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HomeMy WebLinkAbout10569ORDINANCE NO. 10569 AN ORDINANCE APPROVING A SUBRECIPIENT AGREEMENT AUTHORIZING PAYMENT IN AN AMOUNT OF UP TO $900,000 FROM PROJECT CI2113 - AMERICAN RESCUE PLAN ACT TO NEIGHBORWORKS SOUTHERN COLORADO, INC. TO CONSTRUCT NECESSARY INFRASTRUCTURE IMPROVEMENTS FOR AFFORDABLE HOUSING UNITS AS AUTHORIZED BY SECTION 603(C)(1)(A) OF THE AMERICAN RESCUE PLAN ACT AND U.S. TREASURY FINAL RULE 31 C.F.R. § 35.6 (B) (3) (II) (A) (5) AND AUTHORIZING THE MAYOR TO EXECUTE SAME BE IT ORDAINED BY THE CITY COUNCIL OF PUEBLO, that: SECTION 1. The Subrecipient Agreement (“Agreement”) between Pueblo, a Colorado Municipal Corporation and NeighborWorks of Southern Colorado, Inc., attached hereto, and the Award of ARPA funds from Project No. CI2113 – American Rescue Plan Act is hereby approved. SECTION 2. After the Agreement is approved as to form by the Department of Law, the Mayor is hereby authorized to execute said Agreement for and on behalf of the City and the City Clerk is authorized to affix the seal of the City thereto and attest same. SECTION 3. Funds for this Agreement shall be paid from Project No. CI2113 – American Rescue Plan Act. SECTION 4. The officers and staff of the City are authorized to perform any and all acts consistent with this Ordinance and the attached Agreement to implement the policies and procedures described therein. SECTION 5. This Ordinance shall become effective on the date of final action by the Mayor and City Council. Action by City Council: Introduced and initial adoption of Ordinance by City Council on September 25, 2023. Final adoption of Ordinance by City Council on October 10, 2023. ____________________________ President of City Council Action by the Mayor: ☒ Approved on October 12, 2023 . ☐ Disapproved on ______________ based on the following objections: ______________________________________________________________________________ ______________________________________________________________________________ ______________________________________________________________________________ ______________________________________________________________________________ ____________________________ Mayor Action by City Council After Disapproval by the Mayor: ☐ Council did not act to override the Mayor's veto. ☐ Ordinance re-adopted on a vote of ____________, on _____________ ☐ Council action on _______ failed to override the Mayor’s veto. ____________________________ President of City Council ATTEST ________________________________ City Clerk City Clerk's Office Item # R8 Background Paper for Proposed Ordinance COUNCIL MEETING DATE: October 10, 2023 TO: President Heather Graham and Members of City Council CC: Mayor Nicholas A. Gradisar VIA: Marisa Stoller, City Clerk FROM: Laura Solano, Chief of Staff SUBJECT: AN ORDINANCE APPROVING A SUBRECIPIENT AGREEMENT AUTHORIZING PAYMENT IN AN AMOUNT OF UP TO $900,000 FROM PROJECT CI2113 - AMERICAN RESCUE PLAN ACT TO NEIGHBORWORKS SOUTHERN COLORADO, INC. TO CONSTRUCT NECESSARY INFRASTRUCTURE IMPROVEMENTS FOR AFFORDABLE HOUSING UNITS AS AUTHORIZED BY SECTION 603(C)(1)(A) OF THE AMERICAN RESCUE PLAN ACT AND U.S. TREASURY FINAL RULE 31 C.F.R. § 35.6 (B) (3) (II) (A) (5) AND AUTHORIZING THE MAYOR TO EXECUTE SAME SUMMARY: This ordinance authorizes the transfer of funds in the amount of up to $900,000 from project CI2113 American Rescue Plan Act to NeighborWorks Southern Colorado, Inc. through a subrecipient agreement to build necessary water and sewer infrastructure for some sixty (60) units of affordable housing in the City of Pueblo. This payment is authorized by Section 603(c)(1)(A) of the American Rescue Plan Act and U.S. Treasury Final Rule 31 C.F.R. 35.6 § (b)(3)(ii)(A) (5). PREVIOUS COUNCIL ACTION: By Ordinance No. 9931, approved May 17, 2021, the City Council established Project No. CI2113 and budgeted and appropriated up to $36.7 million in funds which were expected to be distributed to the City from the American Rescue Plan Act (“ARPA”) for covered costs and eligible expenses to be incurred during the period which began on March 3, 2021, until December 31, 2024 (to be expended by December 31, 2026). BACKGROUND: On March 11, 2021, President Biden signed the U.S. Senate-amended H.R.1319 (P.L.117-2), now known as ARPA, and on May 10, 2021, the U.S. Treasury issued the Interim Final Rule to implement ARPA in Title 31, Part 35 of the Code of Federal Regulations (“CFR”). Statistics demonstrate that the COVID-19 pandemic was especially devastating to the City and surrounding areas of Pueblo County:  The infection rate of the Pueblo County population is the second highest in the state at 12.1% (only .3% less than Adams County);  Pueblo County suffered the highest death rate in the state, with 2.1% of positive cases resulting in death;  Pueblo County accounts for just under 3% of Colorado’s population, but 6% of the state’s COVID-19 deaths occurred here. To remedy some of the impacts within the City, NeighborWorks will utilize the $900,000 to provide water and sewer infrastructure improvements necessary to construct sixty (60) affordable housing units for its Shared Equity Homeownership Program. FINANCIAL IMPLICATIONS: Funding for this project will be paid out of Project No. CI2113 – American Rescue Plan Act. BOARD/COMMISSION RECOMMENDATION: None. STAKEHOLDER PROCESS: None. ALTERNATIVES: City Council could not authorize payment for the infrastructure improvements necessary to construct affordable housing units. RECOMMENDATION: Approval of the Ordinance. ATTACHMENTS: 1. Subrecipient Agreement - NeighborWorks (Clean)