Impact
WARD / COUNCILMEMBER: Citywide
$ IMPACT:
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Approve RES2021-04 to accept the Coronavirus State and Local Fiscal Recovery funds and ratify funds already received in the amount $3,997,773.00 from the United States Department of Treasury and all future allocations and to authorize the Mayor to sign and execute all related documents. These funds allocated from the American Rescue Plans Act provide a substantial infusion of resources to help turn the tide on the pandemic, address its economic fallout, and lay the foundation for a strong and equitable recovery.
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ISSUE AND BACKGROUND:
The American Rescue plan (2021) which was passed by Congress on March 10, 2021 and signed into law on March 11, 2021, continues many of the programs start by the CARES Act (2020) and the Consolidated Appropriation Act (2021) by adding new phases, new allocations, and new guidance to address issues related to the continuation of the COVID-19 pandemic. Further, through the Department of Treasury it established the Coronavirus State and Local Fiscal Recovery Funds for eligible state, local and territorial, and Tribal governments.
The total amount of funds allocated to the City of Smyrna is $7,995,546.00. The City accepted the first tranche on June 14, 2021, and a second tranche will be paid twelve months after the first payment. The Coronavirus State and Local Fiscal Recovery funds may be used to:
-Support public health expenditures, by, for example, funding COVID-19 mitigation efforts, medical expenses, behavioral healthcare, and certain health and safety staff
-Address negative economic impacts caused by the public health emergency, including economic harms to workers, households, small businesses, impacted industries, and the public sector
-Replace lost public sector revenue, using this funding to provide government services to the extent of the reduction in revenue experienced due to the pandemic
-Provide premium pay for essential workers, offering additional support to those who have and will bear the greatest health risks because of their service in critical infrastructure sectors
-Invest in water, sewer, and broadband infrastructure, making necessary investments to improve access to clean drinking water, support vital wastewater and stormwater infrastructure, and to expand access to
broadband internet.
Recipients have until December 31, 2024 to encumber funds; and until December 31, 2026 to spend allocated funding.
RECOMMENDATION / REQUESTED ACTION: Staff recommends approval of RES2021-04 to accept the Coronavirus State and Local Fiscal Recovery funds and ratify funds already received in the amount $3,997,773.00 from the United States Department of Treasury and all future allocations and to authorize the Mayor to sign and execute all related documents.