With the passage of the federal American Rescue Plan Act (ARPA) in 2021, Vermont received $2.7 billion dollars of aid, offering the state an unprecedented opportunity to strengthen our economy and communities. More than half of these dollars were directly appropriated to federal agencies, individuals, local governments, education institutions, and others, leaving approximately $1 billion for the state to allocate over a four-year timeline, ending in December 2024.
Vision and Principles
Governor Scott proposed strategically investing the State’s $1.05 billion of Federal aid during and following the COVID-19 pandemic in transformative projects and initiatives to address long-standing challenges and unaddressed needs—from workforce shortages and an aging population, to growing economic inequity between regions, to significant infrastructure needs. This work aims to close the economic gap between regions, lift communities that have been left behind for too long and give all parts of the state the tools—and flexibility—to achieve their vision for a stronger future.
The Governor’s approach to ARPA-funded initiatives has been guided by four key principles for projects: They must be transformative, tangible, transparent and timely – principles that ensure Vermonters see the maximum benefit from every dollar invested.
Under the Governor's vision, these funds were focused on five strategic categories:
- Economic development and recovery (over $100 million)
- Housing (over $250 million)
- Water, sewer and wastewater infrastructure (over $200 million)
- Climate change mitigation measures (over $200 million)
- Broadband and wireless connectivity (over $350 million)
Additional federal funds, including through Coronavirus Relief Funds and Infrastructure Investment and Jobs Act have also supported investments in these categories.
Progress
As of July 2023, over a half-billion dollars had been awarded for housing, water/sewer/wastewater infrastructure, climate mitigation, broadband expansion and economic development. With work still underway, this funding has already created or preserved nearly 2,000 housing units, and helped over 2,000 businesses and non-profits and nearly 5,000 workers.
For details on this work:
Click here to view the 2023 Governor's ARPA State Fiscal Recovery Fund Report. (Accessible version)
Click here to view the 2022 Governor's ARPA State Fiscal Recovery Fund Report.
"We’ve faced many challenges over the last few years, but Vermonters typically step up, prove our resiliency, and demonstrate compassion for our neighbors With this spirit, and these historic investments, I have never been more optimistic about Vermont’s future. And, I’m pleased to say, we are building toward that brighter future, together." - Governor Phil Scott