TO: Honorable Mayor & Members of the North Port Commission
FROM: A. Jerome Fletcher II, City Manager
TITLE: Discussion and Possible Action Considering Using Coronavirus State and Local Recovery Funds for the One-Time Standard Allowance of Revenue Loss, Allowing Expenditure Flexibility
Recommended Action
Approve using Coronavirus State and Local Recovery Funds for the one-time standard allowance of revenue loss, allowing expenditure flexibility.
Background Information
The City of North Port, a direct recipient of Coronavirus State and Local Fiscal Recovery Funds (SLFRF), received $4,213,679.50 on June 7, 2021, from the U.S. Department of the Treasury (U.S. Treasury) and is expecting the second tranche of $4,213,679.50 this June for a total of $8,427,359.00.
The interim final guidance, released on May 10, 2021, outlined the following eligible funding uses:
* Respond to the COVID-19 emergency and address its economic effects, including through aid to households, small businesses, nonprofits, and industries such as tourism and hospitality.
* Provide premium pay to essential employees or grants to their employers. Premium pay cannot exceed $13 per hour or $25,000 per worker.
* Provide government services affected by a revenue reduction resulting from COVID-19.
* Make necessary investments in water, sewer and broadband infrastructure.
Commission, during the fiscal year 2021-2022 budget process, approved the use of SLFRF for the following eligible use projects:
* Sumter and I-75 water and sewer extension: $3,400,000.00
* Toledo Blade and I-75 water and sewer extension: $ 813,679.50
In January, the U.S. Treasury released the final guidance on how the funds can be used. The most beneficial change is that we may choose a one-time standard allowance for revenue loss for up to $10 million. This standard allowance does not require any calculation or justification. This one-time option must be selected by April 30, 2022.
Selecting this option does not chan...
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