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2022.04.04 CC Packet
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2022.04.04 CC Packet
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4/1/2022 8:41:08 AM
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City Council
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Agenda/Packets
Meeting Date
4/4/2022
Meeting Type
Regular
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G.5 Approve Resolution Electing the Standard Allowance Available Under the Revenue <br />Loss Provision of the American Rescue Plan Act <br /> <br />At their June 21, 2021 City Council Meeting, Council approved a resolution authorizing <br />acceptance of Coronavirus Fiscal Recovery Funds that the City of Hugo was eligible to receive <br />under the American Rescue Plan Act (ARPA). To date, the City has received $834,205.96 and <br />expects to receive a second allotment for that same amount in 2022, bringing the expected total <br />received to $1,668,411.92. In May 2021, the United States Department of Treasury issued an <br />Interim Final Rule to serve as guidance for governments on eligible expenditures for the <br />Recovery Funds. Eligible uses included responding to the COVID-19 public health emergency <br />and the negative economic impacts of the pandemic, premium pay for essential workers, <br />necessary investments in water, sewer and broadband infrastructure, and replacement of revenue <br />lost due to the pandemic that would have been used to provide vital government services. For <br />cities to claim lost revenue, they had to complete a full revenue loss calculation under the <br />Treasury’s complex calculation method. On January 6, 2022, after taking feedback and <br />comments on the Interim Final Rule, the Department of Treasury released the Final Rule, which <br />provides governments broader flexibility and simplicity to maximize the impacts of their <br />Recovery Funds. Not only does the Final Rule include broadened eligibility for water, sewer and <br />broadband infrastructure investments and streamlined options to provide premium pay, it offers a <br />standard allowance option for cities to use when calculating revenue loss due to the <br />pandemic. The Department of Treasury is assuming that all cities experienced a revenue loss of <br />up to $10 million. This means that recipients who select the standard allowance may use that <br />amount – in many cases their full award – to fund general government services. General <br />government services include any service traditionally provided by a government. Common <br />examples include; road building, road maintenance, other infrastructure, general government <br />administration, staff and administrative facilities, and provision of police, fire and other public <br />safety services. Staff recommends that the City Council approve the resolution electing the <br />standard allowance available under the revenue loss provision of the Coronavirus Fiscal <br />Recovery Fund established under the American Rescue Plan Act, which allows the City of Hugo <br />to use the full amount of Recovery Funds received for the general provision of government <br />services and also allows for streamlined reporting requirements. <br /> <br />G.6 Approve Request for Bids for Water Tower No. 2 Demolition Project <br /> <br />Staff is requesting Authorization to prepare a bid package and request bids for the removal of <br />Water Tower No. 2. This will be the first bid package and will consist of removing the tower, <br />piping and miscellaneous items. This is specialty work with limited contractors doing this type <br />of work and therefore we are limiting the scope of the bid package to the type of work these <br />contractors perform. Remaining site work and bid packages will be coordinated with Park <br />Planner Denaway and Public Works Director Anderson which will involve an inclusive process <br />of determining what the goals and vision for the park are. Once clear direction is known, a <br />second bid package or work performed by public works staff will finalize the clean- <br />up/modifications of the site. Staff recommends City Council authorize staff to prepare the bid <br />package and request bids for the Water Tower No. 2 Demolition Project. <br /> <br />
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