BACKGROUND

As part of the federal government’s response to the pandemic, Congress passed a $1.9 trillion economic stimulus program called the American Rescue Plan Act of 2021.  Under this program, the Village of Arlington Heights will receive $6.78 million over two years.  In July 2021, the Village Board approved a plan to spend these federal grant funds on eligible expenditures such as water and sewer infrastructure, Police and Fire vehicle purchases, other capital projects, and an allocation of $500,000 to the Arlington Heights Park District to help offset that government’s revenue losses due to the pandemic.  The Park District has only been eligible for very limited direct federal and state pandemic grants.

As a subrecipient of federal grant funds through the Village, the Park District will be required to obligate the use of the $500,000 allocation on qualifying projects under the ARPA grant guidelines by the end of 2024.  To that end, the Park District plans on using these funds toward removing and replacing 90% of the existing multi-purpose path at the Nichol Knoll Golf Course (Village owned property).  The estimated cost of this work is $538,120.  The work will include removal of existing pathways, compacting the stone base, and installing a new binder and surface material.  Should this project come in under budget, the Park District would spend any remaining ARPA grant funds to assist with the $388,000 pond bank stabilization and restoration project at Arlington Lakes Golf Course.  (Theses bodies of water are part of the Village’s stormwater management program).  The Village’s auditors, Sikich LLC have reviewed these projects and concur that they qualify as ARPA eligible expenses.  

RECOMMENDATION

It is recommended that the Village Board of Trustees approve the attached Resolution Approving a Park District ARPA Grant IGA allocating $500,000 of the Village’s American Rescue Plan Act (ARPA) federal grant fund receipts to the Arlington Heights Park District. It is also recommended that the Village Board approve the attached Ordinance amending the 2022 Capital Projects Fund budget, account number 401-9901-591.90-06 in the amount of $500,000 for the ARPA grant allocation to the Arlington Heights Park District.