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Sunnyside commissioners seek legal clarity on ARPA-funded revolving loan repayments
Summary
Commission members pressed staff for answers about whether loan repayments from a small revolving loan program must remain ARPA funds or can be reused by the city after federal deadlines, and asked for an accounting of disbursed and repaid amounts.
Sunnyside City’s Community and Economic Development Commission spent much of its meeting pressing staff for clear legal guidance on how to treat repayments to a small revolving loan program initially funded with American Rescue Plan Act money.
Commissioners and staff said the core question is whether repayments — including interest — must remain classified as ARPA funds and be spent under ARPA rules, or whether the city may reloan or otherwise treat those receipts as city money after the federal program’s deadlines. Commissioners said they have received partial answers from staff but not the definitive legal determination they need to resume or reconfigure the loan program.
The commission asked for a precise accounting…
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