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Chico City Council Allocates American Relief Plan Funds

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Charms Of Chico
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Downtown Chico, Calif.

The Chico City Council held a special meeting Tuesday June 8th to discuss how to distribute funds received through the American Rescue Plan (ARP).

In total, the city will receive over $22 million in ARP funds. $11 million was given to the city in May, with the rest to come in May of next year. ARP was approved by Congress in February and provides funding to cities economically affected by COVID-19.

The plan regulates how the money is to be spent, such as assisting small businesses and impacted industries, and investment in city infrastructure.

Included in the City's allocation plan was a $1,050,000 allotment for a homeless resting site and park rehabilitation project. The funding allocation was approved despite calls for further analysis from Mayor Andrew Coolidge.

The plan also proposed a transitional employment pilot program, designed to help 15 to 30 unhoused individuals receive occupational training to get them back in the workforce. Councilmember Sean Morgan successfully moved to remove the pilot program due to a lack of support from the other council members.

Morgan also noted that the city's plan is only to decide the allocation of the money, not to spend it. The dollar amounts proposed for each item can be changed in the future.

The next Chico City Council meeting is set for July 15th at 6 PM. It can also be viewed online.