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HomeMy WebLinkAboutResolutions - 2020-20 - Resolution 2020-20, establishing the allocation of state granted Coronavirus Relief Funds, CARES ACT, CV RELIEF FUND - 7/21/2020City of East Wenatchee Resolution 2020-20 Distribution of Coronavirus Relief Funds Page 1 of 5 City of East Wenatchee, Washington Resolution No. 2020-20 A Resolution of the City of East Wenatchee, Washington, establishing the allocation of state granted Coronavirus Relief Fund resources for actions necessary to respond to the COVID-19 pandemic public health emergency including provision of grants to small businesses to reimburse the costs of business interruption caused by required closures, expenditures to provide emergency financial support to prevent homelessness for individuals suffering from employment interruptions, to ensure compliance with COVID-19 public health precautions by providing meal delivery services and the purchase and distribution of personal protective equipment, and establishing an effective date. 1. Alternate format. 1.1. Para leer este documento en otro formato (español, Braille, leer en voz alta, etc.), póngase en contacto con el vendedor de la ciudad al alternateformat@east-wenatchee.com, al (509) 884-9515 o al 711 (TTY). 1.2. To read this document in an alternate format (Spanish, Braille, read aloud, etc.), please contact the City Clerk at alternateformat@eastwenatcheewa.gov, at (509) 884-9515, or at 711 (TTY). 2. Authority. 2.1. The City of East Wenatchee (“City”) is a non-charter code city duly incorporated and operating under the laws of the State of Washington. 3. Recitals. 3.1. On January 31, 2020, the United States Department of Public Health and Human Services Secretary Alex Azar declared a public emergency for the novel coronavirus (COVID-19) beginning on January 27, 2020. 3.2. On February 29, 2020, Governor Inslee signed a Proclamation declaring that a State of Emergency exists in all counties in the State of Washington due to the number of confirmed cases of COVID-19 in the state. 3.3. On March 13, 2020, the COVID-19 pandemic was declared a national emergency and a special source of federal funding was provided through the Coronavirus Aid, Relief and Economic Security Act (CARES Act). 3.4. On March 16, 2020 Mayor Crawford issued a Proclamation of Civil Emergency for the City of East Wenatchee due to the COVID-19 pandemic. City of East Wenatchee Resolution 2020-20 Distribution of Coronavirus Relief Funds Page 2 of 5 3.5. On March 23, 2020, Governor Inslee imposed a "Stay Home, Stay Healthy" order requiring every Washingtonian to stay home unless they are engaged in an essential activity and banning all gatherings for social, spiritual and recreational purposes and ordering all businesses to close unless they are designated as an essential business. 3.6. In addition to the Stay Home, Stay Healthy order the Center for Disease Control and Prevention (“CDC”) and the Chelan Douglas Health District recommends measures such as social distancing and the use of personal protective equipment. 3.7. While these measures are considered critical in mitigating the rate of spread of the COVID-19 virus, they are having significant negative economic effects on workers and small businesses. According to the state Employment Security Department, unemployment in the Wenatchee Metro Area for April 2020 was 15.8%, a substantial increase compared to 5.4% for that same period in 2019. 3.8. Disruptions to workers and small businesses pose a significant threat to the wellbeing of our local and regional economy. 3.9. Small businesses play a vital role in the overall health and welfare of East Wenatchee’s citizens. 3.10. Helping small business survive temporary closure will reduce the economic hardship caused by this crisis and encourage small businesses to comply fully with public health guidelines. 3.11. Protecting public health is a fundamental purpose of government. 3.12. The City finds that providing funds to businesses to reimburse them for the business interruption caused by the required closure of their business due to COVID-19 is a legitimate use of public funds. 3.13. The business support program is necessary to ameliorate economic impacts and prevent small businesses from having to close permanently due to the financial hardship associated with the government mandated closure of their business. 3.14. Congress approved a secondary funding package under section 601(a) of the Social Security Act, adding section 5001 of the Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”) establishing the Coronavirus Relief Fund (“CV Relief Fund”) and appropriated $150 billion. The CV Relief Fund is to be used to make payments for specified uses to States and certain local governments to address the impacts of the pandemic. City of East Wenatchee Resolution 2020-20 Distribution of Coronavirus Relief Funds Page 3 of 5 3.15. In April 2020, Governor Inslee announced that the state would share their CV Relief Fund award with local governments. The City of East Wenatchee was granted $411,300. The program is administered through the state Department of Commerce. 3.16. Our Valley Our Future/Nuestro Valle Nuestro Futuro, a regional a community visioning, planning and development initiative, developed an online survey to measure the impacts of the COVID-19 pandemic on the economic and social well-being of community residents. The survey ran from May 13 to 27, 2020. A total of 607 residents completed the survey. 3.16.1. About 72% of the respondents live in the Wenatchee and East Wenatchee areas and 25.4% self-identified as Latino/Hispanic. These figures generally match official demographics for the two counties. 3.16.2. About 24.7 % of respondents said they anticipated needing to use their savings to pay their rent or mortgage in June. Another 5.6 percent said they would not be able to pay their rent or mortgage in June. 3.16.3. Asked to prioritize where local governments should spend recovery dollars, residents ranked food assistance, housing assistance and small business loans, in that order, as the highest priorities. 3.16.4. Over 66% of respondents with incomes below $35,000 reported they had lost work hours or jobs as a result of the pandemic. 3.17. An informal inquiry of the local rental association was conducted recently, and several members indicated that they had tenants who were unable to pay rent due to the loss of income from the COVID-19 business shut-down. 3.18. Temporary financial assistance for low-income residents during this public health crisis advances public welfare by maintaining housing stability and preventing homelessness. 3.19. Recognizing the financial impact of the pandemic, Governor Inslee issued a moratorium on the eviction of a tenant due to nonpayment of rent as a result of the loss of income due to COVID-19. 3.20. The City Council discussed the use of the CV Relief Funds at their meeting on June 2, 2020 and their workshop on June 11, 2020. At the workshop, the City Council recommended the following distribution of the CV Relief Funds: City Expenditures for PPE, Court needs, IT needs, and other Safety needs related to COVID-19, $63,239; Mobile Meals of Wenatchee, $20,000; Household Income Payments (rent, mortgage, utilities), $160,000; Small Business Grants, $160,000; and $8,061 for the Chamber of Commerce PPE Distribution Program. City of East Wenatchee Resolution 2020-20 Distribution of Coronavirus Relief Funds Page 4 of 5 3.21. The Chelan Douglas Regional Port Authority is the Associate Development Organization for Douglas County and has experience administering grant programs for small businesses. THE CITY COUNCIL OF THE CITY OF EAST WENATCHEE DO RESOLVE AS FOLLOWS: 4. Findings of Fact. The City Council hereby adopts the recitals expressed above as Findings of Fact in support of this Resolution. 5. Fund Allocation 1. The City Council hereby allocates $160,000 from the CV Relief Fund grant to establish the Small Business Stabilization Program an economic recovery response to the impacts resulting from the COVID-19 pandemic to be administered by the Chelan Douglas Regional Port Authority. 6. Funding Allocation 2. The City Council hereby allocates $160,000 from the CV Relief Fund grant to establish the Rental/Mortgage/Utility Assistance Program a housing preservation recovery response to the impacts resulting from the COVID-19 pandemic to be administered by the Housing Authority of Chelan County and the City of Wenatchee. 7. Fund Allocation 3. The City Council hereby allocates $20,000 to Mobile Meals of Wenatchee for food delivery to residents, including, senior citizens and other vulnerable populations, to enable compliance with COVID-19 public health precautions. 8. Fund Allocation 4. The City Council hereby allocates $8,061 to the Chamber of Commerce for acquisition and distribution of personal protective equipment for businesses to ensure compliance with COVID-19 public health precautions. 9. Severability. If a court of competent jurisdiction declares any provision in this resolution to be contrary to law, the other provisions of this Resolution remain valid.