Item Coversheet

STAFF REPORT - CITY COUNCIL/SUCCESSOR AGENCY/PUBLIC FINANCE AUTHORITY

Subject:Discussion, Direction and Potential Action regarding Rescinding Resolution No. 3964 Declaring All Businesses in the City as Essential Businesses in Order to Receive CARES Act Funding currently being Withheld by the State
Meeting Date:Monday, July 27, 2020
From:Marissa Trejo, City Manager
Prepared by:Marissa Trejo, City Manager


I.    RECOMMENDATION:

There is no staff recommendation.  This item is informational for the Council and public.

II.    BACKGROUND:

On May 7, 2020, the City Council passed and adopted Resolution No. 3964 Declaring all Businesses in the City as Essential Businesses.  The Resolution was passed and adopted by the following vote: 

 

Ayes:  Adkisson, Ramsey, Singleton, Stolz

 

Noes:  Lander

 

A copy of the Resolution is attached.



III.   DISCUSSION:

On July 22, 2020, City Manager, Marissa Trejo, received a call from Cal OES Legislative and External Affairs Director Reggie Salvador, Cal OES Lead Attorney Alex Pal, and League of California Cities Deputy Executive Director of Advocacy and Public Affairs. 

 

Mr. Salvador and Mr. Pal explained to Mrs. Trejo that Cal OES would be withholding the City of Coalinga's CARES Act funding due to the City of Coalinga adopting a Resolution declaring all businesses as essential.  They stated in order for the City to receive the funding, Council would need to rescind the Resolution.

 

The City of Coalinga's CARES Act allocation is $212,358.  Documentation attached.

 

Also, attached is a letter that was sent to Governor Newsom from members of Congress regarding disbursement of funds to local government agencies.

 

 



IV.   ALTERNATIVES:

1.  The Council may rescind the Resolution to receive CARES Act funding;

2.  The Council may choose not to rescind the Resolution and not receive CARES Act funding;

3.  The City Attorney will provide legal alternatives during the discussion on this item.



V.    FISCAL IMPACT:

Up to $212,358.
ATTACHMENTS:
File NameDescription
Resolution_3964.pdfResolution
Congress_Letter.pdfLetter from Congress
City_Allocation.pdfCity CARES Act Allocation
CalOES_Letter_07232020.pdfCALOES Letter 07232020
CalOES_EMAIL_07232020.pdfCALOES Email 07232020