Finance Commission reviews ARPA projects, deadlines and possible carry‑over costs

2315767 · February 14, 2025

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Summary

Staff told commissioners ARPA obligations were met by the December 2024 obligation deadline and that spending may continue through late 2026; commissioners discussed which ARPA‑funded positions will create continuing personnel costs.

Commissioners received an update on American Rescue Plan Act (ARPA)‑funded projects and the remaining timelines and potential ongoing costs. Finance staff said all ARPA amounts were obligated by the December 2024 deadline and that spending deadlines extend into late 2026.

Jeff told the commission the town has projects already approved and entered with the county and that spending may continue through December 30, 2026 (as stated during the meeting). He said most remaining ARPA work is construction or engineering that will not create recurring costs, but identified a few ARPA‑funded positions tied to the Board of Health and the Council on Aging that will carry forward as personnel costs into the operating budget once ARPA funding ends.

The nut graf: the town has met ARPA obligation timing but faces decisions about ongoing staff costs created by ARPA and how any project underruns or newly available county funds would be handled among towns.

Commissioners discussed the town’s practice of submitting projects the county could obligate quickly if additional county ARPA funds became available; staff said Norwood had a list of “shovel‑ready” items (generators, ambulances, and other capital items) it could put forward. Staff also noted several projects may finish under budget, creating potential residual funds and an open question about inter‑town allocation of any returned or reallocated county ARPA dollars.

Ending: Staff will continue to track ARPA project closeouts, the timing of personnel costs that will transition to the operating budget, and any county communications about additional reallocation of funds.