title
Receive an American Rescue Plan Act (ARPA) Subject Matter Workgroup presentation and consider providing further direction on Workforce and Small Business recovery project options
body
Published Notice Required? Yes _ _ No _X _
Public Hearing Required? Yes _ _ No _ X_
DEPARTMENTAL RECOMMENDATION:
It is recommended that the Board of Supervisors receive an American Rescue Plan Act (ARPA) Subject Matter presentation and consider providing further direction on Workforce and Small Business recovery project options.
SUMMARY:
At the direction of your Board, the County Administrator’s Office has been working with various Subject Matter Workgroups to bring forward project options under eligible categories in the American Rescue Plan Act (ARPA) Coronavirus State and Local Fiscal Recovery Funds (SLFRF) for further Board discussion and direction. This presentation brings forward a package of seven project options in the ARPA eligible categories identified by your Board under the topic area of Workforce and Small Business recovery project options.
The Subject Matter Workgroup engaged over fifty (50) organizations and entities in the process of developing the project options, including city governments, training providers, funders, and nonprofit workforce providers.
The Workforce Development Board (WDB) of Solano County, the Solano Economic Development Corporation (Solano EDC), and the Solano-Napa Small Business Development Center (SBDC) will provide an overview of identified project options for workforce and small business recovery projects under the County’s ARPA allocation, providing the Board an opportunity to consider providing further direction.
FINANCIAL IMPACT:
The Subject Matter Workgroup identifies seven project options with a total estimated cost of $10,819,000. These project options qualify under the ARPA U.S. Treasury eligible spending category of “Negative Economic Impacts”, which the Board previously affirmed as a Solano County eligible category. The Board of Supervisors approved an initial allocation of Solano County ARPA SLFRF funding in this category area of $10,000,000, subject to future modification depending on Board direction.
The costs associated with preparing this agenda item are nominal and absorbed by the Department’s FY2021/22 Adopted Budget. Any future allocation of funding for the project options presented by the Subject Matter Workgroup would be deducted from the Solano County ARPA allocation of $86,949,405. There is no impact to the General Fund.
DISCUSSION:
Solano County received a direct federal funding allocation under the ARPA - Coronavirus State and Local Fiscal Recovery Funds (SLFRF) program of $86,949,405. These funds are intended to provide support to the County in responding to the economic and public health impacts of COVID-19 and impacts on our communities, residents, and businesses. The Board of Supervisors previously received an overview on ARPA guidelines and approved the eligible spending categories for potential allocation of funding in-line with the U.S. Treasury guidelines. The Board also provided several opportunities for public comment/input into the development of the ARPA Recovery Plan and agreed to receive Subject Matter Workgroup presentations to further explore funding options in consideration for determining the funding plan for ARPA SLFRF funds.
The County Administrator’s Office is working with many workgroups to bring forward to the Board Subject Matter Workgroup presentations addressing key ARPA categories for potential investment. This presentation brings forward a package of seven (7) project options for Board consideration for the topic area of Workforce and Small Business Recovery under the “Negative Economic Impacts” Category within the ARPA framework. A full description of each proposal is in the attached Subject Matter Workgroup report, including:
• Team members
• Existing studies/reports
• Funding Considerations
• Identified needs
• Project proposal
The Subject Matter Workgroup Report identifies seven project options as follows:
1. Career Navigation and Reemployment - $3,631,000
2. Talent Pipeline Initiatives - $2,372,000
3. Rethinking Work Initiative - $808,000
4. Improving Workforce System Efficacy - $770,000
5. Revolving Loan Fund for Small Businesses - $2,000,000
6. Small Business Supports - $1,151,000
7. Digital Gap Study - $88,000
These seven project options were the identified needs after reviewing community data, considering other investments by a variety of stakeholders to address the COVID-19 pandemic, the ability of the proposal to be sustained beyond the life of the investment, and the readiness of the impacted system to successfully integrate the investment into ongoing functionality.
The attached Subject Matter Workgroup Report outlines project options to mitigate the negative economic impacts of COVID-19 for Solano County’s workers and businesses. The goals of the projects are threefold: (1) to support residents in returning to work and improving economic mobility; (2) to aid small businesses in COVID-19 recovery and adjusting to new business models; and (3) to ensure Solano has a nimble and effective workforce ecosystem that is aligned with industry needs and is accessible for all populations.
The Subject Matter Workgroup Report outlines identified needs and funding recommendations in detail. The Report is included as Attachment A.
ALTERNATIVES:
The Board could choose not to receive the presentation from the Subject Matter Workgroup on Workforce and Small Business Recovery project options or provide further direction. This is not recommended as the presentation was prepared in accordance with BOS direction to bring forward subject matter presentations to address impacts and the recovery from the COVID-19 pandemic and Board direction will assist in ensuring the Board receives information necessary to determine the funding plan for APRA SLFRF funds including the authorization of specific projects.
Alternatively, the Board of Supervisors may:
1. Approve any of the identified project options for funding, and direct staff to return with the necessary action items to allocate Solano County ARPA SLFRF funds to the specific Board approved project, approve Appropriations Transfer Requests to establish the project budget, and take other necessary action.
2. Direct staff to remove any or all project options presented from future consideration by the Board in determining ARPA SLFRF funding.
3. Direct the Subject Matter Workgroup to return with alternate project options or additional information on any of the project option presented.
OTHER AGENCY INVOLVEMENT:
The Negative Economic Impacts Subject Matter Workgroup team included the Solano Economic Development Corporation and the Solano-Napa Small Business Development Center. Other agencies involved include the Department of Resource Management, First 5 Solano, Solano County Office of Education, Solano College, Department of Health and Social Services. A full list of organizations and agencies providing input and feedback on the recommendation package are outlined in the Subject Matter Workgroup Report.
CAO RECOMMENDATION:
APPROVE CAO RECOMMENDATION