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Home My WebLink About129-26 RESOLUTIONPage 1 113 West Mountain Street Fayetteville, AR 72701 (479) 575-8323 Resolution: 129-26 File Number: 2026-1621 A RESOLUTION TO COMMIT $1,447.00 IN RETURNED AMERICAN RESCUE PLAN ACT FUNDS AND $7,518.00 IN ACCRUED INTEREST TO THE CHILDCARE ASSISTANCE PROGRAM, AND TO APPROVE A BUDGET AMENDMENT WHEREAS, the City of Fayetteville was awarded $17.9 million in American Rescue Plan Act (ARPA) funding to assist in responding to the negative effects of the COVID-19 pandemic; and WHEREAS, beginning in 2021, the City established a number of projects to address the effects of the COVID-19 pandemic throughout the City including assistance to nonprofit organizations, vaccine incentives, workforce training, development programs, floodplain conservation, a childcare assistance program, funding to provide new ambulances to the regional ambulance authority, and programs to address housing instability in Fayetteville; and WHEREAS, on June 18, 2024, the City Council passed Resolution 168-24 that committed the remaining ARPA funds to the Childcare Assistance Program; and WHEREAS, in March 2026, the Fayetteville Public Library indicated it would like to return $1,447.00 back to the City so that it can be re-obligated to the City Childcare Assistance Program. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section 1: That the City Council of the City of Fayetteville, Arkansas hereby commits $1,447.00 in returned American Rescue Plan Act funds and $7,518.00 in accrued interest, totaling $8,965.00, to the Childcare Assistance Program. Section 2: That the City Council of the City of Fayetteville, Arkansas hereby approves a budget amendment, a copy of which is attached to this Resolution. PASSED and APPROVED on May 19, 2026 Approved: Attest: _______________________________ Molly Rawn, Mayor _______________________________ Kara Paxton, City Clerk Treasurer Docusign Envelope ID: A450D45F-4BFE-86EF-8376-A02075E04C33 Mailing address: 113 W. Mountain Street Fayetteville, AR 72701 www.fayetteville-ar.gov CITY COUNCIL MEMO 2026-1621 MEETING OF MAY 19, 2026 TO: Mayor Rawn and City Council THROUGH: FROM: Steven Dotson, Chief Financial Officer SUBJECT: Commit ARPA Interest and Reallocate Unused FPL ARPA funds to Childcare Program RECOMMENDATION: Staff recommends that Council commit the accrued interest on the American Rescue Plan Act (ARPA), and reallocate unused Fayetteville Public Library ARPA funds to the City Childcare Assistance Program, and approve a budget amendment in the amount of $8,965. BACKGROUND: The City of Fayetteville was awarded approximately $17.9M in ARPA funding to assist in responding to the negative effects of the COVID-19 pandemic. The City has established a number of projects to address the effects of the COVID-19 pandemic throughout the City. From 2022 to present, City Council has passed a number of resolutions to approve a total of $2,234,108 (including allocated interest) to fund a City Childcare Assistance program. Although City funds generally could not be used for this purpose, the American Rescue Plan Act regulations allow this as a qualified use of funds under the ARPA award. DISCUSSION: At the June 18, 2024 City Council meeting (resolution 168-24), staff indicated that interest will continue to accrue on the remaining unspent balance of ARPA funds until these funds are fully spent by the nonprofit organizations they have been committed to. During that meeting, it was agreed that accrued interest would be brought forward periodically to Council to consider for commitment to the City Childcare Assistance program. In March 2026, the Fayetteville Public Library indicated that they would like to return approximately $1,447 back to the City, so that it can be re-obligated to another ARPA project before the ARPA expenditure deadline of 12/31/2026. As of April 2026, there is approximately $7,518 in accrued interest to be allocated. BUDGET/STAFF IMPACT: Commitment of $8,965 in accrued interest and reallocated Fayetteville Public Library ARPA award funds to the City Childcare Assistance program. ATTACHMENTS: 3. Staff Review Form, 4. Budget Amendment Docusign Envelope ID: A450D45F-4BFE-86EF-8376-A02075E04C33 Page 1 City of Fayetteville, Arkansas Legislation Text 113 West Mountain Street Fayetteville, AR 72701 (479) 575-8323 File #: 2026-1621 A RESOLUTION TO COMMIT $1,447.00 IN RETURNED AMERICAN RESCUE PLAN ACT FUNDS AND $7,518.00 IN ACCRUED INTEREST TO THE CHILDCARE ASSISTANCE PROGRAM, AND TO APPROVE A BUDGET AMENDMENT WHEREAS, the City of Fayetteville was awarded $17.9 million in American Rescue Plan Act (ARPA) funding to assist in responding to the negative effects of the COVID-19 pandemic; and WHEREAS, beginning in 2021, the City established a number of projects to address the effects of the COVID-19 pandemic throughout the City including assistance to nonprofit organizations, vaccine incentives, workforce training, development programs, floodplain conservation, a childcare assistance program, funding to provide new ambulances to the regional ambulance authority, and programs to address housing instability in Fayetteville; and WHEREAS, on June 18, 2024, the City Council passed Resolution 168-24 that committed the remaining ARPA funds to the Childcare Assistance Program; and WHEREAS, in March 2026, the Fayetteville Public Library indicated it would like to return $1,447.00 back to the City so that it can be re-obligated to the City Childcare Assistance Program. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section 1: That the City Council of the City of Fayetteville, Arkansas hereby commits $1,447.00 in returned American Rescue Plan Act funds and $7,518.00 in accrued interest, totaling $8,965.00, to the Childcare Assistance Program. Section 2: That the City Council of the City of Fayetteville, Arkansas hereby approves a budget amendment, a copy of which is attached to this Resolution. Docusign Envelope ID: A450D45F-4BFE-86EF-8376-A02075E04C33 City of Fayetteville Staff Review Form 2026-1621 Item ID 5/19/2026 City Council Meeting Date - Agenda Item Only N/A for Non-Agenda Item Steven Dotson 4/27/2026 CHIEF FINANCIAL OFFICER (110) Submitted By Submitted Date Division / Department Action Recommendation: Staff recommends that Council commit the accrued interest on the American Rescue Plan Act (ARPA) and reallocate the unused Fayetteville Public Library ARPA funds to the City Childcare Assistance Program and approve a budget amendment in the amount of $8,965. Budget Impact: 2246.800.9721-5315.00 ARPA Account Number Fund 20023.2021 ARPA Childcare Assistance Program Project Number Project Title Budgeted Item?Yes Total Amended Budget $54,605.00 Expenses (Actual+Encum)$54,338.00 Available Budget $267.00 Does item have a direct cost?No Item Cost $- Is a Budget Adjustment attached?Yes Budget Adjustment $8,965.00 Remaining Budget $9,232.00 V20221130 Purchase Order Number:Previous Ordinance or Resolution #168-24 Change Order Number:Approval Date: Original Contract Number: Comments: Docusign Envelope ID: A450D45F-4BFE-86EF-8376-A02075E04C33 City of Fayetteville, Arkansas - Budget Adjustment (Agenda) Budget Year Division /Org2 CHIEF FINANCIAL OFFICER (110) Adjustment Number 2025 Requestor:Steven Dotson BUDGET ADJUSTMENT DESCRIPTION / JUSTIFICATION: Staff recommends that Council commit the accrued interest on the American Rescue Plan Act (ARPA) and reallocate the unused Fayetteville Public Library ARPA funds to the City Childcare Assistance Program and approve a budget amendment in the amount of $8,966. COUNCIL DATE:5/19/2026 ITEM ID#:2026-1621 Holly Black 4/28/2026 9:39 AM Budget Division Date TYPE:D - (City Council) JOURNAL #: GLDATE: RESOLUTION/ORDINANCE CHKD/POSTED:/ v.2026427TOTAL7,518 7,518 Increase / (Decrease)Project.Sub# Account Number Expense Revenue Project Sub.Detl AT Account NameGLACCOUNTEXPENSEREVENUEPROJECTSUBATDESCRIPTION X 2246.800.9721-5315.00 8,965 - 20023 2021 EX Contract Services 2246.800.9246-4705.00 - 7,518 20023 2021 RE Interest on checking - Base 2246.800.9720-5720.00 (1,447)- 20023 2021 EX Transfer to - Library Board - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 1 of 1 Docusign Envelope ID: A450D45F-4BFE-86EF-8376-A02075E04C33