Phoenix Approves Plans for Second Allocation of Rescue Plan Funding

City of Phoenix

Phoenix City Council approved the American Rescue Plan Act (ARPA) Second Tranche Strategic Plan, detailing how the City plans to spend the remaining $198 million in federal funding of its total $398 million allocation. Jurisdictions across the country received their Coronavirus State and Local Fiscal Recovery Funds in tw​​​o tranches and on June 8, 2021, City Council agreed to approve ARPA programming per tranche. The funds are allocated to transformational one-time investments that improve the prospects of impacted residents and address economic and social disparities that have continued and worsened during the COVID-19 pandemic.  

“The City’s strategic use of ARPA funding strongly positioned the quick recovery, and new investments will be transformational for critical needs around affordable housing and homelessness,” said Phoenix Mayor Kate Gallego. “This second tranche supports our most vulnerable residents and builds on proven success of creating a more equitable, sustainable, and promising future.”  

City Council approved the strategic plan for the first tranche of ARPA funds received by the City in June 2021.

The second tranche spending plan will fund a total of 31 programs, including:

  • ​$70.5 million in affordable housing and homelessness programs, including a new shelter in partnership with Maricopa County located on 28th and Washington Streets​.  
  • $600,000 to continue the hotspot lending program at Phoenix Public Libraries. 
  • $6 million to increase tree canopy coverage and provide tree planting at schools. 
  • $3 million for shade structures in the public right-of-way. 
  • $2.9 million to improve parks with new playground elements and resurfacing of athletic courts. 
  • $7 million to continue the resilient food system programs that includes meal preparation and delivery, farmland preservation, food banks and pantry support, and more. 

“The City of Phoenix is committed to being responsible stewards of the ARPA funding we have received, and we are diligent in tracking and reporting our efforts,” said Phoenix City Manager Jeff Barton. Residents are encouraged to visit the City’s ARPA website on Phoenix.gov. The website includes program summary information, allocations, expenditures, and is regularly updated to include performance measures and corresponding website links.

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