Bangor council votes to reallocate some ARPA awards to infrastructure, holds interest earnings until June 30

At a Nov. 25 council workshop, the Bangor City Council voted to reallocate previously obligated American Rescue Plan Act awards for two stalled nonprofit projects to city infrastructure and to hold related interest earnings until a June 30 review. The council’s action followed staff reports that some awarded projects cannot proceed on the original timelines and that the city faces pressing infrastructure needs.

City manager Lori told the council that the city’s ARPA allocation was “just under $20,500,000” and that roughly 80% of those funds were awarded through an open application process aligned to council priorities including childcare, homelessness, housing, job training and mental health. Lori outlined options for reobligating funds if recipients cannot complete projects, saying Treasury rules allow reallocation in limited circumstances and that memoranda of understanding between departments can count as obligations.

Staff flagged several awards as at…