The 117th United States Congress passed a $1.9 trillion economic stimulus bill called The American Rescue Plan Act of 2021 ("ARPA") which was signed into law by President Biden on March 11, 2021. ARPA will deliver $350 billion for eligible state, local, territorial, and Tribal governments and the City of Schertz will receive a total of $10,417,416.86 from ARPA. This amount will be delivered in two equal disbursements or tranches and will equate to $5,208,708.43 per tranche.
There are five categories outlined in ARPA where funds can be spent and per discussion held at the City Council Budget Retreat on August 6, 2021, staff recommends allocating the funds as such.
First Tranche Disbursement (funds spread across all 5 categories)
- Category 1: Support public health expenditures - $303,000
- Propsed amount will cover overtime for Police and EMS salaries from March 2, 2021
- Use funds for acceleration of the City's Classification and Compensation Study
- Category 2: Address negative economic impacts caused by the public health emergency - $1,000,000
- Use funds to create a grant program for businesses/non-profits
- Category 3: Replace lost public sector revenue - $925,000
- Reimbursement for lost revenues City-wide (except utilities)
- Use funds to put toward the City's Street Preservation and Maintenance program for FY 21/22, to go toward an ambulance purchase, and to help fund increases in City's minimum wage for all employees
- Category 4: Provide premium pay for essential workers - $500,000
- One-time lump sum of $1,000* for every City employee (*amount will vary depending on the employee as it will be calculated on a pro-rata basis, based on the dates of the Emergency Declaration)
- Category 5: Invest in water, sewer, and broadband infrastructure - $2,480,000
- Use funds for identified water, sewer and broadband infrastructure projects
- Master Communication Plan
- Generators for Edwards Wells and NACO Tower/I35 Morning Drive and Corbett Water Towers
- Crest Oak Sewer Line
- FM 1518 Utility Relocates
Second Tranche Disbursement (funds targeted to a single category)
- Category 5: Invest in water, sewer, and broadband infrastructure - $5,208,708.43
- Projects have not been identified, but will assign all funds to this category
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