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Resolution No. 2022-40 ARPA Funds Resolution No. 2022-40 Deeming All Funds Received Under ARPA as Reimbursement of Lost Revenue Whereas, Congress adopted the American Rescue Plan Act (ARPA) in March 2021, which included $65 billion in recovery funds for cities across the country; and Whereas, ARPA funds are intended to provide support to state, local, and tribal governments in responding to the impact of COVID-19 and in their efforts to contain COVID-19 in their communities, residents, and businesses; and Whereas, The Fiscal Recovery Fund provides for $19.5 billion in payments to be made to States and territories which will distribute the funds to non-entitlement units of local government (NEUs); and Whereas, NEUs generally have populations below 50,000; and Whereas, the ARPA requires that States and territories allocate funding to NEUs in an amount that bears the same proportion as the population of the NEU to the total population of all NEUs in the State; and Whereas, on July 30, 2021 the City of Fridley (City) received $1,472,232 for its share of the Fiscal Recovery Fund; and Whereas, after the deadline of October 11, 2021 passed for NEUs to request ARPA funds, nearly $12 million of available funds for Minnesota’s NEUs remained unrequested; and Whereas, as allowed by the United States Treasury, the State of Minnesota has redistributed these remaining funds amongst eligible local governments who requested ARPA funds; and Whereas, $48,212 has been allocated to the City pursuant to the ARPA redistribution; and Whereas, the redistribution will be distributed in two deposits, with half received in 2021 and the second half in 2022; and Whereas, the City has presumptively experienced revenue loss due to COVID and desires to declare all funds received as reimbursement of revenue loss as permitted by applicable US Treasury guidance. Now, therefore be it resolved, that the City declares all funds received as revenue loss as permitted by applicable US Department of Treasury guidance. th Passed and adopted by the City Council of the City of Fridley this 25 day of April, 2022. ____________________________________________ Scott J. Lund – Mayor Attest: ________________________________________ Melissa Moore – City Clerk