New Roads Ahead: Bipartisan Infrastructure Law Funding Announced

Client Alert | 2 min read | 10.19.22

Last week, the Department of Transportation (DOT) announced nearly $60 billion of funding available to states through DOT formula grant programs in fiscal year (FY) 2023. States may use these funds, authorized under the Bipartisan Infrastructure Law, to support critical infrastructure, including roads, bridges, and environmental and safety improvements. The FY2023 grant funds represent a substantial increase from FY2021. In particular, states will see an increase in grant funds for highway and bridge projects:

Significantly Increased Formula Program with links to state apportionment	Percentage increase over FY21
Bridge Formula Program	391%
Appalachian Development Highway System	146%
National Electric Vehicle Infrastructure Formula Program	New
Federal-aid Highway Programs – Applicable to all States
Highway Safety Improvement Program	26%
Metropolitan Planning Program	25%
Carbon Reduction Program	New
Promoting Resilient Operations for Transformative, Efficient, and Cost-Saving Transportation Formula (“PROTECT”) Program	New
Federal-aid Highway Programs – Applicable toSelected States
National Highway Performance Program	20%
Surface Transportation Block Grant Program	16%

The Bipartisan Infrastructure Law also created three new programs to support carbon reduction, make transportation infrastructure more resilient to future weather events and other natural disasters, and promote use of electronic vehicles.

Companies interested in working on contracts under these grants should monitor infrastructure funding at the federal and state level to determine where, and how, it creates business opportunities. We are continuing to closely tracking the implementation of the Bipartisan Infrastructure Law to help clients navigate the unprecedented levels of infrastructure funding taking place this year, and over the next four years.