CC - Item 4F - Resolution Approving ARPA Funding Reallocation and Fiscal Year 25-26 Budget AmendmentsROSEMEAD CITY COUNCIL
STAFF REPORT
TO: THE HONORABLE MAYOR AND CITY COUNCIL
FROM: BEN KIM, CITY MANAGER,
"
DATE: JUNE 23, 2026
SUBJECT: ADOPTION OF RESOLUTION NO. 2026-35 APPROVING ARPA
FUNDING REALLOCATION AND FISCAL YEAR 2025-26 BUDGET
AMENDMENTS
SUMMARY
Staff is requesting City Council approval to amend the Fiscal Year 2025-26 Budget to appropriate
available restricted funds for eligible expenditures, including the reclassification of available
American Rescue Plan Act (ARPA) savings to the City Hall Basement Remodel project, and
adjustments to Measure A, Proposition A, and Proposition C funding.
The City received funding through the American Rescue Plan Act to support eligible projects,
programs, and services in response to the public health and economic impacts of the COVID-19
pandemic.
Federal ARPA rules required recipients to obligate funds by December 31, 2024. Recipients may
not use ARPA funds to create new obligations after that deadline. However, previously obligated
funds may be reclassified or adjusted among eligible projects, provided the receiving project was
also properly authorized and obligated within the applicable federal obligation period.
As part of the City's prior allocation of ARPA funds, the City authorized funding for CIP Project
Management and 1 Full -Time Human Resources Analyst. Both activities have been completed or
closed, and final expenditures were less than the amounts originally authorized. As a result, staff
has identified a total of $70,754.54 in available ARPA savings.
Staff recommends reclassifying the available ARPA savings to the City Hall Basement Remodel
project. The proposed action does not increase the City's total ARPA allocation and does not create
a new federal obligation. Rather, it reallocates savings from completed or closed activities to an
existing project while maintaining compliance with applicable eligibility, obligation, expenditure,
documentation, and reporting requirements.
Because the reclassified ARPA funds will be used for the City Hall Basement Remodel during
Fiscal Year 2025-26, a budget amendment is necessary to appropriate the funds to the appropriate
project account. Approval of the recommended action will amend the Fiscal Year 2025-26 Budget
AGENDA ITEM 4.F
City Council Meeting — Adoption of Resolution 2026-35
June 23, 2026
Page 2 of 3
by increasing appropriations for the City Hall Basement Remodel project by $70,754.54, funded
with available ARPA savings.
In addition to the ARPA reclassification, staff is requesting a Fiscal Year 2025-26 Budget
amendment related to Los Angeles County Measure A funds. The proposed amendment will
recognize $110,000 in Measure A revenue and appropriate a corresponding $110,000 in Measure
A expenditures. This adjustment will align the City's Fiscal Year 2025-26 Budget with anticipated
Measure A funding activity and related eligible expenditures.
Staff is requesting approval to amend the current fiscal year budget to increase Proposition A funds
for Senior Excursions from $40,000 to $50,000, reflecting an increase of $10,000. This increase
will provide additional funding capacity for senior transportation and excursion -related
programming.
Lastly, staff is requesting approval to increase Proposition C funds for administrative expenses by
a combined total of $8,800, from $23,200 to $32,000. This includes an increase of $4,200 in Fund
220, Division 1305 Finance, from $3,800 to $8,000, and an increase of $4,600 in Fund 220,
Division 3010 Field Services, from $19,400 to $24,000. These adjustments are necessary to ensure
sufficient funding is available for eligible administrative costs associated with the program.
Together, the recommended budget amendments will ensure that the City's Fiscal Year 2025-26
Budget accurately reflects available restricted funding sources and corresponding project or
program expenditures. The amendments are funded by available restricted funding sources and
will have no impact to the General Fund.
STAFF RECOMMENDATION
Staff recommends that the City Council adopt Resolution No. 2026-35 authorizing the following
actions:
1. Reclassify previously obligated American Rescue Plan Act ("ARPA") funds in the amount
of $70,754.54 from completed or closed projects to the City Hall Basement Remodel
project.
2. Amend the Fiscal Year 2025-26 Budget to appropriate $70,754.54 in reclassified ARPA
funds to the City Hall Basement Remodel project.
3. Amend the Fiscal Year 2025-26 Budget to recognize $110,000 in Los Angeles County
Measure A revenue and appropriate $110,000 in corresponding Measure A expenditures.
4. Amend the Fiscal Year 2025-26 Budget to appropriate an additional $10,000 in
Proposition A funds for Senior Excursions in Fund 215, Division 4030 Senior
Services, increasing the appropriation from $40,000 to $50,000.
5. Amend the Fiscal Year 2025-26 Budget to appropriate an additional $4,200 in
Proposition C funds for administrative expenses in Fund 220, Division 1305 Finance,
increasing the appropriation from $3,800 to $8,000.
City Council Meeting —Adoption of Resolution 2026-35
June 23, 2026
Page 3 of 3
6. Amend the Fiscal Year 2025-26 Budget to appropriate an additional $4,600 in
Proposition C funds for administrative expenses in Fund 220, Division 3010 Field
Services, increasing the appropriation from $19,400 to $24,000.
7. Authorize the City Manager, or designee, to make all necessary budgetary and
accounting entries, adjustments, transfers, and related actions to implement the budget
amendments.
FISCAL IMPACT
Approval of the recommended action will amend the Fiscal Year 2025-26 Budget to appropriate
available restricted funds for eligible expenditures, including $70,754.54 in ARPA savings for the
City Hall Basement Remodel project, recognition of $110,000 in Measure A revenue with a
corresponding $110,000 expenditure appropriation, a $10,000 increase in Proposition A
appropriations in Fund 215, Division 4030 Senior Services, and a total $8,800 increase in
Proposition C appropriations, consisting of $4,200 in Fund 220, Division 1305 Finance and $4,600
in Fund 220, Division 3010 Field Services.
ENVIRONMENTAL REVIEW
This item is not defined as a project under the California Environmental Quality Act (CEQA);
therefore, the proposed plan is not subject to CEQA.
PUBLIC NOTICE PROCESS
This item has been noticed through the regular agenda notification process.
Prepared by:
t�t:
Bryan Chua
Finance Director/City Treasurer
Attachment A: Resolution No. 2026-35 Authorizing ARPA Reclassification and Fiscal
Year 2025-26 Budget Amendments
Attachment A
Resolution No. 2026-35 Authorizing ARPA
Reclassification and Fiscal Year 2025-26
Budget Amendments
RESOLUTION NO. 2026-35
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ROSEMEAD
AMENDING THE FISCAL YEAR 2025-26 BUDGET TO APPROPRIATE AVAILABLE
AMERICAN RESCUE PLAN ACT SAVINGS TO THE CITY HALL BASEMENT
REMODEL PROJECT, RECOGNIZE AND APPROPRIATE LOS ANGELES COUNTY
MEASURE A FUNDS, AND INCREASE APPROPRIATIONS FOR PROPOSITION A
AND PROPOSITION C PROGRAM EXPENDITURES
WHEREAS, a fiscal review is a prudent method to ensure that the City maintains a healthy
financial structure; and
WHEREAS, the City routinely adjusts fiscal year revenue estimates and appropriations
throughout the fiscal year; and
WHEREAS, the City Council adopted the FY 2025-26 Operating Budget and CIP budgets
on June 10, 2025; and
WHEREAS, the revised appropriation constitutes an update to the Fiscal Year 2025-26
budget approved pursuant to Resolution No. 2025-32.
WHEREAS, the City received funding through the American Rescue Plan Act ("ARPA")
to support eligible projects, programs, and services in response to the public health and economic
impacts of the COVID-19 pandemic; and
WHEREAS, the City previously authorized ARPA funding for CIP Project Management
in the amount of $275,000, of which $274,832.02 has been expended, resulting in available savings
of $167.98; and
WHEREAS, the City previously authorized ARPA funding for one full-time Human
Resources Analyst in the amount of $432,071.48, of which $361,484.92 has been expended,
resulting in available savings of $70,586.56; and
WHEREAS, the total available ARPA savings from the completed or closed projects is
$70,754.54; and
WHEREAS, the City desires to reclassify the available ARPA savings in Fund 228 in the
amount of $70,754.54 to the City Hall Basement Remodel project; and
WHEREAS, the proposed reclassification does not increase the City's total ARPA
allocation and does not create a new federal obligation; and
WHEREAS, the Fiscal Year 2025-26 Budget must be amended to appropriate the
reclassified ARPA funds to the City Hall Basement Remodel project; and
WHEREAS, the City also desires to amend the Fiscal Year 2025-26 Budget to recognize
$110,000 in Los Angeles County Measure A revenue and appropriate $110,000 in corresponding
Measure A expenditures; and
WHEREAS, the City desires to increase Proposition A appropriations for Senior
Excursions in Fund 215, Division 4030 Senior Services, from $40,000 to $50,000, reflecting an
increase of $10,000, providing additional funding capacity for senior transportation and excursion -
related programming; and
WHEREAS, the City desires to increase Proposition C appropriations for administrative
expenses in Fund 220, Division 1305 Finance, from $3,800 to $8,000, reflecting an increase of
$4,200; and
WHEREAS, the City desires to increase Proposition C appropriations for administrative
expenses in Fund 220, Division 3010 Field Services, from $19,400 to $24,000, reflecting an
increase of $4,600; and
WHEREAS, the proposed budget amendments will align the City's budget with available
restricted funding sources and corresponding eligible expenditures; and
WHEREAS, the proposed actions will have no net impact on the General Fund.
NOW THEREFORE, BE IT RESOLVED, by the City Council of the City of Rosemead,
California, as follows:
SECTION 1. The recitals set forth above are true and correct and are incorporated herein
by this reference.
SECTION 2. The City Council hereby approves the reclassification and reallocation of
previously obligated ARPA funds in the total amount of $70,754.54 from completed or closed
projects to the City Hall Basement Remodel project, as follows:
Source Project / Program
Authorized
Amount
Actual
Spend
Available
Savings
CIP Project Management
1 Full -Time Human Resources
Analyst
$275,000.00
$432,071.48
$274,832.02
$361,484.92
$167.98
$70,586.56
Total Available for Reallocation
$70,754.54
SECTION 3. The City Council hereby amends the Fiscal Year 2025-26 Budget to increase
appropriations for the City Hall Basement Remodel project by $70,754.54, funded by available
ARPA project savings identified in Section 2 of this Resolution.
SECTION 4. The City Council hereby amends the Fiscal Year 2025-26 Budget to
recognize $110,000 in Los Angeles County Measure A revenue and appropriate $110,000 in
corresponding Measure A expenditures in Fund 227.
SECTION 4. The Fiscal Year 2025-26 Budget is hereby amended to increase Proposition
A appropriations for Senior Excursions in Fund 215, Division 4030 — Senior Services, by $10,000,
from $40,000 to $50,000.
SECTION 5. The Fiscal Year 2025-26 Budget is hereby amended to increase Proposition
C appropriations for administrative expenses in Fund 220, Division 1305 — Finance, by $4,200,
from $3,800 to $8,000.
SECTION 6. The Fiscal Year 2025-26 Budget is hereby amended to increase Proposition
C appropriations for administrative expenses in Fund 220, Division 3010 — Field Services, by
$4,600, from $19,400 to $24,000.
SECTION 7. The City Council hereby authorizes the City Manager, or designee, to take
all actions necessary to implement this Resolution, including making all budgetary, accounting,
compliance, and reporting entries; preparing and submitting any required reports; and executing
any related documents necessary to carry out the actions approved herein.
SECTION 6. The City Clerk shall certify to the passage and adoption of this resolution,
and it shall thereupon be in full force and effect.
PASSED, APPROVED, AND ADOPTED this 23`d day of June, 2026.
Sandra Armenta, Mayor
APPROVED AS TO FORM: ATTEST:
Rachel Richman, City Attorney
Ericka Hernandez, City Clerk
STATE OF CALIFORNIA
COUNTY OF LOS ANGELES
CITY OF ROSEMEAD
I, Ericka Hernandez, City Clerk of the City Council of the City of Rosemead, California,
do hereby certify that the foregoing City Council Resolution No. 2026-35, was duly adopted
by the City Council of the City of Rosemead, California, at a regular meeting thereof held on
the 23`d day of June, 2026, by the following vote, to wit:
AYES:
NOES:
ABSENT:
ABSTAIN:
Ericka Hernandez, City Clerk