Wiscasset asks Lincoln County to allow ARPA housing funds to be redirected as data-center talks advance

Wiscasset officials asked Lincoln County commissioners on Tuesday to let the town redirect county ARPA housing funds from a previously proposed Old Ferry Road project to a different site while developers pursue a separate data‑center opportunity.

The request came during the public‑forum portion of the Lincoln County Board of Commissioners meeting. Dennis, who identified himself as Wiscasset town manager, said the town still wants to use the ARPA allocation for housing but that a new developer has shown interest in Old Ferry Road for a possible data center and has begun paying for due diligence on the site. He said the town is “learning more and more that it is actually a viable project,” but that that process is taking longer than anticipated and the town would like flexibility to propose an alternative housing site in town.

The commissioners pressed for details and emphasized that the ARPA funds must be used for housing. Commissioner Levesque asked how long the town had known about the data‑center lead and noted reporting obligations to the U.S. Treasury for the award. Commissioners said they would consider an amended application or an extension only if the town provided specific documentation beyond a concept, and cautioned that the county might open any reallocated funds to other applicants.

Why it matters: the county awarded the money for affordable housing through a competitive process, and federal reporting to the U.S. Treasury lists those funds as intended for housing. Allowing a town to reallocate awarded ARPA funds after the award would set a local precedent and could affect compliance with federal reporting and timelines.

Details from the meeting: town officials said one alternative parcel is at 257 Bath Road, near Birchpoint and Route 1; a developer has discussed about 40 units on that site. At the same time, the town described a separate data‑center proposal for the Old Ferry Road parcel with a developer estimating roughly $5,000,000,000 in valuation and 150–200 jobs if it proceeds. Town leaders said the data‑center developer has contracted engineers to do wetlands, environmental and power studies and is spending its own money on due diligence, which suggested to town officials that the lead has credibility.

Commissioners repeatedly told the town it must supply more than an “idea.” They asked the town to submit either an amended application using the same questions the county used in the original ARPA competition or a detailed plan showing how any new parcel would meet the housing program’s objectives. Commissioner Bukowski signaled openness to an extension but said county staff must confirm timing and rule constraints; the board asked staff to review federal reporting and program rules before deciding whether to permit an amended application or reopen the funds to other applicants.

What was decided: there was no vote to reassign funds at Tuesday’s meeting. Commissioners asked the town to prepare a formal amended application or a detailed alternative proposal and said county staff would return with advice on timing, federal reporting and whether the county could consider an extension or open the funds to other applicants. The county did not commit to approval and cautioned that projects with more complete planning would be prioritized.

Context and next steps: the commissioners meet next on Oct. 7. Town officials asked for time to return with the application materials and said they would work with county staff if the board agreed to consider a reallocation or amendment. The board said it would examine the U.S. Treasury reporting already filed and the program rules before making any decision.