RES 2022-40 Utilizing the Coronavirus Local Recovery Funding Established Under the American Rescue Plan Act for the Replacement of Lost RevenuesCITY OF OTSEGO
COUNTY OF WRIGHT
STATE OF MINNESOTA
RESOLUTION NO: 2022-40
UTILIZING THE CORONAVIRUS LOCAL RECOVERY FUNDING
ESTABLISHED UNDER THE AMERICAN RESCUE PLAN ACT
FOR THE REPLACEMENT OF LOST REVENUES
WHEREAS, Congress adopted the American Rescue Plan Act in March 2021 ("ARPA")which included
$350 billion in recovery funds to provide support to state, local, and tribal governments in responding to
the impact of COVID49 and in their efforts to contain COVID49 in their communities, residents, and
businesses; and
WHEREAS, the City of Otsego has been allocated ARPA funds from the State of Minnesota pursuant to
the ARPA allocation; and
WHEREAS, the State of Minnesota distributed the first half, $958,331.86 of ARPA funds on July 27, 2021
and the City expects to receive the remaining second half of the funding in 2022; and
WHEREAS, nearly $12 million of ARPA funds remained unclaimed after the October 11, 2021 deadline
and the state of Minnesota distributed additional ARPA funds to eligible governments; and
WHEREAS, the City received $31,382.73 on November 23, 2021, the first half of the additional American
Rescue Plan Supplemental Distribution; and
WHEREAS, the United States Department of Treasury released the Final Rule on January 6, 2022 outlining
guidance regarding the use of ARPA funds; and
WHEREAS, the Final Rule notes that recipients may elect a standard allowance to replace lost public sector
revenue up to a maximum amount of $10 million and use those funds for services traditionally provided
by the recipient government; and
WHEREAS, the City Council has met to discuss and review the use of the ARPA funding.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF OTSEGO, MINNESOTA:
1. The City Council has met to discuss and review the City's share of ARPA funding and hereby
elects the Standard Allowance for the City's full allocation of funding consistent with guidance
from the United States Department of Treasury.
2. City staff is hereby authorized to complete the necessary APRA Project and Expenditure Report
electing the Standard Allowance.
ADOPTED by the Otsego City Council this 25th day of April, 2022.
MOTION BY: M%d% E/
SECONDED BY: GOEDE
IN FAVOR: STOCKAMP, DARKENWALD,
OPPOSED: NONE
GOEDE, MOORES, DAHL
CITY OF OTSEGO
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ATTEST:
Audra Etl, City Clerk