Explanation
This legislation authorizes the Director of the Department of Development to enter into a grant agreement with the North Market Development Authority (NMDA) to provide operating support to the organization due to lost revenue as a result of COVID-19.
City Council approved Ordinance 2538-2020 to provide assistance to small businesses and to utilize technology to re-imagine the point of sale of goods at the market beginning on March 1, 2020, and ending November 30, 2020 in an amount up to $500,000.00 as a result of COVID-19. It was determined during the agreement writing process that because the agreement is funded with CARES Act funds and CARES Act funds must be expended on services or goods ordered by December 30, 2020, the NMDA would not be able to implement the programs as originally planned.
Instead, the Department wishes to provide funding for CARES Act eligible operating support expenses beginning March 1, 2020.
Emergency legislation is requested in order to encumber funds in a timely manner so the NMDA can expend the funds before the end of the year.
Contract Compliance: the vendor number is 034112 and valid through 11/17/2022.
Fiscal Impact: Funding is provided to the City of Columbus from the Coronavirus Aid, Relief and Economic Security (CARES) Act passed by Congress and signed into law March 27, 2020, and available in the Department of Development’s CARES Act budget (fund 2207, subfund 220703).
Title
To authorize the Director of Development to execute a grant agreement with the North Market Development Authority for the purpose of providing operating support to the organization due to lost revenue as a result of COVID-19; to authorize an expenditure up to $500,000.00 from the CARES Act Fund; to authorize the payment of expenses starting March 1, 2020; and to declare an emergency. ($500,000.00)
Body
WHEREAS, the North Market is a long standing public market in Columbus that is an incubator and innovator of small businesses while providing the residents local products and cultural vibrancy; and
WHEREAS, the COVID-19 pandemic has resulted in some small businesses closing and others being severely negatively impacted by the pandemic and it has also resulted in loss revenue from parking and market sales for the MNDA; and
WHEREAS, expenditures of CARES Act funding to assist with operating expensed created by the economic downturn caused by the COVID-19 public health emergency; and
WHEREAS, such expenditures of funds has not been previously accounted for the 2020 budget; and
WHEREAS, an emergency exists in the usual daily operation of the Department of Development in that it is immediately necessary to authorize the Director to enter into a grant agreement with North Market Development Authority in order to encumber funds in a timely manner so the North Market Development Authority can expend the funds before the end of the year, such immediate action being necessary for the preservation of the public health, peace, property and safety; NOW, THEREFORE,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
SECTION 1. That the Director of the Department of Development is authorized to enter into a grant agreement with North Market Development Authority to provide operating support to the organization due to lost revenue as a result of COVID-19, and to authorize the payment of expenses starting March 1, 2020, in an amount up to $500,000.00.
SECTION 2. That for the purpose as stated in Section 1, the expenditure of $500,000.00, or so much thereof as may be necessary, is hereby authorized in fund 2207, subfund 220703 (CARES Act Fund), Dept. 44-02 (Economic Development), in Object Class 03 (Services) per the accounting codes in the attachment to this ordinance.
SECTION 3. That the funds necessary to carry out the purpose of this ordinance are hereby deemed appropriated, and the City Auditor shall establish such accounting codes as necessary.
SECTION 4. That the City Auditor is authorized to make any accounting changes to revise the funding source for all contracts or contract modifications associated with this ordinance.
SECTION 5. That for the reasons stated in the preamble hereto, which is hereby made a part hereof, this Ordinance is hereby declared to be an emergency measure and shall take effect and be in force from and after its approval by the Mayor, or ten days after passage if the Mayor neither approves nor vetoes the same.