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Council approves $30,000 augmentation for downtown facade grants amid prevailing‑wage issues
Summary
Council approved a one‑time $30,000 augmentation to help initial downtown facade applicants cover prevailing‑wage cost increases; staff continues to explore a materials‑only alternative under legal review and will verify ARPA eligibility.
The Santa Paula City Council voted unanimously May 5 to allocate an additional $30,000 from the available fund balance to augment the downtown Facade Improvement Program for original applicants affected by California prevailing‑wage requirements.
Staff explained that the program, launched in 2024 using ARPA and PBID funds, originally offered $10,000 awards (80 percent city, 20 percent applicant). When the Department of Industrial Relations’ prevailing‑wage rules applied, some small projects faced substantially higher contractor costs, making the $10,000 award inadequate. The augmentation allows eligible early applicants to receive up to $20,000 per storefront (same 80/20 split) to cover the differential and compliance oversight.
City Attorney and staff said they are also researching a materials‑only delivery model—where the city would fund materials while property owners contract for labor—to avoid prevailing‑wage triggers, but that approach requires legal review. Council members noted ARPA timing constraints and the need to coordinate with the PBID board on any reallocation if the materials approach is not feasible.
The motion to approve the $30,000 augmentation was moved and seconded and passed unanimously. Staff said unused funds would be returned to the general fund and that the city would report back on ARPA eligibility and legal options for future rounds.
