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HomeMy WebLinkAboutItem 16 - American Rescue Plan Act (ARPA) Update (Fall 2024) FinalMayor & City Council American Rescue Plan Act (ARPA) Update September 18, 2024 ARPA Background Law and Purpose: The Coronavirus State and Local Fiscal Recovery Funds (SLFRF) program authorized by the American Rescue Plan Act, signed into law on March 2021, provides $350 billion in funding to state, territorial, local, and Tribal governments across the country to aid their response to and economic recovery from the COVID-19 public health emergency. ARPA 2022 Guidelines 2022 Interim Final Rule Allowable Expenditure Categories: Replace lost public sector revenue (up to $10M) Water, sewer and storm drainage infrastructure Broadband internet "last mile" Vaccination Programs Individual, family, non-profit and small business relief Sheltering for unhoused Violence Intervention Programs Improvements to public outdoor spaces in Qualified Census Tracts Build environment and building façade improvements Payroll and covered benefits for public safety, public health, etc. ARPA 2023 Guidelines 2023 Interim Final Rule Allowable Expenditure Categories: Emergency relief from natural disasters Surface transportation projects (eligible through three pathways) Title I projects,investing in activities that are eligible under the CDBG and ICDBG programs, as listed in section 105(a) of the HCD Act of 1974. City-Wide Allocation Status •Total Disbursement:$77,656,407 Allocated – $76.3 Million (98%) o Budgeted via Resolution o $1.3 Million remaining to be allocated Obligated – $30.2 Million (39%) o Committed via Contract. o 100% must be obligated by 12/31/2024. Spent – $12.3 Million (16%) o Invoiced and Paid. o 100% must be spent by 12/31/2026. Obligated 39% Allocated 98% Unallocated 2% Spent 16% Disbursement Obligated $30,229,301 39% Disbursement Spent $12,287,587 16% Council ARPA Allocation Timeline October 20, 2021 $8.16M - Violence Intervention Program, City-Wide Graffiti Abatement, Paint Brush Program, Water Lead Connectors Replacement Project February 2, 2022 $24.05M - Park Rehabilitation: Seccombe Lake Park , Nicholson Park, Roosevelt Bowl, Lytle Creek Soccer Field; Small Business & Non-Profit Grant Program December 7, 2022 $24.65M – Lutheran SS Wellness Center Project, Homelessness Outreach Services, Mobile Shower & Laundry Program, Navigation Center, ASU Tenants Assistance & SBVC Housing Project Council ARPA Allocation Timeline July 19, 2023 $10M – Enterprise Resource Planning (ERP) System August 16, 2023 $500K – Emergency Nuisance Abatement Services September 6, 2023 $5.145M – “Hero Pay” for City and Water Employees April 17, 2024 $655K – Encanto Community Center Project April 17, 2024 $1.05M – City Streets Improvement Project June 5, 2024 $2.06M - Guadalupe Field Improvement Project City of San Bernardino ARPA Project Updates Economic Development $6M Small Business & Non-Profit Grants Project Overview •Provides training and funding to small businesses and non- profit organizations needing financial assistance stemming from COVID-19. •Eligible expenses include rent/lease payments, mortgage payments, inventory, Personal Protection Equipment, etc. Current Status •SBG Round #1 - Completed - $2.57 million spent. •SBG Round #2 - In process and ready to award. Projected Timeline •December 2024 – Program Completion for Round 2. ARPA Allocation $3.126 Million Allocation Obligated $3,126,300 100% Allocation Spent $2,575,000 82% City ARPA Entrepreneurial Resource Center Project Overview •Center for local small businesses and non-profits to access valuable resources such as business counseling and other specialized business assistance programs. •Collaboration between City of San Bernardino and the Inland Empire Center for Entrepreneurship (IECE) at California State University San Bernardino (CSUSB). Current Status •100% of funds have been obligated and expended. •Center is fully operational and located near City Hall. Projected Timeline •No additional actions are needed. •October – Presentation by Dr. Michael Stull. ARPA Allocation $1.873 Million Allocation Obligated $1,873,700 100% Allocation Spent $1,873,700 100% City ARPA Façade Improvement Program Project Overview •The “Paintbrush” program that provides façade improvements to businesses located within the City. o Establishes an aesthetically pleasing and pedestrian friendly environment for patrons. o Businesses must be within a Qualified Census Tract. Current Status •The program began accepting applications in August 2024. •Funds to be obligated through Inter-agency agreement. Projected Timeline •December 2026 - Funds anticipated to be exhausted. ARPA Allocation City ARPA $1.000 Million Allocation Obligated $1,000,000 100% Allocation Spent $0 0% City of San Bernardino ARPA Project Updates PARKS & RECREATION $21.7M Seccombe Lake Park ARPA Allocation Allocation Obligated $408,245 5% Allocation Spent $171,278 2% $9.000 Million Project Overview •Complete renovation of Seccombe Lake Park. •Total Project Budget of $10 million: o $9 million – ARPA. o $1 million - San Manuel Band of Mission Indians Donation. Current Status •Design is at 100% PSE (Plans/Specs/Estimate). •RFP to be released in October. Projected Timeline •November 2024 – Construction Award. •February 2025 – Groundbreaking. •Spring 2026 – Completion. City ARPA Will be obligated with construction contract award in November Nicholson Park ARPA Allocation Allocation Obligated $5,740,402*65% Allocation Spent $131,561 1% $8.850 Million Project Overview •Complete renovation of Nicholson Park. •Total Project Budget of $12.5 million: o $8.85 million - ARPA o $2.7 million - CDBG (spent) o $186,833 - Meadowbrook Insurance Claim (spent) o $745,128 - Measure S •Estimated Project Cost of $10.8 million. •Anticipated ARPA surplus: $1.7 million. Current Status •Construction began in April 2024. •Expanded scope added picnic shelters & shade sails. •Pending change orders are currently being processed. Projected Timeline •February 2025 – Project Completion. *$2.4 million of CDBG funds went to construction, reducing ARPA obligated amount City ARPA Roosevelt Bowl Project Overview •Amphitheater, landscaping, and facilities renovation. •Total Project Budget of $2.6 Million: o $600,000 - ARPA (2/2/2022) o $600,000 - Measure S o $1.4 million - Congressman Aguilar Current Status •Current ARPA obligation is used for project design. •Remaining ARPA will be used for restroom renovations. o Restroom renovations will be a separate RFP. o RFP will be released in October. Projected Timeline •November 2024 – Construction Contract Award. •February 2025 – Groundbreaking. •February 2026 – Completion. ARPA Allocation $600,000 Allocation Obligated $433,752 72% Allocation Spent $74,713 12% City ARPA Will be obligated with restroom renovation award in November Lytle Creek Park Futsal Fields Project Overview •Parking lot conversion into a futsal court. •Total Project Budget of $740,000: o $600,000 - ARPA (2/2/2022) o $140,000 - Cultural Development Fund Current Status •Design completed in house. •Construction contract awarded on 9/18/2024.* Projected Timeline •January 2025 – Groundbreaking. •April 2025 – Project Completion. *Assumes Mayor and Council approve Agenda Item #9 ARPA Allocation Allocation Obligated $600,000*100% Allocation Spent $0 0% $600,000 City ARPA Guadalupe Field / Sal Saavedra Park ARPA Allocation Project Overview •Renovation of baseball field and surrounding area. •Total Project Budget of $3,058,851: o $2.06 million - ARPA o $995,000 - County ARPA •Estimated Project Cost of $1,858,851. •Anticipated ARPA surplus: $1.2 million. Current Status •Construction contract awarded in June. •Construction begins September 20. Projected Timeline •September 2024 – Groundbreaking. •May 2025 – Project Completion. *Allocation represents $2,063,851 City ARPA and $995,000 County ARPA ** Does not include project contingencies Allocation Obligated $1,572,402**51% Allocation Spent $110,195 4% An t i c i p a t e d AR P A S u r p l u s $3 Million* City ARPA County ARPA Encanto Community Center ARPA Allocation Will be obligated with construction contract award in November City ARPA $655,887 Project Overview •Rehabilitation of the Encanto Community Center. •Project currently slated to be completed in phases. •Total Project Budget of $3,858,159: o $655,887 - ARPA o $31,128 - CDBG o $886,293 - CDBG CV o $246,789 - Cultural Development o $2 million - Sharell Paramo Endowment Current Status •RFP will be released in October. Projected Timeline •November 2024 – Construction Contract Award. •February 2025 – Groundbreaking. •February 2026 – Project Completion.Allocation Obligated $0 0% Allocation Spent $0 0% Speicher Memorial Park Fields​ County ARPA Allocation Project Overview •Renovation of existing baseball fields and facilities. •Project utilizes County ARPA funds, not City ARPA funds. •Total Project Budget of $4,524,670: o $950,000 - County ARPA o $2.57 million - Cultural Development Impact Fund o $1 million - San Manuel Band of Mission Indians Donation Current Status •Construction contract for Phase I awarded in August 2024. o Huckabaa Field, ADA Access, & Restroom/Concession Building. •Preparing to begin construction. Projected Timeline •December 2024 – Groundbreaking. •August 2025 – Project Completion.Allocation Obligated $950,000 100% Allocation Spent $324,709 34% County ARPA $950,000 City of San Bernardino ARPA Project Updates CITY SERVICES $3M Graffiti Abatement ARPA Allocation City ARPA $1.000 Million Allocation Obligated $1,000,000 100% Allocation Spent $316,503 32% Project Overview •City-wide graffiti removal and dump site cleanup program. •Supports paint supplies for a volunteer artist to paint utility boxes, benches, and murals in areas tagged with graffiti. •The program is directly administered by the Operations and Maintenance Division of Public Works. Current Status •The program is currently in operation and will run through December 31, 2026. •An Inter-agency agreement will be executed to formally obligate the funds being expensed by the City. Violence Intervention Program ARPA Allocation Will be obligated with contract amendments in November $1.000 Million Project Overview •Intervention services that reduce gang violence, recidivism, and provide supportive services to individuals and families that are affected by gang violence. •ARPA funds are used to leverage Cal VIP state grant funds. •$750,000 obligated in contracts with 3 non-profits providers at $250,000 for each. Current Status •Negotiating expansion of services with current providers to obligate the remaining $250,000. Projected Timeline •November 2024 – Contract amendments to obligate the remaining $250,000.Allocation Obligated $750,000 75% Allocation Spent $511,588 51% City ARPA City of San Bernardino ARPA Project Updates INFRASTRUCTURE $6.2M ARPA Allocation Will be obligated with construction contract awards by November $5.160 Million Project Overview •Replacement of water service connections containing lead. •Survey of Water Department services identified areas of system needing replacement for compliance, which included the San Anselmo and Muscoy areas. •San Anselmo area found to be lead free in 2022. Current Status •Two Construction Contracts pending Water Board approval. o 1st contract award - September 24, 2024. o 2nd contract award – November 12, 2024. •An ARPA allocation surplus of $2.1 million is anticipated. Projected Timeline •November 2024 – ARPA funds to be obligated. •Summer 2025 – Project Completion.Allocation Obligated $0 0% Allocation Spent $0 0% City ARPA Lead Water Connectors Replacements Project Overview •Street rehabilitation project at 3 locations: o 10th St, 49th St, and Rialto Avenue* Current Status •Project completed in April without utilizing ARPA allocation. •ARPA funds not reallocated to other street projects in the development pipeline due to issues regarding fund supplantation. •There is an ARPA allocation surplus of $1.080 million. Projected Timeline •Project completed. Funds will need to be reallocated. * Project was already underway and funded with other sources when Council motioned and approved a reallocation of previously unallocated ARPA funds. City ARPA $1.080 Million Allocation Obligated $0 0% Allocation Spent $0 0% ARPA Allocation Street Improvements City of San Bernardino ARPA Project Updates HOMELESS INITIATIVES $25.1M Detailed Projected Timeline September 19 Publish RFP and RFQs for Navigation Center Construction •Modular Unit Manufacturer (RFP) •General Contractor (RFQ) •Developer (RFQ) October 17 Construction-related RFP and RFQs due on PlanetBids October 30 Publish RFPs for Navigation Center Operations •Lead Operator (RFP) •Recuperative Care Provider (RFP) November 6 Award Modular Unit Manufacturer and Developer Contract December 4 RFP for Navigation Center Operator due on PlanetBids January 2025 Award Navigation Center Operations Contracts November 2025 Certificate of Occupancy / Grand Opening ARPA Allocation Will be obligated with modular unit manufacturer award in November City ARPA $12.450 Million Navigation Center Construction Project Overview •Construction of the City’s 200-bed interim housing shelter. •Total Project Budget of $21,579,421 million: o $12.45 million - ARPA o $1.90 million – CDBG o $4.29 million – HOME-ARP o $808,359 – HHAP 3 o $2.12 million – Hospital / HMO Grant* Current Status •RFQs and RFPs will be released this week. Projected Timeline •November 2024 – Award contract for modular units. •Fall 2025 – Project Completion. *Various hospitals and HMOs have pledged funds to assist with construction. Agreements still being finalized. Allocation Obligated $379,500 3% Allocation Spent $159,860 1% Detailed Projected Timeline September 19 Publish RFP and RFQs for Navigation Center Construction •Modular Unit Manufacturer (RFP) •General Contractor (RFQ) •Developer (RFQ) October 17 Construction-related RFP and RFQs due on PlanetBids October 30 Publish RFPs for Navigation Center Operations •Lead Operator (RFP) •Recuperative Care Provider (RFP) November 6 Award Modular Unit Manufacturer and Developer Contract December 4 RFP for Navigation Center Operator due on PlanetBids January 2025 Award Navigation Center Operations Contracts November 2025 Certificate of Occupancy / Grand Opening ARPA Allocation Will be obligated with modular unit manufacturer award in November City ARPA $12.450 Million Navigation Center Construction Allocation Obligated $379,500 3% Allocation Spent $159,860 1% ARPA Allocation City ARPA $4.500 Million Navigation Center Operations Project Overview •Operation of the City’s 200-bed interim housing shelter. •Total Funding: o $4.5 million - ARPA o $4.35 million – PLHA* o $2 million (annually) – General Fund beginning FY 2026/27** Current Status •RFP is in the process of being drafted for future release. •ARPA funds anticipated to be reallocated to construction. Projected Timeline •Fall 2025 – Grand Opening. *PLHA funds would be used to replace the ARPA funds, which are anticipated to be reallocated to construction. **Approved by the Mayor and City Council as part of the Strategic Initiatives in September 2023. Allocation Obligated $0 0% Allocation Spent $0 0% ARPA Allocation Project Overview •Outreach services to the City’s homeless population. •Contracted through Hope the Mission. •Services include: o Mental health services o “Document readiness” assistance o Supportive substance use disorder services o Food, water, hygiene, and clothing supplies Current Status •Currently active and operates seven days a week. •Current agreement term ends in May 2025. Projected Timeline •December 2024 – Contract amendment with Hope the Mission to extend the term of the agreement.Allocation Obligated $1,500,000 100% Allocation Spent $444,577 30% City ARPA $1.500 Million Homeless Outreach Team ARPA Allocation Project Overview •Provides emergency shelter services via motel vouchers. •Part of the City’s short-term strategy during the development of the Navigation Center. •Utilizes both ARPA and CDBG-CV funds. Current Status •A “soft launch” began in July 2024. •46 emergency shelter vouchers have been distributed. o Utilized CDBG-CV funds Projected Timeline •December 2024 – Contract amendment to extend the term of the Motel Voucher program. Allocation Obligated $973,500 100% Allocation Spent $0 0% City ARPA $973,500 Motel Voucher Program Lutheran Social Services Wellness Center ARPA Allocation Project Overview •140-unit interim housing project with Lutheran Social Services of Southern California and Dignity Moves. •Project Funding: •$5 million in ARPA towards construction. •$35 million Homekey Grant from State of CA. Current Status •Initial Homekey grant disbursement received August 2024. •Project construction is currently underway. Projected Timeline •November 2024 – Amendment to the subrecipient agreement to reallocate funds to operations. o Condition of the State’s Homekey grant agreement. o Homekey Grant award fully funds construction. •December 2024 – Completion of interim housing units. Allocation Obligated $5,000,000 100% Allocation Spent $0 0% City ARPA $5.000 Million ARPA Allocation Project Overview •Agreement with Community Action Partnership of San Bernardino (CAPSBC) to provide low-income families and individuals experiencing homelessness with mobile laundry and shower services. Current Status •Currently active. •Operates on a rotational basis twice a week. Projected Timeline •May 2025 – Funds anticipated to be exhausted. Allocation Obligated $150,000 100% Allocation Spent $99,651 66% City ARPA Mobile Showers & Laundry $150,000 ARPA Allocation Project Overview •Emergency abatement of public nuisances relating to blight and quality of life by Code Enforcement that pose an imminent threat to public safety. Current Status •Currently active. •An Inter-agency agreement will be executed to formally obligate the funds being expensed by the City. Projected Timeline •June 2025 – Funds anticipated to be exhausted. Allocation Obligated $500,000 100% Allocation Spent $400,024 80% City ARPA Emergency Nuisance Abatement $500,000 Temporary Housing for ASU Residents Project Overview •Assistance to residents that were displaced from the American Sports University (ASU) building. Current Status •Completed in summer 2023. •Building has been vacated and secured. Projected Timeline •No additional actions are needed. ARPA Allocation Allocation Obligated $76,500 100% Allocation Spent $76,500 100% City ARPA $76,500 City of San Bernardino ARPA Project Updates IT INFRASTRUCTURE $10M ARPA Allocation Project Overview •City-wide software system upgrades: o Finance, Permitting, Payroll, Human Resources, etc. •Funded through the $10 million standard allowance. o Allows ARPA funds to be utilized for government services. o Allows expenditures for staff time without an agreement. Current Status •Preparing software system contracts for award. Projected Timeline •November 2024 – Contract Award. •Early 2025 – Start of Implementation. Allocation Obligated $0 0% Allocation Spent $181,397 2% Will be obligated with software system contracts in November City ARPA $10.000 Million Enterprise Resource Planning (ERP) City of San Bernardino ARPA Project Updates Staff Salaries “HERO PAY” $5.1M Hero Pay Project Overview •One-time $5,000 stipend to approximately 1,029 full-time and part-time City and Water Department employees who were on staff during the pandemic. Current Status •Completed in September 2023. Projected Timeline •No additional actions are needed. ARPA Allocation City ARPA Allocation Obligated $5,145,000 100% Allocation Spent $5,145,000 100% $5.145 Million City of San Bernardino ARPA Project Updates Recap, Next Steps, & Recommendation City-Wide Allocation Status •Total Disbursement:$77,656,407 Allocated – $76.3 Million (98%) o Budgeted via Resolution o $1.3 Million remaining to be allocated Obligated – $30.2 Million (39%) o Committed via Contract. o 100% must be obligated by 12/31/2024. Spent – $12.3 Million (16%) o Invoiced and Paid. o 100% must be spent by 12/31/2026. Obligated 39% Allocated 98% Unallocated 2% Spent 16% Disbursement Obligated $30,229,301 39% Disbursement Spent $12,287,587 16% Projected ARPA Obligation Schedule •October 2, 2024 •Library Animakerspace Award Recommendation •Staff ARPA Reallocation Recommendations •November 6, 2024 •Enterprise Resources Planning (ERP) System Software Award •SBMWD Water Lead Connector Surplus Reallocation •November 20, 2024 •Award Seccombe Park Renovations Agreement •Navigation Center Construction Agreement Award •Encanto Community Center Project Award •Violence Intervention Program Award Recommendation It is recommended that the Mayor and City Council of the City of San Bernardino, 1.Receive and file an update on City of San Bernardino American Rescue Plan Act (ARPA) projects, allocations, and spending to date; and 2.Authorize the City Manager to formally obligate ARPA funds for City led projects per U.S Department of Treasury Guidelines, by executing Inter-Agency agreements for previously City Council approved ARPA projects; and 3.Provide staff direction on any unassigned ARPA funds.