Subject:
Title
Set a public hearing for August 31 to amend the 2020-21 budget related to federal CARES Act spending
Body
EXPLANATION AND SUMMARY:
As part of the federal government’s relief package to local governments, entitled the CARES Act, the Town of Vienna received a pass-through allocation from Fairfax County of $2.886 million, based on the Town’s 2018 population. CARES funds are for expenses only, and specifically intended not to provide revenue replacement for local governments.
Each department head was made aware of the availability of these funds and eligible uses and developed spending plans for CARES funds based on efforts to prevent and mitigate spread of the coronavirus. These uses include purchasing adequate personal protective equipment (PPE), providing teleworking equipment to limit contact in Town buildings, purchasing and constructing barriers in Town buildings, hazard pay and select salaries for employees in direct contact with the public, and temporary worker salaries for additional monitoring of public gathering places and cleaning of public buildings. The Town also allocated $1 million for business relief, as administered through the Fairfax County RISE program, and an additional $100,000 to prevent eviction or foreclosure for residents. Staff currently is working to find the right partner to distribute residential grants.
It is necessary to appropriate unspent CARES funds as of July 1, 2020, so that they can be spent during fiscal year 2020-21 and before the spending deadline of December 30, 2020. As of July 1, the Town has approximately $1,815,692 in unspent CARES funds. The unspent funds are expected to earn $5,000 from the time invested in April 2020 through December 30, so the total amount to roll forward is $1,820,692. Since this is greater than 1% of the Town’s 2020-21 operating budget, a public hearing is required.
The Finance Department requests that Council set a public hearing for August 31, 2020 to receive public input.
Strategic Plan Initiative: Vienna is a fiscally responsible community
Departmental Recommendation: Recommend that Council set a public hearing to amend the FY 2020-21 budget for use of federal CARES funds unspent as of 6/30/20.
Finance Recommendation: Recommend that Council set a public hearing to amend the FY 2020-21 budget for use of federal CARES funds unspent as of 6/30/20.
Purchasing Recommendation: N/A
Town Attorney Recommendation: To account for receipt of federal CARES Act funding, the Town Attorney recommends that Town Council formally conduct a public hearing to acknowledge the required amendment to the Town’s budget.
Town Manager's Recommendation: I recommend the Town Council set a public hearing for August 31, 2020 to amend the Fiscal Year 2020-2021 budget, as presented below.
Cost and Financing: $1,820,692
Account Number: Department 13150, as attached.
Decision Needed by This date: July 6, 2020
PROPOSED/SUGGESTED MOTION
Recommended Action
"I move to set a public hearing for August 31 to amend the FY 2020-21 budget by $1,820,692 for roll forward of CARES Act funds."
Or
Other action deemed necessary by Council.