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HomeMy WebLinkAboutItem 17 - Revive Santa Ana Spending Plan City Manager Office www.santa-ana.org/city-managers-office Item # 17 City of Santa Ana 20 Civic Center Plaza, Santa Ana, CA 92701 Staff Report August 2, 2022 TOPIC: Revive Santa Ana Spending Plan AGENDA TITLE: Approve the $128,360,000 Revive Santa Ana Spending Plan, Appropriate Federal American Rescue Plan Act (ARPA) Funding, and Adopt a Resolution to Amend the FY 2022-23 Annual Budget to Add Limited-Term Full-Time Positions (Revive Santa Ana Program) RECOMMENDED ACTION 1. Approve the updated $128,360,000 Revive Santa Ana Spending Plan to protect and revive the community as Santa Ana continues to emerge from the impacts of the COVID-19 pandemic. 2. Approve an appropriation adjustment of $64,180,000 to authorize spending from the federal American Rescue Plan Act (ARPA) for various expenditures to recover from COVID-19, including authorization for the City Manager to move appropriated money between Spending Plan line items to reflect evolving federal guidelines and individual program popularity. (Requires five affirmative votes) 3. Adopt a resolution to amend the Fiscal Year 2022-23 Annual Budget to add limited-term full-time positions for the implementation of Revive Santa Ana projects. DISCUSSION The American Rescue Plan Act (ARPA) of 2021 is the latest COVID-19 stimulus package approved by the U.S. Congress and signed into law by President Biden. ARPA is a $1.9 trillion economic stimulus bill. Within ARPA, the Coronavirus State and Local Fiscal Recovery Fund provides $350 billion in direct funding for states, municipalities, counties, tribes, and territories, including $130.2 billion for local governments split evenly between municipalities and counties. Of this, the City of Santa Ana received $128,360,000. The Coronavirus State and Local Fiscal Recovery Fund provides a substantial infusion of resources to help turn the tide on the COVID-19 pandemic, address its economic fallout, and lay the foundation for a strong and equitable recovery. The purpose of the use of these funds are as follows: • Support urgent COVID-19 response efforts to continue to decrease spread of 2 8 6 2 the virus and bring the pandemic under control. • Replace lost revenue for eligible state, local, territorial, and tribal governments to strengthen support for vital public services and help retain jobs. • Support immediate economic stabilization for households and businesses. • Address systemic public health and economic challenges that have contributed to the unequal impact of the pandemic. The Coronavirus State and Local Fiscal Recovery Fund provides substantial flexibility for each local government to meet local needs—including support for households, small businesses, impacted industries, essential workers, and the communities hardest hit by the pandemic. These funds can be used to make necessary investments in water, sewer, and broadband infrastructure, among other uses. As a recipient of these funds, the City has been working diligently to find the best way to use the City’s allocation of the Coronavirus State and Local Fiscal Recovery Fund. To that end, the City created Revive Santa Ana, a community engagement initiative and spending plan to use the $128,360,000 in federal funding. The City received its first of two payments from the U.S. Department of the Treasury, in the amount of $64,180,000 in 2021, and the second payment of $64,180,000 in June 2022. The original Revive Santa Ana Plan, a detailed spending plan for the first allocation, was presented to the City Council for approval at the July 6, 2021 meeting and the City Council approved the item at the July 20, 2021 meeting. The Revive Santa Ana Spending Plan (Exhibit 1) has been updated to reflect the entire ARPA allocation of local fiscal recovery funds. Revive Santa Ana Spending Plan The spending plan includes five expenditure categories: • Recovery from the Pandemic - $8,200,000 o Public Health Equity, expansion of critical communication methods, sanitization, emergency response, mental health recovery, and support services for COVID-19 response • Direct Assistance Programs - $22,400,000 o Rental assistance, housing vouchers, food supply/distribution, business and non-profit assistance, early childhood support, daycare and head start, after-school programs, youth violence, sexual assault intervention, technology skill courses, direct resident assistance • Public Health and Safety - $34,235,000 o 5k Run, additional green/open space, healthy food access, property compliance programs, rapid response homeless services, park restrooms, increased security for parks and community centers, First Street safety enhancements • Critical Infrastructure - $51,400,000 o Broadband access, community center renovations, transformation of Central Library to support early childhood learning, expansion of library accessibility, IT and process upgrades, streetlights, storm drain gates, parking structure improvements • City Fiscal Health - $12,125,000 o Legal support services, contract management, unemployment fund / paid leave reimbursement, accounting and compliance for federal funding, 2 8 6 2 reserve for revenue loss allocation Appropriation of Funds Below are the final Revive Santa Ana Spending Plan allocations for each of the proposed expenditure categories for the full allocation: Expenditure Category Amount Recovery from the Pandemic $8,200,000 Direct Assistance Programs $22,400,000 Public Health and Safety $34,235,000 Critical Infrastructure $51,400,000 City Fiscal Health $12,125,000 Total $128,360,000 Staff recommends that the City Council approve the updated Revive Santa Ana Spending Plan, and appropriate the City’s second ARPA allocation of $64,180,000. Staff anticipates the Spending Plan will evolve, as the U.S. Department of Treasury is continually updating the spending guidelines and program popularity and use will affect spending priorities. Similar to the spending authorization for the Coronavirus Aid, Relief and Economic Security (CARES) Act, staff requests that the City Council grant authorization to the City Manager to shift money between line items within the spending plan. The City Manager will not have the authority to increase or decrease the overall appropriation. Administration of Revive Santa Ana Programs The implementation of the Revive Santa Ana programs requires an extensive amount of staff resources to administer and manage in accordance with federal program guidelines. In order to successfully administer the large volume of programs, staff is requesting the addition of several limited-term positions to augment existing staff resources and deliver these programs in an efficient and effective matter. The table below outlines the amount of limited-term positions requested by department. The complete list of requested classifications is outlined in Exhibit 2. Department Number of Limited-Term Full- Time Positions Requested 9-Month Total City Manager’s Office 1 $87,480 Public Works Agency 9 $649,620 Police Department 1 $68,310 TOTAL 11 $805,410 ENVIRONMENTAL IMPACT There is no environmental impact associated with this action. FISCAL IMPACT Multiple departments will manage the various spending initiatives, and accounting units have been set-up accordingly in the ARPA special revenue fund 181 to account for 2 8 6 2 $128,360,000 of expenditures. Department Account Number Amount City Attorney’s Office 18108013-6XXXX 500,000 City Manager’s Office 18103013-6XXXX 6,425,000 Community Development 18118013-6XXXX 20,935,000 Finance 18110013-6XXXX 12,000,000 Human Resources 18109013-6XXXX 200,000 Information Technology 18120013-6XXXX 5,500,000 Library 18111013-6XXXX 23,000,000 Parks and Recreation 18113013-6XXXX 3,050,000 Planning and Building 18116013-6XXXX 5,250,000 Police 18114013-6XXXX 1,500,000 Public Works 18117013-6XXXX 50,000,000 EXHIBITS 1. Revive Santa Ana Spending Plan 2. Resolution Submitted By: Daisy Perez, Assistant to the City Manager Approved By: Kristine Ridge, City Manager Total Lead Agency Recovery from the Pandemic Mental Health Recovery 1,000,000.00$ CMO Feasibility of Public Health Department 400,000.00$ CDA Expansion of Critical City Communications Methods 2,000,000.00$ CMO Sanitization & Prevention 3,800,000.00$ PWA COVID Emergency Response 1,000,000.00$ FIN 8,200,000.00$ Direct Assistance Programs Early Childhood Support & Head Start & Child/Day Care 1,500,000.00$ PRCSA After‐School / Youth Sport Programs 1,000,000.00$ PRCSA Emergency Rental Assistance Program*14,026,593.00$ CDA Emergency Housing Vouchers*1,805,508.00$ CDA Food Supply / Distribution 1,500,000.00$ CMO Business/Non‐Profit Assistance 3,600,000.00$ CDA Youth Violence/Sexual Assault Intervention/Reentry 2,000,000.00$ PRCSA Technology Skills / Digital Literacy Education 500,000.00$ LIB Resident Direct Assistance 12,000,000.00$ CDA Rent Stabilization and Just Cause Eviction Program 300,000.00$ CDA * Not ARPA Funded 22,400,000.00$ Public Health & Safety Revive 5k Run 50,000.00$ PRCSA First Street Pedestrian Safety Project 5,000,000.00$ PWA Addition of Park/Open Space $ 12,250,000.00 PWA Healthy Food Access 1,500,000.00$ CMO Property Compliance/Assistance Program 5,250,000.00$ PBA Rapid Response Homeless Services 3,135,000.00$ CDA Upgrade Park Restrooms 3,000,000.00$ PWA Enhanced security for usability of Parks/Community Centers 1,000,000.00$ PRCSA Public Health Plaza 4,000,000.00$ PWA $ 35,185,000.00 Critical Infrastructure Parking Structure Improvements & Safety Enhancements 1,500,000.00$ CDA Broadband Access 3,500,000.00$ IT Community Center Renovations 14,000,000.00$ PWA Transformation of Main Library 16,500,000.00$ LIB New Library Branch/Expansion of Library Accessibility 6,000,000.00$ LIB Pedestrian & Mobility Improvements 4,000,000.00$ PWA Information Technology & Process Upgrades 2,000,000.00$ IT Neighborhood Safety Streetlights 2,000,000.00$ PWA Storm Drain Gates & Channel Fencing $ 950,000.00 PWA $ 50,450,000.00 City Fiscal Health Legal Support Services & Contract Management Support 500,000.00$ CAO Accounting & Compliance for Federal Funding 1,000,000.00$ FIN HR Service Enhancement Program 200,000.00$ HR Reserve for Revenue Loss Allocation 10,000,000.00$ FIN Administration of Federal Reporting Requirements 425,000.00$ CMO 12,125,000.00$ 128,360,000.00$ SPENDING PLAN Total EXHIBIT 1 EXHIBIT 2 Resolution 2022- XXX Page 1 of 4 RESOLUTION NO. 2022-XX A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA ANA TO AMEND THE CURRENT FISCAL YEAR 2021- 2022 ANNUAL BUDGET TO ADD LIMITED-TERM FULL-TIME POSITIONS IN THE CITY MANAGER’S OFFICE, POLICE DEPARTMENT, AND PUBLIC WORKS AGENCY FOR THE IMPLEMENTATION OF AMERICAN RESCUE PLAN ACT PROJECTS BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SANTA ANA AS FOLLOWS: Section 1: The City Council hereby finds, determines and declares as follows: A.On June 21, 2022, the City Council passed and adopted Ordinance No. NS-3021, establishing the City’s Budget for Fiscal Year 2022-2023 and authorizing position allocations for Fiscal Year 2022-2023. The Ordinance also sets forth the requirement that alterations in the allocation of authorized positions be reviewed and approved by the City Council. B.The City Manager of the City Manager’s Office requests to amend its Fiscal Year 2022-2023 budget to add one (1) limited-term full-time Management Analyst (Excepted) for the implementation of the American Rescue Plan Act projects. C.The Chief of Police requests to amend its Fiscal Year 2022-2023 budget to add one (1) limited full-time Police Athletic/Activities League Assistant Director for the implementation of American Rescue Plan Act projects. D.The Executive Director of the Public Works Agency requests to amend its Fiscal Year 2021-2022 budget to add two (2) limited-term full-time Associate Engineers, add one (1) limited-term full-time Management Analyst, one (1) limited-term full-time Management Aide, one (1) limited-term full-time Assistant Parks/Landscape Planner, one (1) limited-term full-time Associate Park and Landscape Planner, one (1) limited-term full-time Maintenance Assistant, one (1) limited-term full- time Projects Manager, and add one (1) limited-term full-time Public Works Projects Specialist for the implementation of the American Rescue Plan Act projects. E.It is now desired to amend the Fiscal Year 2022-2023, as amended, in order to effect this change, as shown below. Resolution 2022-XXX Page 2 of 4 Section 2: The City’s Annual budget for Fiscal Year 202 2-2023, as amended, is hereby further amended by: A.Adding the following position in the City Manager’s Office, at the monthly six-step range as indicated: 6-Step Salary Rate Range Effective 08/02/2022 Classification Title Number of Positions Added Monthly Salary Minimum-Maximum Management Analyst (Excepted) 1 $6,863 - $8,346 B.Adding the following position in the Police Department, at the monthly five- step range as indicated: Classification Title 5-Step Salary Rate Range Effective 8/2/2022 Number of Positions Added Monthly Salary Police Athletic/Activities League Minimum-Maximum 1 $5,278 - $6,415 Assistant Director C.Adding the following positions in the Public Works Agency, at the monthly seven-step range as indicated: 7-Step Salary Rate Range Effective 8/02/2022 Classification Title Number of Positions Added Monthly Salary Minimum-Maximum Assistant Parks/Landscape Planner 1 $5,818 - $7,799 Associate Park and Landscape Planner 1 $7,427 - $9,955 Maintenance Assistant 1 $3,449 - $4,624 Projects Manager 1 $7,761 - $10,401 Public Works Projects Specialist 1 $6,446 - $8,641 Associate Engineer 2 $6,080 - $8,149 D.Adding the following positions in the Public Works Agency, at the monthly six-step range as indicated: 6-Step Salary Rate Range Effective 8/02/2022 Classification Title Number of Positions Added Monthly Salary Minimum-Maximum Management Analyst (UC) 1 $6,863 - $8,346 EXHIBIT 2 Resolution 2022-XXX Page 3 of 4 Management Aide (UC) 1 $4,296 - $5,762 Section 3: All salary rate range classifications are set forth in the City's "Salary Schedule" as periodically updated. Section 4: That except as amended by this Resolution, all other provisions of the Annual Budget for Fiscal Years 2022-2023, as amended, shall remain in full force and effect. Section 5: This Resolution is operative from and after the date upon which it is adopted. ADOPTED this 2nd day of August, 2022. ___________________________ Vicente Sarmiento Mayor APPROVED AS TO FORM: Sonia R. Carvalho City Attorney By: __________________ Laura A. Rossini Chief Assistant City Attorney AYES: Councilmembers NOES: Councilmembers ABSTAIN: Councilmembers NOT PRESENT: Councilmembers Resolution 2022-XXX Page 4 of 4 CERTIFICATE OF ATTESTATION AND ORIGINALITY I, ________, Deputy Clerk of the Council, do hereby attest to and certify the attached Resolution No. 2022-___ to be the original Resolution adopted by the City Council of the City of Santa Ana on _________, 2022. Date: ___________________ ____________________________ Deputy Clerk of the Council City of Santa Ana Orozco, Norma From: Mimi Mar <mimimar44@gmail.com> Sent: Tuesday, August 02, 2022 10:50 AM To:eComment Cc: Sarmiento, Vicente; Phan, Thai; Penaloza, David; Lopez, Jessie; Bacerra, Phil; Hernandez, Johnathan; Mendoza, Nelida Subject: Review of item #1 Hello Mr. Mayor and Council Members: First I want to thank you for your continued attention and support to the plight of the DTSA business owners affected by the OC Streetcar project. Tonight, when you review the $64,000,000 of the new funding from the Federal Government, please consider that the Staff report for item 417 seems vague. There is not a lot of clarity as to how the funds are earmarked to be spent. There is no specific mention if there will be more financial assistance to the DTSA business owners. I urge you to present a more detailed plan as to how these funds will be spent. I urge you to continue to keep supporting the DTSA business owners as we continue to struggle with the OCTA Street Car construction mess and delays. Thank your for attention to this matter Mimi Mar The Pizza Press i