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UPDATE ON PROJECTS FUNDED BY THE AMERICAN RESCUE PLAN ACT
recommended action
RECOMMENDATION
Informational item only. No action to be taken.
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Summary
Provide informational updates on City projects funded by the American Rescue Plan Act (ARPA).
Background
The American Rescue Plan Act (ARPA) established the Coronavirus State Fiscal Recovery Fund and Coronavirus Local Fiscal Recovery Fund (CLFRF), which provides a combined $350 billion in assistance to eligible state, local, territorial, and Tribal governments to support COVID-19 economic recovery efforts. Of the $350 billion, $19.53 billion was allocated to non-entitlement units of local government, ultimately allocating $78,052,072 to the City of Stockton based on the City's 2019 Census data. The Treasury's intended goal is to provide substantial flexibility for each government to meet local needs - including support for households, small businesses, impacted industries, essential workers, and the communities hit hardest by the COVID-19 public health crisis. These funds could also be used to make necessary investments in water, sewer, and infrastructure.
Funding objectives included relief to:
• Support urgent COVID-19 response efforts to continue to decrease the spread of the virus and bring the pandemic under control;
• Replace lost revenue for eligible governments to strengthen support for vital public services and help retain jobs;
• Support immediate economic stabilization for households and businesses; and
• Address systemic public health and economic challenges that have contributed to the inequal impact of the pandemic.
Funds were required to be obligated by December 31, 2024, and fully liquidated, or expended, by December 31, 2026. Initial program guidelines from the Treasury required that agencies utilizing ARPA funds hold public meetings to determine use, and make program information publicly available. As such, the City established a webpage on the City’s website, dedicated to ARPA, at www.stocktonca.gov/ARPA <http://www.stocktonca.gov/ARPA>. The City is also required to submit quarterly reports to the U.S. Treasury to report progress on ARPA spending; the most recent report submitted was for the quarter ended December 31, 2024.
Present Situation
City Council requested an update from staff on expenditures and status of all projects previously approved for ARPA funding. The fiscal information provided in the accompanying presentation is unaudited and based on expenditures and encumbrances as of December 31, 2024.