Special Notice / Hearing: None__
Vote Required: Majority
To: Honorable Board of Supervisors
From: Michael P. Callagy, County Manager
Subject: Reimbursement of Expenditures using CARES Act Funds
RECOMMENDATION:
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Adopt a resolution authorizing the County Manager, or the County Manager’s designee, to utilize Coronavirus Relief Fund payments received pursuant to the CARES Act, and other available funds as appropriate, to reimburse certain expenditures incurred in response to the COVID-19 public health emergency.
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BACKGROUND:
The COVID-19 pandemic presents an ongoing public health emergency in San Mateo County and globally. As of November 3, 2020, the Centers for Disease Control and Prevention (CDC) reported that COVID-19 has caused more than 230,893 deaths in the United States, and California reports that as of that date there were 934,672 positive COVID-19 cases in California, 17,686 people in the State who have died of COVID-19 causes, and 11,406 COVID-19 cases and 161 deaths in San Mateo County.
On March 3, 2020, the County’s Health Officer issued a “Declaration of Local Health Emergency Regarding Novel Coronavirus 2019” and the County Manager, as the County’s Director of Emergency Services, issued a proclamation of local emergency pursuant to Government Code section 8630 and Chapter 2.46 of the County’s Ordinance Code. Both the Local Health Emergency and the Local Emergency have been ratified and extended by the Board of Supervisors and remain in effect. Federal and state emergency declarations were also issued in March 2020 and continue in force.
On March 27, 2020, the Coronavirus Aid, Relief, and Economic Security (CARES) Act was passed by Congress and signed into law. The CARES Act established a $150 billion Coronavirus Relief Fund (“CRF”) to provide restricted financial aid for state and local governments responding to the COVID-19 pandemic. The CARES Act provides that CRF funds may be used to cover costs that (1) are necessary expenditures incurred due to the public health emergency with respect to COVID-19; (2) were not accounted for in the budget most recently approved as of March 27, 2020 (the date of enactment of the CARES Act) for the State or government; and (3) were incurred during the period that begins on March 1, 2020, and ends on December 30, 2020. The County has received an allocation of CRF funds to use in compliance with these requirements.
Since the onset of this crisis in March 2020, and prior to receipt of its allocation of CRF funds, the County has incurred, and this Board and the County Manager, as the Director of Emergency Services, have authorized, various expenditures, contracts, and programs in order to respond to the COVID-19 public health emergency and to provide assistance and support to residents of the County impacted by COVID-19. In some instances, the County has expended general funds, Measure K funds, or other funds, to pay for these and other expenses in connection with its response to the COVID-19 pandemic which would otherwise have been eligible for reimbursement using CRF funds and/or other available funds, as appropriate.
DISCUSSION:
To the extent eligible for reimbursement with CRF funds, the County intends to use CRF funds to reimburse expenditures incurred due to the COVID-19 public health emergency between March 1 and December 30, 2020, which were initially paid with other funds. Approval of this resolution does not bind the County to make or reimburse any particular expenditure, incur any indebtedness, or proceed with new programs or expenditures that were not previously approved by this Board.
The expenditures which may be reimbursed using CRF funds as and to the extent appropriate, or other available funds, include, but are not limited to, the following:
• The utilization of $2,000,000 in Measure K funds, on or about March 24, 2020, to the Silicon Valley Community Foundation to benefit San Mateo County individuals and families, non-profit organizations adversely impacted by Covid-19 (Resolution No. 20-136);
• Payments pursuant to the agreement with Interpersonal Frequency, LLC, on or about March 24, 2020, to build and update a public facing website informing the public of San Mateo County's COVID-19 virus preparation and response, for the term of March 17, 2020 through March 16, 2022, in an amount not to exceed $400,000 (Resolution No. 20-161);
• Payments pursuant to the agreement with Eaton and Associates, on or about March 24, 2020, to provide technical consulting and emergency staffing in response to COVID-19 pandemic for the term of March 16, 2020 through June 30, 2020, to quickly expand the County’s critical technology infrastructure such as network, server, physical computing, cybersecurity monitoring, and other services to support the surge in County employee telework in an amount not to exceed $906,800 (Resolution No. 20-16);
• Payments pursuant to the agreement with the San Mateo Credit Union Community Fund, on or about April 21, 2020, for the administration and distribution of $1,000,000 in Measure K funds to benefit San Mateo County small businesses adversely impacted by COVID-19 (Resolution No. 20-216);
• Payments pursuant to the agreement with the Boys & Girls Club of North San Mateo County, on or about May 19, 2020, to support an emergency child care program for essential workers in response to COVID-19 in an amount not to exceed $50,750 (Resolution No. 20-307);
• Payments pursuant to the agreement with the Hispanic Foundation of Silicon Valley, on or about June 23, 2020, to assist in the transition of their educational excellence programming and services to an online platform during the COVID-19 pandemic in an amount not to exceed $50,000 (Resolution No. 20-401); and
• Payroll and benefits expenses for specified public health and safety employees which were paid with monies from the County General Fund, or other funds, incurred between March 1 and December 30, 2020, including without limitation such personnel employed at Coastside Substation/patrol division, Maguire Main Jail, Jail Medical Services, Maple Street Correctional Center and Correctional Health Services, as permitted by U.S. Treasury Department CRF Guidance.
County Counsel has reviewed and approved the resolution as to form and content.
FISCAL IMPACT:
This resolution does not authorize new expenditures but may result in replenishment of General Fund monies and/or Measure K funds previously expended to the extent such expenditures can be reimbursed with CRF payments pursuant to the CARES Act.