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Troy officials amend municipality's budget

by WILL LANGHORNE
The Western News | June 25, 2021 7:00 AM

Troy City councilors last week approved amendments to the municipality’s budget after an infusion of federal funds and other unanticipated revenues and expenditures threw the financial road map off-kilter.

The city received $123,121.75 as part of the American Rescue Plan Act (ARPA). The $1.9 trillion relief package, signed by President Joe Biden earlier this year, aims to kickstart the country’s recovery from the coronavirus pandemic.

During a June 16 meeting, City Clerk Tracy Rebo said the sum will be incorporated into the city’s fiscal year 2021 budget and represents half of what the municipality will receive from ARPA. The second half of the city’s allotment will come next year.

Federal officials have laid out specific requirements for how local administrators may spend the funds. Municipalities may use ARPA dollars to bolster water, sewer or broadband infrastructure. Rebo said the ARPA funds would be put into a separate fund.

City officials have until October 31 to submit plans for how they intend to spend the ARPA money to the state, according to Rebo. The municipality has until 2024 to commit the funds and must spend all the monies by 2026.

Councilors considered another $315,544.41 in unexpected revenues during the meeting. A large chunk of this amount — $148,974 — came from the sale of the city annex property on Third Street. Earlier this year, the council agreed to sell the lot to Troy Volunteer Ambulance after representatives said the organization had outgrown its current ambulance barn. City officials funneled $98,974 of the revenues from the sale to the municipality’s general fund. The remainder went to the city’s electrical utility.

Other significant unexpected line items in the city’s amended budget include $20,539.37 in general funds revenue and $79,153 in health insurance revenue from the Coronavirus Aid, Relief, Economic Security Act (CARES). Former President Donald Trump signed the $2.2 trillion economic stimulus bill early last year in response to the economic fallout of the pandemic.

An unforeseen $15,500 donation from a private foundation, $16,065 in under budgeted electrical repair and construction fees, and $15,785 in Northern Lights billable time also added to the city’s revenue.

Along with additional revenues, councilors considered $16,511.79 in unanticipated expenditures. Paying for a new compressor to fill air tanks for the Troy Volunteer Fire Department was the most significant cost, putting the city back $4,939.36. Unanticipated ground maintenance and improvement work took $2,100 out of city coffers. A hike in building permits boosted building inspector wages by $1,900. An appraisal of the city annex, split between the city and ambulance group, cost Troy $1,750.