City of Alexandria, Virginia
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MEMORANDUM
DATE: SEPTEMBER 2, 2020
TO: THE HONORABLE MAYOR AND MEMBERS OF CITY COUNCIL
FROM: MARK B. JINKS, CITY MANAGER /s/
DOCKET TITLE:
TITLE
Introduction and First Reading. Consideration. Passage on First Reading of a Supplemental Appropriation Ordinance for the Support of the City Government for FY 2021.
BODY
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ISSUE: Consideration of a Supplemental Appropriation Ordinance for the support of the City government for FY 2021.
RECOMMENDATION: That City Council pass this proposed Ordinance (Attachment 2) on first reading on September 8, 2020, and schedule it for second reading, public hearing and final passage on September 12, 2020.
DISCUSSION: This supplemental appropriation ordinance is being presented to City Council to recognize new federal CARES Act funding that is docketed to be approved by City Council in August ($13.9 million), as well as several other awards the City has received since the start of FY 2021. Staff will bring forward the Fall Reappropriation Ordinance in November to reappropriate funds that were budgeted or awarded in FY 2020 but were not expended and to adjust grant funds and other revenues that are different from the amount reflected in the FY 2021 Approved Budged, The budget amendments recommended at this time are as follows:
(1) Appropriation of CARES Act Fund Revenue accepted by the City in FY 2021, but not yet appropriated. On August 10, 2020, the City submitted a certification to the Commonwealth of Virginia, accepting the City’s allocation of $13.9 million in CARES Act Funding. In total, the City has been allocated $27.8 million. The Funds are recommended to be spent in the following manner: $1.0 million to the Office of Housing for Rental Assistance; $5.99 million to the Department of Community and Human Services including $2.0 million for the Alexandria Resiliency Fund, $1.53 million for food security, $0.96 million for childcare and workforce development, and $1.5 million for eviction prevention and rental assistance; $2.4 million for a second round of small business grants; $290,000 to ACPS and $4.22 million for direct government expenditures for COVID-19 related support of staff and the community.
The recommend allocations in this ordinance reflect the allocations recommended by the City Manager and under consideration by City Council. Adjustments may need to be made to these allocations, if City Council amends the City Manager’s recommendation.
(2) Appropriation of CARES Act Fund Revenue received, but not yet appropriated. This allocation provides $98,504 directly from the Commonwealth to the Office of Voter Registration to facilitate elections during the COVID-19 pandemic.
(3) Appropriation of grant revenue accepted or adjusted by the City in FY 2020, for specific programs, but not yet appropriated. A listing of grants is included as Attachment 3 and totals $2,050,339 in increased budget authority. Specific adjustments include $49,980 for the Court Service Unit for mentoring programs, and $594,984 for the Fire Department for paramedic training and health screenings. In addition, the Department of Community and Human Services has received a total of $1,405,375 to increase programs and services for persons impacted by COVID. The DCHS appropriation includes $137,012 for programs to keep at-risk children at home; $75,000 for staffing at Carpenters Shelter and the Alexandria Community Shelter; $224,800 to pay the mortgage at the Alexandria Community Shelter; $216,110 in Community Services Block Grant funding to assist resident with rent and utilities; $450,000 in Virginia HSP funding for rent and utilities for resident in need; $271,552 for Head Start programming and $30,901 for outreach to domestic violence clients in the Department of Social Services All of the adjustments are described in Attachment 3.
(4) Appropriation of donation revenue accepted or adjusted by the City in FY 2021, for specific programs, but not yet appropriated. This appropriation provides $35,000 in donations for Adult Employment Programs to the Department of Community and Human Services.
(5) The transfer of CARES Act budget authority between departments. In June 2020, City Council authorized an appropriation of $0.5 million of CARES Act funding to the Alexandria Health Department. A significant amount of resources for contact tracing, staffing and other epidemiological support has come directly from the Commonwealth. The Health Department Director has determined that only $0.15 million is needed directly in the Health Department and the remaining $0.35 million is needed for general support of City preparedness and response. This transfer will appropriate the CARES funding to a Non-Departmental CARES account, where the spending for personal protective equipment and other protective measures have been recorded.
(6) Appropriation of General Fund balance. This appropriation of $608,874 for economic development incentives authorized by City Council in FY 2019 and appropriated in FY 2020. The funds lapsed at the end of the fiscal year, but the performance agreements are still in place. This will appropriate the funds in FY 2021 to provide to the businesses upon completion of the performance agreements.
(7) Appropriation of Developer Contributions. This appropriation of $190,000 will supplement the CARES funding authorized in Section 1. The source of this funding is Braddock Small Area Plan developer contributions and will provide small business grants to retailers in the Braddock Small Area Plan neighborhood.
(8) Appropriation of Alexandria City Public Schools Operating Funds. This appropriation of $290,000 will provide budget authority to ACPS. The source of this funding is CARES Act Fuds appropriated in section 1. The funding will be transferred to the school system.
FISCAL IMPACT: The 8 sections of the ordinance appropriate a total of $17,182,195 as follows:
Section 1 Appropriation of CARES ACT Fund Revenue $13,909,478
Section 2: Appropriation of CARES ACT Fund Revenue $98,504
Section 3: Appropriation of Grants and Special Revenue $2,050,339
Section 4: Appropriation of Donation Revenue $35,000
Section 5: Transfer of CARES Fund Budget Authority Between Departments $0
Section 6: Appropriation of General Fund Balance $608,874
Section 7: Appropriation of Developer Contributions $190,000
Section 8: Appropriation of Schools Operating Funds $290,000
ATTACHMENTS:
Attachment 1. Ordinance Cover
Attachment 2. Ordinance to Amend Fiscal Year 2021 Operating Budget
Attachment 3. Listing of Fiscal Year 2021 Grant Authorization and Adjustments
STAFF:
Laura Triggs, Deputy City Manager
Kendel Taylor, Finance Director
Morgan Routt, Budget Director