Daniel Prince
Resolution for electrical upgrades at water plant, American Rescue Plan Act fund expenditures on the agenda
Union City Council will hold its first meeting of 2023 this evening at 6:30 p.m. at Union City Hall, located at 101 Sharpe Avenue. Eight city employees will be recognized for January work anniversaries, ranging from 6 years to 23 years of service. The rest of the agenda is fairly light, with no old business to attend to.
In new business, council will consider a resolution to make electrical upgrades and improvements to the water treatment plant. At last month’s meeting, the council voted to provide local matching funds for an Appalachian Regional Commission grant for which the city was applying. The resolution sets the total amount of the project at $1.35 million. If the city receives the $750,000 ARC grant, they would be responsible for the other $600,000, setting the local match at 44%, a higher amount than what they voted on last month, where the planned local match was $410,000, or 35% of the then-estimated project cost.
The second item of new business is a discussion and possible motion concerning standard allowance expenditures of American Rescue Plan Act funds. The final ruling for the proper spending of the funds allows for cities and towns that received less than $10 million in ARP funding to claim a Standard Allowance, giving them the flexibility to use the funds to recoup lost revenues during the COVID period. During that time, the city lost business license revenues and natural gas revenues, causing them to put a purchasing freeze on new vehicles in fiscal year 2021. Council will be asked to use ARP funds under the Standard Allowance to replenish some of the vehicles that were unable to be purchased due to the loss of revenue.
Following a time of public comment, the meeting will adjourn.