Bartholomew County officials have begun discussions on how to spend $16,248,421 the county has received through the American Rescue Plan.
The money came to the county after President Joe Biden signed legislation authorizing the relief funds for local and state governments on March 11.
“This is unprecedented,” Bartholomew County Commissioner’s chairman Larry Kleinhenz said. “This is a lot of money. Our entire county budget approaches $50 million, and all of the sudden, we have an extra $16-plus million.”
Half of the federal allocation will be received on or before May 11, with the remainder is expected a year from now.
Last week, the council was asked to join the commissioners in establishing a new account to deposit and withdrawal these funds when they arrive. But the newest council member voiced strong opposition when he learned the county commissioners – not the council – would be responsible for drawing up a plan on how to spend the money.
“(The ordinance) states the Board of Commissioners will establish a plan, condition and rules,” Bartholomew County Councilman Greg Duke said. “We haven’t seen those. And we are still going to vote for this? I’d like to see what those plans, conditions and rules are before we approve allocating that kind of money.”
While Duke’s objections sparked about a half-hour of spirited debate, he was the only council member to cast a nay vote, so the account was created.
However, that discussion did prompt the county commissioners to meet with a number of county council members Monday to brainstorm ideas on how the new windfall can be spent — and go over the many strings attached to the money.
Elected officials are limited to the following general areas in spending the funding, according to an agreement prepared by the federal government and the state of Indiana:
- To respond to the public health emergency with respect to COVID-19 or its negative economic impacts. This could include assistance to households, small business, nonprofits, or to aid impacted industries such as tourism, travel and hospitality.
- To respond to workers performing essential work during the public health emergency by providing premium pay to eligible workers of Columbus, Bartholomew County government, and non-entitlement units of local government. The funds could also provide grants to certain employers who have eligible workers who perform essential work.
- For the provision of government services to the extent of the reduction in revenue to Columbus, Bartholomew County government, and non-entitlement units of local government, due to the COVID-19 public health emergency. This provision would be relative to revenues collected in the most recent full fiscal year of the local governments.
- To make necessary investments in water, sewer or broadband infrastructure as approved by the U.S. Treasury.
The ideas presented Monday by the commissioners were the result of more than 10 hours of meetings with county auditor Pia O’Connor, Kleinhenz said.
“But all of this is preliminary, and none of this is set in stone,” Commissioner Tony London said.
In terms of public health, the commissioners are considering creating a health department nursing expansion, drive-thru clinic, a mobile unit and contract staffing to improve response capacity, London said.
In addition, they are contemplating additional improvements to the heating and air conditioning systems at the Bartholomew County Jail and the county courthouse, London said.
Kleinhenz said the commissioners not only want to provide premium pay to those on the front lines of the pandemic, but to also “build up specifics to that.”
Departments that suffered a loss of revenue due to the pandemic include the county highway department (due to lost gas tax revenue early last year) and Community Corrections (due to a significant drop in user fees). These federal dollars can be used to cover those funding holes, London said.
The commissioners also suggested increasing money for poor relief provided by township trustees, awarding funds to rural fire departments who were unable to raise money during the pandemic and giving financial help to nonprofits (because donations dropped significantly due to the virus), London said.
Finally, the commissioners stated they would like a sizable amount of the money to go toward the expansion of rural broadband internet.
Since all the money is supposed to be spent before Dec. 31, 2024, Bartholomew County Councilman Mark Gorbett requested that research be undertaken to find out if money earmarked for rural broadband can be kept beyond that date. The rural broadband project is expected to take several years to complete, Gorbett said.
While council member Bill Lentz suggested that multiple ways be considered for providing financial relief to the poor, he also said that perimeters should be established for awarding that relief.
As council members made other suggestions, county commissioner Chairman Larry Kleinhenz warned that if the money isn’t spent according to the established criteria, the county would be opening itself up to substantial penalties. He emphasized the funds can only be used to make up for a loss of revenue resulting from COVID-19.
Other ideas expressed mostly by council members Monday included emergency first-responder training, improving courthouse security, reimbursement of qualified drug treatment costs, building another landfill cell, paying some infrastructure costs for a new west side health care facility and updating sewage treatment.
“We can’t throw any of those ideas out,” London said. “But we have to look particularly close at the guidelines.”
The commissioner stressed the county is prohibited from using these funds to lower taxes, to increase pension funds or finance general county government expenses.
As the meeting was about to close, there seemed to be a consensus that an outside firm should be hired that will make sure all proposed expenses meet the federal government’s criteria.
In addition to the ARP funds, competitive grants will soon be available for transportation, mental health treatment, infrastructure and public health, Kleinhenz said. He is urging the county to pursue those funds.
Other units of government receiving ARP allocations include school corporations and local hospitals. While township government will not receive money, small incorporated towns in Bartholomew County are expected to receive some of the federal funds.
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The Bartholomew County Commissioners will present a first draft of a plan to spend a $16.2 million grant in about three weeks, Chairman Larry Kleinhenz said.
A more detailed version should be will be presented to the Bartholomew County Council in about two months, Kleinhenz said.
But these plans are expected to consistently evolve over the next three years, county Auditor Pia O’Connor said.
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