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HomeMy WebLinkAboutFIN 2023-02-13 Item 1C - Report - 2022 American Rescue Plan Act ReportC____ City of Tukwila 908 Allan Ekberg, Mayor INFORMATIONAL MEMORANDUM TO: Finance and Governance Committee FROM: Vicky Carlsen, Finance Director BY: Julie Hatley, ARPA Funds Analyst CC: Mayor Ekberg DATE: February 13, 2023 SUBJECT: Total 2022 American Rescue Plan Act (ARPA) Fund Expenditures and Benefits to our Community ISSUE Staff is reporting the total 2022 ARPA-funded expenditures, and information detailing the benefits of the expenditures to the community, per 2021 allocations approved by City Council in November 2021. BACKGROUND On March 10, 2021, a $1.9 trillion relief package, known as the American Rescue Plan Act, was approved and provided funding in several areas including state and local aid, education, rental assistance, and transit. The City was allocated $5.68 million with the first half received in June of 2021 and the second half received in July of 2022. Funds must be spent or contractually committed by December 31, 2024. DISCUSSION These tables outline total 2022 ARPA-funded expenditures from January 1, 2022 to December 31, 2022. Each expenditure meets Treasury compliance requirements and directly or indirectly benefit the visitors, residents, and business owners in our community. A summary follows for the balance of ARPA funds available, after 2021 and 2022 expenditures, to spend on 2023-2024 council -approved budget allocations. Administrative Services: Allocation Total 2022 Allocation Total 2022 Expenditures Funds Remaining Community Benefits Summary Rent & Utility Assistance $500,000 $232,782 $267,218 *ARPA assisted 92 individual households. (Q1 47; Q2 25; Q3 17; Q4 3). *Income to rent ratios of 100% remained high in 2022 at 52% of those we assisted (double the amount in 2019). *Among those assisted, the number of financially fragile residents increased and 'middle ground' residents decreased. *The United Way Eviction Prevention Rental Assistance Program fund was used more in Second Half 2022 due to higher levels of assistance available including paying forward a few months. 7 INFORMATIONAL MEMO Page 2 Administrative Services: Allocation Total 2022 Allocation Total 2022 Expenditures Funds Remaining Community Benefits Summary Leadership Initiative $25,000 $1,869 $23,131 *Renamed Tukwila City Leadership Initiative (TCLI). Formerly Community Connectors. *Invited residents to participate in activities to elevate, develop and support Tukwila community leaders. *Published goals, application, and scheduled meeting dates on Web page. *Program suspended in late 2022 to assess low participation and restart in Summer 2023. Allocation Total 2022 Allocation Total 2022 Expenditures Funds Remaining Community Benefits Summary Council Chamber Build Out $200,000 $14,493 $185,507 *Modernized public access TV infrastructure for community & hybrid access. *Additional improvements planned as part of a future, major City Hall upgrade. Allocation Total 2022 Allocation Total 2022 Expenditures Over Allocation Community Benefits Summary DarkTrace Cyber Security $25,000 $25,670 $670 *Specific details not released to ensure security risk is not created. Finance Department: Allocation Total 2022 Allocation Total 2022 Expenditures Funds Remaining Community Benefits Summary ARPA Funds Analyst $160,000 $127,637 $32,363 *Researched, documented & reconciled each individual 2021 and 2022 expenditure for all department allocations (monthly, quarterly, half - yearly, and annually). *Prepared & successfully submitted first ARPA annual report to US Treasury (no errors). *Recorded & reported ARPA expenditures for 2021 State Audit (no errors). *Established ARPA best practices & coordinated City-wide communication. *Provided ongoing support across departments for ARPA questions/concerns and relayed updates per revised US Treasury publications. *Researched options to maximize ARPA-funded benefits and analyzed pre-Covid to post-COVID impacts on our community. 8 Community Development: Allocation Total 2022 Allocation Total 2022 Expenditures Funds Remaining Community Benefits Summary Permit Processing (2 positions) $300,000 $227,049 $72,951 *Despite impacts of the pandemic, Permit Center improved services to customers seeking permits or having other development -related questions. *Staff refined operations, and website capabilities, resulting in applicants appreciating streamlined, time -saving virtual service over walk-in visits. *An estimated 5,000 walk-in customers in 2019 reduced to 520 walk-in customers in 2022 (an estimated 4,800 fewer walk-ins were required thus saving our residents & businesses valuable time). *City inspectors completed 6,101 Building, Mechanical, Plumbing, Electrical, Fire, and Public Works inspections in 2022 vs. 8,135 in 2019. Permit volumes were higher in 2019. INFORMATIONAL MEMO Page 3 Number of Inspections Remained High as Permit Center Walk-ins Significantly Reduced Total Inspections & Permit Center Walk-ins 9000 8000 7000 6000 5000 4000 3000 2000 1000 0 Inspections Performed (Blue) & Permit Center Walk-ins (Orange) (2019 vs. 2022) 8135 5000 6101 2019 2022 Year 520 9 INFORMATIONAL MEMO Page 4 Public Works: Allocation Total 2022 Allocation Total 2022 Expenditures Funds Remaining Community Benefits Summary Traffic Calming $400,000 $317,546 $82,454 Community Requests Addressed using ARPA Funds: Allentown Neighborhood Improved Safety and Livability *Balance inherent conflict of high-volume freight movement related to BNSF Intermodal Yard and residential life. *Work Completed: Allentown Speed and Safety Study Completed (including data collection, public outreach, and document production). Tukwila Community Center Pedestrians *Improve walking condition safety with pedestrian waming signs. *Work Completed: Rectangular Rapid Flashing Beacon (RRFB) design at two locations in Allentown, S 124th Street at 44th Avenue S and 46th Avenue S. Tukwila Elementary School & Cascade View Elementary School Pedestrians *Improve student and neighbor safe walking conditions, reduce vehicle speeds, and improve visibility of students. *Work Completed: Preliminary data collection and analysis for future improvements. *Work Pending: Published recommendation study is pending Tukwila School District availability to meet for a preliminary findings review and City recommendations. Benefits: *Residents, businesses and visitors benefit from all traffic calming treatments with safer driving, walking and biking conditions. *Pedestrians will have higher visibility to access Tukwila Community Center, schools, and residential areas, improving their safety and reducing vehicle speeds of cars and heavy trucks. Benefits of Rectangular Rapid Flashing Beacons for Pedestrian Safety Safety Benefits: RRFBs can reduce crashes up to: 47% for pedestrian crashes.4 RRFBs can increase motorist yielding rates up to: 98% Source: Federal Highway Administration Report (2017) 10 INFORMATIONAL MEMO Page 5 Public Works: Allocation Total 2022 Allocation Total 2022 Expenditures Funds Remaining Community Benefits Summary Residential Street Maintenance (Fund 103) $335,000 $215,951 $119,049 Completed and Ongoing Work Locations: *Snow and ice response including plowing and deicing the roads. *Sweeping and blowing leaves from sidewalks. *Guardrail maintenance at 147th, Tukwila Parkway, and Southcenter Blvd. *Vegetation control for site distance at intersections and around traffic signs. *Litter control and illegal -dumping clean ups along Right of Ways (ROWs). *Mowing grass in ROWs on roads and vegetation on 4+ acres of streetscape. *Repaired our 20 individual irrigation systems. *MUTCD required annual maintenance: street striping, thermoplastic stop bars/turn arrows, and installation of the raised pavement markers (buttons). *Homeless encampment cleanups at 180th Bridge, Tukwila International Blvd, West Valley Hwy, Southcenter Blvd, East Marginal Way, and along Green River. Benefits of Maintenance: *Public safety. *Resident preference and inviting environment for visitors. *Maintain infrastructure. *MUTCD required maintenance. Challenges: *Loss of qualified people and budget for tasks. *Inability to maintain an adequate service level with repeated litter/dumpings. Increased homeless encampments. *Increased schedule of cleaning bus stops to maintain sanitary environment. Fire Department: Allocation Total 2022 Allocation Total 2022 Expenditures Over Allocation Community Benefits Summary Fire -OT for Minimum Staffing Level $300,000 $462,872 $162,872 *Maintains full staff levels for each A, B, C Shift to best support the well - being of the people and property in our community. 11 INFORMATIONAL MEMO Page 6 Recreation: Allocation Total 2022 Allocation Total 2022 Expenditures Funds Remaining Community Benefits Summary Summer Camp (Teens & Preschool) $100,000 $56,371 $43,629 Teen Venture Camps: *Restored Teen Venture Camp after 2 year absence (camp last provided 2019). *Program goals: Socialization and group management skills, safe environment with day & evening options, exercise and sports, engaging camp activities. *Overall program participation units higher in 2022 at 1,133 vs. 2019 at 973. *Participant unit example: 40 students x 5 days of camp = 200 units. Staff schedules & supplies are correlated to participation. *Open Gym participation higher in 2022 at 311 vs. 2019 at 64. *Teen participation levels vary in general, compete with summer employment, and previous year attendance rates impact rollover numbers. Lack of continuity & awareness of programming has been a challenge. Preschool Camps: *Restored preschool summer camp programming after a multi-year absence to address the negative pandemic impact on school readiness. Summer Camp Participation Improved in 2022 vs. 2019 0 1,150 1,100 1,050 0. 1,000 . +° 950 0 H 900 850 Teen Venture Summer Camp Participation 2019 vs. 2022 1,133 973 2019 2022 Year 12 INFORMATIONAL MEMO Page 7 Recreation: Allocation Total 2022 Allocation Total 2022 Expenditures Funds Remaining Community Benefits Summary After School Activities Program (ASAP) & Enrichment Classes $170,000 $86,669 $83,331 Activities and Enrichment: *Restores After School programs & frozen staff positions from pandemic. *Preschool expanded to address negative pandemic impact on school readiness for: social skills, classroom/group management, motor skills, & educational enrichment for kindergarten preparation. *Enrichment Instructors: African drumming, martial arts, crafts, & sports clinics. *ASAP: safe childcare, homework help, STEM & educational activities, high & low energy games, art & crafts, Social & Emotional Learning projects, free play. Museum of Flight, Aviation High School, Nature Vision, & Library. *Important socialization to address negative impact of schools closed. *Staff monitor resident requests & schedule accordingly. No fees charged. Participation Levels: *Preschool participation units consistent at 192 throughout 2022. *ASAP participant numbers consistent from 2021 restart to December 2022; focusing on program quality. *ASAP/Enrichment had 6,592 participant units in 2022 vs. 11,155 participant units in pre -pandemic 2019. 2019 offerings included Before School (0 in 2022). *Student & parent feedback shows they greatly value restored programming. 2019 Before & After School Higher than 2022 After School Only Total Participation Units ASAP/Enrichment Participation 2019 vs. 2022 (No Before School Program in 2022) 12,000 10,000 8,000 6,000 4,000 2,000 0 Year 11,155 6,592 2019 2022 13 INFORMATIONAL MEMO Page 8 Recreation: Allocation Total 2022 Allocation Total 2022 Expenditures Funds Remaining Community Benefits Summary Parks Maintenance (2 positions) $160,000 $127,637 $32,363 Trash Pickup *Nearly 1,900 trash cans were changed. *Daily trash rounds required 1,000 staff hours (not including drive time). *Nearly 67,000 lbs of garbage was removed from two sizes of trash cans. *An additional 15,000 lbs of loose trash was removed (by filling a 5 Ib can almost 2,900 times). *An additional amount of garbage was removed during Homeless Encampment Cleanups. Encampment litter & dumping required cleaning up 15 times in 2022. Concrete *3 cubic yards of concrete, mixed mostly by hand, one bag a time. *Installed garbage can replacements, concrete pad replacements, under - bench pads, & bollard installations (short posts to prevent or divert traffic). Park Improvements *Tukwila gazebo replacement, shelter roof replacements at Foster, Riverton, & Duwamish parks, & several parking lot repavings. *Staff performed well over 54 graffiti removals off park property. Repairs & Equipment Replacements *19 irrigation repairs, controller upgrades, overhauls, & additions. *18 new garbage cans. *Staff reports that very old equipment was replaced (using non-ARPA funds) that will save on labor going forward. *Park use increased as evidenced by 2022 shelter rental income vs. 2019. Example of Increased Park Usage: 2022 Shelter Rental Income Higher than Pre -Pandemic Level TOTAL SHELTER RENTAL INCOME Total Annual Park Shelter Rental Income 2019 to 2022 $14,000.00 $12,000.00 $10,000.00 $8,811.00 $8,000.00 $6,000.00 $4,000.00 $2,000.00 $0.00 $0.0 $11,360.00 $12,535.00 2019 2020 2021 2022 YEAR 14 INFORMATIONAL MEMO Page 9 Allocations Without 2022 Expenditures: Allocation Total 2022 allocation Total 2022 Expenditures Funds Remaining Community Benefits Summary Business Assistance $185,000 $0 $185,000 *Department didn't use ARPA funds for programming. SeeClickFix $15,000 $0 $0 *Software had 2021 renewal, so the 2022 Allocation was used to pay bill in 2021. Renews again in 2023. Summary of Allocations and Expenditures 2021 to 2024 Actual spending data for 2021 and 2022 shows the total amount of underspent funds those years. Budget allocations for 2023-2024 were approved based on estimates of expected spending from departments before the end 2022 during the 2023-2024 budget planning season. Allocations 2021 Budget 2021 Actuals Traffic Calming $ 100,000 $ 100,000 Before & After School 84,000 41,276 Summer Camp 50,000 50,618 DarkTrace 25,000 21,910 Business Assistance (1) 15,000 10,000 Parks Maintenance 80,000 76,910 Street Maintenance 167,500 45,367 Permit Processing 125,000 112,186 Council Chamber Buildout 18,000 13,283 Fire OT - Minimum Staffing 225,000 330,066 Leadership Initiative - - ARPA Analyst- - Rent/Utility Assistance (2) - - SeeClickFix (3) 15,000 15,689 Total Allocations Per Year $ 904,500 $ 817,307 Total Underspent in 2021 & 2022 $ 87,193 2022 Budget 2022 Actuals $ 400,000 $ 317,546 170,000 86,669 100,000 56,371 25,000 25,670 185,000 - 160,000 127,637 335,000 215,951 300,000 227,049 200,000 14,493 300,000 462,872 25,000 1,869 160,000 125,448 500,000 232,782 $ 2,860,000 $ 1,894,357 $ 965,643 (1) Budget not spent in 2021 so carried forward to 2022. Not spent in 2022 so carried forward to 2023. (2) Budget not fully spent in 2022, so portion carried forward to 2023. (3) Budgeted orginally for 2022, however, invoiced and paid in 2021. 2023 Budget 2024 Budget $ 400,000 $ 400,000 170,000 170,000 100,000 100,000 25,000 25,000 190,000 - 155,098 - 225,641 - 246,429 - 25,000 25,000 141,511 154,893 135,000 - $ 1,813,679 $ 874,893 15 INFORMATIONAL MEMO Page 10 The chart below demonstrates the flow of ARPA funds from the City receiving them to the amount of unallocated funds remaining to allocate for 2024. Unallocated funds are the result of budget allocations made and approved by council before the end of 2022 when full knowledge of actual 2022 spending was not yet known. Total ARPA Grant (Beginning Balance) $ 5,685,000 2021 Actual Spent 817,307 2021 Ending Balance 4,867,693 2022 Beginning Balance 4,867,693 2022 Actual Spent 1,894,357 2022 Ending Balance 2,973,336 2023 Beginning Balance 2,973,336 2023 Budget Allocation 1,813,679 2024 Budget Allocation 874,893 Unallocated Amount for 2024 $ 284,764 NEXT STEPS Analyst continues to manage and reconcile expenditures per council -approved allocations and will present a First Half of 2023 status report to the Finance & Governance committee. Staff will also prepare ARPA records in advance of the City's 2022 State Audit and the April 2023 US Treasury ARPA required reporting. RECOMMENDATION Discussion only. 16