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City leaders scramble to reallocate ARPA funds before deadline

June 26, 2024 | Milwaukee , Milwaukee County, Wisconsin


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City leaders scramble to reallocate ARPA funds before deadline
In a recent government meeting, city officials discussed the reallocation of American Rescue Plan Act (ARPA) funds, emphasizing the urgency to utilize these resources before the December 31, 2024 deadline. Andrea Fowler, the city ARPA director, presented a partial update on the available funds for reprogramming, which currently totals approximately $807,839. This amount is derived from various programs that have either concluded or encountered issues that prevent full expenditure.

Fowler outlined several specific programs contributing to the reallocation, including the COVID-19 response and recovery program, which had surplus funds due to other grant sources being utilized first. Other programs, such as the compliance loan program and the housing trust fund, also reported leftover amounts that could be redirected. Notably, the housing trust fund has about $416,000 remaining, primarily due to a canceled contract with a local organization.

The committee expressed concerns about the tight timeline for reprogramming these funds, with discussions highlighting the need for a thorough evaluation of all ARPA programs. Members stressed the importance of receiving updates sooner than September to allow for adequate public engagement and decision-making regarding the reallocation of funds.

Budget Director Kovac acknowledged the complexities involved in managing these funds, particularly in light of concurrent obligations related to the upcoming Republican National Convention. He noted that while there are options for reallocating funds, including potential subawards to compliant organizations, the timeline for procurement remains a challenge.

The meeting underscored the city's commitment to ensuring that ARPA funds are effectively utilized while navigating federal compliance requirements. As the clock ticks down to the end of the year, city officials are working diligently to finalize evaluations and recommendations for the reallocation of these critical resources.

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