Federal Funding Fridays

12/13/24 – Navigating the IRA Landscape in a Time of Uncertainty

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ANNOUNCEMENTS

SPECIAL GUEST

This week, we welcomed special guest, Amy Turner, Director of the Cities Climate Law Initiative at the Sabin Center. Amy was featured in Sustainable Cities Fund webinar last week “Implementation of the Inflation Reduction Act: What’s Next?” The webinar provided insights from Amy and her colleague Romany Webb into what we can expect to happen with the IRA as the new administration takes office. With all of the uncertainty that comes with a change in administration, Amy shared some key insights to help inform us as we look to secure federal funding and pursue tax credits going forward. See below for takeaways from our discussion:

  • Existing grant programs that have been announced but no contracts have been signed – SIGN THE CONTRACT! A signed contract gives you legal rights. To do so;
    • Figure out what approvals you need and get all of that lined up so you can sign before Jan. 20, 2025
    • Get things in place so that you can demonstrate that you are performing under the contract – documenting how you are spending funds, what funds have been spent, how you are complying with laws , etc. Do what it takes to demonstrate that you are in compliance in case a gov’t agency ever suggests you’re not in compliance and jeopardizes your funding.
    • If you’re having trouble getting contracts signed, call your elected officials for some additional support for urgent action.
    • Award agreements can be terminated for up to 4 reasons – all can be included in a contract so check your contract:
      • By fed agency in case of a breach by the grantee (make sure you can defend any claims of breach).
      • By mutual agreement of the parties
      • By the grantee with reasonable notice
      • By federal agency if it no longer effectuates the agency’s priorities
  • Tax Credits (Direct/Elective Pay)
    • Direct Pay is in the tax code – can only be changed by Congress (not the president or the IRS on their own)
    • If you have eligible projects, take them! They’re still 100% in effect!
    • Follow tax bills in Congress to understand what, if anything may change.
    • Implementation: could become more confusing or difficult (e.g. we could lose office hours and technical assistance, may be difficult to find helpful resources online, etc.)
  • Greenhouse Gas Reduction Fund
    • Remains in effect
    • GGRF financing isn’t a fit in all situations, particularly for local govts
    • If you’re talking with CDFIs, lenders, etc. keep going with those conversations – still in effect
  • Justice 40/Disadvantaged Communities Commitment
    • Biden-specific Executive Order, can be overturned or simply ignored under new administration
    • May lose the current DAC definitions / these definitions are mentioned throughout legislation / risk to CJEST tools, etc. and how they’re applied
  • Staffing
    • New admin wants to reduce head count with implications across agencies
    • GGRF and CPRG programs may lose staff – harder to get questions answered and delayed disbursement due to staff capacity – lots of people watching
  • Environmental rollbacks more broadly
    • Emission standards
    • Opportunities for engagement
      • Rulemaking processes will be needed to roll back many of these
      • Litigation – amicus brief opportunities
  • Impacts on civil rights offices
    • Likely trend of rolling back and de-staffing
    • 5th Circuit struck down NASDAQ’s diversity rules

AWARDS

  • EPA Community Change Grants
    • 84 new selectees announced, for a total of 105. One more round to come through early next year?!  (15 in Region 5, 2 in Region 7, 1 in Region 8)
    • Midwest project selectees:
      • Improving Tribal Access to Energy Efficiency and Weatherization Infrastructure for Midwest Tribes (Tribes in MN, MI, WI)
      • Climate Safe Great Lakes | Building Resident Capacity to Collaboratively Advance Community Climate Adaptation Priorities (OH, IN, WI)
      • Establishing a Climate Just Future in Chicago by Collaborating through the River Ecology and Governance Task Force (IL)
      • Moving Evansville Toward a Healthier Future (IN)
      • Making Michigan Tribal Homes & Buildings Efficient, Healthy, and Resilient (Inter-Tribal Council, MI)
      • Holistic Healthy Homes in Kalamazoo County: Delivering Energy Efficiency Measures, Increasing Resiliency, and Improving Air Quality in Existing Housing Stock (MI)
      • Detroit Community Resilience Hub Initiative (MI)
      • Benton Harbor Neighborhood Resilience Hubs (MI)
      • Michigan Tribal and State Manoomin/Mnoomin/Mnomen Stewardship (MI)
      • The Minneapolis Climate Resilience Partnership (MN)
      • Leech Lake Band of Ojibwe Tribal Resilience Hub (MN)
      • Asthma, Indoor Air Pollution, and Greenhouse Gas Emissions (OH)
      • Building Democratic Systems for a Climate Resilient Cleveland (OH)
      • Climate Resilience Starts at Home: Growing Energy Efficiency, Indoor Air Quality, and Green Jobs in Madison, Wisconsin (WI)
      • InterTribal Lake Winnebago Mayom Wild Rice Revitalization Project (WI)
      • Increase Engagement with Local, State, and Federal government through Local Health Equity Action Teams (KS)
      • Rejuvenate A River Basin Community Disadvantaged by Climate-Change Induced Extreme Weather Conditions (MO)
      • FSST Environmental Advancement Project (SD)
    • If you are selected for CCG and want support getting your award signed (and safer) head to this link: https://www.environmentalprotectionnetwork.org/tcgm-resources/
  • EPA announced that 70 applicants have been tentatively selected to receive over $735 million to purchase over 2,400 zero-emission heavy-duty vehicles through the Clean Heavy-Duty Vehicles Grant Program!
    • Saint Louis Public Schools and Shakopee Mdewakanton Sioux Community being among the selectees

FUNDING OPPORTUNITIES

RESOURCES