HomeMy WebLinkAboutFIN 2023-09-11 Item 1A - Update - January-June 2023 American Rescue Plan Act (ARPA) ProposalCity of Tukwila
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: September 11, 2023
SUBJECT: First Half of 2023 American Rescue Plan Act (ARPA) Fund Expenditures and
Benefits to our Community
ISSUE
Staff is reporting the First Half of 2023 ARPA-funded expenditures, and information detailing the
benefits of the expenditures to the community, per 2023 budget allocations approved by City Council
through the 2023-2024 biennial budget process.
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
The tables that follow outline the First Half of 2023 ARPA-funded expenditures from January 1, 2023,
to June 30, 2023, per data available through August 15, 2023. Each expenditure meets Treasury
compliance requirements and directly or indirectly benefits the visitors, residents, and businesses in
our community.
Administrative Services:
Allocation
Total 2023
Allocation
Q1 & Q2
Expenditures
Funds
Remaining
for Q3 & Q4
Community Benefits Summary
DarkTrace
Cyber Security
$25,000
$28,239
$0
*Specific details not released to ensure security risk is not
created.
*Over budget by $3,239 due to inflationary cost increase.
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INFORMATIONAL MEMO
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Administrative Services:
Allocation
Total 2023
Allocation
Q1 & Q2
Expenditures
Funds
Remaining
for Q3 & Q4
Community Benefits Summary
Leadership
Initiative
$25,000
$0
$25,000
*Renamed Tukwila City Leadership Initiative (TCLI). Formerly
Community Connectors.
*Program relaunching October 2023. See updated TCLI
webpage for objectives and timeline of weekly meetings.
*https://www.tukwi lawa.gov/departments/ad mi ni strative-
servi ces/tcli/
Community Development:
Allocation
Total 2023
Allocation
Q1 & Q2
Expenditures
Funds
Remaining
for Q3 & Q4
Community Benefits Summary
Permit
Processing
(2 positions)
$246,429
$122,754
$123,675
*Permit Center service capacities increased January to June
2023 compared to same period in 2022. See graph.
*In January 2023, Permit Center increased public access days
from two to three days per week.
Permit Processing Increased Service Capacity in First Half 2023 Compared to 2022
2022 vs 2023 January - June
4500
4000
3500
3000
2500
2000
1500
1000
500 I II
0
Inspections Permits Projects Walk-ins
■ 2022 3010 925 108 174
✓ 2023 4043 1233 87 375
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INFORMATIONAL MEMO
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Finance Department:
Allocation
Total 2023
Allocation
Q1 & Q2
Expenditures
Funds
Remaining
for Q3 & Q4
Community Benefits Summary
ARPA Funds
Analyst
$141,511
$71,297
$70,215
*Reconcile each individual expenditure for all department
allocations (monthly, quarterly, half -yearly, and annually).
*Prepared & successfully submitted 2022 ARPA annual report
to US Treasury.
*Recorded & reported ARPA expenditures for 2022 State
Audit.
*Researched options to request addtional ARPA funds from
WA State (no programs available).
Public Works:
Allocation
Total 2023
Allocation
Q1 & Q2
Expenditures
Funds
Remaining
for Q3 & Q4
Community Benefits Summary
Residential
Street
Maintenance
(2 positions)
(Fund 103)
$225,641
$108,773
$116,868
*Snow and ice operations.
*Vegetation control, trimming ROW and sight distances.
*Dead and dangerous tree removals.
*Sweeping and disposals.
*Graffiti removed from ROWs.
*Maintain street scape weeding, spraying herbicide, irrigation,
replacing, trimming and mulching over 175,000 sq feet of
plants and trees in ROW areas.
*Asphalt repair, using 60 ton of hot asphalt, for potholes and
other repairs every week City wide.
*Annual pavement striping: white fog and pedestrian pathways,
yellow center line and center curbing.
*Bridge deck cleaning of sand and vegetation.
*Homeless encampment cleanups: 180th under bridge, 146th,
SCBLVD, 42nd crossing and WVH pedestrian bridge.
*Litter control, bus stop cleaning, and illegal dumping cleanups
totaling: Bus Stop Litter = 10,000 lbs. ROW Litter = 12,000 lbs.
Encampment Cleanup Material = 10,000 lbs.
Benefits of Maintenance:
*Public safety.
*Resident preference and inviting environment for visitors.
*Maintain infrastructure.
*MUTCD required maintenance.
Department reports "We hold ourselves to a high standard to
do the best job we can. However, we need more personnel."
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INFORMATIONAL MEMO
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Allocation
Total 2023
Allocation
Q1 & Q2
Expenditures
Funds
Remaining
for Q3 & Q4
Community Benefits Summary
Traffic Calming
$400,000
$15,469
$384,531
Neighborhood Traffic Calming Program (NTCP)
Cascade Elementary School Safety Improvements:
-Speed/traffic counts and engineering analysis completed.
-Engineer recommendations expected by September 2023.
2023 Overlay Program
119th/42nd Ave. S Pedestrian Crossing:
-Work has started.
-Completion expected by October 2023.
City-wide Traffic Radar Feedback Signs
-Cloud-based program support and access to data for radar
feedback signs.
-Continuous work.
*Per Public Works staff, all allocated ARPA funds will be spent.
However, due to timing of project completion dates, some
remaining 2023 ARPA funds may need to be rolled into 2024.
Recreation:
Allocation
Total 2023
Allocation
Q1 & Q2
Expenditures
Funds
Remaining
for Q3 & Q4
Community Benefits Summary
YOUTH After
School Activities
Program
& YOUTH
Enrichment
Classes
(ASAP)
$141,950
$42,634
$99,316
Benefits
*Restores After School programs & frozen staff positions from
pandemic.
*Enrichment Instructor: Kung Fu.
*ASAP: Safe childcare, homework help, STEM & educational
activities, high & low energy games, art & crafts, social &
emotional learning projects, free play. Field trips.
*Important socialization especially after pandemic closed
schools and community activities.
Participation
*First Half 2023 Youth After School participant units 2,444.
Down 16% from same timeframe in 2022 due to fees charged
beginning January 2023 (no longer free program.)
*When free, families were reserving ASAP slots and either
never used the service or treated the program as random drop-
in child care. Fee structure helped streamline participation for
labor and material cost levels.
*First Half 2023 Youth Enrichment participant units 690. Down
27% from same timeframe in 2022.
*Only Kung Fu instructor remained from 2022. Barriers have
been cost of business license and insurance. Staff is recruiting
others.
*Early Bird (Before School) planned to resume Fall 2023.
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INFORMATIONAL MEMO
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Allocation
Total 2023
Allocation
Q1 & Q2
Expenditures
Funds
Remaining
for Q3 & Q4
Community Benefits Summary
PRESCHOOL
Enrichment
Program
(ASAP)
$28,050
$10,384
$17,666
*ARPA funds 10 extra preschool teacher hours per week to
add enrichment programming.
*Pee Wee Picasso Art (4 to 5 year olds + caregiver), Baby and
Me (0 to 1 year olds + caregiver), Miss Cindy's Play & Learn (0
to 5 year olds + caregiver).
*Addresses negative impact of pandemic on school readiness
for: social, classroom & relationship building skills, motor skills
& educational enrichment needed for kindergarten success.
*First Half 2023 participant units 220. Up 13% compared to all
of 2022.
Recreation:
Allocation
Total 2023
Allocation
Q1 & Q2
Expenditures
Funds
Remaining
for Q3 & Q4
Community Benefits Summary
Parks
Maintenance
(2 positions)
$155,098
$66,706
$88,392
Trash Pickup
*1,600 trash can visits, removing about 1,776 bags of trash,
totaling 44,400 lbs of garbage.
*An additional 9,580 lbs of loose trash was removed (by filling
a 5 Ib can 1,916 times).
Other
*Installed 15 garbage can replacements (requiring Tess labor
time to maintain).
*Pressure washed TCC walkways.
*Debris blowing, lawn care and weed control applications
ongoing.
*54 flower baskets installed along roadways.
*Overgrown vegetation cut at Duwamish Garden and
Numbered Trails 1 to 7.
*Portable water meter and irrigation repairs at Duwamish Hill.
*Staff reports that old equipment was replaced (using non-
ARPA funds) that will save on labor.
*Park shelter rentals below First Half 2022 level due to
Duwamish and Tukwila Parks are booked for the Mobile Rec
program and also residents are figuring out they can drop in to
an unused shelter to avoid paying the fee.
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INFORMATIONAL MEMO
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First Half 2023 Park Shelter Rental Income on Track to Exceed Pre -Pandemic Level
514,000
$12,000
$10,000
$8,000
S6,000
$4,000
$2,000
$o
Park Shelter Income 2019 to First Half 2023
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All of 2019 2020 All of 2021 All of 2022 First Half of
(No Rentals due 2023
to Pandemic)
Summary of 2021 to 2023 Allocations and Expenditures
Actual spending data for 2021, 2022 and First Half of 2023 compared to allocations in these time
periods. Budget allocations for 2023-2024 were approved based on estimates of expected spending
from departments before the end 2022.
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 (4)
80,000
76,910
Street Maintenance (4)
167,500
45,367
Permit Processing (4)
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 & Expenditures
$ 904,500
$ 817,307
Total Underspent Per Time Period
$ 87,193
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2022
Budget
2022
Actuals
400,000
$ 317,546
170,000
$ 86,669
100,000
$ 56,371
25,000
$ 25,669
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
2023
Budget
First Half 2023
Actuals
$ 400,000
$ 15,469
170,000
53,018
100,000
-
25,000
28,239
190,000
-
155,098
66,706
225,641
108,773
246,429
122,754
25,000
-
141,511
71,297
135,000
-
$ 1,813,679
$ 466,256
(1) Budget not spent in 2022 so carried forward to 2023. Funding protocols not met, so 2023 funds released for 2024 reallocation.
(2) Budget not fully spent in 2022, so portion carried forward to 2023. Used non-ARPA funds for assistance, so 2023 funds released for 2024 reallocation.
(3) Budgeted orginally for 2022, however, invoiced and paid in 2021.
(4) Only labor costs, for two unfrozen positions from pandemic, are funded.
INFORMATIONAL MEMO
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Unallocated Funds Available for 2024 as Previously Reported
This chart shows the flow of ARPA funds from when the City received them to the amount of unallocated
funds remaining at the end of 2022 to allocate for 2024. These unallocated funds are the result of
budget allocations made and approved by the council through the 2023-2024 biennial budget process
when full knowledge of actual 2022 spending was not yet known. Chart previously presented in 2022
End of Year Report to Finance & Governance Committee on February 13, 2023.
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
Updated Projected 2023 Spending Plans
This chart identifies 2023 funds that are projected to be underspent, or not used and have been
released by departments, so are now available to be reallocated as proposed.
Allocations
Projected Amounts of
Under/Overspent
2023 Funds
Traffic Calming
$
-
Before & After School
10,000
Summer Camp
-
DarkTrace (1)
(3,239)
Business Assistance
190,000
Parks Maintenance
5,000
Street Maintenance
4,000
Permit Processing
-
Leadership Initiative
-
ARPA Analyst (2)
(4,000)
Rent/Utility Assistance
135,000
Estimated Total
Underspent and
Overspent 2023 Funds
$
336,761
(1) 2023 invoice cost more than budgeted estimate
(2) Travel expenses for NLC Conference.
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INFORMATIONAL MEMO
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Estimated Total of
Underspent 2023 Funds
$
336,761
2023-2024 Unallocated
Amount
Proposed New 2024
Budget Allocations
284,764
Estimated Total
Available for New 2024
Allocations
$
621,525
PROPOSED 2024 ALLOCATION SPENDING
ARPA is a single funding source which makes it more appropriate, and easier to fully expend, on
programs that already have ready -to -roll out plans, budgets, and purpose. Staff is recommending that
unallocated ARPA funds be allocated to approved projects funded in 2023 but not in 2024.
2024 Allocations
Already Allocated
During 2023-2024
Budget Process
Proposed New 2024
Budget Allocations
Traffic Calming
$
400,000
Before & After School
170,000
Summer Camp
100,000
DarkTrace
25,000
-
Parks Maintenance (1)
-
149,455
Street Maintenance (1)
-
225,641
Permit Processing (1)
246,429
Leadership Initiative
25,000
ARPA Analyst
154,893
Total 2024 Allocations
$
874,893
$
621,525
(1) No COLA added due to not enough remaining ARPA funds.
Totals in this report are based on what we know as of August 31, 2023, and will be updated as the City
progresses through the budget amendment process later this year.
Per US Treasury ARPA requirements, Cities must contractually obligate all funds by 12/31/2024 and
expend funds by 12/31/26. However, budget projections and council -approved allocations have
surpassed this timeline. All ARPA funds are expected to be fully expended by 12/31/24.
NEXT STEPS
Analyst continues to manage and reconcile expenditures per council -approved allocations, coordinate
with departments, and will present a 2023 total spending status report to the Finance & Governance
committee in early 2024. Staff will also prepare ARPA records in advance of the City's 2023 State Audit
and the April 2024 US Treasury ARPA required reporting.
RECOMMENDATION
Forward to Committee of the Whole on September 25, 2023, for consensus on proposed use of
remaining ARPA funds.
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