WATERVILLE — Three major downtown revitalization projects are being delayed because the $1.6 million that Waterville expected in congressional funding has been stalled due to issues with the federal budget.

The city applied for the money a year ago and was on track to receive it, but was notified late last week the money will not be coming this year, Waterville City Manager Bryan Kaenrath said. He said the application period was short — about three weeks to a month — and city officials put much time and energy into it.

“This is definitely a big speed bump,” Kaenrath said Wednesday.

Waterville officials had been told that awarding the funding was a formality with the federal budget process, and the city would receive the money pending federal budget approval.

Waterville has been planning for downtown visioning projects for more than a year.

One involves developing a landscaped artwalk in the downtown area that would meander from the Paul J. Schupf Art Center at 93 Main St. to Castonguay Square, then continuing to the City Hall Annex at 46 Front St. and the RiverWalk at Head of Falls.

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Another project is a pedestrian mall at Silver Street Tavern at 2 Silver St. and continue to Merchant’s Way on the west side of downtown businesses whose back doors face The Concourse. Pavers, light poles, signs and other features are planned for that project.

The third project involves developing pedestrian enhancements at the Spring Street intersection south of downtown, near the Lockwood Mill complex on Water Street. Improvements to sidewalks and other work are planned to make the area better and safer for pedestrians.

Kaenrath said city officials are optimistic the projects will be completed, but likely not this year, unless funding were to come from another source.

“Hopefully, there’s an opportunity to apply again for fiscal year 2026 and we can try again,” Kaenrath said.

The congressional earmarks are issued annually, from Community Project Funding on the U.S. House of Representatives side and from Congressional Designated Spending on the U.S. Senate side, according to Kaenrath. He said the city worked with Maine’s congressional offices to apply for the funding.

“This would have been a huge bite of the apple of all downtown visioning projects,” he said. “It’s not just us. It’s all of Maine.”

Kaenrath told city councilors Tuesday night that he normally likes to report good news and progress happening in the city, but the money loss did not fit into that category. He urged councilors and others not to lose hope. Meanwhile, the city is looking for other grant opportunities to help begin work on one of the projects, he said.

“This is a big blow to us,” Kaenrath said. “It was $1.6 million. A lot of staff time went into just shepherding this through the process and getting a successful award here.”

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