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4.4. SR 07-06-2021 Request for Action To Item Number Mayor and City Council 4.4 Agenda Section Meeting Date Prepared by Consent July 6, 2021 Lori Ziemer, Finance Director Item Description Reviewed by Resolution to Accept American Rescue Plan Cal Portner, City Administrator Act Funding Reviewed by Action Requested Adopt, by motion, the resolution to accept the Coronavirus Local Fiscal Recovery Fund established under the American Rescue Plan Act. Background/Discussion As part of the American Rescue Plan Act (ARPA) adopted by Congress in March of 2021, the City of Elk River has been allocated about $2.6 million in funding. This funding will be passed through the State of Minnesota. The State has opened the portal to request the ARPA funds and will be received in two installments: 50% paid in 2021 and the remaining 50% paid in 2022. The use of these funds must be decided by December 31, 2024, and spent by the end of 2026. Eligible uses include responding to the public health emergency, addressing negative economic impacts, revenue replacement, and investments in water, sewer, and broadband infrastructure. Financial Impact Request funding allocated under the American Rescue Plan Act Mission/Policy/Goal Meet the needs in an ever-changing environment for a sustainable and prosperous community. Attachments  Resolution The Elk River Vision A welcoming community with revolutionary and spirited resourcefulness, exceptional service, and community engagement that encourages and inspires prosperity. Updated: August 2020 City of Elk River City Council Resolution 21-___ A Resolution of the City Council of the City of Elk River to Accept the Coronavirus Local Fiscal Recovery Fund Established under the American Rescue Plan Act WHEREAS, since the first case of coronavirus disease 2019 (COVID-19) was discovered in the United States in January 2020, the disease has infected over 32 million and killed over 575,000 Americans (“Pandemic”). The disease has impacted every part of life: as social distancing became a necessity, businesses closed, schools transitioned to remote education, travel was sharply reduced, and millions of Americans lost their jobs; and WHEREAS, as a result of the Pandemic cities have been called on to respond to the needs of their communities through the prevention, treatment, and vaccination of COVID-19; and WHEREAS, city revenues, businesses and nonprofits in the city have faced economic impacts due to the Pandemic; and WHEREAS, Congress adopted the American Rescue Plan Act in March 2021 (“ARPA”) which included $65 billion in recovery funds for cities across the country; and WHEREAS, ARPA funds are intended to provide support to state, local, and tribal governments in responding to the impact of COVID-19 and in their efforts to contain COVID-19 in their communities, residents, and businesses; and WHEREAS, $2.6 million has been allocated to the City of Elk River (“City”) pursuant to the ARPA (“Allocation”); and WHEREAS, the United States Department of Treasury has adopted guidance regarding the use of ARPA funds; and WHEREAS, the City, in response to the Pandemic, has had expenditures and anticipates future expenditures consistent with the Department of Treasury’s ARPA guidance; and WHEREAS, the State of Minnesota will distribute ARPA funds to the City because its population is less than 50,000. NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ELK RIVER, MINNESOTA AS FOLLOWS: 1. The City intends to collect its share of ARPA funds from the State of Minnesota to use in a manner consistent with the Department of Treasury’s guidance. 2. City staff, together with the Mayor and the City Attorney are hereby authorized to take any actions necessary to receive the City’s share of ARPA funds from the State of Minnesota for expenses incurred because of the Pandemic. 3. City staff, together with the Mayor and the City Attorney are hereby authorized to make recommendations to the City Council for future expenditures that may be reimbursed with ARPA funds. th Passed and adopted this 6 day of July 2021. _____________________ John J. Dietz, Mayor ATTEST: ________________________ Tina Allard, City Clerk