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HomeMy WebLinkAbout(0319) American Rescue Plan Act - PowerPoint.pdf6/17/2021 Current Local Allocations ➢City of Fort Worth Direct Allocation: $173,745,090 • First half tranche received May 19, 2021: $86,872,545 • All funds committed by December 31, 2024 • All funds spent by December 31, 2026 ➢Emergency Rental Assistance Direct Allocation: $29,071,786 • First 40% tranche received May 24, 2021: $11,628,714 • Additional direct allocation to Tarrant County: $26,407,662 ➢Homelessness Direct Allocation: $10,537,030 • Additional direct allocation to Tarrant County: $5,281,656 ➢Tarrant County Direct Allocation: $408,388,891 ➢Fort Worth ISD Allocation: $261,555,722 ➢Trinity Metro Allocation: $39,155,646 1 6/17/2021 COM Direct Allocation ➢Broad definitions provided for use in four major categories: A. Respond to the public health emergency and related economic impacts B. Respond to workers performing essential work during the public health emergency C. For the provision of government services to the extent of the reduction of revenue due to the public health emergency (revenue recovery) D. To make necessary investments in water, sewer, or broadband infrastructure ➢Incor orates a complex formula for revenue recoveryy: Compares adjusted Calendar Year 2020 revenue (with exclusions) to Fiscal Year 2M actual revenue adjusted by either an average actual three-year growth rate or 4.1% (whichever is higher) ➢ Currently only guidance is the U.S. Treasury's Interim Final Rule. • Additional guidance, as well as the establishment of Q & As will likely change the calculation method and the resulting estimates. • Revenue recovery amount for second tranche of funding will not be known until calculation is finalized in March 2022 after the FY2021 Annual Financial Report is issued Uses of ARPA Non -Revenue Recovery Funds ➢Respond to the Public Health Emergency: • Mitigation and Prevention, Medical Expenses, Behavioral Health Care • Public Health and Safety Staff, Improvements in Health and Public Health Program Design • Address Disparities in Public Health Outcomes ➢Negative Economic Impacts: • Assistance to households, small business and non -profits • Aid to impacted industries such as tourism, travel, and hospitality • Investment in housing and neighborhoods ➢Essential Workers with duties in Response to Health Emergency ➢Necessary Investments in Water, Sewer, or Broadband Infrastructure 2 6/17/2021 Use of Funds Generated by Revenue Recovery Provision ➢Broad latitude to use funds for the provision of government services, including, but not limited to: • Infrastructure maintenance • Infrastructure Pay -go construction, including roads • Modernization of cyber-security, including hardware, software and protection of critical infrastructure • Health services • School or educational services • Environmental remediation • Police, Fire, and other public safety services • Any water infrastructure projects in compliance with the Drinking Water and Clean Water State Revolving Funds • Not restricted by the source of the revenue loss Unallowable Use of Revenue Recovery Funds );,Expenses associated with obligations under instruments evidencing financial indebtedness for borrowed money, such as: • Interest or principal on any outstanding debt instrument • Issuance cost associated with new debt • Match for other federal programs • Pension deposits • Settlement agreements • Replenishing financial reserves ➢Or expenses associated with: • Judgements • Consent decrees • Debt restructuring 3 6/17/2021 Guiding Principles for Use of Funds ➢One time uses that do not increase ongoing operating costs ➢Target projects that will have a strong Return on Investment (ROI), especially in economic areas hardest hit by pandemic ➢Use for expenses directly tied to mitigating or lessening COVID-19 ➢Target projects delayed or postponed because of impact from pandemic ➢Projects in Majority Minority Areas (MMAs) ➢Projects that fall within specific qualifying activities as outlined in ARPA guidance S 6/17/2021 Non -Revenue Recovery Funds ➢Pandemic Recovery Activities • Emergency Operations Center • Vaccination Operations ➢Minority Business Enterprise (MBE) capacity building program ➢Tourism Industry Recovery • Convention Center Expansion Project Restart • Grant to Visit Fort Worth for revenue shortfall • Sports Tourism Soccer Complex Project Phase I ➢Evans -Rosedale Project w/Affordable Housing component ➢Stormwater Projects ➢Water/Wastewater Infrastructure Projects ➢Cybersecurity/Technology/Broadband Projects in City Buildings ➢Permanent Supportive Housing Projects );,Matching Funds for eligible joint projects with other agencies Revenue Recovery Funds ➢Projects Delayed/Postponed because of Pandemic: • Commerce St. Realignment • Public Events Department Projects at Convention Center and Will Rogers ➢Will Rogers Interpretive Plaques for Existing Murals ➢Majority Minority Area (MMA) Infrastructure projects • Neighborhood Streets • Streetlights • Sidewalks • Park Development 5 6/17/2021 Next Steps ➢ Staff to begin working on plans/program development to bring individual items back for council approval in categories outlined below: • Pandemic Recovery Activities • Minority Business Enterprise (MBE) capacity building program • Tourism Industry Recovery (Convention Center/VFW Funding/Sports Tourism) • Evans -Rosedale Project w/Affordable Housing component • Stormwater Projects • Water/Wastewater Infrastructure Projects Cybersecurity/Technology/Broad band Projects in City Buildings • Permanent Supportive Housing Projects • Matching Funds for eligible joint projects with other agencies • Projects Delayed/Postponed because of Pandemic (Commerce St./Public Events) • Will Rogers Interpretive Plaques for Existing Murals • Majority Minority Area (MMA) Infrastructure projects (streets/streetlights/ sidewalks/park improvements) 101