HomeMy WebLinkAbout#07 - ARPA FundsSTAFF REPORT
DATE: July 6, 2021
CONSENT
AGENDA ITEM: ACEEPT ARPA Funds TO: Mayor and City Council
SUBMITTED BY: Samuel Magureanu, Finance Director
BACKGROUND: Congress adopted the American Rescue Plan Act in March 2021 (“ARPA”) which included $65 billion in
recovery funds for cities across the country. 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. The City of Lake Elmo has been allocated $967,050
pursuant to the ARPA to use in a manner consistent with the Department of Treasury’s guidance.
ISSUE BEFORE COUNCIL: Should Council direct city staff to take any actions necessary to receive the City’s share of ARPA funds from the State of Minnesota?
PROPOSAL: Included in your packet is a resolution to accept the ARPA funds and direct City staff to apply and collect
City’s share of ARPA funds in the amount of $967,050. FISCAL IMPACT: The funds will allow the City to recover from the economic impact of the pandemic and respond to the needs of the community.
OPTIONS: 1) Approve Resolution No 2021-071 2) Amend and then Approve Resolution No 2021-071 3) Don not accept the ARPA funds RECOMMENDATION:
Motion to approve Resolution No 2021-071
ATTACHMENTS:
• Resolution No 2021-071
League of Minnesota Cities American Rescue Plan Act Resolution Page 1
CITY OF LAKE ELMO RESOLUTION NO. 2021-071 A RESOLUTION TO ACCEPT THE CORONAVIRUS LOCAL FISCAL RECOVERY FUND ESTABLISHED UNDER THE AMERICAN RESCUE PLAN ACT
WHEREAS, since the first case of coronavirus disease 2019 (COVID-19) was discovered in the United States in January 2020, the disease has infected over 32 million and killed over 575,000 Americans (“Pandemic”). The disease has impacted every part of life: as social distancing
became a necessity, businesses closed, schools transitioned to remote education, travel was
sharply reduced, and millions of Americans lost their jobs; WHEREAS, as a result of the Pandemic cities have been called on to respond to the needs of their communities through the prevention, treatment, and vaccination of COVID-19.
WHEREAS, city revenues, businesses and nonprofits in the city have faced economic impacts due to the Pandemic. 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, $967,050 has been allocated to the City of Lake Elmo (“City”) pursuant to the ARPA (“Allocation”). WHEREAS, the United States Department of Treasury has adopted guidance regarding the use
of ARPA funds.
WHEREAS, the City, in response to the Pandemic, has had expenditures and anticipates future expenditures consistent with the Department of Treasury’s ARPA guidance.
WHEREAS, the State of Minnesota will distribute ARPA funds to the City because its
population is less than 50,000. NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
LAKE ELMO, MINNESOTA AS FOLLOWS:
1. The City intends to collect its share of ARPA funds from the State of Minnesota to use in
a manner consistent with the Department of Treasury’s guidance.
League of Minnesota Cities American Rescue Plan Act Resolution Page 2
2. City staff, together with the Mayor and the City Attorney are hereby authorized to take
any actions necessary to receive the City’s share of ARPA funds from the State of
Minnesota for expenses incurred because of the Pandemic. 3. City staff, together with the Mayor and the City Attorney are hereby authorized to make recommendations to the City Council for future expenditures that may be reimbursed
with ARPA funds.
Adopted by the City Council of Lake Elmo, Minnesota this 6th day of July, 2021.
___________________ Charles Cadenhead Mayor
Attested:
____________________ Julie Johnson City Clerk