Message from the City Manager Setting the Record Straight
R
ecent articles written by the Palm Beach Post have taken the liberty to present what they perceive as a poor decision to use American Relief Plan Act funds for infrastructure in support of the construction of a family-oriented par 3 golf course and clubhouse for our residents. Not fully included in their article are some missing key factors that led up to our decision. To begin, prior to any Covid-19 Relief funds availability, the City funded:
✔ $1 million to help struggling businesses; ✔ $300,000 to feed residents impacted by Covid-19; ✔ Over $549,599 for housing assistance to residents of low income (funding still available);
✔ $191,300 for residents in need of rent or mortgage payments (funding still available); ✔ Identified $5,550,000 for workforce housing incentives; ✔ Procured funding in the amount of $1,202,173 in order to provide potable water to two (2) low-income neighborhoods that would otherwise be unable to afford the cost of construction and installation; and
✔ Waived signage and outdoor tent/seating requirements to assist our business community.
During the City’s budget preparations, the American Relief Plan Act funding became a part of the math in developing the budget. It’s also important to note that the City has identified at least $2.1 million of lost revenue due to the pandemic. Therefore, the City has spent $1.3 million on local business recovery and feeding residents,
and lost $2.1 million in revenue, for a total of $3.4 million. A non-ad valorem bond was issued in January 2021 for $14 million to fund construction of the golf project. Due to an increase in the cost of materials and construction, the actual cost of the project totaled $16.1 million. Had the City not spent the $1.3 million and had the City not lost $2.1 million in revenue, the City would have been able
to fund the shortfall for the construction of the golf project. The American Relief Plan Act funds provide for the replacement of lost revenue due to the pandemic. These funds may be used for general infrastructure due to the extent of lost revenue. The City will use the funds for drainage, water/fire flow, sewer, electric infrastructure, an
irrigation lift station, gas and fiber lines, street lighting and parking facilities. The City’s use of the funds, therefore, is logical and permitted. The City of Palm Beach Gardens continues to be honest and transparent on all budget line items and expenditures. The American Relief Plan Act funds are no exception. – Ron Ferris, City Manager FA L L 2021
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