A press release distributed by U.S. Congressman Allen Boyd’s office announced earlier that the City of Apalachicola was the recipient of economic stimulus funding to fund the city’s new police/fire station through the American Recovery and Reinvestment Act of 2009.As a result, city officials called a special meeting on Tuesday, July 14, 2009, to review and sign obligatory documents for the funds through the USDA Rural Development’s Community Facility Program.
The economic stimulus package enacted by Congress and signed into law by President Barack Obama on February 17, 2009, was worth $787 billion and intended to provide a stimulus to the U.S. economy in the wake of the economic downturn.
However, after giving the city an overview of its obligations, Mary Miles, area specialist for rural development told commissioners that the stimulus funding was in the form of a $506,500, 30-year low interest loan, and a $150,000 grant. Combined with $250,000 already received from a Community Development Block Grant (CDBG) the estimated total project cost is $906,500.
In addition, as part of its obligation, the city has to pledge through the passage of a resolution all future revenues from its Alcoholic Beverage Licenses Tax, Fine and Forfeitures and the Municipal Service Benefit Unit (MSBU) Tax over the next 30-years toward the loans repayment.
What's more, the city is required to “Buy American” to ensure that only iron, steel, and manufactured goods produced in the United States are used during construction, and to adhere to the wage rate requirements outlined in the Recovery Act.
City officials felt that its obligations under the Act were minor when compared to ensuring continued and adequate police and fire protection for the citizens of Apalachicola.
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