Governor Mike Dunleavy’s administration submitted legislation (SB 241 HB 414) to the Alaska Legislature on Monday morning that appropriates the initial funding anticipated to be received by the State of Alaska from the federal Infrastructure Investment and Jobs Act (IIJA). Both pieces of legislation, as of Wednesday, are in the House and Senate Finance Committees. The legislation appropriates capital and operating funds to state agencies and to some non-state organizations that will partner with the states, local governments, and Alaska Native entities to implement Infrastructure Investment and Jobs Act funding and pursue future federal funding opportunities.
Governor Dunleavy said:
“While the federal infrastructure bill doesn’t provide the state with pots of unrestricted infrastructure funds that Alaska can spend as we see fit, it does contain substantial funding to improve our roads, airports and water infrastructure, and new investments in bringing broadband to the state. In addition, the bill provides competitive opportunities for Alaska to modernize our electric grid, pursue clean energy technology, to develop our substantial critical minerals and rare earth elements.”
The Dunleavy administration bill is being introduced following the U.S. Congress passage of the IIJA in November followed by passage of the federal FY22 omnibus appropriation bill last month. It’s expected that 60% of the 5-year federal authorization will be allocated by formula with the remaining 40% expected to be awarded through competitive grants administered by federal agencies.
The bill distributes the funds into five categories.
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