Title
Recommended Uses for American Rescue Plan Act Funds - HIRE Charlotte
Action
Action:
A. Approve the use of up to $9,100,000 from the Coronavirus State and Local Fiscal Recovery Fund for HIRE Charlotte implementation recommendations, as follows:
- Up to $1,500,000 for HIRE Charlotte employer/job seeker connect platform and career navigators program,
- Up to $4,600,000 for technical skills training,
- Up to $1,000,000 for essential skills modular curriculum,
- Up to $2,000,000 for reskilling opportunities, and
B. Authorize the City Manager, or his designee, to negotiate and execute any necessary contracts and agreements related to these recommendations.
Body
Staff Resource(s):
Tracy Dodson, City Manager’s Office
Explanation
§ These actions authorize the City Manager to negotiate and execute any necessary contracts or agreements for the following recommended allocations of Coronavirus State and Local Fiscal Recovery Fund (SLFRF) funding provided by the American Rescue Plan Act of 2021:
- Up to $1,500,000 for HIRE Charlotte employer/job seeker connect platform and career navigators program,
§ Support the development of an employer/job seeker connect community website and hubs, including career navigators in the Corridors of Opportunity, providing job opportunities, training, and resources to residents.
- Up to $4,600,000 for technical skills training,
§ Fund target industry training & development, apprenticeships, RENEW expansion, and housing/workforce grant opportunity.
- Up to $1,000,000 for essential skills modular curriculum,
§ Support universal certification including communication, employability, and digital skills.
- Up to $2,000,000 for reskilling opportunities,
§ Fund efforts to partner with employers to provide training for future jobs.
§ The proposed uses in this Request for Council Action are to respond to the negative economic impacts of the COVID-19 public health emergency and have been reviewed for compliance with the U.S. Treasury Department’s Interim Final Rule regulating allowable uses of SLFRF funds.
Background
§ On March 11, 2021, in response to the COVID-19 public health emergency, President Biden signed the American Rescue Plan Act of 2021 (ARPA).
§ ARPA included the Coronavirus State and Local Fiscal Recovery Fund (SLFRF), which provided $130 billion in direct assistance for local governments to be used to mitigate the fiscal effects stemming from the COVID-19 public health emergency.
§ The SLFRF provides direct payments to metropolitan cities and counties; Charlotte was one of the 990 cities across the nation that met the criteria.
§ The U.S. Treasury Department is releasing SLFRF funding to local governments in two equal installments. Charlotte received its first installment of approximately $71 million in May 2021 and the second installment in May 2022.
§ Funds from the SLFRF may only be used to cover costs incurred by December 31, 2024, for the following purposes:
- To respond to the COVID-19 public health emergency or its negative economic impacts, including assistance to households, small businesses, and nonprofits, or aid to impacted industries such as tourism, travel, and hospitality;
- To respond to workers performing essential work during the COVID-19 public health emergency by providing premium pay to eligible city employees who are performing such essential work or by providing grants to eligible employers that have eligible workers who perform essential work;
- For the provision of government services to the extent of the reduction in revenue in the city’s budget due to the COVID-19 public health emergency relative to revenues collected in Fiscal Year 2019; and
- To make necessary investments in water, sewer, or broadband infrastructure.
City Council Discussion
§ At the February 6, 2023 Jobs and Economic Development (J&ED) Council Committee meeting the committee received a presentation and discussed this funding request.
§ At the March 6, 2023 J&ED Council Committee meeting the committee received a presentation that addressed questions from the February 6, 2023 committee meeting.
§ The committee voted unanimously to support moving the request forward for consideration by Council action (Ajmera absent).
§ City Council was briefed on the request from the J&ED chair at the April 3, 2023 Council Committee Discussions meeting.
Fiscal Note
Funding: American Rescue Plan Act (ARPA) Funds
Attachments
Attachment(s)
February 6, 2023, Jobs and Economic Development Committee Presentation