Flint council transfers $2M in ARPA to water fund, approves audit payments and several reallocations; mayoral budget hearing highlights blight expansion

The Flint City Council on April 25 amended and approved a $2,000,000 reallocation of American Rescue Plan Act (ARPA) funds into the citys Water Fund to provide temporary relief to water operations and blunt an otherwise planned rate increase.

Council members debated the measure and an amendment that directed the money as a direct transfer into the Water Fund rather than creating a separate water rate stabilization account; both the amendment (changing 250,097 to 250,097.1) and the final amended resolution passed unanimously, 7-0.

Why it matters: Council members said the transfer gives short-term budget breathing room as administration and utilities staff finish a longer-term distribution system optimization and asset-management plan. Several council members pressed staff for a more detailed, ground-level plan showing how the funds would be used and when residents might see lasting relief from high water bills.

What happened in the meeting

ARPA transfer to water fund: Council amended resolution 250,097 to transfer $2,000,000 directly into the Water Fund (renumbered 250,097.1). City staff described the change as primarily an accounting adjustment that avoids creating a separate stabilization fund; "the accounting is almost identical," Council staff member Mr. Moore said during the discussion. Councilman Dennis Pfeiffer warned the money was short-term: "this $2,000,000, if this passes, is a literal band aid on a bullet hole," he said, urging a wider plan for receivables and collections. The…