Service Authority defers action on ARPA subrecipient agreement, asks for Treasury guidance and MOU

The Amherst County Service Authority on Feb. 3 deferred action on an ARPA funding subrecipient agreement after staff outlined two options for using remaining ARPA funds and raised uncertainty about a federal spend‑down deadline.

Executive Director Mister Castillo told the board the county received roughly $6.1 million in ARPA funds in 2022 and had set aside $1 million for sewer extensions. He reviewed options for the remaining funds: purchase materials and prepare for installation for the Gateway project (option 1), or instead invest in upgrades to wastewater plants and related infrastructure (option 2). "Option number 2 is there are other sewer needs… This all totals up to $558,000, leaving us a cushion of $14,000," he said, describing tradeoffs between immediate Gateway spending and plant upgrades.

Board members raised two concerns: whether the County classified the ARPA allocation as revenue replacement under Department of the Treasury guidance (which would remove the Nov. spend‑down deadline) and whether the authority has the memorandum of understanding (MOU) with the Board of Supervisors that previously constrained spending. Mister Martin said he did not plan to vote without seeing the agreement and understanding whether the money must be spent by December; he said, "I don't plan on voting for this today."

Mister Pero moved to defer the ARPA subrecipient agreement to the next meeting and requested that staff present the Department of the Treasury documentation about the spend‑down requirement and the supervisors' MOU. The motion carried by voice vote. Staff indicated they will confirm whether the county checked the "lost revenue"/revenue replacement box when it accepted the funds and will return with that documentation and the MOU.