HomeMy WebLinkAbout090324-05.5 STUDY ADMINISTRATIVE STAFF REPORT 5.5
TO: Mayor and Town Council September 3, 2024
SUBJECT: Resolution No. 64-2024, re-allocating Coronavirus Local Fiscal Recovery
Funds awarded to the Town of Danville under the American Rescue Plan
Act of 2021 for specified Capital Improvement Projects
BACKGROUND
On March 11, 2021, the President signed the American Rescue Plan Act of 2021 (ARPA).
The ARPA provides $1.9 trillion in relief funding intended to speed up the United States'
recovery from the economic and health effects of the Coronavirus pandemic.
Under the ARPA, Danville received a total of $10,647,738 in Coronavirus Local Fiscal
Recovery Funds. Use of these funds is guided by Section 603(c)(1) (a) – (d) of the ARPA.
The ARPA includes specific timing and financial reporting requirements. All
Coronavirus Local Fiscal Recovery Funds must be obligated by December 31, 2024, and
expended by December 31, 2026.
At its October 5, 2021, public meeting, the Town Council adopted Resolution No. 64-2021,
reserving and appropriating Coronavirus Local Fiscal Recovery Funds received under
the American Rescue Plan Act of 2021 (“ARPA funds”) to a broad spectrum of programs,
partnerships, and capital projects with the intent of speeding up Danville’s recovery from
the effects of the Coronavirus pandemic.
Distributing ARPA funds to service programs and community partners within the federal
framework requires limited staff administration. However, the need to obligate and
expend ARPA funds for selected capital projects within the strict federal timeline requires
careful planning and timely delivery, given the Town’s limited project management
resources and project complexities.
Attachment B illustrates the Town’s current allocation of Coronavirus Local Fiscal
Recovery Funds. This includes four Capital Improvement Projects: CIP A-362,
Downtown Improvement Project, CIP B-616, Multi-Sport Skate Park, CIP B-626, Town
Office Relocation and CIP B-629, Front Street Arts District Maker Space. Projects B-626
and B-629 have been completed.
Re-allocating ARPA Funds 2 September 3, 2024
DISCUSSION
Most current project timelines have raised concerns regarding the Town’s ability to
complete CIP Project B-616, Multi-Sport Skate Park within the strict federal timeline
prescribed by the ARPA. Therefore, it is appropriate to re-allocate the ARPA funds
previously appropriated for CIP Project B-616 to other qualified projects which will be
completed prior to December 31, 2026. This can be accomplished by amending funding
appropriations for four capital projects as described below. These changes will amend
the funding sources for each of the four projects. The total funding appropriated for each
of the projects remains unchanged.
•Project A-362 - Downtown Improvement Project – Reduce CIP General Purpose
funding by $1,000,000; increase ARPA funding by $1,000,000. Total ARPA funding
appropriated for this project is increased from $3,750,000 to $4,750,000.
•Project A-620 - Fiber Optic Cable Interconnect - Reduce CIP General Purpose funding
by $500,000; increase ARPA funding by $500,000. Total ARPA funding appropriated for
this project is increased from $0 to $500,000.
•Project B-560 - Diablo Vista Park Capital Maintenance (replace Children’s Play Area)
- Reduce CIP General Purpose funding by $500,000; reduce Park Facilities funding by
$500,000; increase ARPA funding by $1,000,000. Total ARPA funding appropriated for
this project is increased from $0 to $1,000,000.
•Project B-616 - Multi-Sport Skate Park - Reduce ARPA funding by $2,500,000; increase
CIP General Purpose Funding by $2,500,000. Total ARPA funding appropriated for this
project is reduced from $2,500,000 to $0.
PUBLIC CONTACT
Posting of the meeting agenda serves as notice to the general public.
FISCAL IMPACT
None. The total funding appropriated for CIP Projects A-362, A-620, B-560 and B-616 is
unchanged as a result of the recommended re-allocation of ARPA funds.
Re-allocating ARPA Funds 3 September 3, 2024
RECOMMENDATION
Adopt Resolution No. 64-2024, re-allocating Coronavirus Local Fiscal Recovery Funds
awarded to the Town of Danville under the American Rescue Plan Act of 2021 for
specified Capital Improvement Projects.
Prepared by:
Joseph A. Calabrigo
Town Manager
Lani Ha
Finance Director/Treasurer
Attachments: A – Resolution No. 64-2024
B – Amended Allocation of Coronavirus Local Fiscal Recovery Funds
C - Revised Funding Appropriations for CIP Projects A-362, A-620, B-560
and B-616
D – Revised CIP pages for CIP Projects A-362, A-620, B-560 and B-616
RESOLUTION NO. 64-2024
RE-ALLOCATING CORONAVIRUS LOCAL FISCAL RECOVERY FUNDS
AWARDED TO THE TOWN OF DANVILLE UNDER THE AMERICAN RESCUE
PLAN ACT OF 2021 FOR SPECIFIED CAPITAL IMPROVEMENT PROJECTS
WHEREAS, on March 11, 2021, the President of the United States signed the American
Rescue Plan Act of 2021 (ARPA); and
WHEREAS, the ARPA provides $1.9 trillion in relief funding intended to speed up the
United States' recovery from the economic and health effects of the Coronavirus
pandemic; and
WHEREAS, Section 9901 of the ARPA amended Title VI of the Social Security Act to add
Section 603, which establishes the Coronavirus Local Fiscal Recovery (Recovery) Fund;
and
WHEREAS, Recovery 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 on their communities, residents and businesses; and
WHEREAS, under the ARPA, Danville was awarded $10,647,738 in Recovery Funds; and
WHEREAS, Section 603(c)(1) of the ARPA provides that Recovery Funds may be used:
a)To respond to the public health emergency or its negative economic impacts,
including assistance to households, small businesses, and nonprofits, or aid to
impacted industries such as tourism, travel, and hospitality.
b)To respond to workers performing essential work during the COVID-19 public
health emergency by providing premium pay to eligible workers.
c)For the provision of government services to the extent of the reduction in
revenue due to the COVID–19 public health emergency relative to revenues
collected in the most recent full fiscal year prior to the emergency.
d)To make necessary investments in water, sewer, or broadband infrastructure; and
WHEREAS, pursuant to Section 603(c)(1) c), recipients may use funds for the direct
provision of government services to citizens, to the extent of reduction in revenue;
including, but not limited to, maintenance of infrastructure or pay-go spending for
building new infrastructure, including roads; modernization of cybersecurity, including
hardware, software, and protection of critical infrastructure; health services;
environmental remediation; school or educational services; and the provision of police,
fire, and other public safety services; and
WHEREAS, the Danville Town Council has determined that Recovery Funds awarded
to Danville should be expended to support programs, partnerships and projects that will
speed up the Town’s recovery from the economic and health effects of the Coronavirus
Docusign Envelope ID: 2B53CB20-B7C4-4BC1-9DA1-07FA7B198C22
ATTACHMENT A
PAGE 2 OF RESOLUTION NO. 64-2024
pandemic while providing the broadest possible community benefit, including $9,707,738
for infrastructure improvements that support economic recovery and revitalization, and
benefit the broader community; and
WHEREAS, all Recovery Funds must be obligated by December 31, 2024, and expended
by December 31, 2026; and
WHEREAS, most current project timelines have called into question the Town’s ability
to complete CIP Project B-616, Multi-Sport Skate Park within the completion timeline
prescribed by the ARPA; now, therefore be it
RESOLVED, that the Danville Town Council hereby amends the funding appropriations
for the following four capital projects, in order to obligate and expend all Recovery Funds
in accordance with timelines specified under the American Rescue Plan Act of 2021:
•Project A-362 - Downtown Improvement Project – Reduce CIP General Purpose
funding by $1,000,000; increase ARPA funding by $1,000,000.
•Project A-620 - Fiber Optic Cable Interconnect - Reduce CIP General Purpose funding
by $500,000; increase ARPA funding by $500,000.
•Project B-560 - Diablo Vista Park Capital Maintenance (replace Children’s Play Area)
- Reduce CIP General Purpose funding by $500,000; reduce Park Facilities funding by
$500,000; increase ARPA funding by $1,000,000.
•Project B-616 - Multi-Sport Skate Park - Reduce ARPA funding by $2,500,000; increase
CIP General Purpose Funding by $2,500,000; and, be it further
RESOLVED, that the Danville Town Council finds that such use of Coronavirus Local
Fiscal Recovery Funds is consistent with and meets all requirements described in section
603(c)(1) of the American Rescue Plan Act of 2021.
APPROVED by the Danville Town Council at a regular meeting held on September 3,
2024, by the following vote:
AYES:
NOES:
ABSTAINED:
ABSENT:
MAYOR
APPROVED AS TO FORM: ATTEST:
CITY ATTORNEY CITY CLERK
Docusign Envelope ID: 2B53CB20-B7C4-4BC1-9DA1-07FA7B198C22
ATTACHMENT B
AMERICAN RESCUE PLAN ACT OF 2021 (ARPA)
AMENDED Allocation of Coronavirus Local Fiscal Recovery Funds (CLFRF)
Total CLFRF Received - $10,647,738
Current CLFRF REVISED CLFRFAllocationAllocation
CAPITAL IMPROVEMENT PROGRAM
A-362 Downtown Improvement Project $3,750,000 $4,750,000
A-620 Fiberoptic Cable Interconnect $0 $500,000
B-560 Diablo Vista Park Capital Maintenance (children's play area)$0 $1,000,000
B-616 Multi-Sport Skate Park $2,500,000 $0
B-626 Town Office Relocation $2,857,738 $2,857,738
B-629 Front St. Arts District Maker Space $600,000 $600,000
Sub-Total CIP $9,707,738 $9,707,738
PARTNERSHIPS
Danville Area Chamber of Commerce $150,000 $150,000
Discovery Counseling Center $100,000 $100,000
Meals on Wheels - Diablo Region $100,000 $100,000
Danville Library Foundation $100,000 $100,000
Friends of the Danville Library $100,000 $100,000
Museum of the San Ramon Valley $100,000 $100,000
San Ramon Valley Education Foundation $100,000 $100,000
Down Syndrome Connection $100,000 $100,000
Eugene O'Neill Foundation $50,000 $50,000
$900,000 $900,000
ADMINISTRATION $40,000 $40,000
TOTAL $10,647,738 $10,647,738
ATTACHMENT B
REVISED FUNDING APPROPRIATIONS - ARPA/General Fund/Miscellaneous Funds ATTACHMENT C
CIP PROJECTS A-362, A-620, B-560 & B-616
CURRENT APPROPRIATIONS A-362 A-620 B-560 B-616
Downtown Fiber Optic Diablo Vista
Improvement Cable Park Capital Multi-Sport
Funding Source Project Interconnect Maintenance Skate Park Total
CIP General Purpose 1,981,420$ 1,000,000$ 500,000$ 3,481,420$
Emergency Reserve Fund (GP)963,621$ 963,621$
HSIP Grant 107,910$ 107,910$
LLAD Zone C 150,000$ 150,000$
LLAD Zone D 26,907$ 26,907$
Park Dedication Impact 20,000$ 20,000$
Park Facilities 935,376$ 20,000$ 955,376$
ARPA 3,750,000$ 2,500,000$ 6,250,000$
P.E.G.280,000$ 280,000$
State Community Grant 500,000$ 500,000$
TOTAL APPROPRIATION 6,952,951$ 1,780,000$ 1,482,283$ 2,520,000$ 12,735,234$
REVISED APPROPRIATIONS A-362 A-620 B-560 B-616
Downtown Fiber Optic Diablo Vista
Improvement Cable Park Capital Multi-Sport
Funding Source Project Interconnect Maintenance Skate Park Total
CIP General Purpose 981,420$ 500,000$ $0 2,000,000$ 3,481,420$
Emergency Reserve Fund (GP)963,621$ 963,621$
HSIP Grant 107,910$ 107,910$
LLAD Zone C 150,000$ 150,000$
LLAD Zone D 26,907$ 26,907$
Park Dedication Impact 20,000$ 20,000$
Park Facilities 435,376$ 520,000$ 955,376$
ARPA 4,750,000$ 500,000$ 1,000,000$ $0 6,250,000$
P.E.G.280,000$ 280,000$
State Community Grant 500,000$ 500,000$
TOTAL APPROPRIATION 6,952,951$ 1,780,000$ 1,482,283$ 2,520,000$ 12,735,234$
ATTACHMENT C
ProjectsDOWNTOWN IMPROVEMENT PROJECT
PROJECT DESCRIPTION AND LOCATION: DESCRIPTION OF MODIFICATIONS:Updated project funding and description.RATIONALE FOR PROPOSED PROJECT:Enhance the Downtown experience.EXPECTED IMPACT ON OPERATING BUDGET:Additional worker hours required to maintain per year:0Additional Town direct operating costs per year:$0
PROJECT COST ESTIMATEThis project has been modified from the previous year.PROJECT APPROPRIATION AND FUNDINGThe intent of the Danville Downtown Master Plan Update is to carry the vision of the original Downtown Master Plan (adopted in 1986) forward while adapting to community needs including a desire for more gathering spaces, stronger connections to and through the downtown, enhanced pedestrian safety and opportunities to play, recreate, celebrate and appreciate art and culture. The Downtown Master Plan was adopted by Town Council on September 6,2022.Project 1 - DMP Catalyst Project Design Concept Phase (COMPLETE)Project 2 - DMP Catalyst Project Construction Design (COMPLETE)Project 3 - Construction Phase (Ongoing)HSIP grant has been secured to partially fund the project.2023: ARPA funds transferred from B-626: $500k
2024: ARPA funds transferred from B-616: $1.0M CIP General Purpose Rev funds transferred to B-616: $1.0M8/19/2024PRINTED ON:
CIP No:A-362STATUS:In ConstructionPRIORITY:1PROJECT MANAGER:DC GREEN PROJECT:Yes2024/25Prior Years2025/262026/272027/282028/29TotalExpenditure CategoryDesign/Plan Review$0$0$0$0$896,000$896,000$0Construction$0$0$0$0$5,949,601$5,949,601$0Inspection & Admin.$0$0$0$0$107,350$107,350$0$6,952,951$0$0$0$0$0$6,952,951Total Cost Estimate:$6,906,038Total Expenditure: Unexpended: $46,914 on 05-01-20242024/25Prior Years 2025/26 2026/27 2027/28 2028/29 TotalFunding Source(s)ARPA$4,750,000$0$0$0$0$4,750,000$0CIP Gen Purpose Rev$981,420$0$0$0$0$981,420$0Emergency Resrv Fund$963,621$0$0$0$0$963,621$0HSIP Grant$107,910$0$0$0$0$107,910$0LLAD Zone C$150,000$0$0$0$0$150,000$0$6,952,951$0 $0 $0 $0 $0 $6,952,951Total Funding:www.danville.ca.govCIP34ATTACHMENT D
ProjectsFIBER OPTIC CABLE INTERCONNECT
PROJECT DESCRIPTION AND LOCATION: DESCRIPTION OF MODIFICATIONS:Updated funding and description.RATIONALE FOR PROPOSED PROJECT:Provide PEG services at Town facilities.EXPECTED IMPACT ON OPERATING BUDGET:Additional worker hours required to maintain per year:0Additional Town direct operating costs per year:$0
PROJECT COST ESTIMATEThis project has been modified from the previous year.PROJECT APPROPRIATION AND FUNDINGThis project will provide a fiber optic interconnect network for the various Town facilities. It will facilitate the transfer of data, video, audio, and internet connectivity to give the town facilities the capability to provide Public - Educational - Governmental (PEG) services to the community at large. The use of existing traffic signal conduit as well as the construction of new conduit is included in the project.2021/22: Fiber Optic Master Plan (Complete)2022/23: Funding Plan (Complete)2024/25: Begin Design Phase2024: ARPA funds transferred from B-616: $500K CIP General Purpose Rev funds transferred to B-616: $500K8/19/2024PRINTED ON:
CIP No:A-620STATUS:In DesignPRIORITY:2PROJECT MANAGER:AD GREEN PROJECT:No2024/25Prior Years2025/262026/272027/282028/29TotalExpenditure CategoryDesign/Plan Review$0$0$0$0$50,000$50,000$0Construction$0$0$0$0$1,700,000$1,700,000$0Inspection & Admin.$0$0$0$0$30,000$30,000$0$1,780,000$0$0$0$0$0$1,780,000Total Cost Estimate:$144,381Total Expenditure: Unexpended: $1,635,619 on 05-01-20242024/25Prior Years 2025/26 2026/27 2027/28 2028/29 TotalFunding Source(s)ARPA$500,000$0$0$0$0$500,000$0CIP Gen Purpose Rev$500,000$0$0$0$0$500,000$0P.E.G.$280,000$0$0$0$0$280,000$0State Community Grant$500,000$0$0$0$0$500,000$0$1,780,000$0 $0 $0 $0 $0 $1,780,000Total Funding:www.danville.ca.govCIP49
ProjectsDIABLO VISTA PARK CAPITAL MAINTENANCE
PROJECT DESCRIPTION AND LOCATION: DESCRIPTION OF MODIFICATIONS:Updated description and added funding for 2028/29.RATIONALE FOR PROPOSED PROJECT:Provide for ongoing repair and replacement.EXPECTED IMPACT ON OPERATING BUDGET:Additional worker hours required to maintain per year:0Additional Town direct operating costs per year:$0
PROJECT COST ESTIMATEThis project has been modified from the previous year.PROJECT APPROPRIATION AND FUNDINGThis project provides ongoing maintenance of Diablo Vista Park facilities including: Ongoing: Major tree pruning Sports field and pathway lighting repairs Restroom maintenance - painting and repairs Cyclone fence and backstop repairs Fence painting and repairs Safety surface repairs Tennis/basketball court repairs Windscreen repairs/replacement2023/24 Playground equipment replacement design2024/25 Playground equipment replacement construction2024: ARPA funds transferred from B-616: $1.0M CIP General Purpose Rev funds transferred to B-616: $500K Park Facilities funds transferred to B-616: $500K8/19/2024PRINTED ON:
CIP No:B-560STATUS:In DesignPRIORITY:2/3PROJECT MANAGER:DC GREEN PROJECT:Yes2024/25Prior Years2025/262026/272027/282028/29TotalExpenditure CategoryCapital Maintenance$20,000$20,000$20,000$20,000$1,437,283$1,537,283$20,000Construction$0$0$0$0$25,000$25,000$0$1,462,283$20,000$20,000$20,000$20,000$20,000$1,562,283Total Cost Estimate:$351,986Total Expenditure: Unexpended: $1,110,296 on 05-01-20242024/25Prior Years 2025/26 2026/27 2027/28 2028/29 TotalFunding Source(s)ARPA$1,000,000$0$0$0$0$1,000,000$0CIP Gen Purpose Rev$0$0$0$0$0$0$0LLAD Zone D$26,907$0$0$0$0$26,907$0Park Dedication Impact$0$20,000$20,000$20,000$20,000$100,000$20,000Park Facilities$435,376$0$0$0$0$435,376$0$1,462,283 $20,000 $20,000 $20,000 $20,000 $20,000 $1,562,283Total Funding:www.danville.ca.govCIP72
ProjectsMULTI-SPORT SKATE PARK
PROJECT DESCRIPTION AND LOCATION: DESCRIPTION OF MODIFICATIONS:Updated description.RATIONALE FOR PROPOSED PROJECT:Provide recreation facilities for residents.EXPECTED IMPACT ON OPERATING BUDGET:Additional worker hours required to maintain per year:50Additional Town direct operating costs per year:$5,000
PROJECT COST ESTIMATEThis project has been modified from the previous year.PROJECT APPROPRIATION AND FUNDINGThe Parks, Recreation and Arts Commission recommends this as a high priority parks project. The project is identified in the Parks, Recreation, and Arts Strategic Plan as an important enhancement to the Parks, Recreation, and Arts system.2018/19: Study for potential locations will include search for a location and a conceptual design. (COMPLETE)2024/25: Multi-sport skate park construction2024: ARPA funds transferred to A-362: $1.0M
ARPA funds transferred to A-620: $500K
ARPA funds transferred to B-560: $1.0M CIP General Purpose Rev funds transferred from A-362: $1.0M CIP General Purpose Rev funds transferred from A-620: $500K CIP General Purpose Rev funds transferred from B-560: $500K Park Facilities funds transferred from B-560: $500K8/19/2024PRINTED ON:
CIP No:B-616STATUS:In DesignPRIORITY:1PROJECT MANAGER:HRPGREEN PROJECT:No2024/25Prior Years2025/262026/272027/282028/29TotalExpenditure CategoryStudy$0$0$0$0$20,000$20,000$0Design$0$0$0$0$330,000$330,000$0Construction$0$0$0$0$2,170,000$2,170,000$0$2,520,000$0$0$0$0$0$2,520,000Total Cost Estimate:$178,020Total Expenditure: Unexpended: $2,341,981 on 05-01-20242024/25Prior Years 2025/26 2026/27 2027/28 2028/29 TotalFunding Source(s)ARPA$0$0$0$0$0$0$0CIP Gen Purpose Rev$2,000,000$0$0$0$0$2,000,000$0Park Facilities$520,000$0$0$0$0$520,000$0$2,520,000$0 $0 $0 $0 $0 $2,520,000Total Funding:www.danville.ca.govCIP74