Bond Case Briefs

Last Friday the $1.2 trillion bipartisan Infrastructure Investment and Jobs Act (“Infrastructure Act”), which passed the Senate on August 10, 2021, was passed in the House. The $1.2 trillion Infrastructure Act includes $550 billion in new funding for private and public sector initiatives related to energy, transportation, water, manufacturing, technology, and environmental infrastructure.

The $550 billion in new spending includes: $110 billion for roads, bridges, and major projects; $66 billion for passenger and freight rail; $65 billion for broadband; $65 billion for power and grid; $55 billion for water infrastructure; $47.2 billion for resiliency projects; $39.2 billion for public transit; $25 billion for airports; $21 billion for addressing legacy pollution; $16.6 billion for ports and waterways; $11 billion for safety projects; $8.3 billion for western water infrastructure; $7.5 billion for clean school buses and ferries; $7.5 billion for electric vehicle charging; and $1 billion for reconnecting communities.

Now that the Infrastructure Act has been passed, Federal agencies will be tasked with shaping and administering a substantial number of programs related to the Act. For many of the programs, agencies will develop specific eligibility requirements, funding procedures, and compliance and reporting standards. In order to facilitate these processes, federal agencies may seek public comment and input on the administration of these programs. Continuing to monitor these developments is essential for businesses, nonprofits, local governments, and Tribal governments seeking to utilize these programs.

Below are some of the key programs in the Infrastructure Act:

Roads, Bridges, & Major Projects

• $36.735 Billion – Bridge Grant Programs
• $7.5 Billion – Rebuilding American Infrastructure with Sustainability and Equity Grants
• $5 Billion – National Infrastructure Project Assistance Grant Program
• $3.2 Billion – Infrastructure for Rebuilding America Grant Program
• $1.25 Billion – Appalachian Development Highway System Formula Program
• $1 Billion – Culvert Removal, Replacement, and Restoration
• $500 Million – Surface Transportation Private Activity Bonds

Passenger and Freight Rail

• $36 Billion – Fed-State Partnership Intercity Passenger Rail
• $16 Billion – Amtrak National Network
• $6 Billion – Northeast Corridor Grants
• $5 Billion – Consolidated Rail Infrastructure and Safety Improvement
• $3 Billion – Railroad Crossing Elimination Program

Broadband

• $42.45 Billion – Broadband Equity, Access, and Deployment Program
• $14.2 Billion – Affordable Connectivity Program
• $2.75 Billion – Inclusive Digital Equity Grant Programs
• $2 Billion – Tribal Grants
• $1 Billion – “Middle Mile” Broadband Infrastructure Grant Program
• $600 Million – Private Activity Bonds

Power and Grid

• $5 Billion – Preventing Outages and Enhancing the Resilience of the Electric Grid
• $5 Billion – Electric Grid Reliability and Resilience Research, Development, and Demonstration
• $3.5 Billion – Establish Four Regional Direct Air Capture Hubs
• $3 Billion – Deployment of Technologies to Enhance Grid Flexibility
• $3 Billion – Battery Material Processing Grant Program
• $3 Billion – Battery Manufacturing and Recycling Grant Program
• $2.5 Billion – Transmission Facilitation Program
• $2.5 Billion – Carbon Storage Validation and Testing Program
• $2.1 Billion – Infrastructure Finance and Innovation Act Program for Carbon Dioxide Transportation Projects
• $2 Billion – Pumped Storage Hydropower Wind and Solar Integration and System Reliability Initiative
• $1 Billion – Clean Hydrogen Electrolysis Program Research and Development Program
• $750 Million – Advanced Energy Manufacturing and Recycling Grant Program
• $553.6 Million – Maintaining and Enhancing Hydroelectricity Incentives
• $500 Million – State Energy Program
• $500 Million – Clean Hydrogen Manufacturing and Recycling Research and Development Program
• $500 Million – Clean Energy Demonstration Program on Current and Former Mine Land
• $310 Million – Carbon Utilization Grant Program
• $250 Million – Rural and Municipal Utility Advanced Cybersecurity Grant And Technical Assistance Program
• $250 Million – Enhanced Grid Security
• $200 Million – Electric Drive Vehicle Battery Recycling and Second-life Applications Program

Water Infrastructure

• $23.426 Billion – Drinking Water and Clean Water State Revolving Funds
• $13.8 Billion – Increased State Revolving Fund Authority
• $10 Billion – Perfluoroalkyl or Polyfluoroalkyl Substance Treatment
• $3.5 Billion – Indian Health Service Water and Sewer
• $2.5 Billion – Indian Water Rights
• $1 Billion – Bureau of Reclamation Water Programs

Resiliency

• $3.5 Billion – FEMA Flood Mitigation Assistance Program
• $1.7 Billion – Indian Health Services Sanitation Facilities Construction Enhancement
• $1 Billion – FEMA Building Resilient Infrastructure and Communities Program
• $1 Billion – State, Local, Tribal, and Territorial Cybersecurity Grant Program
• $500 Million – Forest Service Community Defense Grants
• $500 Million – Cyber Response and Recovery Fund

Public Transit

• $8 Billion – Capital Investment Grants Program
• $5.25 Billion – Low-No Program for the Purchase or Lease of Low-emission Transit Buses
• $4.758 Billion – State of Good Repair Grants Program
• $2 Billion – Transit Accessibility for Seniors and Persons With Disabilities Program

Airports

• $15 Billion – Airport Improvement Program
• $5 Billion – Airport Terminal Program
• $5 Billion – FAA Facilities and Equipment

Addressing Legacy Pollution

• $11.293 Billion – Abandoned Mine Land Reclamation Fund
• $4.7 Billion – Orphaned Well Site Plugging, Remediation, and Restoration
• $3.5 Billion – Superfund Projects
• $3 Billion – Brownfields Grants

Ports and Waterways

• $5.15 Billion – Army Corps of Engineers Construction
• $4 Billion – Army Corps of Engineers Operations and Maintenance
• $3.85 Billion – GSA/CBP Land Ports of Entry Modernization and Construction
• $2.25 Billion – DOT Port Infrastructure Development Program
• $912 Million – Ferry Boat and Terminal Construction
• $429 Million – U.S. Coast Guard Unfunded Priority Infrastructure
• $400 Million – Reduction in Truck Emissions at Ports

Safety

• $4 Billion – Safe Streets For All Program
• $1.1 Billion – NHTSA Highway Safety Programs
• $1 Billion – Pipeline and Hazardous Materials Safety Administration Modernization
• $500 Million – SMART Grant Program
• $467.5 Million – Motor Carrier Safety Assistance Program
• $200 Million – High Priority Grant Program

Western Water Infrastructure

• $3.2 Billion – Aging Infrastructure
• $1.15 Billion – Water Storage, Groundwater Storage, and Conveyance Projects
• $1 Billion – Water Recycling and Reuse Projects
• $1 Billion – Rural Water Projects
• $500 Million – Dam Safety Projects
• $400 Million – WaterSMART Water and Energy Efficiency Grants
• $300 Million – Drought Contingency Plan

Clean School Buses & Ferries

• $5 Billion – Clean School Bus Program to Reduce Emissions
• $1.25 Billion – Federal Transit Administration’s Passenger Ferry Grant Program
• $1 Billion – Establishment of Basic Essential Ferry Services
• $250 Million – Grant Program for the Purchase of Electric or Low-emitting Ferries

Electric Vehicle Charging

• $7.5 Billion – Funds for Alternative Fuel Corridors and to Build Out a National Network of Electric Vehicle Charging Infrastructure

Reconnecting Communities

• $500 Million – Reconnecting Communities Pilot Program

Kilpatrick Townsend & Stockton LLP – Stephen M. Anstey and John C. F. Loving

November 8 2021