the deadline passed, the state of Minnesota redistributed remaining
funds amongst eligible local governments who requested ARPA funds. The City of Lino Lakes
was allocated an additional $76,647.12 in the redistribution. Half was distributed on November
22, 2021 and the remaining balance will follow in 2022 unless guidance changes.
BACKGROUND
The City of Lino Lakes received $1,170,283.35 in July and a supplemental distribution of
$38,323.56 in November. With the second payment anticipated in the Summer of 2022, the
City of Lino Lakes total ARPA allocation is expected to be $2,417,213.82.
The League of Minnesota Cities developed a model resolution to accept ARPA funds. There is
not a specific requirement in the law that cities pass a resolution but it is a formal way to
acknowledge that the city will be receiving the funds and grants staff the authority to take the
necessary steps once the process is open through Minnesota Management and Budget.
RECOMMENDATION
Staff is recommending approval of Resolution No. 21-144.
ATTACHMENTS
Resolution 21-144