Council pauses $140,300 ARPA reallocation to Salvation Army pending more detail on jobs program

City staff presented an ordinance and accompanying resolution to appropriate $140,300 of American Rescue Plan Act (ARPA) funds to cover cost overruns on William Booth Drive, a roadway constructed by the Salvation Army. Kim Gordon said the city previously reimbursed the Salvation Army $1,300,000 under an ARPA agreement; the total roadway cost was reported as $1,464,757.60, and staff requested reallocating $140,300 of surplus ARPA funds from other projects that came in under budget.

Several council members questioned whether that $140,300 represents the remaining balance of a previously authorized digital‑divide/jobs program. Councilmembers asked for transparency on who administered the jobs program (Step Up Wilmington and Stiegler EdTech were named in discussion), how many participants completed cohorts, what the program had actually spent and why projects under that program failed to expend remaining funds by federal deadlines. Staff explained that ARPA reallocation rules limit use to previously obligated ARPA projects that remain open and that some cohorts did not attract sufficient participants, leaving funds unspent; staff said they would collect final invoices and reporting and prepare a written report for the next council meeting.

Council voted to continue ordinance items O1a and O1b for two weeks (motion passed unanimously) so staff can provide the requested documentation and a list of open ARPA projects eligible to receive the remaining funds. No reallocation took place at the meeting.