REPORT TO THE CITY COUNCIL
FROM: GEORGEANNE A. WHITE, City Manager
Office of Mayor & City Manager
BY: HENRY FIERRO, Budget Manager
Budget and Management Studies Division
SUBJECT
Title
***RESOLUTION - 51st Amendment to the Annual Appropriations Resolution (AAR) No. 2021-178 appropriating $6,141,400 under the General Fund that will fund salary increases and overtime for Bargaining Units 04 (FPOA Non-Management) and 09 (FPOA Management), 05 (IAFF Non-Management) and 10 (IAFF Management) from the American Rescue Plan Act (ARPA) ((Requires 5 Affirmative Votes) (Subject to Mayor’s Veto).
Body
RECOMMENDATION
The Administration recommends the Fresno City Council approve the 51st Amendment to the Annual Appropriations Resolution No. 2021-178 to allocate $6,141,400 of American Rescue Plan Act (ARPA) funding for eligible uses as defined in the ARPA Final Rules, published as of January 6, 2022.
EXECUTIVE SUMMARY
The American Rescue Plan Act (ARPA) is a $1.9 trillion emergency relief measure authorized by Congress and signed into law by the President March 11, 2021, to address the adverse impacts of COVID-19 on public health and the national economy. The City of Fresno has been programmed to receive $170,808,029, which will be paid in two tranches: May 2021 and May 2022.
Based on the eligible uses defined in the ARPA Final Rules, the Administration recommends assigning $6,141,400 of the first ARPA funding tranche towards the cost of the approved MOU agreements between the City of Fresno and the Fresno Police Officers Associations (FPOA: Unit 04, Non-Management and Unit 09, Management) along with a three percent salary rate change retroactively to June 2021 for the International Association of Firefighters (IAFF: Unit 05, Non-Management and Unit 10, Management), as well as to fully fund anticipated Fire’s overtime activity in FY 2022.
The Administration recommends the Fresno City Council approve the 51st Amendment to the Annual Appropriations Resolution No. 2021-178 to allocate $6,141,400 of ARPA funding for eligible uses, such as Public Safety salary increases and overtime, as defined in the ARPA Final Rules.
BACKGROUND
Based on the eligible uses defined in the ARPA Final Rules, the Administration recommends assigning $6,141,400 of the first ARPA funding tranche towards the following cost items:
• $4,608,200: per Council approval on January 27, 2022 of the MOU agreements between the City of Fresno and the Fresno Police Officers Associations (FPOA: Unit 04, Non-Management and Unit 09, Management).
• $369,600: associated with a 3% wage rate change retroactively to June 2021 for International Association of Firefighters (IAFF: Unit 05, Non-Management and Unit 10, Management). This cost corresponds to the approved IAFF MOU agreements’ “Me-Too” clause in conjunction to the approved FPOA MOU agreements’ effective date.
• $1,163,600: To fully fund anticipated Fire’s overtime activity. This funding recommendation was identified during the FY 2022 budget process. The plan was to utilize ARPA funding to assist with fully funding the Fire Department’s overtime costs once Final Rules were established.
The recommended expenditure of $6,141,400 will provide funding to cover the recently approved MOU agreement between the City of Fresno and FPOA’s Units 04 and 09, address “Me-Too” language per the approved MOU agreements with IAFF Units 05 and 10, and fully fund Fire’s overtime activity.
ENVIRONMENTAL FINDINGS
By the definition in the California Environmental Quality Act (CEQA) Guidelines Section 15378, this AAR does not qualify as a “project” as defined by CEQA.
LOCAL PREFERENCE
Local Preference does not apply.
FISCAL IMPACT
As described above, the source of funds for the AAR is the City’s award of American Rescue Plan Act (ARPA) funds. The General Fund will not be impacted.
Attachments:
51st Amendment to the Annual Appropriations Resolution No. 2021-178