BUFFALO, N.Y. — The clock is ticking for the City of Buffalo to obligate millions of dollars from the American Rescue Plan, or give it back to the federal government.
The city has until December 31st to obligate the money, which is government speak for commit and transfer the funds to recipients, or they have to give it back.
While acting mayor Chris Scanlon's administration hasn't confirmed how much money is still unobligated from the ARPA funds, sources tell 2 On Your Side that it's roughly between $30M-$40M.
The city has three options:
- Figure out how to quickly provide the funding to the groups it was initially promised to.
- Use the funds to replace lost revenues and fix the budget gap.
- Give it back to Uncle Sam.
Acting Mayor Chris Scanlon has previously said it would be unacceptable to give the money back to the federal government.
However, during Tuesday's finance committee meeting of the common council, several community groups spoke about the difficulty they've had trying to get their rescue plan funds from City Hall.
"Over the past, I want to say 18 months Ujima has been in conversation with the city to obtain and provide all of the correct documentation for these are ARP funds," said Brian Brown, managing director of the Ujima Theatre Co. on the city's west side. "With every instance we have been met with a lack of communication, a lack of understanding, a lack of even the just common courtesy to have the conversation with the direct parties of whatever office we were supposed to get these funds."
Brown says that there have been several instances where the Ujima Co. has been asked to re-submit paperwork, or redo it all together.
Several councilmembers' expressed their frustration about the whole process during the committee meeting on Tuesday.
"I don't want to see another approval coming through this council and they have to wait another six months to get the money," said Masten District Councilwoman Zeneta Everhart.
"When you make people jump through hoops over and over and over again, it's the red tape that makes people no longer trust government," said Ellicott District Councilwoman and majority leader Leah Halton-Pope.
University District Councilman Rasheed N.C. Wyatt apologized to the groups that spoke during the committee meeting.
"I'm sorry to you guys," Wyatt said. "We want this money to get to get to these organizations. They work hard. They they're in financial crutches, as we are, but at the end of the day, we want to see this be transformation. That's what it was supposed to be."
According to a spokesperson from acting Mayor Scanlon's office, details about what the administration wants to do with the unobligated money will be released on Thursday, when it is published with the council agenda.
The last regularly scheduled full council meeting for the year is scheduled for December 22., however if the issue of what to do with the ARPA funds isn't resolved, the council will have to hold a special session to do so.