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4.9 SR 12-06-2021 Request for Action To Item Number Mayor and City Council 4.9 Agenda Section Meeting Date Prepared by Consent December 6, 2021 Lori Ziemer, Finance Director Item Description Reviewed by Resolution: Accept Supplemental Distribution Cal Portner, City Administrator of American Rescue Plan Act Funds Reviewed by Action Requested Adopt, by motion, the resolution to accept the supplemental distribution of American Rescue Plan Act funds. Background/Discussion The American Rescue Plan Act (ARPA) was signed into law in March of 2021 to provide relief to cities, to enable continued support for the response to the pandemic and to lay the foundation for a strong economic recovery. Non-entitlement cities and towns, those with populations under 50,000, accessed ARPA funds by submitting a request to the state of Minnesota by October 11, 2021. Funds are distributed in two tranches with the first distribution completed and the second round coming in 2022. After the deadline passed for local governments to request ARPA funds, nearly $12 million of the $377 million available remained unrequested. The State of Minnesota redistributed these remaining funds among eligible local governments who requested ARPA funds. The redistribution amount is approximately $3.47 per capita, and the city received half of the distribution, $43,684.25, on November 22, 2021. The balance will follow in 2022. Financial Impact Supplemental distribution of American Rescue Plan Act funds. 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 Supplemental Distribution of American Rescue Plan Act Funds WHEREAS, the American Rescue Plan Act (ARPA) was signed into law on March 11, 2021, to provide relief to cities to help mitigate the effects of COVID-19 and lay the foundation for a strong economic recovery. WHEREAS, non-entitlement cities and towns (NEU), those with populations under 50,000, accessed funds by submitting a request to the state of Minnesota by October 11, 2021. WHEREAS, $12 million of the $377 million available to Minnesota NEUs remained unrequested after the deadline passed for local governments to request ARPA funds. WHEREAS, the US Treasury has allowed the state of Minnesota to redistribute these remaining funds among eligible local governments who requested ARPA funds. WHEREAS, the redistribution amount is approximately $3.47 per capita, and half was distributed to the City of Elk River in the amount of $43,684.25 on November 22, 2021, and the balance will follow in 2022. WHEREAS, the United States Department of Treasury has adopted guidance regarding the use of ARPA funds. WHEREAS, the City, in response to the pandemic, has had expenditures and anticipates future expenditures consistent with the Department of Treasury’s ARPA guidance. NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ELK RIVER, MINNESOTA AS FOLLOWS: The City accepts the supplemental distribution of its share of unclaimed ARPA funds from the State of Minnesota to use in a manner consistent with the Department of Treasury’s guidance. th Passed and adopted this 6 day of December 2021. _____________________ John J. Dietz, Mayor ATTEST: ________________________ Tina Allard, City Clerk