The long-awaited federal infrastructure bill was signed into law by President Biden yesterday. The Infrastructure Investment and Jobs Act earmarks $1.2 trillion of funding for critical infrastructure repair, transportation, water safety, accessibility, energy efficiency and related needs across the nation.
Highlights of the bipartisan legislation include:
- $110 billion to repair highways, bridges and roads, including $40 million dedicated to bridge repair, replacement and rehabilitation
- $39 billion to expand transportation systems, improve accessibility for people with disabilities and help state and local governments acquire zero-emission and low-emission buses
- $55 billion to enhance water safety and wastewater infrastructure
- $25 billion to improve airport runways, gates, taxiways, terminals and air traffic control towers
- $66 billion to improve Amtrak’s Northeast Corridor and other routes
- $65 billion to improve broadband access for rural areas, low-income families and tribal communities
- $65 billion to increase the reliability and resiliency of the power grid and boost carbon capture technologies and environmentally friendly electricity sources
Over the next five years, $550 billion of this investment will be delivered to state and local governments, transportation agencies and other recipients, eventually bringing much-needed work, jobs and financial relief to the construction industry.
The bill commits specific amounts of funding to state infrastructure needs, with New York receiving one of the biggest payouts of more than $170 billion. This includes more than $13 billion for highways, $59 billion for rail systems, more than $937 million for airports, $12.5 billion for electric vehicle infrastructure, $65 billion for high-speed internet, and billions more to address water contaminants and pollution in the state.
In New Jersey, the funding is expected to create up to 1.5 million jobs per year over the next decade. Among the dollars headed to the state are $6.9 billion for highways, $1.1 billion for bridges, $4.2 billion for transit over the next five years, $104.4 million for electric vehicle infrastructure, $24.4 million for ferry service upgrades, and increased funding for the Gateway project.
More than $9 billion is expected to reach Massachusetts, including $4.2 billion for road improvements, $1.1 billion for bridge replacements and repairs, $1.1 billion to improve water infrastructure, and $2.5 billion to modernize public transportation systems.
As we anticipate these funds flowing into our communities and jobs working their way through the design phase, it is critical for contractors to proactively plan for this waiting period. Grassi’s Construction team can help you project cash flow, develop a budget and identify tax and cost savings that can help your business weather today’s economic and competitive environment.