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Staff Report.ARPA Food Grant Assistance PREPARED BY: Arn Andrews Assistant Town Manager Reviewed by: Town Manager, Town Attorney, and Finance Director 110 E. Main Street Los Gatos, CA 95030 ● (408) 354-6832 www.losgatosca.gov TOWN OF LOS GATOS COUNCIL AGENDA REPORT MEETING DATE: 12/07/2021 ITEM NO: 10 DATE: November 30, 2021 TO: Mayor and Town Council FROM: Laurel Prevetti, Town Manager SUBJECT: Staff Recommends the Following Actions: a. Authorize the Town Manager to Execute Amendments to the Agreements with West Valley Community Services and Live Oak Senior Nutrition for Additional $25,000 American Rescue Plan Act (ARPA) Grants for a total of $50,0000; and b. Authorize an Expenditure Budget Adjustment in the Amount of $50,000 from Eligible ARPA Proceeds. RECOMMENDATION: Staff recommends the following actions: a. Authorize the Town Manager to execute amendments to the agreements with West Valley Community Services (WVCS) and Live Oak Senior Nutrition for additional $25,000 American Rescue Plan Act (ARPA) grants for a total of $50,000; and b. Authorize an expenditure budget adjustment in the amount of $50,000 from eligible ARPA proceeds. BACKGROUND: On April 7, 2020, in response to the immediate impacts of the COVID-19 pandemic, the Town Council authorized the use of the Council’s budgeted discretionary funds for additional $10,000 allocations to Live Oak Senior Nutrition, West Valley Community Services, and two other local providers (CASSY and NextDoor Solutions) for a total of $40,000. On April 6, 2021, the Town Council allocated $15,000 in ARPA grants to West Valley Community Services and Live Oak Senior Nutrition due to continued food and housing insecurity as well as grants to CASSY and NextDoor Solutions to meet additional needs in the community, for a total of $60,000. PAGE 2 OF 2 SUBJECT: ARPA Allocation Recommendation to Mitigate Food Insecurity DATE: November 30, 2021 DISCUSSION: In the subsequent months since the April ARPA allocations, non-profit nutrition and food service providers continue to experience fiscal challenges due to continued high demand for their services. In addition, community-based organizations and other philanthropic organizations which have been consistent sources of funding have had to reduce their donations due to the inability to host traditional fundraising activities. Also, of note, recent inflationary pressures have escalated the cost of providing clients with balanced nutritional diets. Attachment 1 summarizes the Council’s ARPA allocations to date. Sufficient funds are available for these additional grants. CONCLUSION: Given the cumulative effects of increased client demand, cost escalation, and the temporary reduction in fundraising revenue sources staff recommends allocating additional $25,000 grants to West Valley Community Services and Live Oak Senior Nutrition. COORDINATION: This staff report was coordinated with the Town Manager, Town Attorney, and Finance Director FISCAL IMPACT: The requested additional funds are available from the ARPA proceeds and a budget adjustment is necessary to reflect the additional grants. ENVIRONMENTAL ASSESSMENT: This is not a project defined under CEQA, and no further action is required. Attachments: 1. Council ARPA Allocations Summary