Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the ARPA Funds topic
No spam. Unsubscribe anytime.
Flint council questions ARPA spending after $40M transfer to general fund; staff say $2.8M remains unobligated
Summary
Finance committee members pressed administration for a line-by-line accounting of ARPA allocations after staff said roughly $2.8M of a $40M transfer remained unobligated. Debate focused on distinctions between 'allocated', 'obligated' and 'expended' and on delays in community grant payments.
A lengthy exchange at the Feb. 18 finance committee produced fresh questions about Flint's American Rescue Plan Act funds after city finance staff said roughly $2.8 million of a $40 million transfer to the general fund remained unobligated and that the ARPA accounts had earned about $1.8 million in interest since 2021.
Finance staff told committee members the $40 million transfer in late 2023 had been recorded as obligated for federal reporting purposes but that some line-item allocations and contract expenditures remain to be executed and that many grants have been "obligated" by contract even where payments have not yet been sent. Council members repeatedly requested a reconciled list showing which transactions were (a) transferred into the general fund, (b) obligated by council action or contract, and (c) actually expended. Committee members asked staff to produce a detailed ledger of ARPA-related resolutions and checks since the December 2023 transfer.
Members pressed for clarity about the community grant program (roughly $18 million set aside for community nonprofit awards), including why some successful applicants had not yet received funds and when outstanding awards would be paid. Staff said technical assistance is underway for several grantees and estimated about $5 million remains obligated to contracts but not yet paid. Council members asked for the list by the following week and raised the possibility of reprogramming unspent obligations if recipients cannot meet the federal deadline.
Finance staff and the mayor's administration agreed to supply a reconciled transaction list and to meet again so council can review obligations and consider reprogramming or escalation steps before federal deadlines.
