Mayor and council approve temporary $635,670 interfund loan to ARPA fund

The mayor and council voted to approve Resolution 8152025, authorizing a temporary, non‑interest‑bearing interfund loan of $635,670 from the city’s general fund (100) to the American Rescue Plan Act fund (300) to cover expenses for a water pipe replacement and paving project.

Sean, a staff member addressing the council, said the ARPA‑funded project had been paid for on a reimbursement basis and that reimbursements from Marian County will not arrive until July. "I'm asking council's permission to authorize a interfund loan from the general fund beginning fund balance of $635,670," he said, adding that the loan would be repaid to the general fund by the end of July.

The staff explanation said the temporary transfer is intended to ensure the municipality remains in compliance with budget law and accounting standards while awaiting the county reimbursement. The explanation identified the water pipe replacement and paving as the project charging costs to the ARPA fund.

Councilors present—Councilor Young, Councilor Steininger and Councilor Pashelle—had no questions during the discussion. The mayor moved to approve the resolution and an unnamed council member seconded. By voice vote the council recorded unanimous approval among those present and the measure passed.

The mayor then asked whether there was any other business; none was raised. The mayor moved to adjourn, a council member seconded and the council adjourned shortly afterward. A final administrative note recorded that a check required the mayor's signature before attendees departed.

The council did not add conditions to the loan; staff stated the repayment would occur when Marian County reimbursements arrive in July.