Infrastructure law will fund programs for energy resilience, broadband and more

The Infrastructure Investment and Jobs Act (IIJA), enacted in November 2021, includes $554 billion for more than 380 funding programs administered by different federal agencies. While a portion of the funds will be passed through states to administer, a substantial amount will be available directly as grants or loan programs to other eligible entities (such as utilities, local governments and tribal governments) for supporting projects that upgrade energy infrastructure and increase resilience, expand broadband access, develop water and sewer systems, and improve transportation. 

The White House maintains a guidebook to all the programs, which includes information on program purpose and eligibility, the agency administering the program, funding amount and mechanism (grant, loan program, cooperative agreement, direct federal spending), and anticipated announcement date. 

Accelerating use of EVs and improving transportation infrastructure 

The IIJA includes $7.5 billion to build a nationwide network of charging stations for electric vehicles (EVs). It also includes $2.5 billion a year from 2022 to 2026 for funding opportunities to build out infrastructure to support EV charging, as well as further develop hydrogen, natural gas and propane as fuel sources. The funds will be administered by the U.S. Department of Transportation (DOT) and will be made available to states, metropolitan planning organizations, local governments and other public sector entities. Half the funds will be reserved for community grants of no more than $15 million per award amount. 

The charging stations themselves can be a source of revenue for states and local municipalities; they can also be a lure to bring new business to a community. Communities also may benefit from the positive environmental impact associated with a shift to alternative fuel sources. 

In addition to EV charging, 46% of IIJA funding will be made available for road and bridge projects, 11.5% to other transit projects and 8% to rail projects, all intended to update the nation’s transportation infrastructure.   

Energy and power improvements and increased resilience 

The IIJA also includes $5 billion for programs to improve and protect the electric grid. In particular, the IIJA provides funding opportunities to eligible entities for projects that support hardening efforts, reducing the risk of wildfires and lessening the likelihood and consequences of disruptive events.