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NEW BEDFORD — The city has less than a month to nail down its final plans for spending $82 million from the American Rescue Plan, the federal pandemic-relief law.
The city has chosen what it intends to spend the money on. But it hasn’t “obligated” all of the funds yet. By Dec. 31, every project funded by pandemic relief money must have a written contract, grant agreement, or invoice. Any funds left over after year’s end will be returned to the federal government.
Christina Connelly, New Bedford’s chief operating officer, said the city is on track to obligate its full allocation by the deadline, and the vast majority of it is already obligated. But how much, exactly?
The most recent spending report Connelly provided shows spending as of the end of September, when 80% of the funds, or over $65 million, had been obligated — which left about $16 million to go. There have been “a lot” of obligations since that report, Connelly said in a Nov. 18 interview.
In other words: No federal money will be left on the table, she said.
Major new projects added this year
The American Rescue Plan, passed in March 2021, offered federal money to state and local governments, which have to obligate the funds by the end of 2024 and spend them by the end of 2026. New Bedford, granted $82 million, has been planning projects and spending federal money on them since 2022.
The city has committed pandemic relief funds to several new projects in 2024, according to the report.
The city committed $2.4 million to a city vacant property initiative. The funds will help the New Bedford Redevelopment Authority “acquire strategic vacant properties,” Connelly said.
A $2.25 million grant went to New Bedford Research and Robotics, a local tech nonprofit, for its relocation to the former Glaser Glass building on Purchase Street.
The city allocated $1.5 million to help renovate the YMCA. The project will revamp the existing building and add a swimming pool. Connelly said the renderings looked “beautiful.”
“That one’s super-exciting,” she said.
The Whaling Museum received $1.3 million to expand into the former Hiller Printing Building, one block north of the museum’s main building.
The Blue Lane, the city’s series of waterfront walkways, got a new commitment of $1.1 million for design work.
More than $1 million was obligated for underground infrastructure to support a city-owned broadband network. A study the city commissioned this year found that internet speeds in much of New Bedford were significantly slower than federal standards, yet most survey respondents reported paying more than $100 a month for their internet connection.
Mayor Jon Mitchell says he hopes the city’s network will attract more internet service providers, increasing competition and lowering costs for consumers. This fall, several companies submitted bids to design, build, and operate the city’s broadband network. The city hasn’t announced the winning bidder yet.
The city gave $1 million to a housing development slated for the long-vacant Keystone lot on Union Street. The developer, Lauren Jezienicki, plans to build 45 apartments on the site. She’s still gathering funds to finance the project, she told The Light last month.
If the project falls through after the obligation deadline, federal regulations allow the city to redistribute the funds to a different project, Connelly said.
Some commitments were cut this year. In many cases, it’s because the city’s commitments were reimbursed through other grant programs, Connelly said.
Allocations for the city’s first-time homebuyer and home repair program expansions were cut from $750,000 each to $500,000 each. That’s because officials weren’t confident they could spend the full amount by the final federal deadline, Connelly said. While the funds have been obligated to the programs before this year’s deadline, federal rules mandate that the money must be distributed to recipients by the end of 2026.
Big projects take the lead
New Bedford distinguished itself from other cities by focusing its pandemic relief funds on large, lasting capital projects, rather than short-term programs or day-to-day government operations. Since 2022, the city has helped fund new housing developments, improvements to outdoor spaces, and infrastructure.
Some projects, such as the renovation of the former Holy Family High School into 15 apartments, are already complete. Construction is underway on many others.
“It’s been great to see these things come to fruition, to see the physical manifestation of the investments that we’ve made,” Connelly said.
The city’s large-project strategy meant that much of New Bedford’s funding went to local organizations rather than city departments.
A plurality of the city’s pandemic relief funds went to housing developments and vacant property revitalization — the “Neighborhood Stabilization and Housing Support” category included 20 commitments totaling more than $18 million. Both nonprofit and for-profit developers benefitted from the cash infusions.
Arts and culture made up another significant category. The city’s single largest commitment, of $5,750,000, went to the Zeiterion for a major renovation.
Another $3.5 million went to an assortment of local arts and culture organizations for COVID-19 mitigation and revenue loss during the pandemic. They included the Madeiran Heritage Museum, Rotch-Jones- Duff House, Whaling Museum, Co-Creative Center, First Baptist Church, James Arnold Mansion, New Bedford Fishing Heritage Center, New Bedford Art Museum, and Your Theatre.
Hundreds of small grants supported local independent artists, small businesses, and community events during the pandemic.
About 10% of the pandemic relief funds padded the city’s general fund. Much of the money that didn’t go to local organizations helped fund infrastructure projects and improvements to the city’s public outdoor spaces.
Over $6 million went to water, wastewater, and stormwater management projects. The city chipped in $1.5 million for the Leonard’s Wharf reconstruction. It also spent $1 million on “Public Safety Cameras,” over $600,000 on “Smart Waste Receptacles,” and $500,000 on upgraded street lighting.
The pandemic relief funds supported improvements at parks, beaches and athletic facilities throughout the city. The largest of these commitments was over $1.3 million for Dias Soccer Field.
How projects were picked
To decide which outside organizations would receive grants, the city issued three requests for proposals, allowing organizations to apply for the funding. The three categories were child care, housing expansion, and vacant properties.
The vacant property recipients were chosen by an internal city committee that included:
- Ramon Silva, the New Bedford Economic Development Council’s senior director of real estate development
- Former City Councilor Scott Lima
- Elise Rapoza, former director of the city’s pandemic relief spending. When she left in 2023, she was replaced on the committee by Connelly and Josh Amaral, the city’s housing director.
- Rayana Grace, a community member with experience in philanthropy
Jonathan Darling, the city’s public information officer, said the committee members were chosen to reflect “a mix of perspectives with a focus on economic development.”
For other spending decisions, Connelly described an internal team that included herself, Rapoza, and former housing director Pat Sullivan.
“Ultimately, we make those recommendations to the mayor,” Connelly said. “And the mayor makes the final call.”
Reports include math errors
The city’s recent pandemic-relief spending reports have contained math errors. The first page of a spending report showed that 101.7% of the city’s allocation of federal funds had been committed to projects — a mathematical impossibility.
Other errors included typos and the wrong numbers being placed next to projects. Half of one section contained the wrong numbers because they were accidentally shifted down a row.
A corrected report released on Nov. 27 in response to The Light’s questions about the discrepancies still had mathematical errors, including sums that were off by hundreds of thousands of dollars.
The corrected report included other fixes: the amount allocated to a vacant property initiative changed from $4,742,617 to $2,399,501. A new project that wasn’t on the first report, $85,000 for “Carney Lodge Stabilization,” appeared on the corrected report — it appears to be a grant to help preserve a historic lodge at Mill and Cottage streets.
Seven-week wait for interview on city spending
The Light’s interview in Connelly’s office took weeks to set up. A Light reporter first asked Darling, the city’s public information officer, for a conversation with Connelly on Oct. 1.
Throughout October, Darling said Connelly and other staff in her office were unavailable and repeatedly asked a Light reporter to send written questions instead. On Nov. 4, after a reporter notified Darling that The Light planned to publish a story about the delays, he said Connelly would be available for an interview the week of Nov. 18.
The city reacted differently to a similar interview request a year ago. Connelly spent more than an hour with a Light reporter for a story about the city’s pandemic relief spending last December. Darling helped arrange the interview.
In a conversation with The Light in early November, New England First Amendment Coalition President Greg Sullivan questioned whether the city was being reasonable by delaying the interview for weeks and asking for written questions only.
“Written questions are not the same thing as an interview, where you can follow up,” Sullivan said. “That’s the point of an interview.”
Email Grace Ferguson at gferguson@newbedfordlight.org.
The City’s ARPA spending should be audited very carefully. I’m sure there are tons of ‘surprises’ that will be found. Anyone who has dealt with the city’s procurement/ grant processes knows how unusual (to use a nice word) it is.
The ARPA funds that were specifically allocated for the increased costs due to the pandemic should be returned to the federal government, but that would be to much ask from any Democrat, specially in New Bedford where the majority of city residents pay little to no federal income taxes, they have federal taxes withheld from their paychecks, but that’s simply a no interest loan to the federal government for 12 months until they file a tax return and receive all federal taxes refunded and additional money added for child tax credits. Meanwhile, the middle class and wealthy are expected to pay for their own expenses, and pay higher taxes annually to make up for so many who pay nothing at all, and of course those are the same people who expect the city to buy vacant land, and build more low income housing for the welfare class who feel they’re owed a low income apartment because they had, or have 3 or 4 children when they can’t even afford to meet the needs of one child. And now, the city will burn thru that $80 million federal tax dollars while America now pays more than $ 1 Trillion dollars per year in interest alone on the $36 Trillion + debt that’s growing by the minute. If you’re struggling with the increased cost of living now. Just wait 5 years, but call Councilor Shane Burgo now to reserve your spot in one of the 15 tent cities that will be needed by 2030, or start planning your move to a warmer climate where outdoor living won’t be as harsh.
Incompetence. Avoidance.
Elected City Officials are sworn and take an oath of office to serve the Citizens of New Bedford. But it seems once in office it’s all forgotten. Again in 2024 Taxes are up and Water and Sewer Fees continue to rise and there is no one to blame but the Mayor Mitchell. 50% of the ARPA Money should have been used to help fund departments, projects, and reduce the size of the city budget which could have provided relief on city Taxes and Water and Sewer Fees. We need change in City Government, it is time to stop the reckless spending and become fiscally responsible.
What a complete ripoff of federal tax payer dollars that should be taken back by the federal government where it belongs, not wasted on a dump like New Bedford!!!