Infrastructure Bill Update: Seizing Opportunities in 2024

  Ronald J. Eagar

It has been more than two years since Congress passed the bipartisan infrastructure deal (Infrastructure Investment and Jobs Act). As predicted, the $1.2 trillion dollar investment into U.S. infrastructure has been slow to reach actual job sites and construction companies’ wallets.

However, over the past few months we have learned more about the scope, nature and timeline of many approved projects. As of this writing, the infrastructure bill has launched a total of $400 billion of work across 40,000 projects throughout 50 states.

Among the most notable areas of opportunity for the SMACNA community are:

Clean Energy — The infrastructure deal includes the largest investment in clean energy in U.S. history. In addition to upgrading the power infrastructure and strengthening the energy grid, funding will also go to new programs that support cutting-edge clean energy technologies and the transition to a zero-emission economy. 

Airports — The deal also allocated $15 billion to airport infrastructure funding. According to the Federal Aviation Administration (FAA), nearly $9   billion has been made available to airports across the country. Visit the FAA website to find projects that are planned or underway in your area. These projects are aimed at improving the supply chain by addressing repair and maintenance backlogs, reducing congestion and emissions, and driving electrification and other low-carbon technologies. 

Resilience — In response to the exorbitant amount 
of funding spent on weather-related and other disasters over the last decade, the deal dedicates over $50 billion to protect the nation’s infrastructure from physical, climate and cybersecurity-related threats. To date, the deal has funded more than 2,300 resilience-related projects.

GET READY TO BE PART OF THE ACTION
While there will be plenty of infrastructure projects to choose from, getting your bid selected among steep competition will require a strategic and thoughtful approach. Now is the time to start planning for your wins by taking proactive steps, such as:

• Stay on top of emerging opportunities on the Build.gov website.
• Speak with your lenders about your banking facility and ability to borrow.
• Consultant with your surety regarding your bonding capacity.
• Revisit your prequalification process to ensure it is as competitive as possible.
• Work with your CPA to plan and generate the highest quality balance sheet.
• Get updated financials from your subcontractors to identify any new areas of risk.
• Identify any skill deficiencies or talent gaps you will need to correct in your labor force. 
• Use industry benchmark reports to compare your business performance to your peers and determine areas for improvement.

Of course, an important part of this planning process will be sustaining your business’s financial health while you wait for additional projects to be funded and jobs to materialize. This can be accomplished through benchmarking reports, cash flow projections, operational reviews and other tools to help position your company for optimal results.

For more information on the infrastructure bill and planning to seize the right opportunities for your business, please contact Ronald Eagar, partner and chief operating officer at Grassi. 

For more information, please contact Ronald J. Eagar, CPA, CCIFP Partner at Grassi, at reagar@grassiadvisors.com or 516.336.2460.