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Town manager outlines school-construction schedule, warns of state budget pressure and updates ARPA flexibility
Summary
Town Manager Andrew Nada said stage-3 school schematic review is underway with a Nov. 7 meeting planned, warned that a projected state budget deficit could reduce municipal aid, and said the state and Treasury confirmed flexibility that will allow East Greenwich to encumber $3.92 million in ARPA funds by year-end.
Town Manager Andrew Nada updated the council on three items: school construction, the state budget outlook and ARPA funds. Nada said the school construction initiative is proceeding through stage-3 schematic design, with a scheduled full meeting for Nov. 7 focused on finalizing the print set and discussing whether a new build or renovation is appropriate.
On the fiscal outlook, Nada cited a report from the state's Office of Management and Budget outlining large projected deficits over the next five years. He told the council the report shows an early FY25 shortfall "close to a $400,000,000 deficit" and projected growth in deficits in subsequent years, and he cautioned that changes to education-aid formulas and state municipal aid could follow.
On American Rescue Plan Act funds, Nada said the Office of Pandemic Recovery and the U.S. Treasury confirmed additional flexibility: an internal memorandum of agreement with a town department can be treated as an encumbrance and will protect local funds while giving the town two years to expend them. Nada said East Greenwich expects to have all $3,920,000 in local ARPA funds encumbered and committed by the end of the year.
