The City has received its first tranche of American Rescue Plan Act funds — and it’s more than was expected during the budgeting process earlier this calendar year, City Manager Mike Bailey said this week.
“In June of this calendar year, at the time the budget was approved, we anticipated receiving $5.8 million over the next two years, with the first tranche expected to be around $2.9 million,” Bailey said. “We actually received almost $3.2 million in the first tranche, and our total allocation over two years will be about $6.3 million. This is very good news for the City of Bartlesville.”
The U.S. Treasury had outlined a number of categories for which the funds could be used, including to offset losses and provide premium pay for essential workers. In line with the restrictions, the City Council allocated approximately $1 million in the FY 2021-22 budget for personnel increases, with plans to allocate another $2.5 million for the same personnel increases over the next two and a half years.
“This leaves us with roughly $2.8 million to allocate to ARPA eligible projects,” Bailey said.
Bailey said the rules have continued to change on what an ARPA eligible project is, “so we will need to circle back and reeducate ourselves on that,” he said.
“However, we do have time, as these funds are not required to be obligated until Dec. 31, 2024 and do not have to be spent until Dec. 31, 2026,” he said.
How the funds are utilized will be a City Council decision, to be determined at a later time, he said.
“There is always plenty of need, so this funding will certainly be put to good use,” Bailey said. “Staff will likely make recommendations for the council to consider, but ultimately how these funds are used will be up to the council.”