Title
Consider approving Resolution No. 2024-071, authorizing the reallocation of American Rescue Plan Act Grant Funds; and take appropriate action.
Body
BACKGROUND:
The American Rescue Plan Act (ARPA) of 2021 provided emergency grants to governments to support the response and recovery from the COVID-19 public health emergency. The City of Farmers Branch was awarded $11,956,459. ARPA budget allocations were approved by the previous City Council in September 2021.
DISCUSSION:
The ARPA Fund Reallocation was previously presented to the City Council during the Study Session on January 23, 2024. However, with Parks staff changes, the formal ordinance was delayed to allow the new Parks Director time to review the ARPA-funded Park projects.
Currently, the City of Farmers Branch has allocated $11,920,000 to eight projects related to the categories of Negative Economic Impact, Administrative Costs, and Public Health (supporting public safety or promoting healthier living and socialization to mitigate the spread of COVID-19). Four projects, the Justice Center, Branch Connection, Joya Park, and Mercer Park, have not yet been completed as of April 2024. All but Mercer Park are anticipated to be completed by the grant deadlines.
Per the U.S. Department of Treasury, ARPA grant recipients may only use funds to cover costs incurred (contracted) by December 31, 2024. All obligations must be liquidated no later than December 31, 2026. Based on delays with development at Mercer Crossing, staff does not believe Mercer Park construction costs will be contracted and completed by the December 2024 and 2026 deadlines. Therefore, the staff is proposing a funding reallocation to the eligible Justice Center renovation, as this project is about to begin.
The budget allocation for Mercer Park is $1,000,000, with design costs of $27,500 already incurred. The proposed reallocation of funds would place $1 million into the existing Justice Center renovation project and the $27,500 ...
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