County advances broadband construction with $500,000 working-capital transfer; ARPA funds and short-term general-fund float planned

Clallam County staff requested and described a $500,000 increase in working capital for an ongoing broadband buildout that is under construction, citing high contractor billings and the need to maintain cash flow while the project draws down grant reimbursements.

County staff described the $500,000 request as two parts: $203,612 of American Rescue Plan Act (ARPA) funds to be transferred into the broadband infrastructure project and a $296,388 short-term transfer from the county general fund to bridge timing differences on reimbursements. Staff said they expect the general-fund advance to be returned to reserves as reimbursements arrive and that the ARPA tranche will permanently cover local match and eligible project costs.

Why it matters: the broadband project is in active construction and county and project leaders said contractor billings have accelerated. Delaying payments or constraining working capital, staff said, could slow construction or affect contractor schedules. County staff also emphasized contract protections: they told commissioners that any cost overruns beyond the grant scope would be the contractor’s responsibility under current contract terms.

Next steps and risk: staff said they conducted a cash-flow review and will return to the commissioners through the budget process; the board approved a plan to transfer the amounts and track reimbursements. Staff warned that reimbursement timing from grantors can change and that additional short-term funding might be required if those schedules slow.

Commissioners said the project was worth the near-term cash management steps because it advances broadband to underserved areas on the West End, but asked staff to continue reporting monthly on reimbursements, sources and returns to the general fund.