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Committee weighs options for reallocating remaining ARPA funds; sanitary sewer lateral program may free $300,000
Summary
City staff reported a likely $300,000 projected underspend in an ARPA-funded sanitary sewer lateral lining pilot and presented three options for obligating those funds before federal deadlines: expand the lining geography, convert the funds into a citywide program, or reassign the dollars to other ARPA-eligible uses such as social-service grants.
City staff updated the Committee of the Whole on remaining American Rescue Plan Act (ARPA) obligations, timing rules and options for re-obligating unspent funds before the federal deadlines.
Key points from staff - Obligation mechanics: Staff reminded the committee that ARPA funds must be obligated via a signed contract or an interagency agreement with a clear scope of work by the city’s deadline for obligation (staff noted the requirement that projects must have documented deliverables and contract-like terms to meet Treasury guidance). - Eligible period: ARPA expenses must be for costs incurred beginning March 3, 2021 for items that were eligible under original rules; expenses eligible under later Treasury guidance can only be reimbursed back to the effective date of those updated rules.
Sanitary sewer lateral project update…
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