Susana Alcala Wood, City Attorney Jorge Oseguera, City Auditor Mindy Cuppy, City Clerk Howard Chan, City Manager John Colville, City Treasurer City Council Report
915 I Street, 1st Floor
Sacramento, CA 95814
www.cityofsacramento.org
File ID: 2022-00469 April 19, 2022 Consent Item 04
Title: City Council COVID-19 Response: American Rescue Plan Act (ARPA) Framework and Funding Priorities: Professional Services Agreement with Crowe LLP for American Rescue Plan Act Grant Liaison Consulting Services
Location: Citywide
Recommendation: Adopt a Resolution: 1) establishing the ARPA Grant Liaison Consulting Services Project (I02612060) as a new Multi-Year Operating Project; 2) authorizing the City Manager or the City Manager’s designee to transfer $530,490 from the available fund balance of the ARPA Reinvestment Fund (Fund 1003) to the expenditure budget of the ARPA Grant Liaison Consulting Services Project (I02612060); and 3) authorizing the City Manager or the City Manager’s designee to execute a Professional Services Agreement with Crowe LLP in an amount not to exceed $530,490.
Contact: Leyne Milstein, Assistant City Manager, (916) 808-8491, [email protected]
; Ash Roughani, Special Projects Manager, (916) 808-7751, [email protected], Office of the City Manager
Presenter: None
Attachments:
1-Description/Analysis
2-ARPA Reinvestment Fund Programs
3-Resolution
4-Exhibit A: Professional Services Agreement
Description/Analysis
Issue Detail: On September 14, 2021, City Council adopted the Mayor’s proposed ARPA Framework and Funding Priorities and directed the City Manager, City Attorney, City Auditor, City Treasurer, and City Clerk to implement City Council direction consistent with the adopted ARPA Framework. The ARPA Framework prioritizes $20 million for supporting City employees and addressing organizational needs.
On October 19, 2021, City Council adopted Resolution No. 2021-0313, which authorized the City Manager or City Manager’s designee to accept $112.2 million of ARPA funding; establish the ARPA Reinvestment Fund (Fund 1003); and allocate $112.2 of ARPA funds to provide government services and budget the resulting available resources in the ARPA Reinvestment Fund to assist with the recovery and reopening resulting from the impacts of COVID-19.
On October 13, 2021, the City published Request for Proposals (RFP) number P22021011003 to competitively select a consultant team to aid the City’s compliance with federal requirements and assist with the administration of its ARPA funds. Following a review process and evaluation of proposals submitted, the City identified Crowe LLP (Crowe) as the highest scoring proposer.
In its proposal, Crowe demonstrated expertise and experience working with federal grant programs. Crowe will utilize its expertise and experience to support the City with tracking, monitoring, reporting and overall administration of ARPA funds and ensure the City’s compliance with Department of the Treasury guidance and all applicable federal, state, and local laws, rules, and regulations.
Policy Considerations: The City continues to be impacted by the COVID-19 public health emergency. The use of ARPA Reinvestment funds to provide additional capacity to the City’s administration of ARPA programs is consistent with Council direction provided by Resolution No. 2021-0313 and consistent with City Council’s adopted ARPA Framework and Funding Priorities.
Economic Impacts: None.
Environmental Considerations:
California Environmental Quality Act (CEQA): This report concerns administrative activities and governmental fiscal activities that do not constitute a “project” as defined by the CEQA Guidelines Sections 15378(b)(2) and 15378(b)(4) and are not subject to the provisions of CEQA (CEQA Guidelines Section 15060(c)(3)).
Sustainability: None.
Commission/Committee Action: None.
Rationale for Recommendation: Crowe will provide a broad array of support services to project managers and technical assistance to the City with the implementation of ARPA programs, data collection and reporting requirements.
Financial Considerations: Contracting with an independent accounting firm will ensure the City’s compliance with Department of the Treasury rules, reducing the chances that any ARPA funds would need to be repaid to the federal government.
Sufficient funding is available in the available fund balance of the ARPA Reinvestment Fund (Fund 1003) to support the project.
Local Business Enterprise (LBE): None.
Attachment 2
ARPA Reinvestment Fund (Fund 1003) $112,313,331
Program Description Approved
Expenditure Category
Aggie Square Job Center 1,000,000 3
Animal Services for the Homeless (ASHR) Response Team 753,230 2 Arts and Cultural Nonprofits 2,250,000 4
Arts Journalism Grant Program 250,000 4
Business Compliance Unit (BCU) Night Team 1,656,101 5
Center for Workers' Rights 550,000 3
Citywide Equity Study 250,000 1
Code Enforcement 205,683 2
Community Response Staffing Expansion 1,025,157 2
Comprehensive Siting Plan - Location Buildout 3,634,400 2 Comprehensive Siting Plan - Property Acquisition 12,783,299 2 Continuation of Existing Homelessness Programming 7,933,277 2 Creative Businesses 1,750,000 4
Creative Economy Focused Youth Workforce Development 1,500,000 4 Downtown Core and Old Sacramento Revitalization 5,000,000 1 Forensiclean Extended Services 1,000,000 2
Gang Prevention and Intervention 1,500,000 3
Homeless and Housing Commitment 8,765,664 2
Illegal Dumping Support 787,000 2
Individual Artists and Creatives 2,750,000 4
Labor Negotiations 9,893,510 5
North Sacramento Code Enforcement and Outreach 450,000 1 Public Records Staffing 3,639,334 5
Public Works Support of Homelessness Programming 572,000 2 Respite Centers Program 2,240,290 2
Sacramento Inclusive Economic Development Collaborative 3,500,000 1 Sacramento Native American Health Center 100,000 1
Small Business Priorities 8,200,000 1
Substance Use Respite and Engagement Program 1,300,000 2 Tourism Recovery through Iconic Event Production 1,500,000 4 Towing Administration Fee Reform 200,000 1
Vaccine Outreach and Education 1,000,000 1
Youth Pop-Up Program 1,300,000 3
$89,238,945
ARPA Balance $23,074,386
Allocation of ARPA by Mayor/Council Priorities Category Funding Small Business and Commercial Corridor Revitalization 1 18,700,000 Homeless and Housing Commitment 2 41,000,000
Youth, Workforce Training, and Gang Prevention 3 4,350,000 Arts, Creative Economy, and Tourism 4 10,000,000
Citywide Organizational Needs 5 15,188,945
Total 89,238,945$
American Rescue Plan Act (ARPA) Reinvestment Fund Programs (reflects Council actions through 4/12/2022)
RESOLUTION NO. 2022-
Adopted by the Sacramento City Council
April 19, 2022
City Council COVID-19 Response: ARPA Framework and Funding Priorities:
Professional Services Agreement for Grant Liaison Consulting Services
BACKGROUND
A. Along with other state and local agencies across the country, the City of Sacramento has, and continues to face extraordinary challenges during the fiscal year as a result of the COVID-19 pandemic.
B. The American Rescue Plan Act (ARPA) was established in March 2021 to help in responding to the ongoing COVID-19 pandemic and public health emergency.
C. On September 14, 2021, City Council provided guidance and direction by adopting the City’s ARPA Framework and Funding Priorities. This Framework prioritizes $20 million toward Valuing our City Employees and Addressing Organizational Needs.
D. On October 13, 2021, the City published Request for Proposals (RFP) number P22021011003 to competitively select a consultant team to aid the City’s compliance with federal requirements and assist with the administration of its ARPA funds.
Following a review process and evaluation of proposals submitted, the City identified Crowe LLP as the highest scoring proposer.
E. On October 19, 2021, City Council adopted Resolution No. 2021-0313, which:
authorized the City Manager or City Manager’s designee to accept $112.2 million of ARPA funding; established the ARPA Reinvestment Fund (Fund 1003); and allocated $112.2 of ARPA funds to provide government services and budget the resulting available resources in the ARPA Reinvestment Fund
BASED ON THE FACTS SET FORTH IN THE BACKGROUND, THE CITY COUNCIL RESOLVES AS FOLLOWS:
Section 1. The ARPA Grant Liaison Consulting Services Project (I02612060) is established as a new Multi-Year Operating Project.
Section 2. The City Manager or the City Manager’s designee is authorized to transfer $530,490 from the available fund balance of the ARPA Reinvestment Fund (Fund 1003) to the expenditure budget of the ARPA Grant Liaison Consulting Services Project (I02612060).
Section 3. The City Manager or the City Manager’s designee is authorized to execute a Professional Services Agreement with Crowe LLP in an amount not to exceed $530,490, in substantially the same form as attached to this Resolution as Exhibit A.
Table of Contents: Exhibit A – Professional Services Agreement