Title
Federal Bipartisan Infrastructure Law / Infrastructure Investment & Jobs Act and Federal Inflation Reduction Act - Discretionary Grant Funding Update - Citywide
Description
This report provides the City Council an update on the status of the City's efforts and achievements in pursuing Federal Bipartisan Infrastructure Law (BIL) / Infrastructure Investment & Jobs Act (IIJA) and Federal Inflation Reduction Act (IRA) discretionary grant funding.
THIS ITEM IS FOR INFORMATION AND DISCUSSION.
Report
Summary
The BIL / IIJA contains approximately $550 billion in new spending above previous funding levels, over five years, for existing and new programs nationwide. These programs are aimed at improving infrastructure, investing in disadvantaged communities and creating jobs and seek to advance considerable improvements in areas such as roadway safety, active transportation, public transit, rail, airports, electric vehicle charging, clean water, water resources, and other areas.
The BIL / IIJA has now surpassed the three-year mark and was intended to fund programs through allocations from Federal Fiscal Years (FFYs) 2021-22 through 2025-26. Many of the approximately 375 individual BIL / IIJA programs are still awaiting formal announcements of allocations, opportunities to apply, or are pending review of applications prior to award grant funds. City staff will continue monitoring and pursuing announcements from the 16+ Federal agencies administering the programs, as well with the numerous state, county and other regional agencies who may be recipients of BIL funding and are also tasked with administering funding to local agencies.
Under the leadership of the Mayor and the City Council, to date, the City of Phoenix has been awarded over $748.9 million in Federal BIL / IIJA and IRA funds. An additional $383.2 million has been applied for and is pending award announcement. Several other opportunities currently have applications underway or are under review. Listed below is an overview of the discretionary grant programs the City has been awarded, along with the status of the grant execution. Additionally provided below are City projects that have been submitted and are currently pending review. For a complete table summary of the City’s efforts to date, please see Attachment A.
Awarded BIL / IIJA and IRA Discretionary Grants
BIL / IIJA Awarded:
Accelerating Vehicle to Everything (V2X) Deployment (Highway Research & Development Program - FFY 2023-24
- Project Description - The Connected Vehicle Acceleration Zone (CVAZ) project, led by the Maricopa County Department of Transportation (MCDOT) in collaboration with the City and other private and public agency partners, focuses on largescale development and deployment of V2X technologies and connected communications that deliver real-time traffic information about road conditions, and allow vehicles to share and receive information such as notifications of road hazards ahead.
- Award Amount - $19.7 million (Awarded in partnership with Maricopa County Department of Transportation)
- Status of Grant Agreement - Executed.
Affordable Connectivity Outreach Grant - Pilot Program Grants - FFY 2021-22
- Project Description - A multi-pronged approach to both educate Phoenix residents about, and enroll eligible Phoenix residents in, the Affordable Connectivity Program. City staff across multiple departments, including the Community and Economic Development, Housing, Human Services, Library, and Neighborhood Services departments, partnered with schools and community organizations to connect with residents through resources they know and trust.
- Award Amount - $700,000
- Status of Grant Agreement - Executed.
Airport Infrastructure Grants (Formula Grant Applications) - FFYs 2021-22, 2023-24 and 2024-25
- Phoenix Sky Harbor International Airport (PHX) Taxiway U: Design and construction of new Taxiway-U and enabling work that will relocate and/or modify existing facilities and infrastructure impacted by the project. The main enabling elements of the project include modifications to the existing City owned Facilities and Services Complex, Air Cargo apron and building modifications, sections of existing roadway and existing aprons. The grant funds received for this project to date are $156.3 million.
- Phoenix Deer Valley Airport (DVT) Taxiway B: Taxiway B is currently at a non-standard distance from the centerline of Runway 7L-25R and needs to be relocated further south. Project also includes design and construction of 2 acute angle taxiway connectors for the Runway 7L-25R, as recommended by the 2015 DVT Master Plan. The grant funds received for this project to date are $1 million.
- Award Amount Total - $157.3 million
- Status of Grant Agreements - Executed.
Airport Terminal Program - FFYs 2023-24 and 2024-25
- Project Description - Modernize PHX Terminal 4’s aging 30-year-old Central Utility Plant (CUP) to reduce emissions, operations and maintenance costs; increase capacity; improve efficiency, redundancy, and resiliency; support growth; and improve market access. The project helps PHX achieve its target of net-zero carbon emissions by 2040. The project replaces the CUP and associated equipment and control systems that provides cooling to the main terminal building, eight concourses, and connector bridges. Other replacement components include chillers, water filtration, controls, cooling towers and life safety systems.
- Award Amount Total - $71 million
- Status of Grant Agreement - FFY 2023-24: Executed. FFY 2024-25: Awaiting further action from Federal agency.
Building Resilient Infrastructure and Communities - FFY 2021-22
- Project Description - Develop and implement an annual, bilingual, community-facing education and engagement program that would: Build capacity of Phoenix area residents to participate in hazard planning and implementation with local governments; and advocate for hazard mitigation activities that protect public health.
- Award Amount - $337,500
- Status of Grant Agreement - Executed.
Bus and Bus Facilities Competitive Grants / Low- or No-Emission Bus Grants - FFY 2021-22
- Project Description - The Public Transit Department has developed a fleet transition plan and is coordinating with partners to begin the initial transition to Zero-Emission Buses (ZEBs) while developing workforce training program for existing workers to operate/maintain zero-emission vehicles and infrastructure. Phoenix is committed to mitigating local air quality issues, addressing climate change, and making electric vehicles accessible to the community. Phoenix received funds to offset the higher cost of ZEBs for planned fleet replacements of up to 12 Hydrogen Fuel Cell Buses (FCEBs) and up to six Battery Electric Buses (BEBs), support workforce development, construct fueling infrastructure, and install charging equipment in the initial phase of its Zero-Emission Transition Plan.
- Award Amount - $16.4 million
- Status of Grant Agreement - Federal Transit Administration is reviewing Phoenix Public Transit's request for categorical exclusion under the National Environmental Policy Act (NEPA).
Charging and Fueling Infrastructure Discretionary Grant Program (Round 2) - FFYs 2023-24 through 2024-25
- Project Description - The “Electrify Phoenix” project would implement a portion of the City’s Transportation Electrification Action Plan to accommodate an expected 280,000 electric vehicles in the community by 2030 by installing 146 Level 2, four Level 3 (Direct Current Fast Chargers), and 10 Level 2 portable solar-powered charging stations, as well as solar covered parking structures for various City-owned multi-family sites.
- Award Amount - $15 million
- Status of Grant Agreement - Awaiting further action from Federal agency.
Clean Water State Revolving Fund - FFY 2021-22
- Project Description - Funding will be used for rehabilitation or replacement of sewer lines owned by the Water Services Department (WSD). WSD has over 5,000 miles of sewer lines ranging in sizes up to 84" in diameter. Like water system infrastructure, aging wastewater infrastructure requires rehabilitation and replacement of sewer lines.
- Loan Amount - $10.2 million
- Forgivable Principle - $1 million
- Status of Grant Agreement - Executed.
Congestion Mitigation and Air Quality Improvement Program (System Management and Operations) - FFY 2024-25
- Project Description - Provide a necessary upgrade to the central software used to run the Downtown Traffic Management System (DTMS) and allow for the DTMS to be integrated with the management software implemented in other areas of Phoenix. Upgraded software supports the real-time traffic and event management procedures within the City of Phoenix which hosts numerous concurrent major events in the downtown core. Additionally, upgraded software will integrate the DTMS into one platform allowing integrated management decisions instead of a standalone, separate system.
- Award Amount - $1 million
- Status of Grant Agreement - Executed.
Congestion Relief Program - FFYs 2021-22 through 2023-24
- Project Description - A three-pronged congestion mitigation initiative designed to provide greater options for passengers to utilize public transit. Project EASE includes implementing three microtransit service zones within the City over a three-year period to increase coverage of the public transit system; providing commuter bus improvements that complement the new microtransit zones; and integrating new and existing microtransit services into the region’s transit software application for trip planning, real-time tracking and fare payment.
- Award Amount - $12.9 million
- Status of Grant Agreement - Awaiting further action from Federal agency.
Digital Equity Competitive Grant Program - FFYs 2021-22 through 2023-24
- Project Description - Building on the success of past programs, Phoenix is leveraging its experience and programmatic infrastructure to deliver comprehensive services aligned with the Digital Equity Act and Arizona’s State Digital Equity Plan. These services address key barriers such as digital literacy gaps, broadband access, and technology adoption for Phoenix’s underserved populations.
- Award Amount - $11.8 million
- Status of Grant Agreement - Awaiting further action from Federal agency.
Drinking Water State Revolving Fund - FFY 2021-22
- Project Description - Funding will be used for replacement of aging water mains owned by WSD. WSD has implemented a Water Main Replacement (WMR) program which evaluates and replaces existing aging 4-inch to 16-inch pipelines. In Phoenix, the major cause of breaks tends to be age of the infrastructure, resulting in water loss of water and costly emergency repairs.
- Loan Amount - $10.9 million
- Forgivable Principle - $1.5 million
- Status of Grant Agreement - Executed.
Drinking Water State Revolving Fund Lead Service Lines Replacement - FFY 2021-22
- Project Description - Funding will be used for replacement of WSD and customer, lead and galvanized service lines with copper lines, where identified. There are approximately 460,000 water services within the water system and approximately 200,000 services Citywide of unknown material. As part of the requirement for the Lead and Copper Rule Revision (LCRR), there is an ongoing effort to identify all service line material types on the City and customer side of all water meters and to replace those identified as lead or galvanized. The LCRR requires water system providers to address both lead and galvanized services.
- Loan Amount - $40.6 million
- Forgivable Principle - $10 million
- Status of Grant Agreement - Executed.
Local and Regional Project Assistance - Rebuilding American Infrastructure with Sustainability and Equity (RAISE) Grant - FFY 2021-22
- Project Description - The project will construct a bicycle and pedestrian bridge across the Rio Salado River along the 3rd Street alignment. Improved facilities will continue into Downtown along 3rd Street, connecting South Phoenix to Downtown. The southern bank trails will also be retrofitted to a concrete pathway with low-emitting solar pedestrian-scale lighting and pathway amenities between Central Avenue and 40th Street.
- Award Amount - $25 million
- Status of Grant Agreement - Required NEPA review process underway.
Local and Regional Project Assistance Grants (RAISE) - FFY 2022-23
- Project Description - The PHX Cultural Corridor project will improve 3.52 miles of sidewalks and roadway between Downtown Phoenix and the Airport with enhanced pedestrian and bicycle facilities and signage, pavement markings, and wayfinding materials that highlight the area’s rich history. This project is an element of the PHX Land Reuse Strategy, a collaborative effort between the City of Phoenix Aviation Department, neighborhoods, and other stakeholders to develop and implement market-driven strategies that can accelerate development of 743 City-owned parcels located west of PHX.
- Award Amount - $10.2 million
- Status of Grant Agreement - Required NEPA review process underway.
Multimodal Project Discretionary Grant (MEGA-INFRA-Rural) - FFYs 2024-25 through 2025-26
- Project Description - The US 60 (Grand Avenue)/35th Avenue/Indian School Road Grade Separation Project will elevate the 35th Avenue and Indian School Road intersection to help mitigate the complex issues around this six-legged highway/arterial intersection that also includes two at-grade railroad crossings.
- Award Amount - $146.6 million (Awarded in partnership with Maricopa Association of Governments, Arizona Department of Transportation and BNSF Railway)
- Status of Grant Agreement - Awaiting further action from Federal agency.
Pilot Program for Transit Oriented Development (TOD) - FFY 2021-22
- Project Description - A cross-disciplinary implementation effort for equitable land-use, transportation, and infrastructure investments towards achieving the established South Central TOD Community Plan’s “shared community vision for environmentally equitable, compact and connected communities; sustainable and resilient; incremental change and growth; towards a world-class regional destination that supports local small businesses, shares cultures, and improves health for all existing and future residents."
- Award Amount - $1 million
- Status of Grant Agreement - Awaiting further action from Federal agency.
Pilot Program for TOD - FFY 2022-23
- Project Description - The funding will be used to continue implementation of the six established ReinventPHX and 19 North Transit Oriented District Policy Plans. This proposal intends to make immediate and timely progress towards achieving a well-balanced and purposeful mixture of housing choices and supporting amenities in alignment with unique and diverse transit-oriented communities.
- Award Amount - $1.2 million
- Status of Grant Agreement - Awaiting further action from Federal agency.
Reconnecting Communities Pilot Program - FFYs 2023-24 through 2025-26
- Project Description - The application is for a planning grant to analyze possible crossing solutions, plan a continuous pathway, and prepare environmental documentation for the Grand Canalscape Phase IV project, which is a multiuse path that would stretch from 47th to 23rd avenues. This will be the initial planning step to connect the larger improved sections stretching over 12 miles along the canal through Phoenix.
- Application Amount - $1.4 million
- Status of Grant Agreement - Awaiting further action from Federal agency.
Safe Streets and Roads for All (SS4A) Grant - FFY 2021-22
- Project Description - Based on City Council approval of the Vision Zero Road Safety Action Plan, implementation of a group of engineering, education, and evaluation strategies that have a high safety benefit and prioritize historically disadvantaged areas of Phoenix. Projects include: seven intersection improvement projects; seven mid-block crossings; 2.5 miles of corridor safety projects; vision zero education campaign; speed evaluation study; and pedestrian high-crash risk analysis.
- Award Amount - $460,000
- Status of Grant Agreement - Executed.
SS4A Grant - FFY 2022-23
- Project Description - The ReVISIONing Indian School Road project seeks to address a critical corridor link in the Phoenix High Injury Network through targeted and proven safety countermeasures to address all-modal safety improvements and provide safety improvements to Phoenix’s historically underserved Maryvale Village.
- Award Amount - $25 million
- Status of Grant Agreement - Awaiting further action from Federal agency.
SS4A - FFY 2023-24
- Project Description - Planning Grant funding to analyze three major arterial corridors located on the Phoenix High Injury Network (HIN). These comprehensive corridor analyses will include conducting an enhanced Road Safety Assessment (RSA), developing planning-level corridor concepts, and conducting a feasibility analysis to provide an assessment of comprehensive safety corridor needs to identify actionable safety countermeasures. Each assessment additionally will include advanced data collection, deploy innovative safety analytics, and conduct a robust, localized public engagement opportunity to coalesce public support for the planning and development process. The three corridor assessments address 12 HIN locations, all within disadvantaged communities, and will be conducted along 19th Avenue, Northern Avenue and Broadway Road.
- Award Amount - $1.1 million
- Status of Grant Agreement - Executed.
Strengthening Mobility and Revolutionizing Transportation (SMART) Grants - FFY 2021-22
- Project Description - Implementation of passive pedestrian, bicycle, and motorist detection technology at 10 locations with existing High-Intensity Activated CrossWalKs (HAWKs) on a portion of the Grand Canal in central Phoenix.
- Award Amount - $2 million
- Status of Grant Agreement - Executed.
IRA Awarded:
Climate Pollution Reduction Grants Program (CPRG) - Phase I - Planning Grants - FFY 2022-23
- Project Description - The Phoenix-Mesa-Chandler Metro Area is received this grant to develop a regional Priority Climate Action Plan (PCAP), led by the Maricopa Association of Governments (MAG), to reduce pollution. The development of a PCAP was a requirement to apply for CPRG - Phase II - Implementation Grants.
- Award Amount - $1 million
- Status of Grant Agreement - Executed.
Solar for All (Greenhouse Gas Reduction Fund) - FFY 2022-23
- Project Description - Solar for All (SFA) Arizonans is a transformational opportunity for Arizona, led by the State in collaboration with the City, to bring the benefits of the state’s abundant solar resources to the state’s low-income and disadvantaged communities. SFA Arizonans will create multiple innovative market mechanisms that accelerate distributed solar deployment in low-income and disadvantaged communities on rooftops, in neighborhood solar projects, and in solar-plus-storage systems.
- Award Amount - $156.1 million (Awarded in partnership with the State of Arizona)
- Status of Grant Agreement - Executed.
Urban and Community Forestry Assistance Program - FFY 2022-23
- Project Description - The Roots of Phoenix initiative will fund community-prioritized tree programs and Community Tree Stewards in underserved areas, including a grant program for neighborhood and school tree plantings. This project will add thousands of new trees, enhance urban forestry knowledge and skills, and bolster resilience in the most heat vulnerable areas of the City.
- Award Amount - $10 million
- Status of Grant Agreement - Executed.
Pending BIL / IIJA and IRA Discretionary Grant Applications
BIL / IIJA Pending:
Airport Infrastructure Grants (Formula Grant Applications) - FFY 2024-25
- Project Description - DVT Taxiway B: Taxiway B is currently at a non-standard distance from the centerline of Runway 7L-25R and needs to be relocated further south. Project also includes design and construction of 2 acute angle taxiway connectors for the Runway 7L-25R, as recommended by the 2015 DVT Master Plan.
- Pending Application Amount - $2.3 million
Better Utilizing Investments to Leverage Development (Formerly RAISE) Grant - FFY 2024-25
- Application 1: The Street Transportation Department is submitting a capital construction application grant to advance the detailed design of a new 1.2-mile multi-lane roadway on 64th Street from Bell Road to Mayo Boulevard. It would also provide the funding to construct the new roadway, including a new roadway bridge across the Central Arizona Project Canal that would connect Phoenix residents south of the canal to a growing educational, medical, and commercial area north of the canal to Mayo Boulevard. The total grant funds applied for in this application will not exceed $25 million.
- Application 2: The Parks and Recreation and Street Transportation departments are collaborating on a planning grant submittal for the Laveen Area Conveyance Channel. The purpose of the planning grant is to evaluate and update the design of a dual-purpose amenity channel that extends 5.8 miles in the Laveen Village of Phoenix, serving to capture and convey local regional drainage while also serving the community as an active transportation corridor. The total grant funds applied for in this application will not exceed $1.75 million.
- Pending Applications Amount Total- $26.75 million
Bridge Formula Program (ADOT Off-System Bridge Program) - FFY 2025-26
- Project Description - The application would rehabilitate a Dry Wash at Warpaint Drive. The objective of this project is to improve the condition rating of the structure, extend the anticipated design life of the stricture, mitigate recurring maintenance issues and strengthen the structure.
- Pending Application Amount - $2.2 million
Energy Efficiency and Conservation Block Grant Program
- Project Description - The project proposes to commit towards the installation of solar covered parking projects identified by vendors under the City's Solar Qualified Vendor List. Rather than allocate all the funds toward one solar project, staff are proposing to use the funds to "buy-down" the cost of parking lot solar shading at multiple libraries and parks through Solar Service Agreements whereby the vendor will be required to build, own, operate, and maintain the solar equipment throughout its life, while the City's contractual obligation will be to purchase the energy it produces throughout its life at an agreed to rate that is below or close to the current utility electricity rate.
- Pending Application Amount - $1.3 million
Solid Waste Infrastructure for Recycling Grant - FFY 2022-23
- Application 1 (Track I): The “Circular Food Economy Project” will advance progress on reducing residential household food waste in disadvantaged communities and greenhouse gas (GHG) emissions. The Office of Environmental Programs (OEP) will partner directly with the private sector to pilot a circular economy of food model that can be scaled to benefit greater Phoenix. The total grant funds applied for in this application will not exceed $5 million.
- Application 2 (Track I): The Resource Innovation Campus (RIC) is the City’s regional circular economy hub, with approximately 40 acres of lease-ready land for innovators with market-ready technologies and manufacturing processes that reuse or repurpose waste materials. To support economic development projects at the RIC, water, sewer, and electrical connections are needed for the lease-ready land. Public Works Department (PWD) is requesting grant funding to construct utility infrastructure at the RIC. The total grant funds applied for in this application will not exceed $5 million.
- Application 3 (Track II): PWD oversees the North Gateway MRF, which processes and sorts recyclables from the City’s recycling program. The North Gateway MRF opened in 2006 and underwent minor upgrades in 2012 and again in 2019. As commodities and technology have changed over the past two decades, the North Gateway MRF is in need of additional improvements to increase its processing and sorting capabilities. The total grant funds applied for in this application will not exceed $5 million.
- Pending Applications Amount Total- $15 million
WaterSMART - Water and Energy Efficiency Grants - FFY 2024-25
- Project Description - The application would enhance water conservation efforts within the Parks and Recreation Department’s 188 Parks by implementing SMART controllers and upgrading 30-year-old manual flood irrigation monitoring equipment at golf courses.
- Pending Application Amount - $500,000
IRA Pending:
Environmental and Climate Justice Community Change Grants (Tracks I and II) - FFY 2023-24
- Track I: This application would fund the following project components within disadvantaged census tracts in South Mountain Village Planning and Maryvale Village Planning areas: urban forestry and green stormwater infrastructure workforce development; business development training; and PhxCAN (Connected Active Neighborhoods) quick-build projects. The total grant funds applied for in this application will not exceed $19.4 million.
- Track II: The track II application aims to serve as a foundation for a future regional-scale vision planning for the Rio corridor that will help to reimagine meaningful community engagement for equitable governance, create a regional sense of place and identity for the river corridor, and align diverse priorities in co-design with community. The primary goal of the project will be to build strong bridges between residents and government entities around environmental and climate justice planning and development. The total grant funds applied for in this application will not exceed $2.8 million.
- Pending Application Amount Total- $22.2 million
Low-Carbon Transportation Materials Program - FFY 2021-22
- Project Description - The application would undertake several key initiatives, including development of an Environmental Product Declaration program to quantify carbon emissions, identification of projects to deploy low carbon construction materials, updating contract/administrative requirements for identified projects, and implementing a quality assurance plan with post-construction monitoring to ensure the low carbon construction materials meet the economic and performance requirements while also reducing GHG emissions.
- Pending Application Amount - $12.9 million
Voluntary Participation in the Lower Colorado River Basin Conservation and Efficiency Program
- Project Description - In a continued effort to stabilize Lake Mead, the United States Bureau of Reclamation launched the Voluntary Participation in the Lower Colorado River Basin Conservation and Efficiency Program. This second phase has a dual mission to: 1) directly conserve water in Lake Mead through voluntary, compensated conservation; and 2) use funds from this compensated conservation to implement projects that increase resiliency to future Colorado River Shortage. To support these goals, the City has proposed extending its system conservation commitment for additional water. In exchange for these conservation actions, the City would receive up to $300 million. These funds will be used to construct an Advanced Water Purification facility at the future North Gateway Water Reclamation Facility. Phase One of this facility will be capable of producing more than 7,500 acre-feet per year of potable water in perpetuity, providing a drought resilient water supply to a critical growth area.
- Pending Application Amount - $300 million
Concurrence/Previous Council Action
The Transportation, Infrastructure and Planning Subcommittee received presentations on the Federal BIL / IIJA and IRA on:
- January 19, 2022;
- October 19, 2022; and
- November 20, 2024.
The City Council has taken multiple actions to approve each BIL / IIJA and IRA discretionary Federal grant application submitted.
Department
Responsible Department
This item is submitted by Deputy City Manager Mario Paniagua and the City Manager's Office.