California City Lands $3.4M From the Rescue Plan Act – California City received nearly $3.4 Million from the $1.9Billion American Rescue Plan Act. This federal stimulus bill, which is worth $1.9 trillion, was intended to assist communities and governments in their economic recovery and public health from the COVID-19 outbreak.
The Act was signed on March 20, 2021. The Act requires that the funds be used for projects by 2024 and obligated by 2026. (California City Lands $3.4M From the Rescue Plan Act)
According to Jim Hart’s interim city manager report on Nov. 8, the city had spent $466,000 of these funds for infrastructure upgrades. This was necessary in order to repair the damage caused by a cyberattack on the city in June 2021.
The third phase of the IT infrastructure upgrade is now complete and costs $84,000. This would amount to $550,630 total.(California City Lands $3.4M From the Rescue Plan Act)
Hart stated that this project is the only one currently obligated to receive ARPA funds.
He said that although a Phase Four (of IT upgrades) has not been quoted yet, the original project estimate for all phases was $750,000. ARPA funds could cover all of this.
Michael Leftwich, Diamond IT, stated that Phase Four would include security cameras as well as other security measures and improvements in wireless communications. In March, a quote could be prepared.(California City Lands $3.4M From the Rescue Plan Act)
Karen Macedonio, a Council Member, asked what projects are eligible to receive ARPA funds.
She said, “This isn’t money that can be used anywhere.” “This money has a purpose.”
Hart pointed out that federal funding rules have changed and given entities more freedom to spend them as they wish.
Macedonio recalls a previous Council meeting, in which the Council had set out its intentions on how the funds should be distributed. However, there was no follow up on the projects indicated.(California City Lands $3.4M From the Rescue Plan Act)
She stated that there were instructions on how to use the funds, but they have not been followed up. “It’s not money missing from our hands; it’s money we have lost sight of on what decisions were made.”
Hart stated that he would look for the Council’s decisions regarding ARPA funds, and bring them back to a future meeting for further discussion.
The Council also approved the IT work up to $750,000 and held a town hall meeting for public input about how to allocate the funds.(California City Lands $3.4M From the Rescue Plan Act)