DEPARTMENT: Finance
FILE TYPE: Consent Action
TITLE
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Authorization To Amend Obligated American Rescue Plan Act Funding To Reclassify Obligated Costs Between Projects
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PURPOSE/ACTION REQUESTED
Authorize amendments to obligated American Rescue Plan (ARP) Act funding to reclassify obligated costs between projects.
SUMMARY
On March 11, 2021, the American Rescue Plan (ARP) Act was signed into law in response to the unprecedented impacts of the COVID-19 health emergency on the economy, public health, state and local governments, individuals, and businesses. ARP provided various new funding sources for the County's relief and response efforts related to COVID-19.
Dakota County received State and Local Fiscal Recovery Fund (SLFRF) funds in the amount of $83,332,300. To date, the County Board has obligated the entire award of $83,332,300 to 20 eligible programs and projects.
On December 31, 2024, the County was required to obligate any unspent ARP funds to be used from January 1, 2025, through December 31, 2026. Current rules would require the County to return to the Treasury any ARP funds that have not been obligated by the deadline of December 31, 2024. The County would also be required to return any ARP funds not expended by December 31, 2026.
On December 3, 2024, the Finance Director presented a plan for obligation of all remaining funds at the Dakota County General Government and Policy Committee meeting.
On December 17, 2024, the Board approved the obligation of the remaining ARP Funding and authorized the related budgets.
During 2025, certain projects reported as a lump sum under revenue replacement in the quarterly Project and Expenditure (P&E) Reports were completed and did not fully expend the approved obligated amounts, while several projects exceed their approved obligated amount. The guidance for the SLFRF program indicates that recipients may reclassify SLFRF funds from the original activity to another project that would be eligible under SL...
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