RE.9 - Reallocate Arpa Revenue Loss Funds

WHEREAS, on March 11, 2021, President Joseph R. Biden signed the American Rescue Plan Act of 2021 (“ARPA”) into law; and

WHEREAS, ARPA is a historic emergency financial relief and investment package that addresses the unprecedented public health and economic crisis resulting from the Novel Coronavirus (“COVID-19”) pandemic; and

WHEREAS, the Secretary of the United States Department of the Treasury (“Treasury”) issued the final rule (31 CFR Part 35) to implement the Coronavirus State Fiscal and Local Fiscal Recovery Funds (“ARPA Funds”) established under the American Rescue Plan (“Final Rule”); and

WHEREAS, the Final Rule establishes the guidance and eligible uses of the ARPA Funds; and

WHEREAS, per the Final Rule, recipients have the option to make a one-time decision to calculate revenue loss according to the formula outlined in the Final Rule; and

WHEREAS, the Treasury, through its April 2026 “Reclassification How-To Guide for the SLFRF Program,” provides that recipients may reclassify previously obligated State and Local Fiscal Recovery Fund (“SLFRF”) amounts from an original project to another eligible project, including an existing Revenue Loss (Expenditure Category 6.1) project, provided the applicable obligation was incurred by December 31, 2024, and supporting documentation is maintained; and

WHEREAS, on September 13, 2021, pursuant to Resolution No. R-21-0352, the City made an initial estimated revenue loss calculation prior to the issuance of the Final Rule and additional guidance from Treasury; and

WHEREAS, the City has made updated revenue loss calculations based on the Final Rule and additional guidance provided by the Treasury; and

WHEREAS, for Fiscal Year (“FY”) 2019-2020 (“FY 2020”), revenue loss is calculated at

$69,659,199.00, attached and incorporated as Exhibit “B”; and

WHEREAS, for FY 2020-2021 (“FY 2021”), revenue loss is calculated at $93,989,727.00, attached and incorporated as Exhibit “C”; and

WHEREAS, for FY 2021-2022 (“FY 2022”), revenue loss is calculated at $51,408,511.00, attached and incorporated as Exhibit “D”; and

WHEREAS, for FY 2022-2023 (“FY 2023”), revenue loss is calculated at

$11,123,462.00, attached and incorporated as Exhibit “E”; and

WHEREAS, on September 12, 2024, pursuant to Resolution No. R-24-0330, the City updated its Revenue Replacement Total to the not to exceed amount of $86,133,316.30; and

WHEREAS, certain projects and activities funded by ARPA Funds have been completed or have been withdrawn, and there remaining balances could be used to fund general government services for FY 24 through FY 26; and

WHEREAS, the ARPA funds may be used for the provision of government services to the extent of the reduction in the City of Miami’s (“City”) general revenue due to the public health emergency; and

WHEREAS, the City’s ARPA Consultant, Atkins, member of the SNC-Lavalin Group, or its successor (“ARPA Consultant”), has reviewed the FY 2022 and FY 2023 revenue loss calculations and determined that the calculations are in accordance with the Final Rule and Treasury’s guidance, attached and incorporated as Exhibit “D” and “E”; and

WHEREAS, in accordance with the revised calculation, the City of Miami will elect to update its Revenue Replacement total by an increment of $120,762.91 for a revised total not to exceed amount of $86,254,079.21; and

WHEREAS, the City Administration further recommends that allocations and appropriations as identified in Exhibit “F,” attached and incorporated, be authorized, subject to any and all applicable Federal, State of Florida (“State”), and local laws, rules and regulations;

NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE CITY OF MIAMI, FLORIDA:

Section 1. The recitals and findings contained in the Preamble to this Resolution are

adopted by reference and incorporated as if fully set forth in this Section.

Section 2. The City Commission hereby approves, directs, and authorizes the deallocation and reallocation of funds associated with certain ARPA funded projects and programs, as more particularly set forth in Exhibit “A,” attached and incorporated.

Section 3. The City Manager is authorized1to deallocate, allocate and appropriate Revenue Loss asidentified in Exhibit “F,” attached and incorporated,in a total amount not to exceed$86,254,079.21, subject to any and all applicable Federal,State, and local laws, rules and regulations.

Section 4. The City Manager is authorized to make any changes to adjust, amend, and

appropriate the City’s Operating Budget, Five-Year Financial Plan, Strategic Plan, and Multi-

Year Capital Plan, as necessary and applicable, pursuant to the provisions of this Resolution.

Section 5. Certain necessary actions by the City Manager and the designated City

departments to update the relevant financial controls, project close-outs, accounting entries, and

computer systems in connection herewith are hereby ratified, approved, and confirmed.

Section 6. This Resolution shall become effective immediately upon its adoption and

signature of the Mayor.