To: Honorable Mayor and Members of City Council
From: Steve Potter, City Manager
Prepared By: Rajneil Prasad, Finance Director
TITLE:
Title
American Rescue Plan Act (ARPA) Funds Reallocation
LABEL
RECOMMENDED ACTION:
Recommendation
Adopt a resolution amending the Capital Improvement Project plan; and reallocating a portion of the City's American Rescue Plan Act funds, as documented in Council Budget Amendment 05P04, and determining that the actions authorized by this resolution are exempt from CEQA under State CEQA Guideline 15378.
Body
DISCUSSION:
The City of Napa received an allocation $15.12 million in American Rescue Plan Act (ARPA) funds. These funds are intended to address needs including public health response, negative economic impacts, and improvements to water, sewer, and broadband infrastructure. The City's allocation of ARPA funds was based on guidance from the US Treasury, City Council priorities, community needs, and a City department COVID impacts needs assessment, as well as focus on one-time needs.
ARPA funds must be obligated by Dec. 31, 2024, and spent by Dec. 31, 2026. Given these deadlines, the City has three months to come up with a distribution plan that ensures unobligated/available funds are used efficiently and for their intended purposes within the allowed timeframe.
Staff is recommending:
For ARPA Funded Capital Improvement Projects (CIP):
A funding exchange to efficiently utilize the ARPA funding and accomplish the currently programmed priority projects. This exchange will modify the funding allocations and allow the programmed projects to advance as planned. The proposed exchange will add the Browns Valley Project and the Senior Center Paving and ADA Project to the list of projects funded by ARPA. The construction contracts for these projects have been awarded by City Council and meet all requirements for ARPA funding. Several projects previously programmed with ARPA funds (Stormdrain Repairs, Generator for the...
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