Feds pull $20M in grants from Holyoke for infrastructure, urban forestation program

The city of Holyoke announced this week that the Trump administration has canceled $20 million in federal funding approved last year, most of which would have paid for big-ticket infrastructure projects.

The city of Holyoke announced this week that the Trump administration has canceled $20 million in federal funding approved last year, most of which would have paid for big-ticket infrastructure projects. GAZETTE FILE PHOTO

By ALEXANDER MACDOUGALL

Staff Writer

Published: 02-25-2025 2:13 PM

HOLYOKE — The city of Holyoke is set to lose out on $20 million in previously anticipated federal grants, as the administration of U.S. President Donald Trump continues to halt federal funding and grants that stand in contrast to his own political agenda.

On Monday, Holyoke Mayor Josh Garcia announced on social media that the city had lost a planned $19 million in funding from the Environmental Protection Agency’s Environmental and Climate Justice Community Change Grant, a grant established under the administration of former President Joe Biden.

Among other things, the grant would have provided funds for a new centrifuge at the city’s wastewater treatment plant, a new fuel depot for city vehicles and essential roadway and sidewalk repair, according to Garcia.

“This program was vital for Gateway City communities like Holyoke, providing much-needed financial assistance for projects that not only has an impact to the quality of life of residents but also what they pay as rate payers and tax payers,” Garcia wrote.

The grant, part of the federal Inflation Reduction Act, was established to benefit gateway cities like Holyoke, which are often reliant on grant funding to support infrastructure and resources, said Mary Monahan, chair of the city’s Board of Public Works.

The city of Springfield had been a previous recipient of the grant, receiving $20 million in July for solar project and retrofitting building and homes to support cleaner energy use.

“In cities like Holyoke, we have projects that have to be done that are always seeking a funding source,” Monahan said. “While we’re getting things done through the funding process, we’re also reaching out to the community to get them to participate in the process. So this grant included outreach to residents who are affected by Holyoke’s ability or inability to provide basic services in some cases.”

Monahan said the city applied for the grant in August and was queued to receive it, and had been in discussions with U.S. Sen. Ed Markey’s office about plans for the grant. But those plans were derailed when Trump issued an executive order on Jan. 20 that, among other things, called on all federal agencies to “immediately pause the disbursement of funds appropriated through the Inflation Reduction Act of 2022,” an action referred by the order as “terminating the Green New Deal.”

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The order, titled “Unleashing American Energy,” also called for deregulating of energy permitting processes and encouragement of energy production on federal lands and waters. It’s one of dozens of executive orders Trump has issued in his first several weeks as president, targeting everything from gender ideology to refugee resettlement programs.

“The president went and stopped all funding outreach and started looking at programs that didn’t comply with his anti-DEI and anti-woke strategies,” Monahan said. “There was funding available and appropriated by Congress, and now at this point in time, this program is dead on arrival.”

The loss of the Community Change Grant isn’t the only instance of promised federal dollars Holyoke is losing out on. The city had previously signed an agreement with the nonprofit Arbor Day Foundation to receive $1 million from for an urban forestation program, with the money to be supplied by the U.S. Forest Service, an agency within the U.S. Department of Agriculture. But the city received a letter this week from the foundation saying the Forest Service had terminated the award.

The letter, signed by the foundation’s CEO Dan Lambe, stated that, “The USDA Forest Service determined that award ... no longer effectuates agency priorities regarding diversity, equity and inclusion programs and activities.”

The letter also stated that the foundation was taking steps to dispute the decision.

Monahan said with the possibility of federal aid for the projects no longer a reality, the city would reach out to the state government for support, having begun to engage with talks with state Rep. Patricia Duffy and state Sen. John Velis, along with representatives from the western Massachusetts office of Gov. Maura Healey.

“They’re recognizing the importance of this project,” Monahan said. “In order to build the integrity and to promote the infrastructure capacity that Holyoke has for these big businesses, we were using this grant to make that happen.”

Garcia also stated in his social media post on Monday that he would continue to try and secure funding for the projects.

“Rest assured, the City will continue to collaborate with our state and congressional representatives to secure the necessary funding to support our infrastructure needs,” Garcia wrote. “We remain committed to advocating for the resources our community deserves and will pursue every available avenue to restore this vital support.”

Alexander MacDougall can be reached at amacdougall@gazettenet.com.