CITY COUNCIL AGENDA ITEM
ACTION REQUESTED:
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Adopt the resolution authorizing an intergovernmental agreement between the City of Naperville and the Naperville Fire Protection District for participation in Will County’s local government COVID-19 reimbursement program
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DEPARTMENT: Legal Department
SUBMITTED BY: Michael DiSanto, City Attorney
BOARD/COMMISSION REVIEW:
N/A
BACKGROUND:
Naperville Fire Protection District (NFPD)
The City of Naperville (City) and the NFPD have entered into a long-term agreement providing for the City to serve all territory within the NFPD with fire protection and ambulance services. The Naperville Fire Department provides fire and ambulance service to residents of unincorporated areas of Will County that are within the boundary of the Naperville Fire Protection District. Under the agreement, the NFPD collects property taxes and remits those dollars (after expenses and fees) to the City for payment for services.
American Recovery Plan Act (ARPA)
During the COVID-19 pandemic, it became clear that individuals, families, businesses, and governments would all face significant economic challenges resulting from the unprecedented efforts taken to mitigate the spread of the virus. The federal government took several measures to help, including passing the American Recovery Plan Act (ARPA) which provides for payments to local governments recovering from the impact of the COVID-19 outbreak via the Coronavirus State and Local Fiscal Recovery Funds.
ARPA provides that funds from the Coronavirus State and Local Fiscal Recovery Funds may be used to cover expenses which: (1) are necessary expenditures incurred due to the public health emergency with respect to the COVID-19; (2) replace lost revenue for the provision of government services to the extent of the reduction in revenue due to the COVID-19 public health emergency; (3) provide premium pay for essential workers; and (4) invest in water, sewer, and broadband infrastructure.
Approximately $35,000 in ARPA funds has been allocated to the NFPD. The funds will be transferred to the City, which acts as the service provider to NFPD, for qualifying expenditures.
In 2020, the City and the NFPD entered into an intergovernmental agreement whereby the NFPD transferred to the City $157,182 in economic relief funding from the Coronavirus Aid, Relief, and Economic Security (CARES) Act that Will County had allocated to the NFPD.
DISCUSSION:
City Staff worked with NFPD to prepare the attached intergovernmental agreement that allows the NFPD to apply for reimbursement of City expenses related to the provision of fire and ambulance services and then pass those dollars through to the City. The agreement indemnifies NFPD against future claims that would require repayment of any funds received that may be found to be ineligible expenses.
The NFPD Board approved this IGA at its regular meeting on November 2, 2023, and an application for reimbursement will be submitted to Will County for Fire Department payroll expenses in conformance with U.S. Treasury guidelines. Approval and execution of this agreement by the City will allow for the receipt of those funds.
FISCAL IMPACT:
This agreement will allow Naperville to receive funds that will reimburse the City for eligible expenses incurred in response to the COVID-19 public health emergency in the amount of approximately $35,000, plus any additional funds made available to NFPD in the future.