Congress Passed the Federal Infrastructure Bill, Now What?

With the federal infrastructure bill becoming law, opportunities for critical and desirable projects for our communities are at the top of mind. Articles from planning and professional organizations along with various media coverage have highlighted what the Infrastructure Investment and Jobs Act (IIJA) mean for Illinois and the Chicago region. 

For local communities, this is the time to plan out a medium to long-term funding strategy – one that strategically uses local investments and financing solutions to leverage regional, state and federal funding from ongoing grant programs, recently announced sources such as the American Rescue Plan Act (ARPA) allocations and Rebuild Illinois capital program, as well as future available funding through IIJA. There may be a temptation to look at every funding source for every possible project, but taking the time to map out a strategy upfront will pay off by allowing communities to creatively tap into a variety of resources to accomplish more.  

What are some things to keep in mind when mapping out an overall funding strategy? 

No matter what the funding source, evidence of local investment is still going to be key. Going beyond meeting minimum cost-share requirements will increase chances of funding. 

In addition to the well-known local, state and federal grant programs, see where the following potential sources could fit:

• County ARPA allocations – Continue monitoring and evaluating the status and availability of these allocations for local water/stormwater infrastructure projects as FY2022 budgets are finalized and approved. For example, McHenry County established the dedicated Advance McHenry County Program for ARPA projects and is accepting applications for eligible projects on a rolling basis. 
• Congressionally-directed spending – 2021 saw the return of earmarks as community project funding or member-designated projects. Anticipated to continue as an annual process, the application process for FY2023 requests will begin early 2022. Communities should have a short-list of relevant priority projects ready to choose from.

Investigate local financing tools or resources. Is there a way to leverage private dollars? For example, StormStore, a newly established stormwater credit trading pilot program in select Cook County watersheds allows communities that build eligible projects to generate credits that can be purchased by potential buyers.

In Case You Missed It:

What does the infrastructure bill mean for Illinois? (Metropolitan Planning Council)

Infrastructure Investment and Jobs Act Update (Chicago Metropolitan Agency for Planning)

Regardless of the funding opportunities that may open up, the most competitive projects will still:

• ​Meet a critical community need and result in measurable impacts
• Demonstrate broad support
• Have planning or design underway
• Utilize a reasonable level of local funding to leverage additional funding

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Start now!

Use this checklist to start mapping out your funding strategy today:

• Map out 5-year water/sewer/stormwater, transportation and broadband needs and synergies with other community priorities (economic development, recreational, green space, etc.).
• Mix and match funding/financing options including local funds to priorities.
• Prepare concise fact sheets for shortlisted high-priority, high-impact projects for congressional request process. 
• Begin discussing high priority projects with funding agencies to receive feedback on project merits.
• Begin discussing priority projects with state and federal representatives so that they are aware of projects when opportunities become available.
• If you have not held public meetings on projects, post materials online or at municipal facilities to engage the community. 
• Start gathering support letters from relevant agencies and potential partners (Chambers of Commerce, schools, other government agencies, etc.).

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Need assistance with your funding strategy? Contact us at info@metrostratgroup.com to see how we can help. 

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