SMACNA member contractors will reap significant benefits from the Inflation Reduction Act signed into law by President Biden in August. We have previously touched on some of the most notable ones, including critical tax credits and incentives for contractors and consumers. However, these financial incentives provisions only a portion of the benefits made available through the law. Several infrastructure-focused initiatives will encourage using more energy-efficient technologies in public and private structures.
Among these will be federal support for the modernization of critical public buildings to ensure that they use the most up-to-date technology, including state-of-the-art HVAC systems. This effort will focus on critical structures such as libraries, museums, and municipal government buildings. At least $500 million in grants will provide needed financing and technical assistance in executing these projects.
In addition, the General Services Administration (GSA), which oversees much of the federal government's property portfolio, will have $3.25 billion at its disposal for various projects, including investment in federal buildings. So they will employ low-carbon materials and sustainable technologies, such as conversions into High-Performance Green Buildings.
Also, a "climate bank" will be created. This framework will provide $12 billion for two years to award competitive grants to charitable or publicly funded non-depository financial services or non-profits that invest in projects singly or with other investors to provide capital (including leveraging private capital) for quick deployment of efficiency upgrades, low and zero-emission products, technologies, and services.
SMACNA continues to provide resources to its members and consumers designed to assist all parties in utilizing all of the programs included within the recently enacted law.