STONINGTON — Adapting to climate change is a costly endeavor. Over the next few years, the town of Stonington is planning millions of dollars worth of infrastructure projects, mostly related to raising critical roadways to prevent flooding during high tides and storm events.
Federal and state grants cover much of the cost, but Stonington Economic Development Director Linda Nelson says taxpayers still bear some of the financial burden through matching funds and short-term loans.
Now Stonington has established a new “Resiliency Development Fund” that allows private donors to contribute to infrastructure projects related to climate change, the working waterfront and housing shortages.
“Quite frankly, every municipality from Portland on down is experiencing the same pain we are,” Nelson said at a September 9 select board meeting. “We have these extraordinary costs, involving climate change and housing in particular, which we can’t fund through the tax base.”
According to Nelson, most federal and state grants, such as the $700,000 grant awarded last year to raise Oceanville Road, require the town to “match” a portion of the total cost of the project. For the Oceanville Road grant, the town has to contribute a $700,000 “match” toward the $1.4 million project.
Other grants, such as the $1.8 million awarded this year to fully renovate the old school building, are what Nelson called “reimbursable grants,” meaning the town has to put up the funds first — either through cash on hand or a short-term loan — before being paid back.
As the town continues to apply for grants, Nelson said budgeting the match requirements and up-front costs is becoming “problematic.”
Lately, Nelson said she has had to avoid certain grant opportunities because the regular budget can’t absorb the match requirement. The resiliency fund, she said, acts like a general account that the town draws from as it finds funding for projects like the raising of Oceanville and Fifield Point Roads, the expansion of the waterfront at the former Odd Fellows Hall and the renovation of the old school building.
“We have to find additional moneys to do some of the work we need to do,” Nelson said. “The tax base isn’t enough anymore for many reasons. It’s not enough to fund a town that’s dealing with climate change and a severe housing crisis.”
Select board member Travis Fifield agreed, calling the fund an “innovative way for the town to manage cash flow and pursue big-ticket projects needed for climate change mitigation, without necessarily having to raise more money via taxes to accomplish them.”
The fund is administered by the Maine Community Foundation, one of the largest nonprofit charitable foundations in the state.
The foundation’s CEO, Deborah Ellwood, said the fund provides Stonington with “another tool in its tool box as they try to address the damage from winter storms and adapt to climate change.”
While no one has yet contributed to the fund, potential donors have already expressed interest in contributing, Nelson said.
Fifield said Stonington in particular is “incredibly fortunate to have folks who want to contribute (outside normal taxation) to these resiliency projects— be it working waterfront, housing initiatives, climate change resiliency, or Main Street revitalization.”
This story appears through a media partnership with the Penobscot Bay Press.
