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San Leandro council approves ARPA reallocation; finance staff to restore Lake Chabot funding in January
Summary
The San Leandro City Council voted unanimously to reallocate $1.6 million in American Rescue Plan Act (ARPA) funds to meet federal contract deadlines, swapping funding among projects while city staff commit to restore Lake Chabot Road stabilization funds from the general fund in January.
The San Leandro City Council voted 7–0 to adopt a resolution reallocating $1.6 million in American Rescue Plan Act (ARPA) funds to ensure the city meets federal deadlines for obligating those grants.
Council members, city staff and several nearby residents debated whether the swap would imperil design and stabilization work for Lake Chabot Road, a collector street and evacuation route that has been closed for about two years. City staff said the move is a timing maneuver to keep ARPA money “in contract” before the federal deadline and that the council will see a reappropriation in January to replenish project funding.
The council's action matters because ARPA rules require that awarded funds be contractually obligated by a specific deadline or risk being forfeited. City staff told the council the reallocation swaps general-fund appropriations and does not eliminate the…
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