1 Agenda
City Council Regular Meeting
City Council Chambers, Folsom City Hall
January 24, 2023
6:30 PM
Welcome to Your City Council Meeting
We welcome your interest and involvement in the city’s legislative process. This agenda includes information about topics coming before the City Council and the action recommended by city staff. You can read about each topic in the staff reports, which are available on the city website and in the Office of the City Clerk. The City Clerk is also available to answer any questions you have about City Council meeting procedures.
Participation
If you would like to provide comments to the City Council, please:
Fill out a blue speaker request form, located at the back table. Submit the form to the City Clerk before the item begins. When it’s your turn, the City Clerk will call your name and invite you to the podium. Speakers have three minutes, unless the presiding officer (usually the mayor) changes that time.
Reasonable Accommodations
In compliance with the Americans with Disabilities Act, if you are a person with a disability and you need a disability-related modification or accommodation to participate in this meeting, please contact the City Clerk’s Office at (916) 461-6035, (916) 355-7328 (fax) or [email protected]. Requests must be made as early as possible and at least two full business days before the start of the meeting.
How to Watch
The City of Folsom provides three ways to watch a City Council meeting:
In Person Online On TV
City Council meetings take place at
City Hall, 50 Natoma Street
Watch the livestream and replay past
meetings on the city website,
www.folsom.ca.us
Watch live and replays of meetings on
Sac Metro Cable TV, Channel 14
More information about City Council meetings is available at the end of this agenda
2 City Council Regular Meeting
Folsom City Council Chambers
50 Natoma Street, Folsom, CA
www.folsom.ca.us
Tuesday, January 24, 2023 6:30 PM
Rosario Rodriguez, Mayor
YK Chalamcherla, Vice Mayor Sarah Aquino, Councilmember Mike Kozlowski, Councilmember Anna Rohrbough, Councilmember
REGULAR CITY COUNCIL AGENDA
Effective July 7, 2022, the City of Folsom returned to all in-person City Council, Commission, and Committee meetings. Remote participation for the public will no longer be offered.
Everyone is invited and encouraged to attend and participate in City meetings in person.
CALL TO ORDER
ROLL CALL:
Councilmembers: Chalamcherla, Kozlowski, Rohrbough, Aquino, Rodriguez The City Council has adopted a policy that no new item will begin after 10:30 p.m. Therefore, if you are here for an item that has not been heard by 10:30 p.m., you may leave, as the item will be continued to a future Council Meeting.
PLEDGE OF ALLEGIANCE
AGENDA UPDATE
BUSINESS FROM THE FLOOR:
Members of the public are entitled to address the City Council concerning any item within the Folsom City Council's subject matter jurisdiction. Public comments are limited to no more than three minutes. Except for certain specific exceptions, the City Council is prohibited from discussing or taking action on any item not appearing on the posted agenda.
SCHEDULED PRESENTATIONS:
1. Resolution of Commendation Honoring the Folsom Jr. Bulldogs for Earning the 2022 Excellence in Academics and Athletics Award
2. Recognition of 2022 Folsom Holiday Lights Contest Winners
3 CONSENT CALENDAR:
Items appearing on the Consent Calendar are considered routine and may be approved by one motion. City Councilmembers may pull an item for discussion.
3. Approval of January 10, 2023 Special and Regular Meeting Minutes
4. Appointment of City Council Representatives to Regional Commissions
5. Mayor’s Appointment and Confirmation by the City Council of Planning Commissioners to Serve on the Historic District Commission
6. Resolution No. 10975 – A Resolution Rejecting Bids for the Purchase of Gravity Sewer Pipe for the Folsom Boulevard 27-Inch Trunk Sewer Project (SECAP)
7. Resolution No. 10976 - A Resolution Authorizing the City Manager to Execute a Contract Between the City of Folsom and the Sacramento Society for the Prevention of Cruelty to Animals (SSPCA)
8. Resolution No. 10978 – A Resolution Authorizing the City Manager to Execute an Agreement with PlayCore Wisconsin, Inc., DBA GameTime, for the Ed Mitchell Park Shade Structure and Site Furnishings Project
9. Resolution No. 10979 - A Resolution Authorizing the City Manager to Execute Amendment No. 1 to the Contract with RRM Design Group for Additional Landscape Architectural Services for the Johnny Cash Trail Art Experience – Cash’s Pick Number 1 Project
10. Resolution No. 10980 - A Resolution Directing the Finance Director to Make a Transfer from the General Fund and Enterprise Funds to the Risk Management and Compensated Leaves Internal Service Funds to Replenish Reserve Balances Used During the COVID-19 Related Economic Downturn
OLD BUSINESS:
11. Consideration of Expenditure of Funds from the American Rescue Plan Act and Direction to Staff
12. Resolution No. 10982 - A Resolution of the City Council of the City of Folsom Proclaiming Termination of Winter Storm Local Emergency
NEW BUSINESS:
13. Introduction and Direction to Staff Regarding the River District Master Plan Planning and Community Engagement Process
14. Introduction and Direction to Staff Regarding the Central Business District Master Plan Planning and Community Engagement Process
15. Preliminary Budget Workshop with Mid-Year Budget Review, Presentation of Departmental Priorities, and Direction to Staff
CITY MANAGER REPORTS:
COUNCIL COMMENTS:
ADJOURNMENT
NOTICE: Members of the public are entitled to directly address the City Council concerning any item that is described in the notice of this meeting, before or during consideration of that item. If you wish to
4 address Council on an issue, which is on this agenda, please complete a blue speaker request card, and deliver it to a staff member at the table on the left side of the Council Chambers prior to discussion of the item. When your name is called, stand to be recognized by the Mayor and then proceed to the podium. If you wish to address the City Council on any other item of interest to the public, when the Mayor asks if there is any “Business from the Floor,” follow the same procedure described above. Please limit your comments to three minutes or less.
NOTICE REGARDING CHALLENGES TO DECISIONS: Pursuant to all applicable laws and regulations, including without limitation, California Government Code Section 65009 and or California Public Resources Code Section 21177, if you wish to challenge in court any of the above decisions (regarding planning, zoning and/or environmental decisions), you may be limited to raising only those issues you or someone else raised at the public hearing(s) described in this notice/agenda, or in written correspondence delivered to the City at, or prior to, the public hearing.
As presiding officer, the Mayor has the authority to preserve order at all City Council meetings, to remove or cause the removal of any person from any such meeting for disorderly conduct, or for making personal, impertinent, or slanderous remarks, using profanity, or becoming boisterous, threatening or personally abusive while addressing said Council, and to enforce the rules of the Council.
PERSONS INTERESTED IN PROPOSING AN ITEM FOR THE CITY COUNCIL AGENDA S HOULD CONTACT A MEMBER OF THE CITY COUNCIL.
The meeting of the Folsom City Council is being telecast on Metro Cable TV, Channel 14, the Government Affairs Channel, and will be shown in its entirety on the Friday and Saturday following the meeting, both at 9 a.m. The City does not control scheduling of this telecast and persons interested in watching the televised meeting should confirm this schedule with Metro Cable TV, Channel 14. The City of Folsom provides live and archived webcasts of regular City Coun cil meetings. The webcasts can be found on the online services page of the City's website www.folsom.ca.us.
In compliance with the Americans with Disabilities Act, if you are a person with a disability and you need a disability-related modification or accommodation to participate in this meeting, please contact the City Clerk’s Office at (916) 461-6035, (916) 355-7328 (fax) or [email protected]. Requests must be made as early as possible and at least two full business days before the start of the meeting.
Any documents produced by the City and distributed to the City Council regarding any item on this agenda will be made available at the City Clerk’s Counter at City Hall located at 50 Natoma Street, Folsom, California and at the Folsom Public Library located at 411 Stafford Street, Folsom, California during normal business hours.
City of Folsom
Resolution of Commendation
Honoring
THE FOLSOM JR. BULLDOGS
for earning the
2022
EXCELLENCE IN ACADEMICS AND ATHLETICS AWARD
WHEREAS, the Folsom Jr. Bulldogs is an official youth football and cheer association in Folsom; and
WHEREAS, the Folsom Jr. Bulldogs organization is committed to both academic and athletic excellence; and
WHEREAS, members of the Folsom Jr. Bulldog football and cheer teams maintained a grade point average of 3.0 or better during the football and cheer season; and WHEREAS, this level of academic and athletic achievement merits recognition from the City of Folsom.
NOW, THEREFORE, l, ROSARIO RODRIGUEZ, Mayor of the City of Folsom, on behalf of the Folsom City Council and the Folsom community, do hereby extend commendations in the highest regard to the members of the
Folsom Jr. Bulldogs
who earned the Excellence in Acodemics and Athletics Awdrd 2022 and encourage their continued excellence in the future.
PASSED AND APPROVED this 24th day of Janu ary 2023
a I
ATTEST:
Rosario Rodriguez, Mayor
Christa F e, City Clerk
01/24/2023 Item No.1.
This pnge intentionally Ieft blank
to facilitate double- sided printing .
CITY OF
FOLSOl\{
DISTINCTIVE BY NA?UiE
01/24/2023 Item No.1.
.' I il;j ,::f i i:f i
,, ,:..t:i)it al !.i.:i..1
Folsom City Council
Staff Re rt
RECOMMENDATION / CITY COUNCIL ACTION
The Folsom City Council will recognize the2022 Holiday Lights Contest winners.
BACKGROUND / ISSUE
The City of Folsom hosted the citywide Folsom Holiday Lights Contest in Decemb er 2022.
Nearly 50 entries were received in five different categories. All participating homes and businesses were listed on the city website and featured on an interactive map.
The entries were judged by five Folsom City Councilmembers. Winners received a commemorative sign from the City of Folsom and were recognized in the Folsom Telegraph, the city e-newsletter, and on city social media pages.
2022Folsom Holiday Lights Contest winners:
Clark Griswold - Best use of holiday lights
720 Hildebrand Circle
Holly Jolly Residence - Best overall residence
530 Flower Drive
Hollywood Christmas - Best use of theme and/or fictional characters 152 Witmer Drive
I
MEETING DATE: 1t2412023
AGENDA SECTION: Scheduled Presentations
SUBJECT: Recognition of 2022 Folsom Holiday Lights Contest Winners FROM: City Manager's Office
01/24/2023 Item No.2.
Illuminate the Block - Best multihouse display
Ledgemont CVDulverton Circle
Merry and Bright Business
Bayside Folsom, 890 Glenn Drive
Submitted,
Chris Shepard, Communications Officer
a Page 8
01/24/2023 Item No.2.
Book77 Page21
Folsom City Council
January 10,2023
Gity Gouncil Special Meeting
MINUTES
Tuesday, January 10,2023 5:30 PM
CALL TO ORDER
The special City Council meeting was called to order at 5:30 p.m. with Mayor Rosario Rodriguez presiding.
ROLL CALL:
Councilmembers Present Sarah Aquino, Councilmember
YK Chalamcherla, Vice Mayor
Mike Kozlowski, Councilmember
Anna Rohrbough, Councilmember
Rosario Rodriguez, Mayor
Councilmem bers Absent:
Participating Staff:
None
City Manager Elaine Andersen
City Attorney Steve Wang
City Clerk Christa Freemantle
ADJOURNMENT TO CLOSED SESSION FOR THE FOLLOWING PURPOSES:
1. Conference with Legal Counsel - Existing Litigation - Pursuant to Government Code section 54956.9(d)(1): American Medical Response West v. California Department of Health Services, Sacramento County Superior Court Case No. 34-2021-80003757
2. Conference with Legal Counsel - Existing Litigation - Pursuant to Government Code section 54956.9(d)(1): Harold Malmquist v. City of Folsom, Sacramento County Superior Court Case No. 34-2021-00297646
3. Conference with Legal Counsel - Existing Litigation - Pursuant to Government Code section 54956.9(d)(1): Vince Murdock and Kira Murdock v. City of Folsom, et al., Sacramento County Superior Court Case No. 34-2022-00331134
Motion by Councilmember Sarah Aquino, second by Vice Mayor YK Chalamcherla, to adjourn to closed session for the above referenced items. Motion carried with the following roll call vote:
AYES: Gouncilmember(s): Aquino Ghalamcherla, Kozlowski, Rohrbough, Rodriguez NOES: Gouncilmember(s): None
ABSENT: Gouncilmember(s): None
ABSTAIN: Gouncilmember(s): None
DRAFT - Not fficial until approved by the City Council Page 9 01/24/2023 Item No.3.
Book 77 Page22
Folsom City Council
January 10,2023
RECONVENE
City Attorney Steven Wang announced that no final action was taken during closed session.
ADJOURNMENT
The special meeting was adjourned to the regular City Council meeting at 6:39 p.m
SUBMITTED BY
Christa Freemantle, City Clerk
ATTEST:
Rosario Rodriguez, Mayor
DRAFT - Not fficial until approved by the City Council Page 10 01/24/2023 Item No.3.
Book77 Page23
Folsom City Council
January 10,2023
Gity Council Regular Meeting
MINUTES
Tuesday, January 10,2023 6:30 PM
CALL TO ORDER
The regular City Council meeting was called to order at 6:40 pm with Mayor Rosario Rodriguez presiding.
ROLL CALL:
Councilmembers Present: Sarah Aquino, Councilmember
YK Chalamcherla, Vice Mayor
Mike Kozlowski, Councilmember
Anna Rohrbough, Councilmember
Rosario Rodriguez, Mayor
Councilmembers Absent:
Participating Staff:
None
City Manager Elaine Andersen
City Attorney Steven Wang
City Clerk Christa Freemantle
Parks and Recreation Director Lorraine Poggione
Public Works Director Mark Rackovan
Senior Civil Engineer Zach Bosch
PLEDGE OF ALLEGIANCE
The Pledge of Allegiance was recited
AGENDA UPDATE
City Attorney Steve Wang announced that there was additional information for items 2 and 14 and revised staff reports for items 6 and 11.
Mayor Rosario Rodriguez announced that New Business item 15 would come before item 14.
BUSINESS FROM THE FLOOR:
The following speakers addressed the City Council
1. Rich Foreman regarding a proposal for an entrepreneur and innovation investment from the City
2. Agamya Rao regarding Diwali Festival
3. Ravi Krishna Pothannagaari regarding the Save Our Diwali lnitiative
4. Aanchal Mishra regarding the Save Our Diwalifood drive
5. Dr. Kate Cordell regarding support for local startups
6. Michael Curtin regarding support for local startups
7. Scott Rafferty regarding election litigation
DRAFT - Not fficial until approved by the City Council
01/24/2023 Item No.3.
Book77 Page24
Folsom City Council
January 10,2023
8. Jacob Rangel regarding support for local startups
9. Robert Dresser regarding election litigation
GONSENT GALENDAR:
Items appearing on the Consent Calendar are considered routine and may be approved by one motion. City Councilmembers may pull an item for discussion.
1. Approval of December 12,2022 Special Meeting Minutes
2. Pulled for comment
3. Ordinance No. 1335 - An Ordinance of the City of Folsom Repealing and Re-enacting Chapter
8.36 of the Folsom Municipal Code Concerning the Folsom Fire Code (Second Reading and Adoption)
4. Ordinance No. 1336 - An Ordinance of the City of Folsom Repealing and Re-Enacting Certain Chapters of Title 14, "Buildings and Construction", of the Folsom Municipal Code Concerning Enforcement of Folsom Building Codes (Second Reading and Adoption)
5. Resolution No. 10967 - A Resolution Authorizing the City Manager to Execute Amendment No. 2 to the Agreement with Terracare Associates LLC for the Maintenance of Parks, Trails and Pet Stations, and Streetscapes/Public Works Areas for the City of Folsom
6. Pulled for comment
7. Resolution No. 10969 - A Resolution Authorizing the Environmental and Water Resources Department to Continue Current Rebate Programs for City Water Customers and Appropriation of Funds
8. Resolution No. 10970 - A Resolution Authorizing the City Manager to Execute an Agreement with Domenichelli & Associates, lnc. for Design and Engineering Services During Construction for the Water System Rehabilitation Project No. 3
9. Resolution No. 10971 - A Resolution Authorizing the City Manager to Execute Amendment No. 1 to the Agreement (Contract No. 172-21 22-033) for the Sewer Easement and Maintenance Agreement Between 9900 Greenback Lane LLC and the City of Folsom for the Construction of the Greenback Sewer and Lift Station No.3 Project
10. Resolution No. 10972 - A Resolution Authorizing the City Manager to Execute a Contract Change Order for Traffic Signal lnterconnect lnfrastructure with Goodfellow Brothers, LLC (Contract No. 174-2120-060) for the Capital Southeast Connector Segment D3(A), Project No.
PW1607, Federal Project No. 5288(046)
1 1. Resolution No. 10973 - A Resolution Authorizing the City Manager to Execute a Construction Agreement with CentralValley Engineering & Asphalt, lnc. for the Hinkle Creek Nature Center Parking Lot Paving FY 2022-23
12. Resolution No. 10974 - A Resolution Authorizing the City Manager to Execute an Amendment to the Agreement for Design Consulting Services with Kimley Horn and Associates, lnc. for On-Call Traffic EngineeringFY 2022-23 and Appropriation of Funds Motion by Councilmember Sarah Aquino, second by Vice Mayor YK Chalamcherla, to approve Gonsent Calendar items {, 3-5 andT-12.
DRAFT - Not fficial until approved by the City Council
01/24/2023 Item No.3.
Book77 Page25
Folsom City Council
January 10,2023
Motion carried with the following roll call vote:
AYES: Councilmember(s): Aquino, Chalamcherla, Kozlowski, Rohrbough, Rodriguez NOES: Councilmember(s): None
ABSENT: Councilmember(s): None
ABSTAIN: Gouncilmember(s): None
CONSENT CALENDAR ITEMS PULLED FOR DISCUSSION:
2. Approval of December 13, 2022 Special and Regular Meeting Minutes Councilmember Mike Kozlowski responded to comments from Bob Delp regarding details of City Council minutes. City Clerk Christ Freemantle provided additional information.
Motion by Gouncilmember Mike Kozlowski, second by Councilmember Sarah Aquino, to approve the minutes of December 13, 2022.
Motion carried with the following roll call vote:
AYES: Gouncilmember(s): Aquino, Chalamcherla, Kozlowski, Rohrbough, Rodriguez NOES: Gouncilmember(s): None
ABSENT: Gouncilmember(s): None
ABSTAIN: Gouncilmember(s): None
6. Resolution No. 10968 - A Resolution Rejecting All Submitted Bids for the Corten Steel Sign Manufacturing and lnstallation Project within Willow Creek Estates South for the City of Folsom Landscape and Lighting District Advisory Committee Member lan Cornell encouraged the City Council to not approve the resolution for this item and to accept the lowest bid for the project.
The City Council discussed the item and received clarification from City Attorney Steve Wang and Parks and Recreation Director Lorraine Poggione.
Motion by Gouncilmember Sarah Aquino, second by Councilmember Anna Rohrbough, to reject Resolution No. 10968 and award the contract to the lowest bidder.
Motion carried with the following roll call vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
Gouncilmember(s): Aquino, Kozlowski, Rohrbough
Councilmember(s): Ghalamcherla, Rodriguez
Gouncilmember(s): None
Councilmember(s): None
NEW BUSINESS:
13. At-Large Appointments to the Arts and Culture Commission, Historic District Commission, Landscaping and Lighting District Advisory Committee, Library Commission, Parks and Recreation Commission, Planning Commission, Traffic Safety Committee, and Utility Commission
DRAFT - Not fficial until approved by the City Council
01/24/2023 Item No.3.
Book77 Page26
Folsom City Council
January 10,2023
City Clerk Christa Freemantle made a presentation explaining the open ballot process for making commission appointments. She provided ballots to each Councilmember.
Planning Gommission (two at-large seats)
Ravi Kahlon addressed the City Council sharing her interest in serving on the Planning Commission.
Councilmember Sarah Aquino voted for Justin Raithel and Bill Romanelli.
Vice Mayor YK Chalamcherla voted for James Ortega and Bill Romanelli.
Mayor Rosario Rodriguez voted for James Ortega and Bill Romanelli.
Councilmember Anna Rohrbough voted for James Ortega and Bill Romanelli Councilmember Mike Kozlowski voted for Justin Raithel and Bill Romanelli.
James Ortega and Bill Romanelli were appointed to the Planning Commission Parks and Recreation Gommission (two at-large seats)
Councilmember Sarah Aquino commented regarding appointments of members.
Vice Mayor YK Chalamcherla voted for Samantha Davidson and William Davis.
Councilmember Sarah Aquino voted for Samantha Davidson and William Davis.
Councilmember Mike Kozlowski voted for Samantha Davidson and William Davis.
Councilmember Anna Rohrbough voted for Samantha Davidson and Bhaskar Vempati Mayor Rosario Rodriguez voted for Samantha Davidson and Bhaskar Vempati.
Samantha Davidson and William Davis were appointed to the Parks and Recreation Commission Utility Gommission (two at-large seats)
Councilmember Sarah Aquino voted for Mel Knight and Mark Menz.
Vice Mayor YK Chalamcherla voted for Mark Menz and Bhaskar Vempati.
Councilmember Anna Rohrbough voted for Mark Menz and Bhaskar Vempati Councilmember Mike Kozlowski voted for Craig Daniel and Ginger Lu Mayor Rosario Rodriguez voted for Craig Daniel and Mark Menz.
There was a tie vote between Craig Daniel and Bhaskar Vempati. Mayor Rosario Rodriguez changed her vote from Craig Daniel to Bhaskar Vempati.
Mark Menz and Bhaskar Vempati were appointed to the Utility Commission.
Library Commission (two at-large seats)
Councilmember Anna Rohrbough voted for Kathryn Allaman and Fang Xu.
Vice Mayor YK Chalamcherla voted for Kathryn Allaman and Fang Xu.
Councilmember Sarah Aquino voted for Kathryn Allaman and Ron Byrd.
Mayor Rosario Rodriguez voted for Kathryn Allaman and Fang Xu.
Councilmember Mike Kozlowski voted for Ron Byrd and Tyler Johnstone.
Kathryn Allaman and Fang Xu were appointed to the Library Commission DRAFT - Not fficial until approved by the City Council
01/24/2023 Item No.3.
Book77 Page27
Folsom City Council
January 10,2023
Arts and Gulture Commission (two at-large seats)
Vice Mayor YK Chalamcherla voted for Marc Allaman and Lucinda Winward.
Councilmember Sarah Aquino voted for Marc Allaman and Lucinda Winward.
Councilmember Anna Rohrbough voted for Albina Suarez-Ojedis and Lucinda Winward.
Councilmember Mike Kozlowski voted for Lisa Magon and Lucinda Winward.
Mayor Rosario Rodriguez voted for Marc Allaman and Lucinda Winward.
Lucinda Winward and Marc Allaman were appointed to the Art and Culture Commission Traffic Safety Committee
Councilmember Sarah Aquino voted for Scott Bailey and Kevin Goddard for Citizen Representative and Joanne Brausch for Pedestrian/Bicycle Safety.
Vice Mayor YK Chalamcherla voted for Scott Bailey and Kevin Goddard for Citizen Representative and Joanne Brausch for Pedestrian/Bicycle Safety.
Mayor Rosario Rodriguez voted for Scott Bailey and Mike Edwards for Citizen Representative and Joanne Brausch for Pedestrian/Bicycle Safety.
Councilmember Mike Kozlowski voted for Jeff Mann and Bob Parkins for Citizen Representative and Joanne Brausch for Pedestrian/Bicycle Safety.
Councilmember Anna Rohrbough voted for Scott Bailey and Kevin Goddard for Citizen Representative and Joanne Brausch for Pedestrian/Bicycle Safety.
Scott Bailey and Kevin Goddard were appointed to the Traffic Safety Committee as Citizen Representatives.
Joanne Brausch was appointed to the Traffic Safety Committee as the Pedestrian/Bicycle Safety Representative.
Landscaping and Lighting Districts Advisory Gommittee
There were single applicants in five of the Landscaping and Lighting Districts Advisory Committee districts therefore the following were appointed:
Edward Myers was appointed to Broadstone District.
Joshua Baker was appointed to Cobble Hills Ridge ll/Reflections District.
Dina Collins was appointed to Folsom Heights/California Hills District.
Tim O'Leary was appointed to Prairie Oaks District.
Joanna Stanfield was appointed to Sierra Estates District.
For the Natoma Station District the following votes were made.
Vice Mayor YK Chalamcherla voted for Joe Marceau.
Councilmember Sarah Aquino voted for Joe Marceau.
Mayor Rosario Rodriguez voted for Joe Marceau.
Councilmember Mike Kozlowski voted for Joe Marceau.
Councilmember Anna Rohrbough voted for Joe Marceau
DRAFT - Not fficial until approved by the City Council
01/24/2023 Item No.3.
Book 77 Page 28
Folsom City Council
January 10,2023
Joe Marceau was appointed to the Landscaping and Lighting Districts Advisory Committee for Natoma Station District.
Historic District Gommission
City Clerk Christa Freemantle explained that typically the Planning Commission nominates two commissioners to serve on the Historic District Commission with an affirmation by the City Council. She further explained that there were no applicants for the ArchitecVLandscape Representative therefore that vacancy would be readvertised and come back to the City Council for appointment at a future meeting.
The City Council unanimously appointed John Felts to the Historic District Commission for Business Representative (outside Sutter Street).
Item taken out of order.
15. Report on Traffic Roundabout Fact-Finding Mission and Direction to Staff Regarding Future Consideration of a Traffic Roundabout Policy
Public Works Director Mark Rackovan made a presentation and introduced consultant for Kimley-Horn, Civil and Traffic Engineer Matt Weir who continued the presentation. Public Works Senior Civil Engineer Zach Bosch also made a presentation and responded to questions from the City Council with additional comments and clarification from Mr. Rackovan.
After City Council discussion, the City Council directed staff to implement a policy to incorporate roundabouts as the preferred traffic control method when considering new traffic control projects.
Item taken out of order.
14. Resolution No. 10961 - A Resolution Authorizing Staff to Submit Grant Applications to the Sacramento Area Council of Governments for the 2022-23 Funding Round Public Works Director Mark Rackovan made a presentation and responded to questions from the City Council.
The City Council provided staff with their thoughts regarding the prioritization of ten potential grant applications to be submitted to SACOG for the current funding round. Thehighest three priorities were identified as roadway rehabilitation and repair, trail maintenance, and the Folsom Placerville Rail Trail. The City Council authorized staff to determine the priorities for the remaining seven applications Motion by Gouncilmember Mike Kozlowski, second by Vice Mayor YK Chalamcherla, to approved Resolution No. 10961.
Motion carried with the following roll call vote:
AYES: Councilmember(s): Aquino, Ghalamcherla, Kozlowski, Rohrbough, Rodriguez NOES: Gouncilmember(s): None
ABSENT: Gouncilmember(s): None
ABSTAIN: Gouncilmember(s): None
DRAFT - Not fficial until approved by the City Council
01/24/2023 Item No.3.
Book77 Page 29
Folsom City Council
January 10,2023
CITY MANAGER REPORTS:
City Manager Elaine Andersen spoke of the recent storms and flooding and thanked City staff for their hard work. She shared that she appointed Environmental and Water Resources Director Marcus as the first Acting Assistant City Manager which is part of her succession planning and professional development program. She announced that the new session of the Police Citizen's Academy is starting up again.
COUNGIL GOMMENTS:
Councilmember Anna Rohrbough commended Rita Hoffstadt and Jeff Ferreira-Pro for their work with the Folsom History Museum. She expressed her pleasure hearing from residents and encouraged anyone interested to contact her.
Councilrnember Mike Kozlowski encouraged students to sign up now for spring sports at the high schools.
Councilmember Sarah Aquino requested support for two assembly bills. She asked that the meeting be adjourned in memory of resident Greg Bahry who recently passed away.
Vice Mayor YK Chalamcherla thanked everyone involved in supporting the City through the recent storms. He spoke of attending ceremonies for the recently elected Sacramento County Sheriff and Sacramento County District Attorney. He asked everyone to conserve water and make use of City programs and services. He concluded his comments by requesting that the City look into getting the railway in use for excursions.
Mayor Rosario Rodriguez thanked City Manager Elaine Andersen and City staff for their hard work during the storms and flooding and announced that the ice skating season is almost over.
ADJOURNMENT
There being no further business to come before the Folsom City Council, Mayor Rosario Rodriguez adjourned the meeting in memory of Greg Bahry at 9:29 pm.
SUBMITTED BY
Christa Freemantle, City Clerk
ATTEST
Rosario Rodriguez, Mayor
DRAFT - Not fficial until approved by the City Council
01/24/2023 Item No.3.
This page intenti,onally left blank
to focilitate double- sided printing .
CITY OF
F(}LSOl\{
DIgTINCTIVE BY XATURE
01/24/2023 Item No.3.
i'r+:l,ljrij'rJ
Folsom City Council
Staff Re rt
RECOMMEI\DATION
Staff requests that the City Council approve the proposed regional commission assignments BACKGROUI\ID / ISSUE
In addition to their responsibilities on the City Council, the Mayor and Councilmembers also represent the City of Folsom on a variety of regional commissions. These commissions address important issues of regional interest, and Folsom City Council participation ensures that Folsom's interests are addressed at the regional level.
POLICY
Each commission's membership and appointing authority are established by their specific enabling documents.
ATTACHMENT
Proposed City Council Regional Representation Assignments Respectfu lly submitted,
Christa Freemantle, CMC
City Clerk
1 MEETING DATE: U2412023
AGENDA SECTION: Consent Calendar
SUBJECT: Appointment of City Council Representatives to Regional Commissions
F'ROM: City Clerk's Department
01/24/2023 Item No.4.
Folsom City Council
Proposed Regional Assignments 2023
Droft - Not Officiol lJntil Approved by the CiA Council No Alternate
YK Chalamcherla
Anna Rohrbough2x2 - City of Folsom / FCUSD
No AlternateAnna Rohrbough
Association of CA Cities Allied
with Public Safety
Sarah AquinoMike Kozlowski
Capital Southeast Con nector
Joint Powers Authority
Sarah AquinoRosario Rodriguez
Folsom Tourism and
Economic Development
Corporation (TEDCorp)
nla
Sarah Aquino
Anna RohrboughFolsom/El Dorado County JPA
No AlternateRosario Rodriguez
Greater Sacramento
Economic Council
nlanla
LocalAgency Formation
Commission (LAFCo)
YK ChalamcherlaMike Kozlowski
Regional Transit District
Board of Directors
No AlternateYK ChalamcherlaRegiona I Water Authority
No Alternate
Rosario Rodriguez
Anna RohrboughRetirement Board of Authority
Sarah AquinoMike Kozlowski
SACOG (Sacramento Area
Council of Governments)
Marcus Yasutake and YK
ChalamcherlaTodd Eising
Sacramento Central
Groundwater Authority
Todd Eising
YK ChalamcherlaMarcus Yasutake
Sacramento Grou ndwater
AuthoriW (SGA)
No AlternateRosario Rodriguez
Sacramento Homeless Pol icy
Council
01/24/2023 Item No.4.
YK Chalamcherla Anna Rohrbough
Sacramento Metro Cable
Commission Board of
Directors
Anna RohrboughSarah Aquino
Sacramento Metropolitan Air
Quality Management District
Sarah Aquino Mike Kozlowski
Sacramento Regional County
Sanitation District (lncludes
Sacramento Area Sewer
District)
Mike KozlowskiRosario Rodriguez
Sacra mento Tra nsportation
Authority (STA)
Anna RohrboughSarah Aquino
Sacra mento-Placervil le
Transportation Corridor JPA
Draft - Not Officiol lJntilApproved by the City Council
01/24/2023 Item No.4.
This page intentionally Ieft blank
to fo"cilitste double- sided printing .
CITY OF
FOLSON{
DISTINCTIVE BY NATURE
01/24/2023 Item No.4.
,:il ! iI
:. 1'i i.r j i.j r\:'[
r.,1jra:r.il >. r,,: r:
Folsom City Council
Staff R ort
RECOMMENDATION
Staff is requesting that the Mayor, with the consent of the City Council, appoint Daniel West and Ralph Pena as the Planning Commission representatives to the Historic District Commission for the term ending in December 2024, as recommended by the Planning Commission.
BACKGROUND / ISSUE
The terms of all atJarge appointments to City of Folsom commissions and committees (except three of the at-large appointments to the Historic District Commission) expire in December of even numbered years. Two members of the Planning Commission are designated by ordinance to serye on the Historic District Commission. Historically the Planning Commission has voted to recommend members of the Planning Commission to serve on the Historic District Commission.
POLICY
Folsom Municipal Code Section 17 .52.020 establishes the Historic District Commission as a seven member commission appointed by the Mayor with the consent of the City Council.
Specific seat requirements are set forth as:
A. One representative who is actively involved with historic preservation; 1 MEETING DATE: U2412023
AGENDA SECTION: Consent Calendar
SUBJECT: Mayor's Appointment and Confirmation by the City Council of Planning Commissioners to Serve on the Historic District Commission
FROM: City Clerk's Department
01/24/2023 Item No.5.
B. One representative who is a resident of the historic district; C. One representative who owns a business within the Sutter Street subarea; D. Two planning commissioners;
E. One representative from a historic district business outside the Sutter Street subarea; F. One architect, landscape architect, or other design professional with expertise in historic preservation.
Folsom Municipal Code Section 17.52.040 provides that members of the Historic District Commission are appointed to serve two years.
ANALYSIS
At their January 18 meeting, the Planning Commission nominated Daniel West and Ralph Pena to serve on the Historic District Commission. Accordingly, staff is bringing forth these nominations for the City Council's approval.
Respectfu lly submitted,
Christa Freemantle, CMC
City Clerk
2
01/24/2023 Item No.5.
Folsom City Council
Staff ort
RECO / CITY ACTION
The Environmental and Water Resources Departments recommends that the City Council pass and adopt Resolution No. 10975 - A Resolution Rejecting Bids for the Purchase of Gravity Sewer Pipe for the Folsom Boulevard 27-lnchTrunk Sewer Project (SECAP).
BACKGROUND / ISSUE
The Environmental and Water Resources (EWR) Department identifies sewer infrastructure rehabilitation and replacement projects through sewer master plans and ongoing sewer condition assessment progftlms. As part of the Crty's Sewer System Management Plan for its wastewater collection system, the EWR Department performs ongoing condition assessments on the wastewater system and corrects any defects/deficiencies identified through this process.
Through these efforts, Clty staff identified the Folsom Boulevard 27-inchTrunk Sewer Project as needing improvements.
On January 10th,2023 the City received two bids for the Purchase of Gravity Sewer Pipe for the Folsom Boulevard 27-lnchTrunk Sewer Project (SECAP). Upon review of the bids by city staff and guidance from the City Attorney's Office, both bids were deemed to be non- responsive. The special provisions of the bid package issued by the City required the bidder to prwide and acknowledge a written warranty of the 2l-inch gravity sewer pipe for a period of 2-years from the date of delivery as part of the bid package. The following deficiencies were identified in the bids:
I
MEETING DATE: U24t2023
AGENDA SECTION: Consent Calendar
SUBJECT: Resolution No. 10975 - A Resolution Rejecting Bids for the Purchase of Gravity Sewer Pipe for the Folsom Boulevard 27-Inch Trunk Sewer Project (SECAP)
FROM: Environmental and Water Resources Department
01/24/2023 Item No.6.
year walranty from the invoice date.
in the Special Provisions.
POLICY / RULE
In accordance with Chapter 2.36.150 of the Folsom Municipal Code. where stated in the invitation for bid, the crty council may cancel an invitation for bid, a request for proposal, or other solicitations, or may reject any or all bids or proposals when it is for good cause and in the best interests of the city (Ord. 723 53 (pa$, 1991).
ANALYSIS
The City completed the Request for Bids for the 2l-Inch Gravity Sewer Pipe and publicly advertised for bids in the December 29,2022 edition of the Sacramento Bee. In addition, the City provided these documents to www.ciplist.com which is picked up by several area builders' exchanges. The documents were also posted to the Crty's website. The EWR Department received the following bids on January 10,2023 for the purchase of 2l-Inch Gravrty Sewer Pipe for the Folsom Boulevard 27-InchTrunk Sewer Project (SECAP) Upon review of the bids, staff with direction from the City Attomey's Office determined that both bidders were non-responsive. Special Provision SP-2 of the Request for Bidders required the bidder to provide and acknowledge a written wa:ranty for the 2l-inch gravity sewer pipe for a period of 2-years from the date of delivery as part of the bid package:
of 1-year from the invoice date.
from the date of delivery per the Special Provisions.
F'INAIICIAL IMPACT
The Folsom Boulevard 27-lnch Trunk Sewer Project (SECAP) is included in the Capital Improvement Plan with a Fiscal Year 2022-23 project budget of $7,471,945.
ENVIRONMENTAL REVIEW
The Folsom Boulevard 27-Inch Trunk Sewer Project (SECAP) was designed to avoid direct and indirect impacts to the environment. Pursuant to California Environmental Quality Act (CEQA) Guidelines Section 15303 (d), the proposed project consists of construction and 2 $439,660.00Ferguson Enterprises, LLC
$444,254.20ICONIX Waterworks
01/24/2023 Item No.6.
installation of a sewer line of reasonable length to serve the needs of the City of Folsom.
Pursuant to CEQA Guidelines Section 15301 (b), the project will accommodate current flow conditions and provide redundancy to the existing sewer system in the City of Folsom. Each segment of the proposed project will be designed and constructed to avoid environmentally sensitive areas. The project design will place the pipeline mainly within roadways and as far away as possible from environmentally sensitive areas. The proposed new pipeline will be located on the same site as the existing public utilities pipeline. The overall design of the project has no significant impacts to the environment and will be exempt from CEQA review.
ATTACHMENT
Resolution No. 10975 - A Resolution Rejecting Bids for the Purchase of Gravity Sewer Pipe for the Folsom Boulevard 27-lnchTrunk Sewer Project (SECAP) Submitted,
Marcus Yasutake, Director
ENVIRONMENTAL AND WATER RESOURCES DEPARTMENT
J Page 27
01/24/2023 Item No.6.
RESOLUTION NO. 10975
A RESOLUTION REJECTING BIDS FOR THE PURCHASE OF GRAVITY SEWER PIPE T'OR THE F'OLSOM BOULEVARD 27.INCH TRT]NK SEWER PROJECT (SECAP)
WHEREAS, the provisions of the Folsom Municipal Code, Section 2.36.180 have been complied with; and
WHEREAS' staff met with the City Attorney's Office and determined that all bids were Non-Responsive; and
WHEREAS, the Environmental & Water Resources Department published the Notice to Contractors for bidding of the Purchase of Gravity Sewer Pipe for the Folsom Boulevard 27-lnch Sewer Project (SECAP) on December 29,2022; and
WHEREAS, bids were opened on January I0h,2023,both bids were non-responsive; and NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Folsom rejects all bids as non-responsive for the Purchase of Gravity Sewer Pipe for the Folsom Boulevard 27 -Inch Trunk Sewer Proj ect (SECAP).
PASSED AND ADOPTED this24ft day of January 2023,by the following roll-call vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
Councilmember(s):
Councilmember(s):
Councilmember(s):
Councilmember(s):
Rosario Rodriguez, MAYOR
ATTEST:
Christa Freemantle, CITY CLERK
Resolution No. 10975
Page I ofl Page 28
01/24/2023 Item No.6.
' i : i,"J '; j"\:'{
t: :rri.,t!it t. . 'r: 1
Folsom City Council
Staff ort
RECOMMENDATION / CITY COUNCIL ACTION
Staff recommends that the City Council adopt Resolution 10976 - A Resolution Authorizing the City Manager to Execute a Contract Between the City of Folsom and the Sacramento Society for the Prevention of Cruelty to Animals (SSPCA).
BACKGROUND / ISSUE
The SSPCA has been providing animal sheltering services to the City of Folsom since July l, 2015. Staff desires to continue this successful contractual partnership and seeks approval to authorize the City Manager to execute the new agreement for the next two years, from January I,2023 through December 31,2024.
POLICY / RIII,E,
In accordance with Chapter 2.36 of the Folsom Municipal Code, professional services costing $66,141 or greater shall be contracted for by the City Council.
ANALYSIS
The SSPCA is a non-profit organization dedicated to providing shelter for homeless, lost, or abused pets; low-cost spay and neuter services; and public education. The organization's mission is to "foster a loving and compassionate community for animals and people by providing assistance, creating lifelong relationships, and saving lives." 1 MEETING DATE: U2412023
AGENDA SECTION: Consent Calendar
SUBJECT: Resolution No. 10976- A Resolution Authorizing the City Manager to Execute a Contract Between the City of Folsom and the Sacramento Society for the Prevention of Cruelty to Animals (ssPCA)
F'ROM: Police Department
01/24/2023 Item No.7.
The City has successfully worked in partnership with the SSPCA for the City's animal sheltering needs since July 1,2015 and desires to continue that contractual partnership.
Please note that the SSPCA contract is only for animal sheltering services. The City will continue to provide a fuIl-time Animal Services Offrcer to serve the community. The Animal Services Officer will continue to enforce state and local laws and ordinances to protect both the animal and human customers, respond to animal issues in the field, and provide public education, among other duties.
FINANCIAL IMPACT
The contract would be for a two-year term beginning January I,2023 through December 31, 2024. In year one of the contract (2023), CITY will pay SSPCA an amount not to exceed 75,591.00. In year two of the contract (2024), CITY will pay SSPCA an amount not to exceed s84,662.
The City also agrees to pay SSPCA for each animal in excess of the yearly animal intake amounts (300) as established in Section 5.01 of the contract which is $225.
This agreement is included in the Fiscal Year 2022-23 General Fund (Fund 010) Operating Budget in the Animal Services Division. There are sufficient funds budgeted and available in the FY 2022-23 Budget for the continuation of this contract.
ATTACHMENTS
Resolution No. 10976 - A Resolution Authorizing the City Manager to Execute a Contract Between the City of Folsom and the Sacramento Society for the Prevention of Cruelty to Animals (SSPCA)
Submitted,
Richard Hillman, Chief of Police
2 Page 30
01/24/2023 Item No.7.
RESOLUTION NO. 10976
A RESOLUTION AUTHORIZING THE CITY MANAGER TO EXECUTE A
CONTRACT BETWEEN THE CITY OF FOLSOM AND THE SACRAMENTO
SOCIETY FOR THE PREVENTION OF CRUELTY TO ANIMALS
WHEREAS, the current agreement between the City of Folsom and the Sacramento Society for the Prevention of Cruelty to Animals (SSPCA) to provide animal sheltering services is expired as of December 31, 2022; and
WHEREAS, the SSPCA is a non-profit organization dedicated to providing shelter for homeless, lost, or abused pets; low-cost spay and neuter services; and public education; and WHEREAS, staff desires to continue this successful contractual partnership and seeks approval to authorize the City Manager to execute the new agreement for the next two years, from January 1,2023 through December 31,2024; and
WHEREAS' funds are budgeted and available in the Fiscal Year 2022-23 General Fund (010) Operating Budget in the Animal Services Division and this agreement will be included during the budget process in future fiscal years; and
WHEREAS, the agreement will be in a form acceptable to the City Attorney; NOW, THEREF'ORE, BE IT RESOLVED that the City Council of the City of Folsom authorizes the City Manager to execute a contract with the SSPCA for animal sheltering services for a two year term beginning January 1,2023 through December 31,2024, in a form approved by the City Attorney.
pASSED AND ADOPTED this 24th day of January 2023, by the following roll-call vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
Councilmember(s):
Councilmember(s):
Councilmember(s):
Councilmember(s):
Rosario Rodriguez, MAYOR
ATTEST:
Christa Freemantle, CITY CLERK
Resolution No. 10976
Page I of I Page 31
01/24/2023 Item No.7.
This page intentionolly Ieft blank
to focilitste double- sided printing .
cr"Y oF
FOLSON{
O'STINCTIVE 6Y NATURE
01/24/2023 Item No.7.
I !Jtt::ri i r : t tr j:
Folsom City Council
Staff rt
RECOMMENDATION / CITY COUNCIL ACTION
Staff recommends the City Council approve Resolution No. 10978 - A Resolution Authorizing the City Manager to Execute an Agreement with PlayCore Wisconsin, Inc., DBA GameTime for the Ed Mitchell Park Shade Structure and Site Furnishings Project.
BACKGROUND / ISSUE
On June 5, 2018, Califomia voters approved Proposition 68: Parks and Water Bond Act administered by the California Department of Parks and Recreation. The Proposition 68 Per CapitaGrant provides funding for local park rehabilitation, creation, and improvement. City staff worked with the Parks and Recreation Commission on identifying the appropriate park project that meets the Prop 68 criteria and funding amount. On October 6,2020, the Parks and itecreation Commission voted to apply the $271,098 grant funding allocation (including the $45,183 match) to Ed Mitchell Park improvements. On February 9,2021, the City Council approved Resolution No. 10586 - A Resolution Approving the Allocation of City Match funaing for Proposition 68 Per Capita Grant Program and Appropriation of Funds. The grant and the City match were appropriated to the Quimby Act Fund (Fund 240).
The projects completed at Ed Mitchell include tennis court resurfacing, tennis court LED light retrofit and instaliation of wind screens. The remaining project is the construction of a shade structure, including concrete paving and picnic tables.
I
MEETING DATE: U2412023
AGENDA SECTION: Consent Calendar
SUBJECT: ResolutionNo. 10978 - A Resolution Authorizing the City Manager to Execute an Agreement with PlayCore Wisconsin, Inc., DBA GameTime, for the Ed Mitchell Park Shade Structure and Site Furnishings Project
F'ROM: Parks and Recreation DePartment
01/24/2023 Item No.8.
Below is a summary of completed projects and the remaining shade structure/site fumishings project costs:
Completed Projects To be
Comnleted
Tennis Court Resurfacing $150,328.00
Tennis Court LED Light
Retrofit
$ 21,981.00
Tennis Court Windscreens $ 1 1,s30.00
Shade Structure $68,000.00
Site Furnishings $ 15,000.00
Sub-Totals $ 183,839.00 $83,000.00
TOTAL $266.839.00
68 Per Grant + 20o/o of Folsom Match $271,098.00
Staff is recommending that the City enter into a cooperative purchase agreement in the amount of $83,000, with PlayCore Wisconsin, Inc., DBA GameTime using Omnia Partners to purchase and install a shade structure and site furnishings at Ed Mitchell Park. The City of Folsom is currently an Omnia Partners member and the City's member identification number is 2509464.
POLICY / RIII,E
In accordance with Chapter 2.36 of the Folsom Municipal Code, Public Works projects costing $66,141 or greater shall be competitively bid and contracted for by the City Council.
In accordance with Section 2.36.170 of the Folsom Municipal Code, the purchasing agent may participate in, sponsor or administer a cooperative purchasing agreement for the procurement of any supplies, equipment, service or construction with one or more public procurement units in accordance with an agreement entered into or between the participants. Such cooperative purchasing may include, but is not limited to, joint or multi party contracts between public procurement units and open-ended state public procrrement unit contracts which are made available to the City.
ANALYSIS
On December l2,2022,the Parks and Recreation Department received a quote from PlayCore Wisconsin, Inc., DBA GameTime for the Ed Mitchell Park project. The quote includes: one 16' x 24' shade shelter, two eight-foot picnic tables (one is ADA accessible), one trash receptacle, and a 685 square foot concrete pad. The scope of work includes the procurement and installation of the shade structure, site furnishings, and concrete pad at the existing playground, to the north of the existing restrooms at Ed Mitchell Park. Once completed, the project will provide a covered seating area adjacent to the existing playground. This seating 2 Page 34
01/24/2023 Item No.8.
area will accornmodate those watching children in the playground to the east, as well as provide seating and shelter to the sports fields to the west.
FINANCIAL IMPACT
The cost for the Ed Mitchell Park Shade Structure and Site Furnishings Project is included in the Quimby Act Fund (Fund 240) in the amount of $271,952. Of the total project amount $225,915 is grant funded and the City will receive reimbursement after the project is complete.
The total cost, including procurement and installation of the shade structure, site fumishings, and concrete pad is $83,000.
ATTACHMENT
1. ResolutionNo. 10978 - A Resolution Authorizing the City Manager to Execute an Agreement with PlayCore Wisconsin, Inc., DBA GameTime, for the Ed Mitchell Park Shade Structure and Site Furnishings Project.
Submitted,
Lorraine Poggione,
Parks & Recreation Director
J Page 35
01/24/2023 Item No.8.
RESOLUTION NO. 10978
A RESOLUTION AUTHORIZING THE CITY MANAGER TO EXECUTE AN AGREEMENT WITH PLAYCORE WISCONSIN,INC., DBA GAMETIME,
FOR THE ED MITCHELL PARK
SHADE STRUCTURE AND SITE FURNISHINGS PROJECT
WHEREAS, California voters approved Proposition 68: Parks and Water Bond Act on June 5, 2018, administered by the California Department of Parks and Recreation; and WHEREAS, the Proposition 68 Per Capita Grant provides funding for local park rehabilitation, creation, and improvement; and
WHEREAS, the Parks and Recreation Commission approved a recofirmendation to allocate the grant funding to Ed Mitchell Park Project on October 6,2020; and WHEREAS, on February 9,202I, the City Council approved Resolution No. 10586 - A Resolution Approving the Allocation of City Match Funding for Proposition 68 Per Capita Grant Program and Appropriation of Funds, which was appropriated to the Quimby Act Fund (Fund 240); and
WHEREAS, the cooperative purchase is through PlayCore Wisconsin, Inc., DBA GameTime, for the procurement and installation of a shade structure and site furnishings; and WHEREAS, there is sufficient funding budgeted and available in the Quimby Act Fund (Fund 240) for this agreement.
NOW, THEREFORE' BE IT RJSOLVED by the City Council of the City of Folsom that the City Manager is authorized to execute a Professional Services Agreement with PlayCore Wisconsin, Inc., DBA GameTime, in a form acceptable to the City Attorney, for the procurement and installation of a shade structure and site furnishings at Ed Mitchell Park, for a total not-to- exceed amount of $83,000.
PASSED AND ADOPTED this24h day of January 2023,by the following roll-call vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
Councilmember(s):
Councilmember(s):
Councilmember(s):
Councilmember(s):
ATTEST:
Christa Freemantle, CITY CLERK
Resolution No. 10978
Rosario Rodriquez, MAYOR
01/24/2023 Item No.8.
Folsom City Council
Staff Re rt
MEETING DATE: U2412023
AGENDA SECTION: Consent Calendar
SUBJECT: Resolution No. 10979 - A Resolution Authorizing the City Manager to Execute AmendmentNo. I to the Contract with RRM Design Group for Additional Landscape Architectural Services for the Johnny Cash Trail Art Experience - Cash's Pick No. 1 Project FROM: Parks and Recreation Department
RECOMMENDATION / CITY COUNCIL ACTION
Staff recommends the City Council Approve ResolutionNo. 10979 - A Resolution Authorizing the City Manager to Execute Amendment No. I to the Contract with RRM Design Group for Additional Landscape Architectural Services for the Johnny Cash Trail Art Experience - Cash's Pick No. 1 Project.
BACKGROUND / ISSUE
On November 74,2017,the City Council approved Resolution No. 10030 - A Resolution Authorizing the City Manager to Execute an Agreement with RRM Design Group for Landscape Design of the Johnny Cash Trail Art Experience - Cash's Pick No.l and No.2 Art Nodes, Accepting the Transient Occupancy Tax Grant Award from the County of Sacramento for the Johnny Cash Trail Art Experience, and Appropriation of Funds. As the design progressed, it became apparent that the location for Pick No. I needed to be moved as it was now located on property recently purchased by PG&E.. This move requires the redesign of the art node and its accompanying amenities and features. In addition, it was determined that Pick No. 2 would need to be removed from the current project, until funding for the construction of Pick No. 2, including art fabrication, was identified.
POLICY / RULE
In accordance with Chapter 2.36 of the Folsom Municipal Code, Public Works projects costing $66,141 or greater shall be competitively bid and contracted for by the City Council. 1
01/24/2023 Item No.9.
ANALYSIS
The original contract with RRM Design Group for Landscape Design of the Johnny Cash Trail Art Experience - Cash's Pick No.l and No.2 Art Nodes was $65,350. This contract amendment is in the amount of $6,220. This brings the total contract amount with RRM Design Group to $71,570.
F'INANCIAL IMPACT
There is sufficient funding in Johnny Cash TrailiArt Grants Fund (Fund 414) for this amendment.
ENVIRONMENTAL REVIEW
On September 11,2018, the City Council approved ResolutionNo. 10182 - A Resolution Approving a Mitigated Negative Declaration and Mitigation Monitoring and Reporting Program in-Accordance with the California Environmental Quality Act, and Approving the Johnny Cash Trail Art Experience Master Plan
ATTACHMENTS
1. ResolutionNo. 10979 - A Resolution Authorizing the City Manager to Execute Amendment No. I to the Contract with RRM Design Group for Additional Landscape Architectural Services for the Johnny Cash Trail Art Experience - Cash's Pick No. I Project
Submitted,
Lorraine Poggione,
Parks & Recreation Director
2 Page 38
01/24/2023 Item No.9.
RESOLUTION NO. 10979
A RESOLUTION AUTHORIZING THE CITY MANAGER TO EXECUTE
AMENDMENT NO. 1 TO THE CONTRACT WITH RRM DESIGN GROUP FOR
ADDITIONAL LANDSCAPE ARCHITECTURAL SERVICES FOR THE JOHNNY CASH TRAIL ART EXPERIENCE - CASH'S PICK NO. I- PROJECT
WHEREAS, On November 14,2017, the City Council approved Resolution No. 10030 - A Resolution Authorizing the City Manager to Execute an Agreement with RRM Design Group for Landscape Design of the Johnny Cash Trail Art Experience - Cash's Pick No.1 and No.2 Art Nodes, Accepting the Transient Occupancy Tax Grant Award from the County of Sacramento for the Johnny Cash Trail Art Experience, and Appropriation of Funds; and WHEREAS, Pick No. I requires redesign to accommodate the relocation as well as updating of the construction documents to remove Pick No. 2 information; and WHEREAS, the original contract with RRM Design Group for Landscape Design of the Johnny Cash Trail Art Experience - Cash's Pick No.l and No.2 Art Nodes was $65,350, and the contract amendment is in the amount of $6,220, which brings the total contract amount with RRM Design Group to $71,570.; and
WHEREAS, there is sufficient funding available in the Johnny Cash Trail/Art Grants Fund (Fund 414) inthe amount of $6,220 to cover this amendment.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Folsom that the City Manager is authorized to Execute Amendment No. I to the Contract with RRM Design Group for Additional Landscape Architectural Services for the Johnny Cash Trail Art Experience - Cash's Pick No.l Project for a total not-to-exceed amount of $71,570.
PASSED AND ADOPTED this24th day of January 2023,by the following roll-call vote AYES:
NOES:
ABSENT:
ABSTAIN:
Councilmember(s):
Councilmember(s):
Councilmember(s):
Councilmember(s):
Rosario Rodri-quez, MAYOR
ATTEST:
Christa Freemantle, CITY CLERK
Resolution No. 10979
Page I of I Page 39
01/24/2023 Item No.9.
This page intentionally left blCInk
to facilitate double- sided printing .
CIT Y OF
F()LSON{
DISTITCTIVE BY TIATURE
01/24/2023 Item No.9.
Folsom City Council
Staff ort
MEETING DATE: r/2412023
AGENDA SECTION: Consent Calendar
SUBJECT: Resolution No. 10980 - A Resolution Directing the Finance Director to Make a Transfer from the General Fund and
Enterprise Funds to the Risk Management and Compensated Leaves Internal Service Funds to Replenish Reserve Balances Used During the COVID-l9 Related Economic Downturn
F'ROM: Finance Department
RECOMMENDATION / CITY COUNCIL ACTION
The Finance Director respectfully recommends thatthe City Council pass and adopt Resolution No. 10980 - A Resolution Directing the Finance Director to Make a Transfer from the General Fund and Enterprise Funds to the Risk Management and Compensated Leaves Internal Service Funds to Replenish Reserve Balances Used During the COVID-l9 Related Economic Downturn.
BACKGROUND / ISSUE
The Risk Management Internal Service Fund (Fund 606) and the Compensated Leaves Internal Service Fund (Fund 015) maintain reserves to smooth the effect of fluctuating insurance and benefit costs year to year. The Risk Management Internal Service Fund also maintains reserves as part of the City's self-insurance program.
At the December 13,2022, City Council meeting, the Finance Director gave aFY 2022-23 First Quarter Financial Update. As part of the update, the FY 202I-22 year-end results for the General Fund were reported. The General Fund ended the fiscal year with a surplus, resulting in an Unassigned Fund Balance of $23,260,485, or 23.69Yo as a percentage of expenditures.
This surplus was, in part, due to the use of the internal service fund reserves to reduce costs in the General Fund for the past two fiscal years. The General Fund unassigned fund balance has 1
01/24/2023 Item No.10.
recovered from the COVID-l9 related economic downturn and now exceeds the City Council's policy requiring a minimum of l5o/o as a percentage of expenditures be held in reserve.
Staff recommends that the City Council consider a transfer from the General Fund and the Water, Wastewater and Solid Waste Enterprise Funds to the Risk Management and Compensated Leaves internal service funds to replenish reserve balances used during the COVID-l9 related economic downturn and ensure that the internal service funds have sufficient reserves moving forward.
POLICY / RULE
Section 3.02.030 of the Folsom Municipal Code states, in part, that only the city council, by resolution, may transfer appropriations between funds and from unappropriated balances, contingency appropriations or accounts, or fund balances to any fund or appropriation account, or increase the total budget of any fund.
AN YSIS
Risk Manaeement Internal Service Fund
The Risk Management Internal Service Fund exists to finance the cost of risk programs, including workers' compensation, health benefits for active employees and retirees, life, vision, dental, and other purchased insurance coverage, and various liability coverages. Every year, the total insurance costs for medical, dental, vision, liability, and workers' compensation insurance are projected, and a proportionate amount is transferred per employee from the General Fund or Enterprise Funds, depending on the employee, to the Risk Management Internal Service Fund to cover these annual expenses.
The Risk Management Internal Service Fund was implemented in 2010 and the City was able to commit to building a reserve in this fund to smooth the effect on the General Fund and the Enterprise Funds of fluctuating insurance costs year to year and to protect the General Fund from potential claims or litigation costs that may exceed our self-insurance coverage through the Northern California Cities Self Insurance Fund (NCCSIF) in which the City participates.
If the costs for claims or litigation were to exceed our self-insurance coverage, the General Fund would be forced to cover the excess if reserves in the Risk Management Internal Service Fund were insufficient. At the inception of the fund, the goal of building the reserve to about six months of expenditures was deemed appropriate. At the fund's high-water mark in FY 20lg-20,$9 million was held in reserve, equating to six months of the fund's annual expenses.
As the City faced significant revenue losses during the COVID-I9 economic downturn, it was recommended during the budget process that the City Council reduce the transfer amount from the General Fund and Enterprise Funds to the Risk Management Internal Service Fund for both FY 2020-21 and FY 2021-22 as a temporary cost savings measure. That resulted in expenses in the Risk Management Fund exceeding the revenues transferred in and the use of reserves was planned for both fiscal years. This use of reserves totaled $3,288,471 over the two years, 2 Page 42
01/24/2023 Item No.10.
and the fund ended FY 2021-22 with reserves of $5.3 million, or only 3 months of annual expenses.
Compensated Leaves Internal Service Fund
The Compensated Leaves Internal Service Fund operates similarly. The fund is used to account for payment of accrued vacation leave upon separation of employment. Again, it was recommended during the budget process that the City Council reduce the transfer amount per employee from the General Fund and the Enterprise Funds to the Compensated Leaves Intemal Service Fund for both FY 2020-21and FY 2021-22 as atemporary cost savings measure. That resulted in expenses in the Compensated Leaves Intemal Service Fund exceeding the revenues transferred in and the use of reserves was planned for both fiscal years.
This use of reserves totaled $1,139,286 over the two years, and the fund ended FY 2021-22 with a negative reserve balance of ($211,550).
F'INANCIAL IMPACT
The total transfer to the Risk Management Internal Service Fund will be $3,288,471, with $2,893,855 from the General Fund and $394,616 from the Enterprise Funds as noted in the chart below. The total transfer to the Compensated Leaves Internal Service Fund will be $1,139,286 with $1,002,571from the General Fund and $136,715 from the Enterprise Funds.
Transfer In %o ofTotal
TransferTransfer out Risk Mgmt Comp Leaves
General Fund
Water
Wastewater
Solid Waste
$ 2,893,855
180,866
65,769
147,98r
$ 3,288,471
$ 1,002,571
62,661
22,786
51,268
88%
6%
2%
5%
$ 1,139,286
These transfers will bring both internal service fund reserves back to their pre-COVID-l9 levels and leave the General Fund with a projected unassigned fund balance of $19.2 million or lgYo as a percentage of expenditures. This transfer has minimal impact on the Enterprise Fund's reserves.
ATT
1. Resolution No. 10980 - A Resolution Directing the Finance Director to Make a Transfer from the General Fund and Enterprise Funds to the Risk Management and Compensated Leaves Internal Service Funds to Replenish Reserve Balances Used During the COVID- 19 Related Economic Downturn
J Page 43
01/24/2023 Item No.10.
Submitted,
{,-
Stacey Tamagni, Finance Director/CFO
Office of Management and Budget
4 Page 44
01/24/2023 Item No.10.
RESOLUTION NO. 10980
A RESOLUTION DIRECTING THE FINANCE DIRECTOR TO MAKE A TRANSF'ER
FROM THE GENERAL FUND AND ENTERPRISE F'UNDS TO THE RISK
MANAGEMENT AND COMPENSATED LEAVES INTERNAL SERVICE F'UNDS TO REPLENISH RESERVE BALANCES USED DURING THE COVID.19 RELATED
ECONOMIC DOWNTURN
WHEREAS' the Risk Management Internal Service Fund and the Compensated Leaves Internal Service Fund maintain reserves to smooth the effect of fluctuating insurance and benefit costs year to year.; and
WHEREAS, the Risk Management Internal Service Fund also maintains reserves as part of the City's self-insurance program; and
WHEREAS, as the City faced significant revenue losses during the COVID-l9 economic downturn, it was recommended that the City Council reduce the transfer amounts from the General Fund and the Enterprise Funds to the Risk Management and Compensated Leaves Internal Service Funds for both FY 2020-21 and FY 2021-22 as a temporary cost savings measure; and
WHEREAS this action resulted in the planned use of reserves in the internal service funds of$4,427,757;and
WHEREAS the General Fund unassigned fund balance has recovered from the COVID- 19 related economic downturn and now exceeds the City Council's 15olo reserve policy; and WHEREAS, staff recommends replenishing the reserve balances in the internal service funds to ensure sufficient reserves moving forward; and WHEREAS, sufficient funds are available in the General Fund unassigned fund balance and the Water, Wastewater and Solid Waste Enterprise Funds:
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Folsom directs the Finance Director to replenish reserve balances used during the COVID-l9 related economic downtum and make a transfer totaling 53,896,426 from the General Fund (Fund 010) unassigned fund balance, $243,527 from the Water Enterprise Fund (Fund 520), $88,555 from the Wastewater Enterprise Fund (Fund 530) and $199,249 from the Solid Waste Enterprise Fund (Fund 540) to the Risk Management Internal Service Fund (Fund 606) in the amount of $3,288,471and to the Compensated Leaves Internal Service Fund (Fund 015) in the amount of $1,139,286.
pASSED AND ADOPTED this24 day of January,2}23,by the following roll-call vote:
AYES:
NOES:
Resolution No. 10980
Page I of2
Councilmember(s):
Councilmember(s):
01/24/2023 Item No.10.
ABSENT:
ABSTAIN:
Councilmember(s):
Councilmember(s):
Rosario Rodriguez, MAYOR
ATTEST:
Christa Freemantle, CITY CLERK
Resolution No. 10980
Page2 of2 Page 46
01/24/2023 Item No.10.
| ,i .:- i ,:i t,i r\'l
t] ..r!.t.:rll tr r,iar;::
Folsom City Council
Staff Re rt
MEETING DATE: U2412023
AGENDA SECTION: Old Business
SUBJECT: Consideration of Expenditure of Funds from the American Rescue Plan Act and Direction to Staff
FROM: Finance Department
RECOMMENDATION / CITY COUNCIL ACTION
The Finance Director respectfully recommends that the City Council direct staff regarding the expenditure of $507,700 of unappropriated American Rescue Plan Act (ARPA) funds.
BACKGROUND / ISSUE
The American Rescue Plan Act (ARPA) was signed into law on March ll, 2021. ARPA established the Coronavirus State and Local Fiscal Recovery Fund. The program is intended to ensure that governments have the resources needed to:
. Fight the pandemic and support families and businesses struggling with its public health and economic impacts,
. Maintain vital public services, even amid declines in revenue, and . Build a strong, resilient, and equitable recovery by making investments that support long-term growth and opportunity.
The City of Folsom's total allocation from the ARPA Coronavirus State and Local Recovery Fund is $8,375,645.
On August 24,202I, the City Council directed staff to appropriate $2,195,500 of the City's total ARPA allocation to the General Fund under the allowable use category Provision of 1
01/24/2023 Item No.11.
Government Services. Expenditure of the appropriated funds commenced during the202l-22 fiscal year.
In January 2022, the U.S. Department of the Treasury issued its final rule on the use of the Coronavirus State and Local Fiscal Recovery Funds. The final rule, which took effect on April 1,2022, delivered broader flexibility and greater simplicity to the program.
Under the category "for provision of government services to the extent of the reduction in revenue due to the COVID-l9 public health emergency," the final rule offers a standard allowance for revenue loss of up to $10 million. Recipients that select the standard allowance may spend that amount - in many cases their full award - for government services through the period of performance, with streamlined reporting requirements.
To provide the most flexibility for use of the City's ARPA allocation, on April 12,2022, staff recommended, and the City Council approved, taking the standard allowance and appropriated the City's entire ARPA allocation under the allowable use category of Provision of Government Services (Replacing Lost Revenue).
POLICY / RULE
Per sections 602(c)(1) and 603(c)(1) of the ARPA, tunds 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 to aid impacted industries such as tourism, travel, and hospitality.
b) To respond to workers performing essential work during the COVID-I9 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-l9 public health emergency relative to revenues collected in the most recent full fiscal year prior to the emergency; and
d) To make necessary investments in water, sewer, or broadband infrastructure.
ANALYSIS
Within the eligible use categories stated above and outlined in the Fiscal Recovery Funds provisions of ARPA, state, local, and tribal governments have the flexibility to determine how best to use payments from the Fiscal Recovery Funds to meet the needs of their communities and populations.
After taking the standard allowance and appropriating the City's entire ARPA allocation under the allowable use category of Provision of Government Services (Replacing Lost Revenue), the City Council divided the City's allocation into four internally determined expenditure 2 Page 48
01/24/2023 Item No.11.
groups: City Facilities and Infrastructure, Economic Development, General Government Services, and Public Safety. The table below shows the City's total APRA allocation, the amount allocated to each expenditure group, and the remaining unappropriated amount.
City of Folsom's Totd ARPA Allocation $ 8,375,&15
d389,000
1365,000
788,568
t.425,377
$ 7,86?"X5
UnappropnatcdARPA Allocation $ 507,700
Staff is asking for direction at the January 24,2023, meeting as to what expenditure group and on what items the City Council would like to spend the remaining $507,700 that is currently unappropriated.
FINANCIAL IMPACT
As of January 24,2023, the City has received the total $8,375,645 allocation and the City Council has determined that the full amount will be spent for the Provision of Government Services. $7,867,945 has been appropriated for certain expenditures within the General Fund and $507,700 remains unappropriated. The total allocation must be obligated by December 31,2024, and fully spent by December 31, 2026.
ATTACHMENT
l. Department of the Treasury Coronavirus State and Local Fiscal Recovery Funds Overview of the Final Rule
Submitted,
Stacey Tamagni, Finance Director/CFO
Office of Management and Budget
Expendinne Group
City Facihies ard laiastnrcttne
Ecoaonric Development
Gencral Gornerrunenl Scruices
Pubfic Safety
Totd Appropriated ARPA Alocation
J
01/24/2023 Item No.11.
Coronavirus State & Local
Fiscal Recovery Funds:
Overview of the Final Rule
U.S. DEPARTMENT OF THE TREASURY
1789
OF
a
Y
January 2022
01/24/2023 Item No.11.
@
U.S. DEPARTMENT OF THE TREASURY
The Overview of the Final Rule provides a summary of major provisions of the final rule for informational purposes and is intended as a brief, simplified user guide to the finalrule provisions.
The descriptions provided in this document summarize key provisions of the final rule but are non-exhaustive, do not describe all terms and conditions associated with the use of SLFRF, and do not describe all requirements that may apply to this funding. Any SLFRF funds received are also subject to the terms and conditions of the agreement entered into by Treasury and the respective jurisdiction, which incorporate the provisions of the final rule and the guidance that implements this program.
Coronavirus State & Locol Fiscal Recovery Funds: Overview of the Finol Rule U.S. Deportment of the Treasury 2
01/24/2023 Item No.11.
@
U.S. DEPARTMENT OF THE TREASURY
Contents
lntroduction
Overview of the Program..............
Replacing Lost Public Sector Revenue
Responding to Public Health and Economic lmpacts of COVID-19 Responding to the Public Health Emergency..........,.
Responding to Negative Economic lmpacts
Assista nce to Households
Assistance to Small Businesses
Assistance to Nonprofits
Aid to lmpacted lndustries..
Public Sector Capacity.............
Public Safety, Public Health, and Human Services Staff
Government Employment and Rehiring Public Sector Staff
4 5
9 Effective Service Delivery
Ca pital Expenditures ................
Framework for Eligible Uses Beyond those Enumerated
........28
L2
t4
16 17
2t
23 24
26 26
27 30
32 35Premium Pay
Water & Sewer lnfrastructu re .................
Broadband lnfrastructure .........
Restrictions on Use
Program Administration ............
.......37
39 4t
43 Coronavirus State & Local Fiscql Recovery Funds: Overview of the Final Rule lJ.S. Department of the Treasury 3
01/24/2023 Item No.11.
@
U.S. DEPARTMENT OF THE TREASURY
Introduction
The Coronavirus State and Local Fiscal Recovery Funds (SLFRF), a part of the American Rescue Plan, delivers S35O billion to state, local, and Tribal governments across the country to support their response to and recovery from the COVID-19 public health emergency. The program ensures that governments have the resources needed to:
o Fight the pandemic and support families and businesses struggling with its public health and economic impacts,
o Maintain vital public services, even amid declines in revenue, and o Build a strong, resilient, and equitable recovery by making investments that support long-term growth a nd opportunity.
EARLY PROGRAM IMPLEMENTATION
tn May 2021, Treasury published the lnterim final rule (lFR) describing eligible and ineligible uses of funds (as well as other program provisions), sought feedback from the public on these program rules, and began to distribute funds. The IFR went immediately into effect in May, and since then, governments have used SLFRF funds to meet their immediate pandemic response needs and begin building a strong and equitable recovery, such as through providing vaccine incentives, development of affordable housing, and construction of infrastructure to deliver safe and reliable water.
As governments began to deploy this funding in their communities, Treasury carefully considered the feedback provided through its public comment process and other forums. Treasury received over L,500 comments, participated in hundreds of meetings, and received correspondence from a wide range of governments and other stakeholders.
KEY CHANGES AND CTARIFICATIONS IN THE FINAL RUtE
The final rule delivers broader flexibility and greater simplicity in the program, responsive to feedback in the comment process. Among other clarifications and changes, the final rule provides the features below.
Replacing Lost Public Sector Revenue
The final rule offers a standard allowance for revenue loss of up to S10 million, allowing recipients to select between a standard amount of revenue loss or complete a full revenue loss calculation.
Recipients that select the standard allowance may use that amount - in many cases their full award - for government services, with streamlined reporting requirements, Public Health and Economic lmpacts
ln addition to programs and services, the final rule clarifies that recipients can use funds for capital expenditures that support an eligible COVID-19 public health or economic response. For example, recipients may build certain affordable housing, childcarefacilities, schools, hospitals, and other projects consistent with final rule requirements.
Coronovirus State & Local Fiscal Recovery Funds: Overview of the Finol Ru[e U.S. Deportment of the TreasurY 4
01/24/2023 Item No.11.
@
U.S. DEPARTMENT OF THE TREASURY
ln addition, the final rule provides an expanded set of households and communities that are presumed to be "impacted" and "disproportionately impacted" by the pandemic, thereby allowing recipients to provide responses to a broad set of households and entities without requiring additional analysis.
Further, the final rule provides a broader set of uses available for these communities as part of COVID- 19 public health and economic response, including making affordable housing, childcare, early learning, and services to address learning loss during the pandemic eligible in all impacted communities and making certain community development and neighborhood revitalization activities eligible for disproportionately impacted commu nities.
Further, the final rule allows for a broader set of uses to restore and support government employment, including hiring above a recipient's pre-pandemic baseline, providing funds to employees that experienced pay cuts or furloughs, avoiding layoffs, and providing retention incentives, Premium Pay
The final rule delivers more streamlined options to provide premium pay, by broadening the share of eligible workers who can receive premium pay without a written justification while maintaining a focus on lower-income and frontline workers performing essential work.
Water, Sewer & Broadband lnfrastructure
The final rule significantly broadens eligible broadband infrastructure investments to address challenges with broadband access, affordability, and reliability, and adds additional eligible water and sewer infrastructure investments, including a broader range of lead remediation and stormwater management projects,
FINAL RUtE EFFECTIVE DATE
The final rule takes effect on April L, 2022. Until that time, the interim final rule remains in effect; funds used consistently with the IFR while it is in effect are in compliance with the SLFRF program.
However, recipients can choose to take advantage of the final rule's flexibilities and simplifications now, even ahead of the effective date. Treasury will not take action to enforce the interim final rule to the extent that a use of funds is consistent with the terms of the final rule, regardless of when the SLFRF funds were used. Recipients may consult the Sfofeme nt Regarding Complionce with the Coronovirus Stote and Local Fiscal Recovery Funds lnterim Final Rule ond Finol Rule, which can be found on Treasury's website, for more information on compliance with the interim final rule and the final rule.
Coronovirus Stote & Local Fiscal Recovery Funds: Overview of the Final Rule U.S. Department of the Treasury 5
01/24/2023 Item No.11.
@
U.S. DEPARTMENT OF THE TREASURY
Overview of the Program
The Coronavirus State and Local Fiscal Recovery Funds (SLFRF) program provides substantialflexibility for each jurisdiction to meet local needs within the four separate eligible use categories. This Overview of the Final Rule addresses the four eligible use categories ordered from the broadest and most flexible to the most specific.
Recipients may use SLFRF funds to:
Replace lost public sector revenue, using this funding to provide government services up to the amount of revenue loss due to the pandemic.
. Recipients may determine their revenue loss by choosing between two options:
. A standard allowance of up to StO million in aggregate, not to exceed their award amount, during the program;
. Calculating their jurisdiction's specific revenue loss each year using Treasury's formula, which compares actual revenue to a counterfactualtrend. . Recipients may use funds up to the amount of revenue loss for government services; generally, services traditionally provided by recipient governments are government services, unless Treasury has stated otherwise.
Support the COVID-19 public health and economic response by addressing COVID-19 and its impact on public health as well as addressing economic harms to households, small businesses, nonprofits, impacted industries, and the public sector.
Recipients can use funds for programs, services, or capital expenditures that respond to t'he public health and negative economic impacts of the pandemic.
To provide simple and clear eligible uses of funds, Treasury provides a list of enumerated uses that recipients can provide to households, populations, or classes (i.e., groups) that experienced pandemic impacts.
Public health eligible uses include COVID-19 mitigation and prevention, medical expenses, behavioral healthcare, and preventing and responding to violence.
Eligible uses to respond to negative economic impacts are organized by the type of beneficiary: assistance to households, small businesses, and nonprofits. . Each category includes assistance for "impacted" and "disproportionately impacted" classes: impacted classes experienced the general, broad-based impacts of the pandemic, while disproportionately impacted classes faced meaningfully more severe impacts, often due to preexisting disparities. . To simplify administration, the final rule presumes that some populations and groups were impacted or disproportionately impacted and are eligible for responsive services.
Coronavirus Stote & Locol Fiscol Recovery Funds: Overview of the Final Rule U.S. Department of the Treasury 6
01/24/2023 Item No.11.
@
U.S. DEPARTMENT OF THE TREASURY
Eligible uses for assistance to impacted households include aid for re- employment, job training, food, rent, mortgages, utilities, affordable housing development, childcare, early education, addressing learning loss, and many more uses.
. Eligible uses for assistance to impacted small businesses or nonprofits include loans or grants to mitigate financial hardship, technical assistance for small businesses, and many more uses.
Recipients can also provide assistance to impacted industries like travel, tourism, and hospitality that faced substantial pandemic impacts, or address impacts to the public sector, for example by re-hiring public sector workers cut during the crisis.
Recipients providing funds for enumerated uses to populations and groups that Treasury has presumed eligible are clearly operating consistently with the final rule.
Recipients can also identify (L) other populations or groups, beyond those presumed eligible, that experienced pandemic impacts or disproportionate impacts and (2) other programs, services, or capital expenditures, beyond those enumerated, to respond to those impacts.
Provide premium pay for eligible workers performing essential work, offering additional support to those who have and will bear the greatest health risks because of their service in critical sectors.
Recipients may provide premium pay to eligible workers - generally those working in- person in key economic sectors - who are below a wage threshold or non-exempt from the Fair Labor Standards Act overtime provisions, or if the recipient submits justification that the premium pay is responsive to workers performing essential work.
Invest in water, sewer, and broadband infrastructure, making necessary investments to improve access to clean drinking water, to support vital wastewater and stormwater infrastructure, and to expand affordable access to broadband internet.
Recipients may fund a broad range of water and sewer projects, including those eligible under the EPA's Clean Water State Revolving Fund, EPA's Drinking Water State Revolving Fund, and certain additional projects, including a wide set of lead remediation, stormwater infrastructure, and aid for private wells and septic units. . Recipients may fund high-speed broadband infrastructure in areas of need that the recipient identifies, such as areas without access to adequate speeds, affordable options, or where connections are inconsistent or unreliable; completed projects must participate in a low-income subsidy program.
While recipients have considerable flexibility to use funds to address the diverse needs of their communities, some restrictions on use apply across all eligible use categories. These include:
For states and territories: No offsets of a reduction in net tax revenue resulting from a change in state or territory law.
Coronavirus State & Local Fiscal Recovery Funds: Overview of the Finol Rule a
7U.S. Department of the Treosury
01/24/2023 Item No.11.
@
U.S, DEPARTMENT OF THE TREASURY
For all recipients except for Tribal governments: No extraordinary contributions to a pension fund for the purpose of reducing an accrued, unfunded liability.
For all recipients: No payments for debt service and replenishments of rainy day funds; no satisfaction of settlements and judgments; no uses that contravene or violate the American Rescue Plan Act, Uniform Guidance conflicts of interest requirements, and otherfederal, state, and local laws and regulations.
Under the SLFRF program, funds must be used for costs incurred on or after March 3,2021. Further, funds must be obligated by December3I,2O24, and expended by December3L,2026. This time period, during which recipients can expend SLFRF funds, is the "period of performance." ln addition to SLFRF, the American Rescue Plan includes other sources of funding for state and local governments, including the Coronavirus Capital Proiects Fund to fund critical capital investments including broadband infrastructure; the Homeowner Assistance Fund to provide relief for our country's most vulnerable homeowners; the Emergencv Rental Assistance Program to assist households that are unable to pay rent or utilities; and the State Small Business Credit lnitiative to fund small business credit expansion initiatives. Eligible recipients are encouraged to visit the Treasury website for more information.
Caronavirus Stote & Local Fiscal Recovery Funds: Overview ofthe Finol Rule U.S. Deportment of the Treasury
a
a
8
01/24/2023 Item No.11.
@
U.S. DEPARTMENT OF THE TREASURY
Replacing Lost Public Sector Revenue
The Coronavirus State and Local Fiscal Recovery Funds provide needed fiscal relief for recipients that have experienced revenue loss due to the onset of the COVID-L9 public health emergency. Specifically, SLFRF funding may be used to pay for "government services" in an amount equal to the revenue loss experienced by the recipient due to the COVID-L9 public health emergency.
Government services generally include any service traditionally provided by a government, including construction of roads and other infrastructure, provision of public safety and other services, and health and educational services. Funds spent under government services are subject to streamlined reporting and compliance requirements.
ln order to use funds under government services, recipients should first determine revenue loss. They may, then, spend up to that amount on general government services.
DETERMINING REVENUE LOSS
Recipients have two options for how to determine their amount of revenue loss. Recipients must choose one of the two options and cannot switch between these approaches after an election is made. t. Recipients may elect a "standard allowance" of $10 million to spend on government services through the period of performance.
Under this option, which is newly offered in the final rule Treasury presumes that up to $10 million in revenue has been lost due to the public health emergency and recipients are permitted to use that amount (not to exceed the award amount) to fund "government services." The standard allowance provides an estimate of revenue loss that is based on an extensive analysis of average revenue loss across states and localities, and offers a simple, convenient way to determine revenue loss, particularly for SLFRF's smallest recipients.
All recipients may elect to use this standard allowance instead of calculating lost revenue using the formula below, including those witf total allocations of St0 million or less. Electing the standard allowance does not increase or decrease a recipient's total allocation.
2. Recipients may calculate their actual revenue loss according to the formula articulated in the final rule.
Underthis option, recipients calculate revenue loss at four distinct points in time, either at the end of each calendar year (e.g., December 31 for years 2020,202'J.,2022, and 2023) or the end of each fiscal year of the recipient. Under the flexibility provided in the final rule, recipients can choose whether to use calendar or fiscal year dates but must be consistent throughout the period of performance. Treasury has also provided several adjustments to the definition of general revenue in the final rule.
To calculate revenue loss at each of these dates, recipients mustfollow a four-step process Coronovirus Stqte & Local Fiscal Recovery Funds: Overview of the Final Rule U.S. Department of the TreosurY 9
01/24/2023 Item No.11.
@
U.S. DEPARTMENT OF THE TREASURY
Calculate revenues collected in the most recent full fiscal year prior to the public health emergency (i.e., last full fiscal year before January 27,2020), called the bose yeor revenue,
b. Estimate counterfactuol revenue, which is equal to the following formula, where n is the number of months elapsed since the end of the base year to the calculation date:
rL
a
base year revenue x (1 + growth adjustment)E
The growth adjustment is the greater of either a standard growth rate-S.2 percent-or the recipient's average annual revenue growth in the last full three fiscal years prior to the COVID-19 public health emergency.
ldentify octual revenuer which equals revenues collected over the twelve months immediately preceding the calculation date.
Under the final rule, recipients must adjust actual revenue totals for the effect of tax cuts and tax increases that are adopted after the date of adoption of the final rule (January 6,20221. Specifically, the estimated fiscal impact of tax cuts and tax increases adopted after January 6,2022, must be added or subtracted to the calculation of actual revenue for purposes of calculation dates that occur on or after April 1,2022.
Recipients may subtract from their calculation of actual revenue the effect of tax increases enacted prior to the adoption of the final rule. Note that recipients that elect to remove the effect of tax increases enacted before the adoption of the final rule must also remove the effect of tax decreases enacted before the adoption of the final rule, such that they are accurately removing the effect of tax policy changes on revenue. d. Revenue loss for the calculation date is equal to counterfactual revenue minus octual revenue (adjusted for tax changes) for the twelve-month period. lf actual revenue exceeds counterfactual revenue, the loss is set to zero for that twelve-month period.
Revenue loss for the period of performance is the sum of the revenue loss on for each calculation date.
The supplementary information in the final rule provides an example of this calculation, which recipients may find helpful, in the Revenue Loss section.
Coronavirus State & Locol Fiscsl Recovery Funds: Overview of the Finql Rule U.S. Deportment of the Treasury
c
10
01/24/2023 Item No.11.
@
U.S. DEPARTMENT OF THE TREASURY
SPENDING ON GOVERNMENT SERVICES
Recipients can use SLFRF funds on government services up to the revenue loss amount, whether that be the standard allowance amount or the amount calculated using the above approach. Government services generally include any service traditionally provided by a government, unless Treasury has stated otherwise. Here are some common examples, although this list is not exhaustive:
/ Construction of schools and hospitals
,/ Road building and maintenance, and
other infrastructure
./ Health services
./ General government administration,
staff, and administrative facilities
,/ Environmental remediation
,/ Provision of police, fire, and other public
safety services (including purchase of
fire trucks and police vehicles)
Government services is the most flexible eligible use category under the SLFRF program, and funds are subject to streamlined reporting and compliance requirements. Recipients should be mindfulthat certain restrictions, which are detailed further in the Restrictions on Use section and applyto all uses of funds, apply to government sbrvices as well.
Coronovirus State & Local Fiscol Recovery Funds: Overview ofthe Final Rule lJ.S. Department of the Treosury LL
01/24/2023 Item No.11.
@
U.S, DEPARTMENT OF THE TREASURY
Responding to Public Health and Economic lmpacts of COVID-l9 The Coronavirus State and Local Fiscal Recovery Funds provide resources for governments to meet the public health and economic needs of those impacted by the pandemic in their communities, as well as address longstanding health and economic disparities, which amplified the impact of the pandemic in disproportionately impacted communities, resulting in more severe pandemic impacts.
The eligible use category to respond to public health and negative economic impacts is organized around the types of assistance a recipient may provide and includes several sub-categories:
o public health,
o assistance to households,
o assistance to small businesses,
o assistance to nonprofits,
o aid to impacted industries, and
o public sector capacity.
ln general, to identify eligible uses of funds in this category, recipients should (1) identify a COVID-19 public health or economic impact on an individual or class (i.e., a group) and (2) design a program that responds to that impact. Responses should be related and reasonably proportional to the harm identified and reasonably designed to benefit those impacted.
To provide simple, clear eligible uses of funds that meet this standard, Treasury provides a non- exhaustive list of enumerated uses that respond to pandemic impacts. Treasury also presumes that some populations experienced pandemic impacts and are eligible for responsive services, ln other words, recipients providing enumerated uses of funds to populations presumed eligible are clearly operating consistently with the final rule.1
Recipients also have broad flexibility to (1) identify and respond to other pandemic impacts and (2) serve other populations that experienced pandemic impacts, beyond the enumerated uses and presumed eligible populations. Recipients can also identify groups or "classes" of beneficiaries that experienced pandemic impacts and provide services to those classes. 1 However, please note that use offunds for enumerated uses may not be grossly disproportionate to the harm. Further, recipients should consult the Capital Expenditures section for more information about pursuing a capital expenditure; please note that enumerated capital expenditures are not presumed to be reasonably proportional responses to an identified harm except as provided in the Capital Expenditures section.
Coronavirus State & Local Fiscol Recovery Funds: Overview of the Final Rule U.S. Department of the Treosury t2
01/24/2023 Item No.11.
@
U.S. DEPARTMENT OF THE TREASURY
Step 1. ldentify COVID-19 public health or
economic impact
2. Design a response that addresses or
responds to the impact
Analysis Can identify impact to a specific
household, business or nonprofit or
to a class of households, businesses,
or nonprofits (i.e., group)
Can also identify disproportionate
impacts, or more severe impacts, to
a specific beneficiary or to a class
a
a
Types of responses can include a
program, service, or capital
expenditure
Response should be related and
reasonably proportional to the harm
Response should also be reasonably
designed to benefit impacted
individual or class
a
a
a
Simplifying
Presumptions
Final Rule presumes certain
populations and classes are impacted
a nd disproportionately impacted
a
a Final Rule provides non-exhaustive
list of enumerated eligible uses that
respond to pandemic impacts and
disproportionate impacts
To assess eligibility of uses of funds, recipients should first determine the sub-category where their use of funds mayfit (e.g., public health, assistanceto households, assistanceto small businesses), based on the entity that experienced the health or economic impact.2 Then, recipients should refer to the relevant section for more details on each sub-category.
While the same overall eligibility standard applies to all uses of funds to respond to the public health and negative economic impacts of the pandemic, each sub-category has specific nuances on its application. ln addition:
r Recipients interested in using funds for capital expenditures (i.e., investments in property, facilities, or equipment) should review the Capital Expenditures section in addition to the eligible use su b-category.
o Recipients interested in other uses of funds, beyond the enumerated uses, should refer to the section on "Framework for Eligible Uses Beyond Those Enumerated." 2 For example, a recipient interested in providing aid to unemployed individuals is addressing a negative economic impact experienced by a household and should refer to the section on assistance to households. Recipients should also be aware of the difference between "beneficiaries" and "sub-recipients." Beneficiaries are households, small businesses, or nonprofits that can receive assistance based on impacts of the pandemic that they experienced. On the other hand, sub-recipients are organizations that carry out eligible uses on behalf of a government, often through grants or contracts. Sub-recipients do not need to have experienced a negative economic impact ofthe pandemic; rather, they are providing services to beneficiaries that experienced an impact.
Coronavirus State & Local Fiscal Recovery Funds: Overview of the Final Rule L).5. Deportment of the Treosury 13
01/24/2023 Item No.11.
@
U.S. DEPARTMENT OF THE TREASURY
RESPONDING TO THE PUBTIC HEALTH EMERGENCY
While the country has made tremendous progress in the fight against COVID-19, including a historic vaccination campaign, the disease still poses a grave threat to Americans' health and the economy.
Providing state, local, and Tribal governments the resources needed to fight the COVID-19 pandemic is a core goal ofthe Coronavirus State and Local Fiscal Recovery Funds, as well as addressing the other ways that the pandemic has impacted public health. Treasury has identified several public health impacts of the pandemic and enumerated uses of funds to respond to impacted populations. . COVID-19 mitigation and prevention. The pandemic has broadly impacted Americans and recipients can provide services to prevent and mitigate COVID-19 to the general public or to small businesses, nonprofits, and impacted industries in general. Enumerated eligible uses include:
./ Vaccination programs, including vaccine
incentives and vaccine sites
,/ Testing programs, equipment and sites
./ Monitoring, contact tracing & public
health surveillance (e.g., monitoring for
va riants)
,/ Public communication efforts
,/ Public health data systems
'/ COVID-19 prevention and treatment
equipment, such as ventilators and
ambulances
,/ Medical and PPE/protective supplies
'/ Support for isolation or quarantine
./ Ventilation system installation and
improvement
,/ Technical assistance on mitigation of
COVID-19 threats to public health and
safety
'/ Transportation to reach vaccination or
testing sites, or other prevention and
mitigation services for vu lnera ble
populations
Support for prevention, mitigation, or
other services in congregate living
facilities, public facilities, and schools
Support for prevention and mitigation
strategies in small businesses, nonprofits,
and impacted industries
Medical facilities generally dedicated to
COVID-L9 treatment and mitigation (e.9,,
lCUs, emergency rooms)
Temporary medical facilities and other
measures to increase COVID-19 treatment
capacity
Emergency operations centers &
emergency response equipment (e.g.,
emergency response radio systems)
Public telemedicine capabilities for COVID-
19 related treatment
Coronavirus Sfofe & Local Fiscal Recovery Funds: Overview of the Finol Rule U.S. Department of the TreasurY L4
01/24/2023 Item No.11.
@
U.S. DEPARTMENT OF THE TREASURY
Medical expenses. Funds may be used for expenses to households, medical providers, or others that incurred medical costs due to the pandemic, including:
Behavioral health care, such as mental health treatment, substance use treatment, and other behavioral health services. Treasury recognizes that the pandemic has broadly impacted Americans' behavioral health and recipients can provide these services to the general public to respond.
Enumerated eligible uses include:
'/ Unreimbursed expenses for medical care
for COVID-19 testing or treatment, such
as uncompensated care costs for
medical providers or out-of-pocket costs
for individuals
,/ Paid famiV and medical leave for public
employees to enable compliance with
COVID-19 public health precautions
,/ Prevention, outpatienttreatment,
inpatient treatment, crisis care,
diversion programs, outreach to
individuals not yet engaged in
treatment, harm reduction & long-term
recovery support
./ Enhanced behavioral health services in
schools
,/ Services for pregnant women or infants
born with neonatal abstinence
syndrome
,/ Referrals to trauma recovery services for
victims of crime
,/ Community violence intervention
programs, including:
o Evidence-based practices like
focused deterrence, with
wraparound services such as
behavioral therapy, trauma
recovery, job training, education,
housing and relocation services, and
financialassistance
./ Emergency medical response expenses
./ Treatment of long-term symptoms or effects
of COVID-19
'/ Support for equitable access to reduce
disparities in access to high-quality
treatment
'/ Peer support groups, costs for residence in
supportive housing or recovery housing, and
the 988 National Suicide Prevention Lifeline
or other hotline services
'/ Expansion of access to evidence-based
services for opioid use disorder prevention,
treatment, harm reduction, and recovery
,/ Behavioral health facilities & equipment
./ ln communities experiencing increased
gun violence due to the pandemic:
o Law enforcement officers focused
on advancing community policing
o Enforcement efforts to reduce gun
violence, including prosecution
o Technology & equipment to support
law enforcement response
Preventing and responding to violence. Recognizing that violence - and especially gun violence - has increased in some communities due to the pandemic, recipients may use funds to respond in these communities through:
Coronavirus Sfofe & Locol Fiscal Recovery Funds: Overview of the Finol Rule U.S. Department of the Treosury 15
01/24/2023 Item No.11.
@
U.S. DEPARTMENT OF THE TREASURY
RESPONDING TO NEGATIVE ECONOMIC IMPACTS
The pandemic caused severe economic damage and, while the economy is on track to a strong recovery, much work remains to continue building a robust, resilient, and equitable economy in the wake of the crisis and to ensure that the benefits of this recovery reach all Americans. While the pandemic impacted millions of American households and businesses, some of its most severe impacts fell on low-income and underserved communities, where pre-existing disparities amplified the impact of the pandemic and where the most work remains to reach a full recovery.
The final rule recognizes that the pandemic caused broad-based impacts that affected many communities, households, and small businesses across the country; for example, many workers faced unemployment and many small businesses saw declines in revenue. The final rule describes these as "impacted" households, commu nities, sma ll businesses, and non profits.
At the same time, the pandemic caused disproportionate impacts, or more severe impacts, in certain communities. For example, low-income and underserved communities have faced more severe health and economic outcomes like higher rates of COVID-L9 mortality and unemployment, often because pre- existing disparities exacerbated the impact of the pandemic. The final rule describes these as "disproportionately impacted" households, communities, small businesses, and nonprofits.
To simplify administration of the program, the final rule presumes that certain populations were "impacted" and "disproportionately impacted" by the pandemic; these populations are presumed to be eligible for services that respond to the impact they experienced. The final rule also enumerates a non- exhaustive list of eligible uses that are recognized as responsive to the impacts or disproportionate impacts of COVID-19. Recipients providing enumerated uses to populations presumed eligible are clearly operating consistently with the final rule.
As discussed further in the section Frameworkfor Eligible Uses Beyond Those Enumerated, recipients can also identify other pandemic impacts, impacted or disproportionately impacted populations or classes, and responses.
However, note that the final rule maintains that general infrastructure projects, including roads, streets, and surface transportation infrastructure, would generally not be eligible underthis eligible use category, unless the project responded to a specific pandemic public health need or a specific negative economic impact. Similarly, general economic development or workforce development - activities that do not respond to negative economic impacts of the pandemic but rather seek to more generally enhance the jurisdiction's business climate - would generally not be eligible under this eligible use category.
Coronavirus State & Local Fiscal Recovery Funds: Overview of the Final Rule U.S. Department of the Treosury 1_6
01/24/2023 Item No.11.
U.S. DEPARTMENT OF THE TREASURY
Assistance to Households
Impocted Households and Communities
Treasury presumes the following households and communities are impacted by the pandemic:
./ Low- or-moderate income households or
communities
,/ Households that experienced
unemployment
,/ Households that experienced increased
food or housing insecurity
,/ Households that qualify for the Children's
Health lnsurance Program, Childcare
Subsidies through the Child Care
Development Fund (CCDF) Program, or
Medicaid
,/ When providing affordable housing progromsi
households that qualify for the National Housing
Trust Fund and Home lnvestment Partnerships
Program
,/ When providing services to address lost
instructionol time in K-72 schools: any student
that lost access to in-person instruction for a
significant period of time
Low- or moderate-income households and communities are those with (i) income at or below 300 percent of the Federal Poverty Guidelines for the size of the household based on the most recently published poverty guidelines or (ii) income at or below 65 percent of the area median income for the county and size of household based on the most recently published data. For the vast majority of communities, the Federal Poverty Guidelines are higher than the area's median income and using the Federal Poverty Guidelines would result in more households and communities being presumed eligible Treasury has provided an easy-to-use spreadsheet with Federal Poverty Guidelines and area median income levels on its website.
Recipients can measure income for a specific household or the median income for the community, depending on whether the response they plan to provide serves specific households or the general community. The income thresholds vary by household size; recipients should generally use income thresholds for the appropriate household size but can use a default household size of three when easier for administration or when measuring income for a general community.
The income limit for 300 percent of the Federal Poverty Guidelines for a household of three is 565,880 per year.3 ln other words, recipients can always presume that a household earning below this level, or a community with median income below this level, is impacted by the pandemic and eligible for services to respond. Additionally, by following the steps detailed in the section Framework for Eligible Uses Beyond Those Enumerated, recipients may designate additional households as impacted or disproportionately impacted beyond these presumptions, and may also pursue projects not listed below in response to these impacts consistent with Treasury's standards. 3 For recipients in Alaska, the income limit for 300 percent of the Federal Poverty Guidelines for a household of three is 582,350 per year. For recipients in Hawaii, the income limit for 300 percent of the Federal Poverty Guidelines for a household of three is 575,780 per year.
Coronsvirus State & Locol Fiscal Recovery Funds: Overview of the Finol Rule U.5. Deportment of the Treosury L7
01/24/2023 Item No.11.
@
U.S. DEPARTMENT OF THE TREASURY
Treasury recognizes the enumerated projects below, which have been expanded under the final rule, as eligible to respond to impacts of the pandemic on households and communities:
./ Food assistance (e.g., child nutrition
programs, including school meals) & food
banks
,/ Emergency housing assistance: rental
assistance, mortgage assistance, utility
assistance, assista nce paying delinquent
property taxes, counseling and legal aid to
prevent eviction and homelessness &
emergency programs or services for homeless
individuals, including temporary residences
for people experiencing homelessness
./ Health insurance coverage expansion
./ Benefits for surviving family members of
individuals who have died from COVID-19
./ Assistance to individuals who want and are
available for work, including job training,
public jobs programs and fairs, support for
childcare and transportation to and from a
jobsite or interview, incentives for newly-
employed workers, su bsidized employment,
grants to hire underserved workers,
assistance to unemployed individuals to start
small businesses & development of job and
workforce training centers
,/ Financial services for the unbanked and
underbanked
./ Burials, home repair & home weatherization
,/ Programs, devices & equipment for internet
access and digital literacy, including subsidies
for costs of access
./ Cash assistance
,/ Paid sick, medical, and family leave programs
,/ Assistance in accessing and applying for
public benefits or services
./ Childcare and early learning services, home
visiting programs, services for child welfare-
involved families and foster youth & childcare
facilities
,/ Assistance to address the impact of learning
loss for K-12 students (e.9., high-quality
tutoring, differentiated instruction)
,/ Programs or services to support long-term
housing security: including development of
affordable housing and permanent
supportive housing
,/ Certain contributions to an Unemployment
lnsurance Trust Funda
4 Recipients may only use SLFRF funds for contributions to unemployment insurance trust funds and repayment ofthe principal amount due on advances received underTitle Xll of the Social SecurityAct up.to an amount equal to (i) the difference between the balance in the recipient's unemployment insurance trust fund as ofJanuary 27,2020 and the balance of such account as of May 17,202L, plus (ii) the principal amount outstanding as of May L7,2021on any advances received under Title Xll of the Social Security Act between January 27,2020 and May 17,2021,. Further, recipients may use SLFRF funds for the payment of any interest due on such Title Xll advances, Additionally, a recipient that deposits SLFRF funds into its unemployment insurance trust fund to fully restore the pre-pandemic balance may not draw down that balance and deposit more SLFRF funds, back up to the pre-pandemic balance. Recipients that deposit SLFRF funds into an unemployment insurance trust fund, or use SLFRF funds to repay principal on Title Xll advances, may not take action to reduce benefits available to unemployed workers by changing the computation method governing regular unemployment compensation in a way that results in a reduction of average weekly benefit amounts or the number of weeks of benefits payable (i.e., maximum benefit entitlement).
Coronavirus Stote & Locsl Fiscal Recovery Funds: Overview of the Finol Rule U.5. Department of the Treasury 18
01/24/2023 Item No.11.
@
U.S. DEPARTMENT OF THE TREASURY
Disproportionotely Impacted Households and Communities
Treasury presumes the following households and communities are disproportionately impacted by the pandemic:
,/ Low -income households and communities
,/ Households residing in Qualified Census
Tracts
./ Households that qualify for certain federal
benefitss
,/ Households receiving services provided by
Tribal governments
,/ Households residing in the U.S. territories or
receiving services from these governments
Low-income households and communities are those with (i) income at or below 185 percent of the Federal Poverty Guidelines for the size of its household based on the most recently published poverty guidelines or (ii) income at or below 40 percent of area median income for its county and size of household based on the most recently published data. For the vast majority of communities, the Federal Poverty Guidelines level is higher than the area median income level and using this level would result in more households and communities being presumed eligible. Treasury has provided an easy-to-use spreadsheet with Federal Poverty Guidelines and area median income levels on its website.
Recipients can measure income for a specific household or the median income for the community, depending on whether the service they plan to provide serves specific households or the general community, The income thresholds vary by household size; recipients should generally use income thresholds for the appropriate household size but can use a default household size of three when easier for administration or when measuring income for a general community.
The income limit for 185 percent of the Federal Poverty Guidelines for a household of three is 540,625 per year.6 ln other words, recipients can always presume that a household earning below this level, or a community with median income below this level, is disproportionately impacted by the pandemic and eligible for services to respond.
s These programs are Temporary Assistance for Needy Families (TANF), Supplemental Nutrition Assistance Program (SNAP), Free- and Reduced-Price Lunch (NSLP) and/or School Breakfast (SBP) programs, Medicare Part D Low-lncome Subsidies, Supplemental Security lncome (SSl), Head Start and/or Early Head Start, Special Supplemental Nutrition Program for Women, lnfants, and Children (WlC), Section 8 Vouchers, Low-lncome Home Energy Assistance Program (LIHEAP), and Pell Grants. For services to address educational disparities, Treasury will recognize Title I eligible schools as disproportionately impacted and responsive services that support the school generally or support the whole school as eligible. 6 For recipients in Alaska, the income limit for L85 percent of the Federal Poverty Guidelines for a household of three is 550,783 per year. For recipients in Hawaii, the income limit for 185 percent of the Federal Poverty Guidelines for a household of three is 546,731. per year
Coronsvirus State & Local Fiscsl Recovery Funds: Overview of the Final Rule U.S. Deportment of the Treasury 1-9
01/24/2023 Item No.11.
U.S. DEPARTMENT OF THE TREASURY
Treasury recognizes the enumerated projects below, which have been expanded under the final rule, as eligible to respond to disproportionate impacts of the pandemic on households and communities:
,/ Pay for community health workers to help
households access health & social services
,/ Remediation of lead paint or other lead
h aza rds
,/ Primary care clinics, hospitals, integration of
health services into other settings, and other
investments in medical equipment & facilities
designed to address health disparities
./ Housing vouchers & assistance relocating to
neighborhoods with higher economic
opportunity
./ lnvestments in neighborhoods to promote
improved health outcomes
,/ lmprovements to vacant and abandoned
properties, including rehabilitation or
maintenance, renovation, removal and
remediation of environmental contaminants,
demolition or deconstruction, greening/vacant lot
cleanup & conversion to affordable housingT
'/ Services to address educational disparities,
including assistance to high-poverty school
districts & educational and evidence-based
services to address student academic, social,
emotional, and mental health needs
,/ Schools and other educational equipment &
facilities
,/ Responses available to respond to impacts of the
pandemic on households and communities
(including those listed on page 18)
7 Please see the final rule for further details and conditions applicable to this eligible use. This includes Treasury's presumption that demolition of vacant or abandoned residential properties that results in a net reduction in occupiable housing units for low- and moderate-income individuals in an area where the availability of such housing is lower than the need for such housing is ineligible for support with SLFRF funds.
Coronovirus State & Local Fiscsl Recovery Funds: Overview of the Final Rule U.S. Deportment of the Treasury 20
01/24/2023 Item No.11.
@
U.S. DEPARTMENT OF THE TREASURY
Assistance to Small Businesses
Small businesses have faced widespread challenges due to the pandemic, including periods of shutdown, declines in revenue, or increased costs. The final rule provides many tools for recipients to respond to the impacts of the pandemic on small businesses, or disproportionate impacts on businesses where pre-existing disparities like lack of access to capital compounded the pandemic's effects.
Small businesses eligible for assistance are those that experienced negative economic impacts or disproportionate impacts of the pandemic and meet the definition of "small business," specifically:
1. Have no more than 500 employees, or if applicable, the size standard in number of employees established by the Administrator of the Small Business Administration for the industry in which the business concern or organization operates, and
2. Are a small business concern as defined in section 3 of the Small Business Act8 (which includes, among other requirements, that the business is independently owned and operated and is not dominant in its field of operation).
Impocted Small Businesses
Recipients can identify small businesses impacted bythe pandemic, and measures to respond, in many ways; for example, recipients could consider:
Assistance to small businesses that experienced negative economic impacts includes the following enumerated uses:
J Decreased revenue or gross receipts
J Financial insecurity
J lncreased costs
J Loans or grants to mitigate financial
hardship, such as by supporting payroll
and benefits, costs to retain employees,
and mortgage, rent, utility, and other
operating costs
J Capacity to weather financial hardship
J Challenges covering payroll, rent or
mortgage, and other operating costs
J Technical assistance, counseling, or other
services to support business planning
Disproportionotely Impdcted Smoll Businesses
Treasury presumes that the following small businesses are disproportionately impacted by the pandemic:
Coronovirus State & Local Fiscal Recovery Funds: Overview of the Final Rule U.S. Department of the Treasury
8 15 u.s.c. G32
2L
01/24/2023 Item No.11.
@
U.S. DEPARTMENT OF THE TREASURY
J Small businesses operating in Qualified
Census Tracts
J Small businesses operated by Tribal
governments or on Tribal lands
J Rehabilitation of commercial properties,
storefront improvements & fagade
improvements
J Technical assistance, business incubators &
grants for start-up or expansion costs for
small businesses
'/ Small businesses operating in the U.S.
territories
J Support for microbusinesses, including
financial, childcare, and transportation costs
Assistance to disproportionately impacted small businesses includes the following enumerated uses, which have been expanded under the final rule:
Coronovirus Stofe & Locol Fiscal Recovery Funds: Overview of the Final Rule U.S. Department of the Treasury 22
01/24/2023 Item No.11.
@
U.S. DEPARTMENT OF THE TREASURY
Assistance to Non profits
Nonprofits have faced significant challenges due to the pandemic's increased demand for services and changing operational needs, as well as declines in revenue sources such as donations and fees.
Nonprofits eligible for assistance are those that experienced negative economic impacts or disproportionate impacts of the pandemic and meet the definition of "nonprofit"-specifically those that are 501(c)(3) or 501(c)(19) tax-exempt organizations. lmpacted Nonprofits
Recipients can identify nonprofits impacted bythe pandemic, and measures to respond, in many ways; for example, recipients could consider:
Assistance to nonprofits that experienced negative economic impacts includes the following enumerated uses:
,/ Decreased revenue (e.g., from donations
and fees)
,/ Financialinsecurity
,/ lncreased costs (e.g., uncompensated
increases in service need)
./ Loans or grants to mitigate financial
hardship
,/ Capacity to weather financial hardship
./ Challenges covering payroll, rent or
mortgage, and other operating costs
,/ Technical or in-kind assistance or other
services that mitigate negative economic
impacts of the pandemic
Dis propo rti o nate ly I mpa cted N o n prolits
Treasury presumes that the following nonprofits are disproportionately impacted by the pandemic ,/ Nonprofits operating in Qualified Census ,/ Nonprofits operating in the U.S. territories Tracts
./ Nonprofits operated by Tribal
governments or on Tribal lands
Recipients may identify appropriate responses that are related and reasonably proportional to addressing these disproportionate impacts.
Coronovirus State & Local Fiscal Recovery Funds: Overview of the Finol Rule U.S. Department of the Treasury 23
01/24/2023 Item No.11.
U.S. DEPARTMENT OF THE TREASURY
Aid to lmpacted lndustries
Recipients may use SLFRF funding to provide aid to industries impacted by the COVID-19 pandemic.
Recipients should first designate an impacted industry and then provide aid to address the impacted industry's negative economic impact.
This sub-category of eligible uses does not separately identify disproportionate impacts and corresponding responsive services.
1. Designating an impacted industry. There are two main ways an industry can be designated as "impacted."
1,. lf the industry is in the travel, tourism, or hospitality sectors (including Tribaldevelopment districts), the industry is impacted.
2. lf the ind ustry is outside the travel, tou rism, or hospita lity sectors, the ind ustry is impacted if:
The industry experienced at least 8 percent employment loss from pre-pandemic levels,e or
b. The industry is experiencing comparable or worse economic impacts as the national tourism, travel, and hospitality industries as of the date of the final rule, based on the totality of economic indicators or qualitative data (if quantitative data is unavailable), and if the impacts were generally due to the COVID-L9 public health emergency.
Recipients have flexibility to define industries broadly or narrowly, but Treasury encourages recipients to define narrow and discrete industries eligible for aid. State and territory recipients also have flexibility to define the industries with greater geographic precision; for example, a state may identify a particular industry in a certain region of a state as impacted.
2. Providing eligible aid to the impacted industry. Aid may only be provided to support businesses, attractions, and Tribal development districts operating prior to the pandemic and affected by required closures and other efforts to contain the pandemic. Further, aid should be generally broadly available to all businesses within the impacted industry to avoid potential conflicts of interest, and Treasury encourages aid to be first used for operational expenses, such as payroll, before being used on other types of costs.
e Specifically, a recipient should compare the percent change in the number of employees of the recipient's identified industry and the national Leisure & Hospitality sector in the three months before the pandemic's most severe impacts began (a straight three-month average of seasonally-adjusted employment data from December 20L9, January 2020, and February 2020) with the latest data as ofthe final rule (a straight three-month average of seasonally-adjusted employment data from September 2021, October 2021,, and November 202t). For parity and simplicity, smaller recipients without employment data that measure industries in their specific jurisdiction may use data available for a broader unit of government for this calculation (e.g., a county may use data from the state in which it is located; a city may use data for the county, if available, or state in which it is located) solely for purposes of determining whether a particular industry is an impacted industry.
Coronovirus Stofe & Locol Fiscol Recovery Funds: Overview of the Final Ru!e a
U.S. Department of the Treasury 24
01/24/2023 Item No.11.
@
U.S. DEPARTMENT OF THE TREASURY
Treasury recognizes the enumerated projects below as eligible responses to impacted industries.
./ Aid to mitigate financial hardship, such
as supporting payroll costs, lost pay and
benefits for returning employees,
support of operations and maintenance
of existing equipment and facilities
,/ Technical assistance, counseling, or
other services to support business
planning
,/ covlD-19 mitigation and infection
prevention measures (see section Public
Health)
As with all eligible uses, recipients may pursue a project not listed above by undergoing the steps outlined in the section Framework for Eligible Uses Beyond Those Enumerated.
Coronovirus State & Local Fiscal Recovery Funds: Overview of the Finql Rule U.S. Department of the Treasury 25
01/24/2023 Item No.11.
U.S. DEPARTMENT OF THE TREASURY
PUBLIC SECTOR CAPACITY
Recipients may use SLFRF funding to restore and bolster public sector capacity, which supports government's ability to deliver critical COVID-19 services. There are three main categories of eligible uses to bolster public sector capacity and workforce: Public Safety, Public Health, and Human Services Staff; Government Employment and Rehiring Public Sector Staff; and Effective Service Delivery.
Public Safety, Public Health, and Human Services Staff
SLFRF funding may be used for payrolland covered benefits for public safety, public health, health care, human services and similar employees of a recipient government, for the portion of the employee's time spent responding to COVID-L9. Recipients should follow the steps below.
L. ldentify eligible public safety, public health, and human services staff. Public safety staff include { Police officers (including state police
officers)
,/ Sheriffs and deputy sheriffs
./ Firefighters
./ Emergency medical responders
Public health staff include
r' Employees involved in providing medical
and other physical or mental health
services to patients and supervisory
personnel, including medical staff
assigned to schools, prisons, and other
such institutions
{ Laboratory technicians, medical
examiners, morgue staff, and other
support services essential for patient
ca re
,/ Correctional and detention officers
,/ Dispatchers and supervisor personnel
that directly support public safety staff
'/ Employees of public health
departments directly engaged in
public health matters and related
supervisory personnel
Human services staff include:
'/ Employees providing or administering
social services and public benefits
./ Child welfare services employees
,/ Child, elder, or family care employees
2. Assess portion of time spent on COVID-19 response for eligible staff.
Recipients can use a variety of methods to assess the share of an employees'time spent responding to COVID-19, including using reasonable estimates-such as estimating the share of time based on discussions with staff and applying that share to all employees in that position.
For administrative convenience, recipients can consider public health and safety employees entirely devoted to responding to COVID-19 (and their payroll and benefits fully covered by SLFRF) if the Coronavirus State & Local Fiscal Recovery Funds: Overview of the Finol Rule U.S. Department of the Treasury 26
01/24/2023 Item No.11.
@
U.S, DEPARTMENT OF THE TREASURY
employee, or his or her operating unit or division, is "primarily dedicated" to responding to COVID-
19. Primarily dedicated means that more than half of the employee, unit, or division's time is dedicated to responding to COVID-19.
Recipients must periodically reassess their determination and maintain records to support their assessment, although recipients do not need to track staff hours.
3. Use SIFRF funding for payroll and covered benefits for the portion of eligible staff time spent on COVID-l9 response. SLFRF funding may be used for payroll and covered benefits for the portion of the employees'time spent on COVID-19 response, as calculated above, through the period of performance.
Government Employment and Rehiring Public Sector Staff
Under the increased flexibility of the final rule, SLFRF funding may be used to support a broader set of uses to restore and support public sector employment. Eligible uses include hiring up to a pre-pandemic baseline that is adjusted for historic underinvestment in the public sector, providing additional funds for employees who experienced pay cuts or were furloughed, avoiding layoffs, providing worker retention incentives, and paying for ancillary administrative costs related to hiring, support, and retention, o Restoring pre-pandemic employment. Recipients have two options to restore pre-pandemic employment, depending on the recipient's needs.
tf the recipient simply wonts to hire back employees for pre-pondemic positions: Recipients may use SLFRF funds to hire employees for the same positions that existed on January 27, 2020 but that were unfilled or eliminated as of March 3,2O2L. Recipients may use SLFRF funds to cover payroll and covered benefits for such positions through the period of performance.
a
a lf the recipient wonts to hire above the pre-pandemic boseline and/or would like to hove flexibility in positions: Recipients may use SLFRF funds to pay for payroll and covered benefits associated with the recipient increasing its number of budgeted FTES up to 7.5 percent above its pre-pandemic baseline. Specifically, recipients should undergo the following steps:
a. ldentify the recipient's budgeted FTE level on January 27,2020. This includes all budgeted positions, filled and unfilled. This is called the pre-pondemic baseline. b. Multiply the pre-pandemic baseline by L.075. This is called the adjusted pre- pandemic baseline.
c. ldentify the recipient's budgeted FTE level on March 3,2021, which is the beginning of the period of performance for SLFRF funds, Recipients may, but are not required to, exclude the number of FTEs dedicated to responding to the COVID-19 public health emergency. This is called the actuql number of FTEs. d. Subtract the actual number of FTEs from the adjusted pre-pandemic baseline lo calculate the number of FTEs that can be covered by SLFRF funds. Recipients do not have to hire for the same roles that existed pre-pandemic.
Coronavirus Sfote & Local Fiscal Recovery Funds: Overview of the Final Rule U.S. Deportment of the Treasury 27
01/24/2023 Item No.11.
@
U.S. DEPARTMENT OF THE TREASURY
Recipients may use SLFRF funds to cover payroll and covered benefits through the period of performance; these employees must have begun their employment on or after March 3, 2021. Recipients may only use SLFRF funds for additional FTEs hired over the March 3,2021 level (i.e., the actual number of FTEsl.
a Supporting and retaining public sector workers. Recipients can also use funds in other ways that support the public sector workforce.l0 These include:
o Providing additional funding for employees who experienced pay reductions or were furloughed since the onset of the pandemic, up to the difference in the employee's pay, taking into account unemployment benefits received.
o Maintaining current compensation levels to prevent layoffs. SLFRF funds may be used to maintain current compensation levels, with adjustments for inflation, in orderto prevent layoffs that would otherwise be necessary.
Providing worker retention incentives, including reasonable increases in compensation to persuade employees to remain with the employer as compared to other employment options. Retention incentives must be entirely additive to an employee's regular compensation, narrowly tailored to need, and should not exceed incentives traditionally offered by the recipient or compensation that alternative employers may offer to compete for the employees. Treasury presumes that retention incentives that are less than 25 percent of the rate of base pay for an individual employee or 10 percent for a group or category of employees are reasonably proportional to the need to retain employees, as long as other requirements are met.
Covering administrative costs associated with administering the hiring, support, and retention programs above.
Effective Service Delivery
SLFRF funding may be used to improve the efficacy of public health and economic programs through tools like program evaluation, data, and outreach, aswell asto address administrative needs caused or exacerbated by the pandemic. Eligible uses include:
. Supporting program evaluation, data, and outreach through:
10 Recipients should be able to substantiate that these uses offunds are substantially due to the public health emergency or its negative economic impacts (e.g., fiscal pressures on state and local budgets) and respond to its impacts. See the final rule for details on these uses.
Coronovirus Stote & Locql Fiscol Recovery Funds: Overview of the Final Rule o
U.S. Department of the Treosury 28
01/24/2023 Item No.11.
@
U.S. DEPARTMENT OF THE TREASURY
./ Program evaluation and evidence
resources
./ Data analysis resources to gather,
assess, share, and use data
,/ Technology infrastructure to improve
access to and the user experience of
government lT systems, as well as
technology improvements to increase
public access and delivery of
government programs and services
Addressing administrative needs, including:
./ Administrative costs for programs
responding to the public health
emergency and its economic impacts,
including non-SLFRF and non-federally
funded programs
,/ Community outreach and engagement
activities
,/ Capacity building resources to support
using data and evidence, including
hiring staff, consultants, or technical
assistance support
,/ Address administrative needs caused
or exacerbated by the pandemic,
including addressing backlogs caused
by shutdowns, increased repair or
maintenance needs, and technology
infrastructu re to adapt govern ment
operations to the pandemic (e.g.,
video-conferencing software, data and
case management systems)
a
Coronavirus Stote & Local Fiscol Recovery Funds: Overview of the Final Rule U.S. Department of the Treosury 29
01/24/2023 Item No.11.
@
U.S. DEPARTMENT OF THE TREASURY
CAPITAL EXPENDITURES
As described above, the final rule clarifies that recipients may use funds for programs, services, and capital expenditures that respond to the public health and negative economic impacts of the pandemic Any use of funds in this category for a capital expenditure must comply with the capital expenditure requirements, in addition to other standards for uses of funds.
Capital expenditures are subject to the same eligibility standard as other eligible uses to respond to the pandemic's public health and economic impacts; specifically, they must be related and reasonably proportional to the pandemic impact identified and reasonably designed to benefit the impacted population or class.
For ease of administration, the final rule identifies enumerated types of capital expenditures that Treasury has identified as responding to the pandemic's impacts; these are listed in the applicable sub- category of eligible uses (e.g., public health, assistance to households, etc.). Recipients may also identify other responsive capital expenditures. Similar to other eligible uses in the SLFRF program, no pre- approval is required for capital expenditures.
To guide recipients'analysis of whether a capital expenditure meets the eligibility standard, recipients (with the exception of Tribal governments) must complete and meet the requirements of a written justification for capital expenditures equalto or greater than S1 million. For large-scale capital expenditures, which have high costs and may require an extended length of time to complete, as well as most capital expenditures for non-enumerated uses of funds, Treasury requires recipients to submit their written justification as part of regular reporting. Specifically:
A Written Justification includes
Description of the horm or need to be addressed. Recipients should provide a description of the specific harm or need to be addressed and why the harm was exacerbated or caused by the public health emergency. Recipients may provide quantitative information on the extent and the type of harm, such as the number of individuals or entities affected.
Coronovirus State & Locol Fiscal Recovery Funds: Overview of the Finol Rule U.S. Deportment of the Treosury
a
lf a project has
totalcapital
expenditures
of
and the use is enumerated by Treasury
as eligible, then
and the use is beyond those
enumerated by Treasury as eligible,
then
Less than S1
million
No Written Justification required No Written Justification required Greater than or
equal to 51
million, but
less than S10
million
Written Justification required but
recipients are not required to submit as
part of regular reporting to Treasury Written Justification required and recipients must submit as part of regular
reporting to Treasury
S1o million or
more
Written Justification required a nd
recipients must submit as part of regular
reporting to Treasury
30
01/24/2023 Item No.11.
@
U.S. DEPARTMENT OF THE TREASURY
o Explanation of why a copital expenditure is oppropriate. For example, recipients should include an explanation of why existing equipment and facilities, or policy changes or additional funding to pertinent programs or services, would be inadequate. o Comparison of proposed capitol project against ot least two alternative capital expenditures and demonstration of why the proposed capitol expenditure is superior. Recipients should consider the effectiveness of the capitalexpenditure in addressingthe harm identified and the expected total cost (including pre-development costs) against at least two alternative capital expenditures.
Where relevant, recipients should consider the alternatives of improving existing capital assets already owned or leasing other capital assets.
Treasury presumes that the following capital projects are generally ineligible .t(
J(
Construction of new correctional
facilities as a response to an increase in
rate of crime
Construction of new congregate
facilities to decrease spread of COVID-19
in the facility
r Construction of convention centers,
stadiums, or other large capital projects
intended for general economic
development or to aid impacted
industries
ln undertaking capital expenditures, Treasury encourages recipients to adhere to strong labor standards, including project labor agreements and community benefits agreements that offer wages at or above the prevailing rate and include local hire provisions. Treasury also encourages recipients to prioritize in their procurements employers with high labor standards and to prioritize employers without recent violations of federal and state labor and employment laws.
Coronovirus Stste & Local Fiscol Recovery Funds: Overview of the Finol Rule Ll.5. Deportment of the Treasury 31
01/24/2023 Item No.11.
U.S. DEPARTMENT OF THE TREASURY
FRAMEWORK FOR ETIGIBIE USES BEYOND THOSE ENUMERATED
As described above, recipients have broad flexibility to identify and respond to other pandemic impacts and serve other populations that experienced pandemic impacts, beyond the enumerated uses and presumed eligible populations, Recipients should undergo the following steps to decide whether their project is eligible:
L. ldentify a COVID-19 public health or negative economic impact on an individual or a class.
Recipients should identify an individual or class that is "impacted" or "disproportionately impacted" by the COVID-L9 public health emergency or its negative economic impacts as well as the specific impact itself.
a "lmpacted" entities are those impacted by the disease itself or the harmful consequences of the economic disruptions resulting from or exacerbated by the COVID- 19 public health emergency. For example, an individual who lost their job or a small business that saw lower revenue during a period of closure would both have experienced impacts of the pandemic.
"Disproportionately impacted" entities are those that experienced disproportionate public health or economic outcomes from the pandemic; Treasury recognizes that pre- existing disparities, in many cases, amplified the impacts of the pandemic, causing more severe impacts in underserved communities. For example, a household living in a neighborhood with limited access to medical care and healthy foods may have faced health disparities beforethe pandemic,like a higher rate of chronic health conditions, that contributed to more severe health outcomes during the COVID-1.9 pandemic. a
The recipient may choose to identify these impacts at either the individual level or at a class level. lf the recipient is identifying impacts atthe individuallevel, theyshould retain documentation supporting the impact the individual experienced (e.g., documentation of lost revenues from a small business). Such documentation can be streamlined in many cases (e,g., self-attestation that a household requires food assistance).
Recipients also have broad flexibility to identify a "class" - or a group of households, small businesses,ornonprofits-thatexperiencedanimpact. lnthesecases,therecipientsshould Coronovirus Stote & Locql Fiscal Recovery Funds: Overview ofthe Finol Rule Step 1. ldentify COVID-19 public health or
economic impact
2. Design a response that addresses or
responds to the impact
Analysis a Can identify impact to a specific
household, business or nonprofit or to
a class of households, businesses or
nonprofits (i.e., group)
Ca n also identify disproportionate
impacts, or more severe impacts, to a
specific beneficiary or to a class
a
Types of responses can include a
program, service, or capital
expenditu re
Response should be related and
reasonably proportional to the harm
Response should also be reasonably
designed to benefit impacted
individual or class
a
a
a
U.S. Department af the Treasury 32
01/24/2023 Item No.11.
@
U.S, DEPARTMENT OF THE TREASURY
first identify the class and the impact that it faced. Then, recipients only need to document that the individuals served fallwithin that class; recipients do not need to document a specific impact to each individualserved. For example, a recipient could identifythat restaurants in the downtown area faced substantial declines in revenue due to decreased foot traffic from workers; the recipient could develop a program to respond to the impact on that class and only needs to document that the businesses being served are restaurants in the downtown area.
Recipients should keep the following considerations in mind when designating a class:
a
There should be a relationship between the definition of the class and the proposed response. Larger and less-specific classes are less likely to have experienced similar harms, which may make it more difficult to design a response that appropriately responds to those harms.
Classes may be determined on a population basis or on a geographic basis, and the response should be appropriately matched. For example, a response might be designed to provide childcare to single parents, regardless of which neighborhood they live in, or a response might provide a park to improve the health of a disproportionately impacted neighborhood.
Recipients may designate classes that experienced disproportionate impact, by assessing the impacts of the pandemic and finding that some populations experienced meaningfully more severe impacts than the general public. To determine these disproportionate impacts, recipients:
o May designate classes based on academic research or government research publications (such as the citations provided in the supplementary information in the final rule), through analysis of their own data, or through analysis of other existing data sources.
o May also consider qualitative research and sources to augment their analysis, or when quantitative data is not readily available. Such sources might include resident interviews or feedback from relevant state and local agencies, such as public health departments or social services departments. o Should consider the quality of the research, data, and applicability of analysis to their determination in all cases.
Some of the enumerated uses may also be appropriate responses to the impacts experienced by other classes of beneficiaries. lt is permissible for recipients to provide these services to other classes, so long as the recipient determines that the response is also appropriate for those groups.
Recipients may designate a class based on income level, including at levels higher than the final rule definition of "low- and moderate-income." For example, a recipient may identify that households in their community with incomes above the final rule threshold for low-income nevertheless experienced disproportionate impacts from the pandemic and provide responsive services,
2. Design a response that addresses or responds to the impact. Programs, services, and other interventions must be reasonably designed to benefit the individual or class that experienced Coronavirus State & Locol Fiscal Recovery Funds: Overview of the Finol Rule U.S. Depaftment of the Treosury
a
a
33
01/24/2023 Item No.11.
@
U.S. DEPARTMENT OF THE TREASURY
the impact. They must also be related and reasonably proportionalto the extent and type of impact experienced. For example, uses that bear no relation or are grossly disproportionate to the type or extent of the impact would not be eligible. "Reasonably proportional" refers to the scale of the response compared to the scale of the harm, as well as the targeting of the response to beneficiaries compared to the amount of harm they experienced; for example, it may not be reasonably proportionalfor a cash assistance program to provide a very small amount of aid to a group that experienced severe harm and a much larger amount to a group that experienced relatively little harm. Recipients should consider relevant factors about the harm identified and the response to evaluate whether the response is reasonably proportional. For example, recipients may consider the size of the population impacted and the severity, type, and duration of the impact. Recipients may also consider the efficacy, cost, cost-effectiveness, and time to delivery of the response.
For disproportionately impacted communities, recipients may design interventions that address broader pre-existing disparities that contributed to more severe health and economic outcomes during the pandemic, such as disproportionate gaps in access to health care or pre-existing disparities in educationaloutcomes that have been exacerbated bythe pandemic.
Coronqvirus State & Locsl Fiscal Recovery Funds: Overview of the Finol Rule U.S. Deportment of the Treasury 34
01/24/2023 Item No.11.
@
U.S. DEPARTMENT OF THE TREASURY
Premium Pay
The Coronavirus State and Local Fiscal Recovery Funds may be used to provide premium pay to eligible workers performing essential work during the pandemic. Premium pay may be awarded to eligible workers up to S13 per hour. Premium pay must be in addition to wages or remuneration (i,e., compensation) the eligible worker otherwise receives. Premium pay may not exceed S25,000 for any single worker during the program.
Recipients should undergo the following steps to provide premium pay to eligible workers.
1. ldentify an "eligible" worker. Eligible workers include workers "needed to maintain continuity of operations of essential critical infrastructure sectors." These sectors and occupations are eligible:
,/ Health care
./ Emergency response
./ Sanitation, disinfection & cleaning
./ Maintenance
./ Grocery stores, restaurants, food
production, and food delivery
-/ Pharmacy
./ Biomedical research
,/ Behavioral health
./ Medical testing and diagnostics
./ Home and community-based health care
or assistance with activities of daily living
,/ Family or child care
,/ Socialservices
,/ Public health
,/ Mortuary
,/ Critical clinical research, development,
and testing necessary for COVID-19
response
,/ State, local, or Tribal government
workforce
,/ Workers providing vital services to
Tribes
./ Educational, school nutrition, and other
work required to operate a school
facility
./ Laundry
./ Elections
,/ Solid waste or hazardous materials
management, response, and cleanup
./ Work requiring physical interaction with
patients
,/ Dental care
,/ Transportation and warehousing
,/ Hotel and commercial lodging facilities
that are used for COVID-19 mitigation
and containment
Beyond this list, the chief executive (or equivalent) of a recipient government may designate additional non-public sectors as critical so long as doing so is necessary to protecting the health and wellbeing of the residents of such jurisdictions.
2. Verify that the eligible worker performs "essential work," meaning work that o ls not performed while teleworking from a residence; and o lnvolves either:
a. regular, in-person interactions with patients, the public, or coworkers of the individual that is performing the work; or
b. regular physical handling of items that were handled by, or are to be handled by, patients, the public, or coworkers of the individual that is performing the work.
Coronovirus State & Local Fiscal Recovery Funds: Overview of the Finol Rule U.S. Department of the TreasurY 35
01/24/2023 Item No.11.
@
U.S. DEPARTMENT OF THE TREASURY
3. Confirm that the premium pay "responds to" workers performing essential work during the COVID-l9 public health emergency. Under the final rule, which broadened the share of eligible workers who can receive premium pay without a written justification, recipients may meet this requirement in one of three ways:
Eligible worker receiving premium pay is earning (with the premium included) at or below 150 percent oftheir residing state or county's average annual wage for all occupations, as defined by the Bureau of Labor Statistics' Occupational Emplovment and Wase Statistics, whichever is higher, on an annual basis; or
o
Eligible worker receiving premium pay is not exempt from the Fair Labor Standards Act overtime provisions; or
lf a worker does not meet either of the above requirements, the recipient must submit written justification to Treasury detailing how the premium pay is otherwise responsive to workers performing essential work during the public health emergency. This may include a description of the essential worker's duties, health, or financial risks faced due to COVID-19, and why the recipient determined that the premium pay was responsive. Treasury anticipates that recipients will easily be able to satisfy the justification requirement for front-line workers, like nurses and hospital staff.
Premium pay may be awarded in installments or lump sums (e.g., monthly, quarterly, etc.) and may be awarded to hourly, part-time, or salaried or non-hourly workers. Premium pay must be paid in addition to wages already received and may be paid retrospectively. A recipient may not use SLFRF to merely reimburse itself for premium pay or hazard pay already received by the worker, and premium pay may not be paid to volunteers.
Coronsvirus State & Locol Fiscal Recovery Funds: Overview of the Final Rule U.S. Department of the Treosury
a
36
01/24/2023 Item No.11.
@
U.S. DEPARTMENT OF THE TREASURY
Water & Sewer Infrastructure
The Coronavirus State and Local Fiscal Recovery Funds may be used to make necessary investments in water and sewer infrastructure. State, local, and Tribal governments have a tremendous need to address the consequences of deferred maintenance in drinking water systems and removal, management, and treatment of sewage and stormwater, along with additional resiliency measures needed to adapt to climate change.
Recipients may undertake the eligible projects below:
PRoJECTS EUGTBLE UNDER EPA'S CLEAN WATER STATE REVOIVING FUND (CWSRF) Eligible projects under the CWSRF, and the final rule, include:
Treasury encourages recipients to review the EPA handbook for the CWSRF for a full list of eligibilities.
PRoJECTS ELIGtBtE UNDER EPA',S DRINKING WATER STATE REVOIVING FUND (DWSRF) Eligible drinking water projects under the DWSRF, and the final rule, include ./ Construction of publicly owned
treatment works
,/ Projects pursuant to implementation
of a nonpoint source pollution
management program established
under the Clean Water Act (CWA)
./ Decentralized wastewatertreatment
systems that treat municipal
wastewater or domestic sewage
./ Management and treatment of
stormwater or subsurface drainage
water
./ Water conservation, efficiency, or
reuse measures
r' Facilities to improve drinking water
q ua lity
./ Transmission and distribution,
including improvements of water
pressure or prevention of
contamination in infrastructure and
lead service line replacements
./ New sources to replace contaminated
drinking water or increase drought
resilience, including aquifer storage
and recovery system for water storage
,/ Development and implementation of a
conservation and management plan
under the CWA
,/ Watershed projects meeting the
criteria set forth in the CWA
'/ Energy consumption reduction for
publicly owned treatment works
./ Reuse or recycling of wastewater,
stormwater, or su bsurface drainage
water
,/ Security of publicly owned treatment
works
,/ Green infrastructure, including green
roofs, rainwater harvesting collection,
permeable pavement
,/ Storage of drinking water, such as to
prevent contaminants or equalize
water demands
./ Purchase of water systems and
intercon nection of systems
./ New community water systems
Treasury encourages recipients to review the EPA handbook for the DWSRF for a full list of eligibilities Coronovirus State & Locol Fiscsl Recovery Funds: Overview of the Final Rule U.S. Deportment of the Treasury 37
01/24/2023 Item No.11.
@
U.S. DEPARTMENT OF THE TREASURY
ADDITIONAL EtIGIBtE PROJECTS
With broadened eligibility under the final rule, SLFRF funds may be used to fund additional types of projects- such as additionalstormwater infrastructure, residentialwells, lead remediation, and certain rehabilitations of dams and reservoirs - beyond the CWSRF and DWSRF, if they are found to be "necessary" according to the definition provided in the final rule and outlined below. ./ Culvert repair, resizing, and removal,
replacement of storm sewers, and
additional types of stormwater
infrastructure
,/ lnfrastructure to improve access to
safe drinking water for individual
served by residential wells, including
testing initiatives, and
treatment/remediation strategies that
address contamination
,/ Dam and reservoir rehabilitation if
primary purpose of dam or reservoir is
for drinking water supply and project
is necessary for provision of drinking
water
A "necessary" investment in infrastructure must be:
./ Broad set of lead remediation projects
eligible under EPA grant programs
authorized by the Water
I nfrastructu re lmprovements for the
Nation (WllN) Act, such as lead
testing, installation of corrosion
control treatment, lead service line
replacement, as well as water quality
testing, compliance monitoring, and
remediation activities, including
replacement of internal plumbing and
faucets and fixtures in schools and
childcare facilities
(1") responsive to an identified need to achieve or maintain an adequate minimum level of service, which may include a reasonable projection of increased need, whether due to population growth or otherwise,
(2) a cost-effective means for meeting that need, taking into account available alternatives, and (3) for investments in infrastructure that supply drinking water in order to meet projected population growth, projected to be sustainable over its estimated useful life.
Please note that DWSRF and CWSRF-eligible projects are generally presumed to be necessary investments. Additional eligible projects generally must be responsive to an identified need to achieve or maintain an adequate minimum level of service. Recipients are only required to assess cost- effectiveness of projects for the creation of new drinking water systems, dam and reservoir rehabilitation projects, or projects for the extension of drinking water service to meet population growth needs. Recipients should review the supplementary information to the final rule for more details on requirements applicable to each type of investment.
APPLICABTE STANDARDS & REqUIREMENTS
Treasury encourages recipients to adhere to strong labor standards, including project labor agreements and community benefits agreements that offer wages at or above the prevailing rate and include local hire provisions. Treasury also encourages recipients to prioritize in their procurements employers with high labor standards and to prioritize employers without recent violations of federal and state labor and employment laws.
Coronavirus State & Local Fiscql Recovery Funds: Overview of the Final Rule U.S. Deportment of the TreasurY 38
01/24/2023 Item No.11.
U.S. DEPARTMENT OF THE TREASURY
Broadband Infrastructure
The Coronavirus State and Local Fiscal Recovery Funds may be used to make necessary investments in broadband infrastructure, which has been shown to be critical for work, education, healthcare, and civic participation during the public health emergency. The final rule broadens the set of eligible broadband i nf rastructu re investments that reci pients may u nderta ke.
Recipients may pursue investments in broadband infrastructure meeting technical standards detailed below, as well as an expanded set of cybersecurity investments.
BROADBAND I NFRASTRUCTURE I NVESTMENTS
Recipients should adhere to the following requirements when designing a broadband infrastructure project:
1. ldentify an eligible area for investment. Recipients are encouraged to prioritize projects that are designed to serve locations without access to reliable wireline L00/20 Mbps broadband service (meaning service that reliably provides 100 Mbps download speed and 20 Mbps upload speed through a wireline connection), but are broadly able to invest in projects designed to provide service to locations with an identified need for additional broadband investment.
Recipients have broad flexibility to define need in their community. Examples of need could include:
,/ Lack of access to a reliable high-speed
broadband connection
./ Lack of affordable broadband
,/ Lack of reliable service
lf recipients are considering deploying broadband to locations where there are existing and enforceable federal or state funding commitments for reliable service of at least 100/20 Mbps, recipients must ensure that SLFRF funds are designed to address an identified need for additional broadband investment that is not met by existing federal or state funding commitments. Recipients must also ensure that SLFRF funds will not be used for costs that will be reimbursed by the other federal or state funding streams.
2. Design project to meet high-speed technical standards. Recipients are required to design projects to, upon completion, reliably meet or exceed symmetrical 100 Mbps download and upload speeds. ln cases where it is not practicable, because of the excessive cost of the project or geography or topography of the area to be served by the project, eligible projects may be designed to reliably meet or exceed tOO/20 Mbps and be scalable to a minimum of symmetrical 100 Mbps download and upload speeds.
Treasury encourages recipients to prioritize investments in fiber-optic infrastructure wherever feasible and to focus on projects that will achieve last-mile connections, Further, Treasury encourages recipients to prioritize support for broadband networks owned, operated by, or affiliated with local governments, nonprofits, and co-operatives.
Coronovirus Stqte & Local Fiscol Recovery Funds: Overview of the Final Rule U.S. Department of the Treqsury 39
01/24/2023 Item No.11.
@
U.S. DEPARTMENT OF THE TREASURY
3. Require enrollment in a low-income subsidy program. Recipients must require the service provider for a broadband project that provides service to households to either:
./ Participate in the FCC's Affordable '/ Provide access to a broad-based Connectivity Program (ACP) affordability program to low-income consumers that provides benefits
commensurate to ACP
Treasury encourages broadband services to also include at least one low-cost option offered without data usage caps at speeds sufficient for a household with multiple users to simultaneously telework and engage in remote learning. Recipients are also encouraged to consult with the community on affordability needs.
CYBERSECU RITY I NVESTMENTS
SLFRF may be used for modernization of cybersecurityfor existing and new broadband infrastructure, regardless of their speed delivery standards, This includes modernization of hardware and software.
APPLICABLE STANDARDS & REqUIREMENTS
Treasury encourages recipients to adhere to strong labor standards, including project labor agreements and community benefits agreements that offer wages at or above the prevailing rate and include local hire provisions. Treasury also encourages recipients to prioritize in their procurements employers with high labor standards and to prioritize employers without recent violations of federal and state labor and employment laws.
Coronovirus Stqte & Locol Fiscal Recovery Funds: Overview ofthe Final Rule U.S. Department of the Treosury 40
01/24/2023 Item No.11.
U.S, DEPARTMENT OF THE TREASURY
Restrictions on Use
While recipients have considerable flexibility to use Coronavirus State and Local Fiscal Recovery Funds to address the diverse needs of their communities, some restrictions on use of funds apply.
OFFSET A REDUCTION IN NET TAX REVENUE
States and territories may not use this funding to directly or indirectly offset a reduction in net tax revenue resulting from a change in law, regulation, or administrative interpretation beginning on March 3,2021, through the last day of the fiscal year in which the funds provided have been spent. lf a state orterritory cuts taxes duringthis period, it must demonstrate how it paid for the tax cuts from sources other than SLFRF, such as by enacting policies to raise other sources of revenue, by cutting spending, or through higher revenue due to economic growth. lf the funds provided have been used to offset tax cuts, the amount used for this purpose must be repaid to the Treasury,
DEPOSITS INTO PENSION FUNDS
No recipients except Tribal governments may use this funding to make a deposit to a pension fund. Treasury defines a "deposit" as an extraordinary contribution to a pension fund forthe purpose of reducing an accrued, unfunded liability. While pension deposits are prohibited, recipients may use funds for routine payroll contributions connected to an eligible use of funds (e.g., for public health and safety staff). Examples of extraordinary payments include ones that:
a
a
Jc
ADDITIONAL RESTRICTIONS AND REQUIREMENTS
Additional restrictions and requirements that apply across all eligible use categories include:
No debt service or replenishing financial reserves. Since SLFRF funds are intended to be used prospectively, recipients may not use SLFRF funds for debt service or replenishing financial reserves (e,g., rainy day funds).
No satisfaction of settlements and judgments. Satisfaction of any obligation arising under or pursuant to a settlement agreement, judgment, consent decree, or judicially confirmed debt restructuring in a judicial, administrative, or regulatory proceeding is itself not an eligible use.
However, if a settlement requires the recipient to provide services or incur other costs that are an eligible use of SLFRF funds, SLFRF may be used for those costs.
Additional general restrictions. SLFRF funds may not be used for a project that conflicts with or contravenes the purpose of the American Rescue Plan Act statute (e.g., uses of funds that Coronqvirus State & Local Fiscal Recovery Funds: Overview of the Final Rule U.S. Department of the Treasury 4L
Reduce a liability incurred prior to the
start of the COVID-19 public health
emergency and occur outside the
recipient's regular timing for making the
payment
Jc Occur at the regular time for pension
contributions but is largerthan a regular
payment would have been
a
a
a
01/24/2023 Item No.11.
s
U.S. DEPARTMENT OF THE TREASURY
undermine COVID-19 mitigation practices in line with CDC guidance and recommendations) and may not be used in violation of the Award Terms and Conditions or conflict of interest requirements under the Uniform Guidance. Other applicable laws and regulations, outside of SLFRF program requirements, may also apply (e.g., laws around procurement, contracting, conflicts-of-interest, envi ron me nta I sta nda rds, or civil rights).
Coronqvirus State & Local Fiscol Recovery Funds: Overview of the Final Rule U.S. Department of the Treosury 42
01/24/2023 Item No.11.
@
U.S. DEPARTMENT OF THE TREASURY
Program Administration
The Coronavirus State and Local Fiscal Recovery Funds final rule details a number of administrative processes and requirements, including on distribution of funds, timeline for use of funds, transfer of funds, treatment of loans, use of funds to meet non-federal match or cost-share requirements, administrative expenses, reporting on use of funds, and remediation and recoupment of funds used for ineligible purposes. This section provides a summary for the most frequently asked questions.
TIMELINE FOR USE OF FUNDS
Under the SLFRF, funds must be used for costs incurred on or after March 3,202L. Further, costs must be obligated by December 3L,2024, and expended by December 31,2026.
TRANSFERS
Recipients may undertake projects on their own or through subrecipients, which carry out eligible uses on behalf of a recipient, including pooling funds with other recipients or blending and braiding SLFRF funds with other sources of funds. Localities may also transfer their funds to the state through section 603(c)(a), which will decrease the locality's award and increase the state award amounts.
LOANS
Recipients may generally use SLFRF funds to provide loans for uses that are otherwise eligible, although there are special rules about how recipients should track program income depending on the length of the loan. Recipients should consultthe finalrule if theyseekto utilize these provisions.
NON-FEDERAt MATCH OR COST-SHARE REQUIREMENTS
Funds available under the "revenue loss" eligible use category (sections 602(cX1XC) and 603(cX1XC) of the Social Security Act) generally may be used to meet the non-federal cost-share or matching requirements of otherfederal programs. However, note that SLFRF funds may not be used as the non- federal share for purposes of a state's Medicaid and CHIP programs because the Office of Management and Budget has approved a waiver as requested by the Centers for Medicare & Medicaid Services pursuant to 2 CFR 2OO.LO2 of the Uniform Guidance and related regulations.
SLFRF funds beyond those that are available under the revenue loss eligible use category may not be used to meet the non-federal match or cost-share requirements of other federal programs, other than as specifically provided for by statute. As an example, the lnfrastructure lnvestment and Jobs Act provides that SLFRF funds may be used to meet the non-federal match requirements of authorized Bureau of Reclamation projects and certain broadband deployment projects. Recipients should consult the final rule for further details if they seek to utilize SLFRF funds as a match for these projects.
ADMI N ISTRATIVE EXPENSES
SLFRF funds may be used for direct and indirect administrative expenses involved in administering the program. For details on permissible direct and indirect administrative costs, recipients should refer to Treasury's Compliance and Reporting Guidance. Costs incurred for the same purpose in like circumstances must be treated consistently as either direct or indirect costs.
Coronovirus State & Local Fiscsl Recovery Funds: Overview ofthe Finol Rule U.5. Deportment of the Treosury 43
01/24/2023 Item No.11.
@
U.S. DEPARTMENT OF THE TREASURY
REPORTING, COMPTIANCE & RECOUPMENT
Recipients are required to comply with Treasury's Compliance and Reporting Guidance, which includes submitting mandatory periodic reports to Treasury.
Funds used in violation of the final rule are subject to remediation and recoupment. As outlined in the final rule, Treasury may identify funds used in violation through reporting or other sources. Recipients will be provided with an initial written notice of recoupment with an opportunity to submit a request for reconsideration before Treasury provides a finalnotice of recoupment. lf the recipient receives an initial notice of recoupment and does not submit a request for reconsideration, the initial notice will be deemed the final notice. Treasury may pursue other forms of remediation and monitoring in conjunction with, or as an alternative to, recoupment.
REVISIONS TO THE OVERVIEW OF THE FINAL RUtE:
a January 18,2022 (p. 4, p. L6): Clarification that the revenue loss standard allowance is "up to" S10 million under the Replacing Lost Public Sector Revenue eligible use category; addition of further information on the eligibility of general infrastructure, general economic development, and worker development projects under the Public Health and Negative Economic lmpacts eligible use category.
March L7,2022 (p. L8): Specified that provision of child nutrition programs is available to respond to impacts of the pandemic on households and communities.
Coronavirus State & Locol Fiscsl Recovery Funds: Overview of the Finol Rule U.S. Department of the Treasury
a
44
01/24/2023 Item No.11.
This page intentionolly Ieft blank
to facilitate double- sided printing .
CITY OF
FOLSON{
DIgTINCTIVE IY NA?URE
01/24/2023 Item No.11.
Folsom City Council
Staff Re rt
RECOMMENDATION / CITY COUNCIL ACTION
Staff respectfully recommends that the City Council pass and adopt Resolution No. 10982 - A Resolution of the City Council of the City of Folsom Proclaiming Termination of Winter Storm Local Emergency.
BACKGROUND / ISSUE
Starting late December 2022, a series of severe atmospheric river brought damaging winds and heavy rainfall throughout Northem California, including the City of Folsom, causing localized flooding and damage to private properties and public facilities. The severity of the storms and widespread damages caused the Governor of the State of California to proclaim a State of Emergency on January 4,2023 (Attachment 3). The County of Sacramento's Chief of Emergency Services proclaimed a State of Local Emergency on December 31, 2022 d:ueto the same conditions (Attachment 4). Drawing upon her authority as the City's Director of Emergency Services, the Folsom City Manager proclaimed a State of Local Emergency on January 13,2023 (Attachment 5).
On January 18 , 2023 , the City Council adopted Resolution No. I 09 8 1 and ratified the Director' s emergel cy proclamation.
POLICY / RULE
The Califomia Emergency Services Act and the Folsom Municipal Code empower the City Council to proclaim the existence or threatened existence of a local emergency when the City is affected or likely to be affected by a public calamity. The City Council shall proclaim I
MEETING DATE: v2412023
AGENDA SECTION: Old Business
SUBJECT: Resolution No. 10982 - A Resolution of the City Council of the City Folsom Proclaiming Termination of Winter Storm Local Emergency
FROM: City Attorney's Office
01/24/2023 Item No.12.
termination of the local emergency at the earliest possible date that conditions warrant per Folsom Municipal Code Section 2.28.040(A).
ANALYSIS
Beginning at the end of December, 2022, a series of severe winter storms began pounding California, bringing wind, rain, flooding, and extensive damage to much of the state. These storms also brought damaging high winds, substantial precipitation, and localized flooding in the City of Folsom, with particularly challenging conditions accelerating from January 4, 2023 onward.
The storms caused significant damage throughout the City and required extraordinary responses by City employees to protect the public's health and safety. Storm damage to critical City infrastructure and resources presented a condition of extreme peril to the public's health and safety.
In her role as the City of Folsom's Director of Emergency Services, the City Manager found and declared conditions warranting the proclamation of a Local State of Emergency on January 13,2023. The City Council ratified that proclamation on January 18,2023. Since then, the waves of atmospheric river and severe winter storms have passed, and the conditions of extreme peril previously posed by the storms no longer exist in the City. It is, therefore, appropriate for the City Council to proclaim termination of the local emergency.
FINANCIAL IMPACT
Costs and expenses associated with emergency response actions are budgeted in the City's General Fund, which may be reimbursable under County and State emergency proclamations. Terminating the proclamation of the COVID-I9 local emergency has no impact on the City's general fund.
ENVIRONMENTAL REVIEW
This action is not considered a project under Section 15061(bX3) of the California Environmental Quality Act Guidelines, and as such is exempt from environmental review
ATTACHMENTS
1. Resolution No. 10982 - A Resolution of the City Council of the City Folsom Proclaiming Termination of Winter Storm Local Emergency
2. Resolution No. 10981 - A Resolution of the City Council of the City of Folsom Ratiffing Existence of a Local Emergency
3. California Governor's Proclamation of a State of Emergency, January 4,2023
4. County of Sacramento's Chief of Emergency Services' Proclamation of Local Emergency, December 3 l, 2022
5. Folsom City Manager's/Director of Emergency Services' Proclamation of a Local State of Emergency, January 13,2023
2 Page 96
01/24/2023 Item No.12.
Respectfu lly submitted,
Steven
IL-,
J Page 97
01/24/2023 Item No.12.
ATTACHMENT 1
01/24/2023 Item No.12.
RESOLUTION NO. 10982
A RESOLUTION OF THE CITY COUNCIL OX' THE CITY OF FOLSOM
PROCLAMING TERMINATION OF WINTER STORM LOCAL EMERGENCY
WHEREAS, California Governor Gavin Newsom proclaimed a State of Emergency on January 4,2023 due to widespread damages caused by severe winter storms from a series of atmospheric river systems striking California; and
WHEREAS, the County of Sacramento's Chief of Emergency Services proclaimed a State of Local Emergency on December 31, 2022 due to the same conditions (and this declaration was ratified by the Sacramento County Board of Supervisors on January 3,2023); WHEREAS, the aforementioned storms also brought damaging high winds, substantial precipitation, and localized flooding in the City of Folsom, with particularly challenging conditions accelerating from January 4,2023 onward; and WHEREAS, the aforementioned storms caused severe damages throughout the City and required extraordinary responses by City employees to protect the public's safety; and WHEREAS, due to additional and continuing storms related to this series of atmospheric river systems bringing strong winds, heavy rainfall, and localized flooding to the City for several days, with the expectation of additional damages from falling debris, downed trees, and localized flooding, the Folsom Director of Emergency Services proclaimed the existence of a local emergency due to the severe winter storms on January 13,2023; and WHEREAS, the City Council adopted Resolution No. 10981 and ratified the Director's emergency proclamation on January 18,2023; and
WHEREAS,, the winter storms have now passed and the conditions of extreme peril previously posed by the storms no longer exist in the City.
NOW' THEREFORE, BE IT RESOLVED by the City Council of the City of Folsom proclaiming that the winter storm local emergency in the City of Folsom shall be terminated as ofJanuary 24,2023.
PASSED AND ADOPTED this 24ft day of January, 2023, by the following roll-call vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
Councilmember(s):
Councilmember(s):
Councilmember(s):
Councilmember(s):
Resolution No. 10982
Page I of2 Page 99
01/24/2023 Item No.12.
Rosario Rodriguez, MAYOR
ATTEST:
Christa Freemantle, CITY CLERK
Resolution No. 10982
Page2 of2 Page 100
01/24/2023 Item No.12.
ATTACHMENT 2
01/24/2023 Item No.12.
RESOLUTION NO. 10981
A RESOLUTION OF'THE CITY COUNCIL OF THE CITY OF FOLSOM RATIFYING
EXISTENCE OF A LOCAL EMERGENCY
WHEREAS, California Governor Gavin Newsom proclaimed a State of Emergency on January 4, 2023 due to widespread damages caused by severe winter storms from a series of atmospheric river systems striking California; and
WHEREAS, the County of Sacramento's Chief of Emergency Services proclaimed a State of Local Emergency on December 31, 2022 due to the same conditions (and this declaration was ratified by the Sacramento County Board of Supervisors on January 3,2023); WHEREAS, the aforementioned storms also brought damaging high winds, substantial precipitation, and localized flooding in the City of Folsom, with particularly challenging conditions accelerating from January 4,2023 onward; and WHEREAS, the aforementioned storms caused severe damages throughout the City and required extraordinary responses by City employees to protect the public's safety; and WHEREAS, it is forecasted that additional and continuing storms related to this series of atmospheric river systems will bring strong winds, heavy rainfall, and localized flooding to the City for several moie days, and the City expects additional damages from falling debris, downed trees, and localized flooding; and
WHEREAS, storm damage to critical City infrastructure and resources can present a condition of extreme peril to the public's health and safety; and WHEREAS, the California Emergency Services Act empowers the City Council to proclaim the existence or threatened existence of a local emergency when the City is affected or likely to be affected by a public calamity; and
WHEREAS, drawing upon her authority as the Crty's Director of Emergency Services, the City Manager proclaimed a State of Local Emergency on January 13,2023, and the City Council has been requested by the City's Director of Emergency Services to ratifu the existence of a local emergency therein; and
WHEREAS, the City Council does hereby find that conditions of extreme peril to the safety of persons and property have arisen within the City of Folsom, caused by severe winter storms from a series of atmospheric river systems in Sacramento County and throughout the State of California commencing the 4th day of January, 2023, and that the aforesaid conditions of extreme peril warrant and necessitate the proclamation of the existence of a local emergency.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Folsom that the proclamation of a local emergency by the City's Director of Emergency Services due to Resolution No. 10981
Page I of2
01/24/2023 Item No.12.
severe winter storms is hereby ratified.
BE IT FURTHER RESOLVED that during the existence of said local emergency the powers, functions and duties of the Director of Emergency Services and the emergency irganization of this City shall be those prescribed by state law, by charter, ordinances, and resolutions of the City of Folsom.
BE IT FURTHER RESOLVED that said local emergency shall be deemed to continue to exist until its termination is proclaimed by the City Council of the City of Folsom. pASSED Al[D ADOPTED this 18tr day of January, 2023, by the following roll-call vote:
AyES: Councilmember(s): Aquino, Chalamcherla, Kozlowski, Rohrbough, Rodriguez NOES:
ABSENT:
ABSTAIN:
Councilmember(s): None
Councilmember(s): None
Councilmember(s): None
Rodriguez, MAYOR
ATTEST:
Christa
Resolution No. 10981
Page2 of2
CITY CLERK
01/24/2023 Item No.12.
ATTACHMENT 3
01/24/2023 Item No.12.
EXECUTIVE DEPARTMENT'
STATE OF CALXFORNI,A.
PROCTAMAIION OF A STATE OF EMERGENCY
WHEREAS beginning December 27 ,2022, severe winter storms reloted to o series of oimospheric river sysiems struck Colifornio, bringing high winds, substontiol precipiiotion, ond river ond urbon flooding; ond WHEREAS il is forecqsled ihot odditional ond conlinuing slorrns relqted to this series of otmospheric river systems lhreoten Colifornio, bringing heovy roinfoll, expected flooding, slrong winds ond wind gusts, folling debrjs, downed tree5, ond widespreod power outoges; ond
WHEREAS in preporoiion for the forecosted siorms, multiple Colifornio Conservotion Corps flood fight crewsi fire switi woler rescue, cnd urbon seorch ond rescue teoms hove been slrotegicolly prepositioned for emergency response; sondbogs h,cve been mode ovoiloble lhroughoui the Sicte; ond shelters ore opening for disploced individuols; ond
WHEREAS these storms forced ihe closure ond coused domoge to highwoys ond roads, os well cs coused levee ond culverl foilures, ond mcndolory evocuotions in severely impocted counties, ond such impccis will likely continue lo be coused by the forecosied slorms; ond WHEREAS these storms threotened ond continue io threoten criticol infrostructure, movement of resources, burn scors from recent wildfires potentiolly cousing mud ond debris flows;resulted in ond ihreoten power outoges ls ihousonds of househofds ond businesses;ond coused ond continue to threolen river and urbon flooding due lo excessive ond prolonged roinfoll; ond
WHEREAS due to the series of ofmospheric river syslems continuously impocting counties lhroughout the Stoie, ihe counties hove nol hqd time to mitigcte fhe eoscoding irnpocts of these siorms; ond
WI{EREAS under the provisions of Governmenl Code seclion 8558(b), I find that conditions of extreme peril to lhe sofety of persons ond property exist due to fhese stormsi ond
WHEREAS under fhe provisions of Governrnent Code seclion 8558(b), I find thot ihe conditions,csused by these storms, by reoson of their mognitude, ore or ore likely lo be beyond ihe conirol of the services, personnel. equipment, ond focilities of ony sjngle locot governmenl cnd require the combined forces of o muluol oid region or regions io opproprioiely respond; ond I/VIIEREAE under the provisions of Goverhr'neni Code secfion 8625{c), I find thot locolouihority is inodequote io cope with the mognitude of the domoge cgused by lhese slorms; ond
WHEREAS under the provisions of Government Code section 8571. I find lhot slrict complionce with vcrious stotules ond regulofions specified in this Proclomoiion would preveni, hin'der, or deloy the mitigotion of the effects of these storms.
01/24/2023 Item No.12.
NOW, THERETORE, l, GAVIN NEWSOM, Governor of the Stqle of Colifornio, in qccordonce with the outhority vested in me by the Stote Constitution ond stotutes, including ihe Colifornio Emergency Services Acl, ond in porticulor, Government Code section 8625, HEREBY PROCLAIM A STATE OF EMERGENCY to exisi throughoui Colifornio.
IT IS HEREBY ORDERED THAT:
1. All ogencies of the stote governmenf utilize ond employ stote personnel, equipmenl, ond focili'fies for lhe performonce of ony ond oll sctivities consiste'nt with the direction of the Office of Emergency Services qnd lhe Slcte Emergency Plon. Also, ollresidenis ore lo obey the direclion of emergency officiols with regord to this emergency in order io piotect their sofeiy.
2. The Office of EmergencyServices shollprovide ossistonce to locol governments, if oppropriote, under the ouihority of lhe Cqlifornio Disoster Assislonce Acl, Government Code section 8680 et seq., and Colifornio Code of Regulotions, Title 19, section 2900 et seq.
3. As necessory lo ossisi locol governments qnd for the protection of public heollh ond the environmeni, stote ogencies sholl enter into controcfs to ononge for the procuremeRt of moteriols, goods, ond services necessory to quickly cssist with the response to qnd recovery from the impocts ol these sforms. Applicoble.provisions of the Government Code ond ihe Public Contrqct Code, including but not limiied to lrovel, odvertising, ond compeiitive bidding requirements, ore suspended to the extent necessory to oddress the effecls of these storms.
4. Any foirgrounds ihe Office of Emergency Services delerrhines suiioble to ossist individuols impocted by these storms shollbe mode- ovoiloble to lhe Office of Emeryency Services pursuont io the Emergency Services Act, Government Code seciion 8589. The Office of Emergency Services sholl notify the foirgrounds of the intended use ond mcy immediotely utilize the foirgrounds withoui ihe foirground boord of direclors' opprovol.
5. The Colifornio Deporiment of Tronsportotion shcll formolly requesl immedioie qssistonce through'the Federol Highwoy Administroiion's Emergency Relief Progrom, United Siotes Code, Title 23, section 125. in order to obtoin federql qssistsnce for highwoy repoirs or reconstruction.
6. The Colifornia Noiionol Guord moy be mobilized under Mililory ond Veierons Code section 146 lo support disoster response ond relief efforts, os directed by the Office of Emergency Services, ond io coerdinqte with qllrelevqnt stote ogencies ond stote ond locql emergency responders ond low enforcement within lhe impocled oreos. Seclions 147 ond 188 of the Military ond Veterons Code ore applicoble during the period of porticipofion in this mission, exempting the Cclifornio Militory Deporiment fr:om opplicoble procurement rules E+..1F
01/24/2023 Item No.12.
for specified emergency purchoses, cnd those rules qre hereby suspended.
7 - Any slote-owned properties the Office of Emergency Services determines suitoble for stoging of debris os o resuli of ihese storms shall be mode ovoilcrble to lhe Office of Emergency Services for this purpose in occordsnce wiih Government Code seclion 8570,
8. Drivers moy exceed ihe hours-of-service limits specified in Colifornio Vehicle Code section 34501.2 and Colifornio Code of Regulotions. Title '13, section 1212.5 while operoting o vehicle engoged in fuel tronsportotion in support of emergency relief efforts, subject to the following conditions;
o. Motor corriers or drivers currently subject lo on out-of-service order ore eligible for the exemption once lhe out-of-service order expires or when they hove met the conditions for its rescissien-
b. ln occordonce wiJh Section 1214,Title 13, Cqlifornio Code of Reguloiions, no motor cqrrier opercling under the lerms of fhis Proclomotion will require or ollow on ill or fotigued driver to operote o motor vehicle. A drlver who notifies o moior vehicle corrier ihoi ihey need im.mediote rest sholl be given of leosl ien consecutive hours off-duty before being required fo reiurn to service.
c. Drivers shoil mointoin o driver's tecord of duty stclus. regordless of number of hours worked eoch day. These records sholl be prepored, submitted, cnd mqintcined os required by Section.l213, Title 13, Colifornio Code of Regulolions.
9. Consislent with Por:ls 390 ond 395, Title 49, Code of Federol Regulotions, drivers moy exceed ihe hours-of'service limits specified while operoting o vehicle engoged in fuel tronsporlotion in support of emergency relief effort5. These woivers shsll be in effect for fhe durotion of ihe driver's direct qssistonce in providing emergency relief, or thirty (30) doys from lhe doie of this Proclomation, whichever is less.
l0.ln order to ollow out-of-stote controclors ond other utilities driving iheir own vehicles to provide mutuol oid ossistonce for the restorolion of electricol powerwithin'the counties impocled by these storms; opplicoble provisions of the Vehicle Code including, bul not limi'ted to, Vehicl€ Code seclio n 34620 fequiring q rnotor corrier permil [licensing] cnd imposition of cerioin fees, ore suspended for motor coriers providing such ossistonce. Also, ihe requirements for motor corriers qnd drivers in Vehicle Code sec'tions 1808'J lpull-notice progrom ihof checks for driver's license violotionsl" 27900 ldisploy nqme on vehicle], 279Q1 lsize <:nd color of disploy norne on'vehiclel, 34505.5 [requiremenl to hove been inspected within 90 doysl" and 34501 . 1 2 [requirement io set up'home bose in Coliforniol cre suspended while providing mutuol cid ossistonce for the emergency restorolion of services.
01/24/2023 Item No.12.
I FURTHER DIRECT thol as soon os hereafter possible. this Proclqmation be filed in the Office of ihe Secrelory of Stoie ond thoi widespreod publicity ond notice be given of this Proclomotion'
This Proclomotion is not intended to, ond does not, creo'te qny righis or benefits, substontive or procedurol, enforceoble of low or in equity, agoinst ihe Stste of Colifornio, ils ogencies, deporimenls, eniilies, officers, employees, or ony other person.
lN WITNESS WIIEREOF I hove
hereunto sei my hond ond coused
ihe Greol Seolof the Sloie of
Coliforniq be offixed ihis 4th doy
of 2023.
of Colifornio
ATTESI:
SHIRLEY N. WEBER, Ph.D
Secrelory of Siote
01/24/2023 Item No.12.
ATTACHMENT 4
01/24/2023 Item No.12.
PROLAMATION OF LOCAL EMERGENCY
RESULTING FROM SEVERE WINTER STORMS OF
DECEMBER2022
WHEREAS, Sacramento County Code, Title 2, Chapter 2.46 empowers the County Director of Emergency Services to proclaim the existence or threatened existence of a local emergency when Sacramento County is affected or likely to be affected by a public calamity, flood or natural disasters when the Sacramento County Board of Supervisors is not in session; and,
WHEREAS, pursuant to Sacramento County Code section 2.46.110, in the absence of the Director of Emergency Services, the Deputy Director is empowered with all the same authority empowered to the Director of Emergency Services; and
WHEREAS, the Deputy Director of Emergency Services of the County of Sacramento does hereby find that conditions of extreme peril to the safety of persons and property have arisen within the County of Sacramento, caused by extreme winter storms resulting in widespread flooding, extraordinary stress upon levees, persistent levee overtopping, local flooding of communities and local infrastructure, and exhaustion of local resources and budget, and other critical conditions; and
WHEREAS, the volume and rate of active water flows through Sacramento Gounty rivers, specifically the Cosumnes River, has resulted in the flooding of critical roads and communities, thereby prompting local authorities to alert the public to imminent flooding and to issue, via the County emergency alerting system, emergency evacuation orders advising residents to leave their homes and seek safety; and WHEREAS, ongoing operational response activities and continuing area damage assessments, particularly in remote areas of the County where additional impacts are certain, have diverted local resources from day to day operations, and the impacts of these storms are beyond the control of personnel, services, equipment and budget of the County; and
WHEREAS, further damages are anticipated as ongoing precipitation from multiple continuing and projected storm events are anticipated to result in sustained runoff from rivers, streams and channels which continue to impact low lying areas; and
01/24/2023 Item No.12.
WHEREAS, there may be extensive damages to homes, businesses, agricultural crops, products, large animals and livestock; and NOW, THEREFORE, lT lS HEREBY PROCLAIMED, pursuant to California Government Code section 8630 of the California Emergency Services Act, and Sacramento County Code, Title 2, Chapter 2.46, a local emergency exists within and throughout Sacramento County as of December 31,2022, and BE tT FURTHER PROCLAIMED AND ORDERED, during the existence of this local emergency, the powers, functions and duties of the Director and/or Deputy Director of Emergency Services shall be those prescribed by state law and Sacramento County ordinances, resolutions and the approved Emergency Plan, and BE lT FURTHER PROCLAIMED AND ORDERED, the Director and/or Deputy Director of Emergency Services is authorized to use and employ any of the property, services, personnel and resources of the County to help mitigate this emergency, and may request Federal, State, and other public agencies provide mutual aid, including personnel, equipment and other available resources, to assist Sacramento County during this emergencY; and
BE tT FURTHER PROCLAIMED AND ORDERED, the local emergency shall remain in effect for the next seven (7) days unless it has been ratified and extended by the Sacramento County Board of Supervisors, who shall review the need for continuing the local emergency at least once every 60 days, and shallterminate the localemergency at the earliest possible date that conditions warrant.
Mary Chief of Emergency Services
Sacramento Deputy Director of Emergency Services
Sacramento County Office of Emergency Services
Date of Proclamation
01/24/2023 Item No.12.
ATTACHMENT 5
01/24/2023 Item No.12.
CITY OF FOLSOM
OFFICE OF THE CITY MANAGER i 50 NATOMA STREET, FOLSOM, CA 95630 :WWW.FOLSOM.CA.US F$}-S$I$4
PROCLAMATION OF A LOCAL STATE OF EMERGENCY
WHEREAS, California Governor Gavin Newsom proclaimed a State of Emergency on January 4, 2023 due to widespread damages caused by severe winter storms from a series of atmospheric river systems striking California; and
WHEREAS, Sacramento County declared a state of emergency on December 3I,2022, which was ratified by the County Board of Supervisor on January 4,2023; and WHEREAS, the aforementioned storms also brought damaging high winds, substantial precipitation, and localized flooding in the City of Folsom, starting January 4,2023 and continuing nonstop for several days thereafter; and
WHEREAS, the aforementioned storms caused severe damages throughout the City and required extraordinary responses by City employees to protect the public's safety; and WHEREAS, it is forecasted that additional and continuing storms related to this series of atmospheric river systems will bring strong winds, heavy rainfall, and localized flooding to the City for several more days, and the City expects additional damages from falling debris, downed trees, and localized flooding; and
WHEREAS, storm damage to critical City infrastructure and resources can present a condition of extreme peril to the public's health and safety.
NOW, THEREFORE, l, ELAINE ANDERSEN, City Manager and Director of Emergency Services of the City of Folsom, pursuant to Folsom Municipal Code Section 2.28.040(4) and Government Code Section 8630(a), hereby proclaim a State of Local Emergency in the City of Folsom, California.
IT IS HEREBY ORDERED
t. All City employees under the direction of their respective Department Directors shall take all steps reasonable and necessary to assist with storm-related emergency responses for the protection of the health, welfare, and safety of Folsom residents and businesses.
FOLSOT'I, CA - IHCORPORATED I94S
01/24/2023 Item No.12.
2. All City equipment, resources, and facilities shall be made available to first responders, whether local, state, or federal, for the protection of the health, welfare, and safety of Folsom residents and businesses.
3. Emergency procurement of supplies, equipment, services, or construction materials, if necessary to confront the threat to public's health, welfare, and safety, shall be made promptly under the provisions in Folsom Municipal Code Section 2.36.150.
4. City Departments, including but not limited to Police, Fire, Public Works, Environmental and Water Resources, and Parks and Recreation, shall take all steps necessary and appropriate, with safety being the top priority, to ensure continued and uninterrupted delivery of municipal services to Folsom residents and businesses during the storms.
5. All citizens are requested to comply with directions from public safety officers and City employees performing their duties responding to an emergency to protect the public's health and safety under extreme conditions.
Failure of any person to comply with this Order and any order issued by a law enforcement officer pursuant to this Order constitutes an imminent threat to public health, welfare, and safety.
This Emergency Proclamation is not intended to, and does not, create any rights or benefits, substantive or procedural, enforceable at law or in equity, against the City of Folsom, its departments, officers, employees, or any other person.
lf any provision of this Emergency Proclamation or the application thereof to any person or circumstances is held to be invalid, the remainder of the Emergency Proclamation, including the application of such part or provision to other persons or circumstances, shall not be affected and shall continue in fullforce and effect. To this end, the provisions of this Emergency Proclamation are severable.
This Emergency Proclamation shall be filed in the City Clerk's Office and given widespread publicity and notice.
IT !S SO PROC!.AIMED:
Elai ne An dersen
City Manager
Director of Emergency Services
Date: January 13,2O23 By:
2of2
01/24/2023 Item No.12.
i,) i,,'t ,i i:\'l
i!1';:r.1 .1:.,.!i l:
Folsom City Council
Staff R ort
RECOMMENDATION / CITY COUNCIL ACTION
Staff recommends the City Council provide input and direction to Community Development Department staff regarding the River District Master Plan planning and community engagement process. Staff is specifically seeking direction on the following questions:
- 1. Does the City Council desire to include an advisory or ad hoc committee in the River District Master Plan Process?
Z. If so, what make-up of community stakeholder organizations is desired?
3. If so, does the City Council desire councilmember (up to two) participation on the committee?
BACKGROUND / ISSUE
The Folsom General Plan 2035 contains a specific goal and corresponding objectives providing for the preparation of a River District Master Plan:-Goal LU 5.1 - Support the appropriate enhancement of Folsom's riverfront areas for current and future residents in order to increase public Qccess, recreational opportunities, and economic development in consultation with federal, state, and regional public land management agencies'
In support of this goal, on April 12,2022 the City Council approved the use of American Recovery Plan Act (ARPA) funds in the amount of $362,500 for project management services ($62,500) and retention of a planning/environmental consultant ($300'000). 1 MEETING DATE: U2412023
AGENDA SECTION: New Business
SUBJECT: Introduction and Direction to staff Regarding the River District Master Plan Planning and Community Engagement Process
FROM: Community Development Department
01/24/2023 Item No.13.
The General Plan suggests that a specific long-range plan be established by "Engaging the community, stakeholders, and federal, state and regional land management agencies in establishing a vision for Folsom's River District." Conceptual district boundaries are illustrated on Attachment l. The General Plan preparation process revealed that there was substantial community interest in improving access to Lake Natoma (American River), elevating its place in the community related to tourism, recreation, business and commerce, as well as protecting and celebrating historically and culturally important sites, and significant habitat and environmental resource areas.
POLICY / RIILE
Folsom General Plan 2035, Goal LU 5.1/Objective LU 5.1.2 - Consider the preparation of a River District Master Plan for Folsom's riverfront area,thatis based on widespread community engagement as well as coordination with the U.S. Bureau of Reclamation, California Department of Parks and Recreation, and Sacramento County Regional Parks Department.
Folsom Charter, section 2.04.G- Duties of the Mayor, indicates the mayor may "Establish and dissolve ad hoc committees, subject to the approval of the Council, but no such committee shall exist for more than one year."
Folsom Municipal Code, section 2.35.040 - One Seat Limitation, states that "No person may hold more than one appointed commission, board, council or committee seat at a time. This one-seat limitation shall not apply to: (1) commission, boatd, council or committee members who are appointed to other commissions, boards, councils or committees as a result of, or by virtue of, iheir status as a member of a particular commission, committee, board or council; or (2) membership on ad hoc committees.
ANALYSIS
Not only does the General Plan include specific goals and objectives associated with development of a River District Master Plan, but the entire General Plan itself contains numerous associated supporting statements. The Guiding Principles emphasize numerous opportunities that may be considered during the River District Master Plan process:
o The need for city gateway enhancements...
o Continue to be a premier recreation destination...
o Commit to high-quality design...
o Integrate the old and new areas of the city...
o Enhance Folsom's heritage...
Master plans can take many forms from relatively broad such as the city-wide Parks and Recreation Master Plan, to relatively detailed such as a site-specific, individual park development master plan. Due to the variety of land uses within the conceptual River District boundaries, the distinct different land ownership interests between federal, state, city, and private entities, and the yet-to-be-heard community preferences, the form of the River District Master Plan has not been determined yet. In all likelihood, it will be a blend of both broad and 2Page 116
01/24/2023 Item No.13.
detailed ideas, depending on the location, opportunities, constraints, and community input. It is the goal of the master planning process to conclude with a River District vision that will stimulate and guide future land development decisions, create an inspiring vision of recreation opportunities and increased access, use, and appreciation ofthe river and lake.
It should be noted that the master plan will not in itself rezone any land or property. However, it will likely make recorlmendations for innovative opportunities within existing zoning, or even make recommendations for future consideration of land use changes. It should also be noted that the city's planning effort will specifically include consideration of the Folsom Lake State Recreation Area General Plan (FLSRA), the CA State Department of Parks and Recreation's guiding land use, development, and program document. The planning effort will indeed include close examination of land use and recreation opportunities that are consistent with the FLSRA plan and prioritize those for future consideration.
Of key importance to the River District Master Plan process and highlighted in the General Plan is "robust community and stakeholder engagement." While the community engagement plan has not been designed at this time, it is envisioned to be multi-faceted. Engagement will be both broad and focused. Tools with a broad reach such as the city's website/web page, and the monthly newsletter will be used. The retained planning consultant will also be tasked with bringing recommendations for additional engagement, whether in traditional formats such as public workshops, or digital engagement through online surveys, etc.
The Urban Land Institute (ULI) highly recommends the use of advisory committees or ad hoc committees for complex community planning issues. The City Council has recently used this strategy to help inform, guide and make recommendations on challenging subjects like Historic District parking and the disposition of surplus city properties.
There is likely more interest within the community than the recommended capacity or participation in an advisory committee. Industry best practice for the membership size of an ad ho" "o-*ifiee
for this purpose is from eight to 14 members. Below is a list of stakeholder organizations (not inclusive) who may have in interest in River District advisory committee representation:
o Adjacent resident associations (i.e., Natoma Station and American River Canyon) o Folsom Historic District Association (FHDA)
o Historic Folsom Merchants Association (HFMA)
o Historic Folsom Residents Association (HRFA)
o River District Organizing Committee
o Chamber of CommerceA/isit Folsom
o Folsom Auto Mall Dealers Association
. CA State Department of Parks and Recreation DepartmentAjS Bureau of Reclamation o Local paddling advocates (i.e., Lake Natoma Paddlers, Folsom Kayakers & SUP) o Friends of Lakes Folsom and Natoma (FOLFAN)
. Folsom Auburn Trail Riders Action Coalition (FATRAC)
o CSUS Aquatic Center
J Page 117
01/24/2023 Item No.13.
o Local equestrian advocates (i.e., Shadow Glen Riding Stables) o Heritage Preservation League
o Friends of Folsom Parkways
o At-large residents or business owners
Staff requests direction on the following questions:
4. Does the City Council desire to include an advisory or ad hoc committee in the River District Master Plan process?
5. If so, what make-up of community stakeholder organizations is desired?
6. If so, does the City Council desire councilmember (up to two) participation on the committee?
The general project process is outlined below, indicating approximately a two-year schedule
ENVIRO AI, RB,VIEW
The recommended action of the City Council is not a project as defined by the CEQA and therefore does not require environmental review at this time. As part of the master planning process, the draft River District Master Plan will be evaluated for potential programmatic impacts prior to the City Council considering adoption. Any future site-specific proposals will be analyzed on a project-by-project basis for environmental clearance consistent with the CEQA.
FISCAL IMPACT
There is no additional fiscal impact as a result of the proposed action. Funds for both project management and future retained consultants have already been budgeted and appropriated in the amount of $362,500. The source of the funds is from federal allocations from the American Rescue Plan Act (ARPA).
4 River District Master PIan
Primary Tasks
2023 2024
Q1 02 o3 Q4 o1 02 o3 Q4
Vision, Boundary, and Land Use Concept
outreach X X x X
Solicit plannins/environmental consultant x
V draft v land use X
City Council review and direction X X
River District Master Plan, Studies, and CEQA Analysis
Preliminary Draft River District Master Plan X x
Environmental studies and CEQA review X x
Community and stakeholder wor x x
Revised Draft River District Master Plan X x
Commission review and recommendation x X
City Council review and adoption x
01/24/2023 Item No.13.
ATTACHMENTS
l. Folsom General Plan 2035 - River District Study Area Map Submitted,
PAM JOHNS
Community Development Director
5 Page 119
01/24/2023 Item No.13.
FOLSOM RIVER DISTRICT
STUDY AREA
-
Planning Arer
E-E Light Rail
' I Liglrt Rail Stations
E Historic Distdct
n FolsomRiverDistrictStudyArer
oRll
.h.-
-t-
rr
v
AVt
CRAMENTOUNTY
JIfl\,!ITSA
co
Source: Folsom General Plan2035 - River District Study Area Map,page2-23
01/24/2023 Item No.13.
: t ; ir:t
Folsom City Council
Staff Re ort
RECOMMENDATION / CITY COUNCIL ACTION
Staff recommends the City Council provide input and direction to Community Development Department staff regarding the Central Business District Master Plan planning and community engagement process. Specifically, staff requests direction on the following questions:
1. Does the City Council desire to include an advisory or ad hoc committee in the Central Business District process?
2. If so, what make-up of community stakeholder organizations is desired?
3. If so, does the City Council desire councilmember (up to two) participation on the committee?
BACKGROUND / ISSUE
On April 12,2022,the City Council approved the use of American Recovery Plan Act (ARPA) funds in the amount of $322,500 for project management services ($62,500) and retention of a planning/environmental consultant ($260,000) to recreate a Central Business District Master Plan for the purpose of revitalizing this area of the City. Through a competitive qualifications request, Kathy Pease, AICP with Management Advisory Services (MAS) was selected be the project manager.
Revitalization of the Central Business District, roughly located along East Bidwell Street from Riley to Blue Ravine (see Attachment 1, Central Business District Study Area Map), has been a priority of the city for some time. It was an original commercial service area of the city, I
MEETING DATE: U2412023
AGENDA SECTION: New Business
SUBJECT: Introduction and Direction to Staff Regarding the Central Business District Master Plan Planning and Community
Engagement Process
F'ROM: Community Development Department
01/24/2023 Item No.14.
which continues to provide vital services to the community. Because it is an existing developed area that is underutilized, constraints may include transportation/circulation, safety, lighting and landscaping, and utilities (stormwater, water, sewer capacity).
In 2015, a transportation study was prepared to analyze circulation and streetscapes in the Central Business District. That study was met with mixed reviews from landowners and was not adopted or implemented at that time. Since that time, there have been many changes to the retail environment, businesses in the area, some circulation improvements near Sutter Middle School and the introduction of a few multifamily housing projects into the district. More recently, the City applied for and received a community design grant from Sacramento Area Council of Govemments (SACOG) for $100,00 to complete streetscape analysis of Central Business District. It is anticipated that this would be an opportunity to refresh the previous transportation and streetscape plan for review and consideration as part of this master planning effort.
In2022,the Central Business District was selected recently as part of the Urban Land Institute (ULD grant Advisory Services Panel which provided a weeklong workshop in November with national experts that examined the Central Business District. Preliminary information from this effort identified a need to brand the area from a marketing perspective, increase development opportunities, improve safety and walkability, increase lighting and landscaping and recommended forming an advisory committee to get buy in on a shared vision. The fuIl report with recommendations will be available for review and consideration as part of this master planning effort.
Staff has initiated a two-year planning effort in order to prepare a comprehensive revitalization/ master plan to identiff priorities which could enhance housing opportunities, economic development, mobility, and safety improvements, to help guide development and infrastructure improvements going forward. Landowner, business owner, and general community input and involvement will be critical to developing a master plan focused on desired rcvitalization of this key area of the City.
POLICY / RULE
The Folsom General Plan 2035 contains specific goals and corresponding policies relevant to the Central Business District as follows:
Table LU 6-I Overlay Districts- East Bidwell Conidor (EBC) Overlay. This overlay designation gives property owners along the East Bidwell Coruidor the flexibility to develop sites as mixed use. It provides for a mixture of commercial and residential uses that are mutually compatible along East Bidwell Street. This designation balances existing commercial uses withfuture mixed-use development. This designation allows for multifamily housing as well as shops, restanrants, services, ffices, and other compatible uses
2 Page 122
01/24/2023 Item No.14.
Goal LU 7.1 Provide for a commercial base of the city to encourage a strong tax base, more jobs within the city, a greater variety of goods and services, and businesses compatible with Folsom's quality of life.
Policy LU 3.1.5 - Encourage new development along East Bidwell Street by creating a stronger mixed-use development pattern, both horizontal and vertical, with an emphasis on medium- and higher-density housing, while also addressing local and citywide demandfor retail and services.
Policy LU 3.1.6- Encourage development of mixed-use projects that create awalkable, vibrant district along East Bidwell Street between Coloma Street and Blue Ravine Road.
Policy LU 7.1.2 Encourage development of underutilized and vacant parcels in commercial zones to improve the aesthetic appearance and enhance the vitality of commercial areas.
Policy LU 9.1.7 Encourage efforts to establish and promote district identities (e.g., urban centers, East Bi&vell Sneel through the use of signage, wayfinding signage, streetscape and building design standards, advertising, and site-specific historic themes.
Additionally, Folsom Charter, section 2.04.G - Duties of the Mayor, indicates the mayor may "Establish and dissolve ad hoc committees, subject to the approval of the Council, but no such committee shall exist for more than one year."
Folsom Municipal Code, section 2.35.040 - One Seat Limitation, states that "No person may hold more than one appointed commission, board, council or committee seat at a time. This one-seat limitation shall not apply to: (1) commission, board, council or committee members who are appointed to other commissions, boards, councils or committees as a result of, or by virtue of, their status as a member of a particular commission, committee, board or council; or (2) membership on ad hoc committees.
ANALYSIS
The General Plan Guiding Principles emphasize numerous opportunities that may be considered during the Central Business District Master Plan process:
o The need for city gateway enhancements...
o Continue to be a premier recreation destination...
o Commit to high-quality design...
o Integrate the old and new areas of the city...
o Enhance Folsom's heritage...
J Page 123
01/24/2023 Item No.14.
Master plans can take many forms from relatively broad such as the city-wide Parks and Recreation Master Plan, to relatively detailed such as a site-specific, individual park development master plan.
Of key importance to the process and highlighted in the General Plan is "robust community and stakeholder engagement." While the community engagement plan has not been designed at this time, it is envisioned to be multifaceted. Engagement will be both broad and focused.
Tools with a broad reach such as the city's website/web page, and the monthly newsletter will be used. The retained planning consultant will also be tasked with bringing recornmendations for additional engagement, whether in traditional formats such as public workshops, or digital engagement through online surveys, etc.
The Urban Land Institute (ULf highly recommends the use of advisory coflrmittees or ad hoc committees for complex community planning issues. The City Council has recently used this strategy to help inform, guide and make recommendations on challenging subjects like Historic District parking and the disposition of surplus city properties.
There is likely more interest within the community than the recommended capacity or participation in an advisory committee. Industry best practice for the membership size of an ad hoc committee for this purpose is from eight to 14 members. Below is a list of stakeholder organizations (not inclusive) who may have an interest in Central Business District advisory committee representation :
o Landowners - small and large
o Business Owners - small and large
o Chamber of Commerce/Visit Folsom
o Transportation Safety Committee representative
o AffordableHousingrepresentative
o Folsom School District representative
o Atlarge community members at Council discretion, to seek arange of generational and demographic representation on the committee
o Friends of Folsom Parkways
o Multi-cultural or arts representatives
o Parks Commission
Staff requests direction on the following questions:
1. Does the City Council desire to include an advisory or ad hoc committee in the Central Business District process?
2. If so, what make-up of community stakeholder organizations is desired?
3. If so, does the City Council desire councilmember (up to two) participation on the committee?
4 Page 124
01/24/2023 Item No.14.
The general project process is outlined below, indicating approximately a two-year schedule.
River District Master Plan
Primary Tasks
2023 2024
o1 02 o3 o4 o1 02 o3 a4
Vision
Community outreach X x X X
Vettins draft vision and key components x
City Council review and direction X X
Central Business District Master Plan. Studies" and CEQA Analysis Preliminary Draft Maste r Plan/
Recommendations
X X
Environmental studies and CEOA review x X
CommuniW and stakeholder workshops X X
Revised Draft Central Business District Master
Plan
X x
Commission review and recommendation X X
City Council review and adoption X
ENVIRONMENTAL REVIEW
The recommended action of the City Council is not a project as defined by the CEQA and therefore does not require environmental review at this time. As part of the master planning process, the draft Central Business District Master Plan will be evaluated for potential programmatic impacts prior to the City Council considering adoption. Any future site-specific proposals will be analyzedon aproject-by-project basis for environmental clearance consistent with the CEQA.
FISCAL IMPACT
There is no additional fiscal impact as a result of the proposed action. Funds for both project management and future retained consultants have already been budgeted and appropriated. The source of the funds is from federal allocations from the American Rescue Plan Act (ARPA).
ATTACHMENTS
1. Central Business District Study Area Map
Submitted,
PAM JOHNS
Community Development Director
5 Page 125
01/24/2023 Item No.14.
Folsom Central Business District Boundary
-
0.1 L 1 Central Business District
N
A
0 Legend
0.2 0.3
Miles
B
\\
.2'
*t
i
t
)
f/4
,f
t-1
t',t
h
*l- /t-\,-rcFi
(a I
01/24/2023 Item No.14.
i' :'.),i,"'i i-i:'i:l
Folsom Ctty Council
Staff Re rt
MEETING DATE: U2412023
AGENDA SECTION: New Business
SUBJECT: Preliminary Budget Workshop with Mid-Year Budget Review, Presentation of Departmental Priorities, and Direction to Staff F'ROM: Finance Department
RECOMMENDATION / CITY COUNCIL ACTION
Receive presentation regarding mid-year budget review and departmental priorities for the upcoming FY 2023-24 budget and provide direction to staff.
BACKGROUND / ISSUE
At a previous meeting, the City Council requested that staff return early in the calendar year to provide a mid-year budget review opportunity for FY 2022-23 and provide the City Council with a listing of top departmental requests for the upcoming FY 2023-24 budget process. Staff will present the requested information and seek Council direction.
Submitted,
Stacey Tamagni, Finance Director/CFO
Office of Management and Budget
1
01/24/2023 Item No.15.
This page intentionally Ieft blonk
to fo.cilitote double- sided printing .
CITY OF
FOLSON{
DIgTINC?IVE BY NA?UNE
01/24/2023 Item No.15.