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Officials warn of dwindling COVID relief funds

August 20, 2024 | Newark City Council, Newark, Licking County, Ohio


This article was created by AI summarizing key points discussed. AI makes mistakes, so for full details and context, please refer to the video of the full meeting. Please report any errors so we can fix them. Report an error »

Officials warn of dwindling COVID relief funds
During a recent government meeting, officials discussed the status and management of American Rescue Plan (ARP) funds, emphasizing the need for caution as the available resources dwindle. Council members were alerted to the diminishing balance of COVID-related funds, with a warning from the auditor about the tightening financial situation ahead.

Auditor Lang highlighted the importance of careful spending, noting that while ARP funds have provided significant support, the carryover into 2026 is projected to be minimal. He urged members to be prudent in their financial decisions moving forward. Mayor Lang elaborated on the complexities of managing ARP funds, explaining that the program is still evolving and lacks the established guidelines seen in long-standing programs like Community Development Block Grants (CDBG).

The mayor also provided insights into the reporting requirements associated with ARP funds, stating that commitments must be made by the end of the year to ensure compliance. He reassured council members that the reporting process has been running smoothly, with no significant issues reported thus far. The city has approximately 36 projects underway, with ongoing audits to ensure proper management of the funds.

In addition to the ARP discussions, the meeting included a request for an appropriation of $13.52 million, which has already been approved and will be available in the city’s bank account imminently. This funding is expected to facilitate upcoming projects, including one set to commence shortly, taking advantage of favorable weather conditions.

Overall, the meeting underscored the critical need for strategic planning and oversight as the city navigates the final phases of ARP fund utilization while preparing for future financial constraints.

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