At its last meeting of the year, the Gary Common Council approved more than 15 ordinances, appropriating more than $10 million American Rescue Plan Act funds throughout the city.
All ordinances were approved in a unanimous 8-0 vote. Councilman Dwight Williams, D-At Large, was absent Tuesday night.
Gary Mayor Eddie Melton thanked the council for their work in passing ARPA fund use.
“I think tonight is an example of progress in the community working together even when we might have differences,” Melton said. “We were able to come together and move this city forward on behalf of citizens here.”
ARPA funds must be obligated by the end of 2024 and used by the end of 2026. Because Tuesday was the council’s final meeting of 2024, it was the last opportunity for the body to vote on how funds will be used.
Funds will be used in various ways, including blight elimination, a new animal shelter and housing development.
When it became law in March 2021, ARPA provided about $350 billion in additional funding to state and local governments, according to the Government Finance Officers Association.
Eligible uses of funds include revenue replacement, COVID-19 expenditures, premium pay for essential workers, and investments in water, sewer and broadband infrastructure. ARPA funds can’t be used to directly or indirectly offset tax reductions and can’t be deposited into a pension fund.
Before voting on ARPA ordinances, President Tai Adkins, D-4th, said the council wants the best for Gary and recommendations are made in the best interest of constituents.
“The council knows their authority,” Adkins said, “but we also have skillsets that we know are missing in other areas. We have knowledge and transferable skills, so we leverage those anytime we can when there is an effort to suggest in the effort to improve the city of Gary.”
The first ARPA ordinance passed creates a multi-million dollar spending plan for blight elimination throughout the city. The council also unanimously passed an amendment that increased the plan from $1 million to $3 million.
Chief of Staff Ellis Dumas said the increase allows Gary to match funds from Senate Bill 434, which Melton helped create as a state senator in 2023. The bill established the blighted property demolition fund and allows the city to receive $6 million from Indiana for blight elimination.
Per the bill, Gary had to match funds from the state, and Dumas said Hard Rock Casino provided $3 million toward the city’s matching funds.
The Gary Common Council also approved using $500,000 in ARPA funds for a new animal shelter facility. Gary Police Chief Derrick Cannon on Dec. 5 said the city will likely use funds to renovate the Animal Control Center.
The city originally asked for $1 million for a new animal shelter, but Dumas said Tuesday that it was reasonable to renovate instead.
“We looked to build a brand new animal shelter from the ground up in a location that was already owned by the city, but that came back well over $3.4 million, which right now funding would not allow for,” Dumas said.
Cannon on Dec. 5 said that Melton is working with private donors for the remainder of costs, and Cannon is optimistic that more donors will come forward after ARPA funds are approved. Erika Blackwell, city of Gary spokeswoman, did not share how much the project will cost.
ARPA funds will also be used to renovate the health department facility. The ordinance originally would put $800,000 toward renovations at the Barbara Wilson Center, but council members amended the plan to remove the location.
Council members encouraged the health department to look into locations in other districts that might be better suited. They also want to meet with community members to see where would best suit constituents.
“I want to give the money to support the health department,” Adkins said. “I don’t want to stop that, for sure. I just want you all to have a conversation and get feedback from the community.”
ARPA funds will also be used to create a housing development and a spending plan for housing help. Ragen Hatcher, director of community development, said ARPA funds will also help Gary’s down payment assistance program.
It was important to ensure that the city gave back to community members, Adkins said. She believes the funding will help bring more families into the city.
“One of the main opportunities that I believe that we probably had not capitalized on with the ARPA funding was to ensure that we were having some type of impact to generate funding back to the revenue source,” she added.
Before adjournment of the more than four-hour meeting, Adkins thanked the council for their work on ARPA-related ordinances, especially as the deadline to appropriate neared.
“I want to commend not only the Melton administration but my colleagues for getting these ordinances passed in the ninth, tenth and eleventh hours,” she said. “We did this to ensure that the mayor has the tools to be successful.”
