$112 million in federal relief funds up for grabs by municipalities in New Hampshire

MANCHESTER, N.H. —

The clock is ticking for New Hampshire towns and cities to submit their plans for millions of dollars in federal aid coming via the American Rescue Plan act. That money is expected to fuel a boom in municipal projects over the next five years.

The first round of $112 million in federal funding for New Hampshire’s smaller cities and towns is up for grabs. Sen. Jeanne Shaheen urges those communities to get “creative” in their applications, within the emerging guidelines from the U.S. Treasury.

“We want everybody to take advantages of the resources, because whatever you don’t apply for is going to go back to the state and it’s going to get recouped and it won’t be available next year,” Shaheen said.

The money is part of $1.45 billion headed to New Hampshire through the American Rescue Plan act.

New Hampshire will receive about $1 billion of that money, with $264 million going to the ten counties and $86 million going to five large cities.

The funding is broadly intended to remedy the negative economic impacts of the COVID-19 pandemic, but it goes much further. For instance, water infrastructure projects will see a flood of funds.

“That would be pipes in the ground for water systems, that would be treatment facilities, that would be upgrades in renewal of existing facilities,” NH-DES Commissioner Robert Scott said.

Housing is also a top priority. Homeowner assistance funds are available to help prevent mortgage defaults and foreclosures.

“What’s important for towns and communities to know is that taxes can be paid out of this. They do have to have had a financial hardship on or after that Jan. 21, 2020 date,” said Andrew Cadorette from the New Hampshire Housing Finance Authority. “What is unclear is, if these funds can be used to pay taxes prior to that date.”

Shaheen said $77 million is also coming to expand child care. Some experts said that could make the difference in getting more Granite Staters back into the workforce.

“Low-wage workers may be working one part-time job instead of two or three, perhaps because of childcare duties or other concerns regarding the virus,” said Phil Sletten from the New Hampshire Fiscal Policy Institute.