I understand that Balancer itself is not interested in the governance of other protocols, but I would like to propose an option to hold onto ARB tokens in order to participate in Arbitrum Governance itself.
The vote could be executed similarly to how votes are done for on Balancer by Aura. This could be viewed as a marginal utility for veBAL holders and furthermore strengthen the role of veBAL holders in the Arbitrum ecosystem.
Other than that, if we decide on using the ARB allocation I think that the two mechanisms proposed above could be a good use of funds.