No agreement reach yet on $4B American Rescue Plan funding

Boston Statehouse

BOSTON (WWLP) – Massachusetts lawmakers still haven’t reached an agreement on how to spend roughly 4 billion dollars in federal funding.

House and Senate lawmakers both have different priorities when it comes to spending money from the American Rescue Plan. And while they were deep into the negotiation process, it looks like the money will have to wait until after the holidays to be spent.

For months now the legislature has gone back and forth over ARPA funds and how to best support the state as it rebounds from the pandemic. The two branches agreed that $500 million should be spent on a bonus-pay program for low-income essential workers.

Where lawmakers disagreed was how much should be spent in individual communities across the state.

“We have identified areas in home ownership, particularly in the Black and Latino communities. We have identified small business and micro business support,” said Representative Carlos Gonzalez of Springfield.

On top of the money from the American Rescue Plan, the legislature is also considering what to do with the surplus tax revenue. There is a lot of money hanging in the balance here on Beacon Hill and because an agreement wasn’t reached this week, the money likely won’t be spent until the legislature returns in 2022.

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