The program will make $2 billion available from Inflation Reduction Act for State Departments of Transportation, Tribes, Metropolitan Planning Organizations, and other agencies to buy materials that create less pollution, including steel, concrete, and asphalt.
The Federal Government is the largest purchaser in the world, with an annual purchasing power of over $630 billion.
FHWA is using a hybrid approach to implement the program:
First, FHWA is making $1.2 billion available to states, the District of Columbia and Puerto Rico through a Request for Applications (RFA) to fund activities and projects that reduce pollution, including carbon emissions, through the use of low-embodied carbon materials and products. This approach will allow FHWA to quickly provide reimbursement or incentive funds to states to begin eligible activities and incorporate low-embodied carbon materials on construction projects now.
Second, later this year FHWA will also make available $800 million to target non-state applicants, including cities, Tribes, Metropolitan Planning Organizations, and other agencies through a Notice of Funding Opportunity (NOFO). This funding opportunity will encourage applicants to partner with states where appropriate and will include offers of technical assistance for applicants.
In addition to funding the use of cleaner construction materials that reduce pollution and carbon emissions for transportation projects, the program will provide resources for agencies to implement processes and coordinate with industry to quantify the emissions of construction materials. That information will allow substantially lower carbon materials to be identified by comparing emissions to established thresholds. Funding can also be used to develop specifications for low-embodied carbon materials that ensure adequate engineering performance for appropriate use on Federal-aid projects.
This program also supports the Department of Transportation’s Buy Clean Initiative and builds on several existing FHWA programs to tackle the climate crisis, including the Pavement Materials Program, Sustainable Pavements Program, Every Day Counts Innovation on Environmental Product Declarations (EPDs) for Sustainable Project Delivery, the Climate Challenge on Quantifying Emissions of Sustainable Pavements, and the Carbon Reduction Program.