Gauging Impact of Federal Infrastructure Funds in North Carolina

What does the recently enacted $1.25 trillion Infrastructure Investment and Jobs Act (IIJA) mean for tangible improvements in North Carolina? While the exact dollar amounts have yet to be determined, the funding formula provides an initial snapshot of where project dollars will flow over the next five years:

• $7.2 billion for highway programs
• $1.1 billion to improve water infrastructure
• $910 million to improve public transportation options
• $460 million for airport infrastructure development
• $457 million for bridge replacement
• $109 million to expand electric vehicle charging network
• At least $100 million to increase broadband internet coverage
• $32 million to protect against wildfires
• $27 million to guard against cyberattacks

This is an early estimate with respect to the IIJA. The package allocates billions more dollars to programs that states and communities can apply to be awarded.

These funds are in addition to money that the state is set to receive under the American Rescue Plan Act, or ARP for short, passed in March 2021. Here is a high-level view of how those funds are being distributed in North Carolina:

• $5.2 billion at the state level
• $2 billion to counties
• $682 million to 527 communities of less than 50,000 people
• $672 million to 24 cities with populations of 50,000 or more

According to the ARP and rules for Coronavirus State and Local Fiscal Recovery Funds (CLFRF), the distributions above may be used to:

• Support public health expenditures related to COVID-19
• Address negative impacts caused by the pandemic
• Replace lost public sector revenue due to the pandemic
• Provide premium pay for essential workers
• Invest in water, sewer, and broadband infrastructure

Wooten’s funding strategies team is monitoring guidance as it becomes available. Our experts have helped communities secure more than $600 million in funding and they stand ready to assist with every stage of the process from research to compliance.

If you have questions about funding for community infrastructure, contact Funding Programs Specialist Jessie Walker at jwalker@thewootencompany.com or 919-828-0531 extension 876.