Freight Funding Programs
As the fifth largest economy in the world, California is challenged with various competing forces to meet and exceed its market capabilities. To achieve this, California will need to continue investing in its critical infrastructure to accommodate a growing demand for goods while reducing its negative social and environmental impacts. According to the latest CFMP 2020, several goals were established to mitigate the state’s most pressing freight challenges, these include improving port access reliability, border wait times, inter-and-intra state freight movement and resiliency, sustainability and innovations, clean truck designated corridors, marine highways, port infrastructure and equipment, short line and other ZE/NZE infrastructure projects, and Intelligent Transportation Systems (ITS) that support efficient freight movement. Several investment tools are available to assist the state in the transition to a healthier, less polluting, and more economically efficient system to actualize its stated goals. Details on each available grant funding program that support freight-related projects are highlighted below, along with application and submission deadlines to assist local and regional planning agencies access a full range of portfolio product listings for present or future rounds of freight funding.
Once projects are programmed, funded, and undergoing construction, they are mapped to allow for greater tracking of progress made toward achieving main goals, strategies and objectives. As future need is determined, freight investment opportunities are considered to accommodate needs not captured through former investment projects.
Discretionary Grant Funding Programs
National Infrastructure Project Assistance Program (Section 21201) - A new IIJA competitive grant program that provides $5 billion for single - or multi-year grants to projects generating national or regional economic, mobility, or safety benefits. Eligible projects include highway or bridge projects, freight intermodal or rail projects, and certain public transportation projects.
Infrastructure for Rebuilding America (INFRA) (Section 11110) - A national discretionary competitive grant program to advance administration priorities of rebuilding America's infrastructure and creating jobs by funding highway and rail projects of regional and national economic significance. Under IIJA re-authorization, $8 billion will be apportioned over five years (averaging $1.6 billion a year) from FY 2022- FY 2026.
Local and Regional Project Assistance (Section 21202) - Re-authorizes the "RAISE" grant program and doubles current funding levels to $7.5 billion for five years ($1.5 billion annually between FY 2022 - 2026) for eligible projects including highway and bridge projects, passenger or freight rail projects, port infrastructure projects, and surface transportation components of airport projects
Port Infrastructure Development Program (Division J) - An IIJA program that appropriates $2.25 billion over five years, or $450 million annually for the Port Infrastructure Development Program (PIDP) between FY 2022 - FY 2026.
Reduction of Truck Emissions at Port Facilities (Section 11402) - An IIJA program that reduces idling of greenhouse gas emissions (GHGs) at port facilities by studying emerging technologies and port electrification.
MARAD Port Infrastructure Development Program - Federal competitive grant program providing $230 million in discretionary funding for FY 2021 to improve facilities within, or outside of, and directly related to operations or an intermodal connection of coastal seaports, inland river ports, and Great Lakes ports.
Transportation Corridor Enhancement Program (TCEP) - A statewide competitive grant program leveraging federal funds of $515 million in National Highway Freight Program (NHFP) funds, matched with approximately $300 million in state funding disbursed annually to improve the safety, efficiency, and capacity of freight.
Solutions for Congested Corridors (SCCP) - Statewide $250 million competitive grant program submitted annually for projects that implement transportation performance improvements that preserve the character of local communities for neighborhood enhancement. Application deadline is July 17, 2021.
Formula Grant Funding Programs
Local Partnership Program (LPP) - A Road Repair and Accountability Act of 2017 (SB 1) state program appropriates $200 million annually to local and regional transportation agencies that have sought and received voter approval of taxes or fees dedicated for transportation improvements.
Airport Improvement Program (AIP) - A Federal Aviation Administration (FAA) grant program to support public agencies and private owners for the planning and development of public-use airports, providing up to 75% of eligible costs.
State Transportation Improvement Program (STIP) - A biennial five-year plan adopted by the Transportation Commission for allocating funds for highway improvement projects, intercity rail, regional highway and transit improvements. 2021 Mid-cycle STIP approved projects were adopted on June 23 - 24, 2021.
Interregional Transportation Improvement Program (ITIP) - A statewide interregional grant funding program to improve interregional mobility for people and goods on highway and passenger rail corridors of strategic importance. These strategic corridors provide connectivity to neighboring states and the international border with Mexico.
Regional Transportation Improvement Program (RTIP) - A regional transportation improvement program updated every two years and spans over five years to include a listing of highway, local road, transit, and active transportation projects.
Congestion Mitigation & Air Quality Improvement Program (CMAQ) - The purpose of the program is to fund transportation improvement projects that will contribute to the attainment or maintenance of national ambient air quality standards (NAAQS). Eligible projects can be awarded to reduce ozone precursor emissions, including nitrogen oxides (NOx) and volatile organic compounds (VOC), carbon monoxide (CO), and particulate matter (PM) emissions from transportation.
Sustainable Communities Grant Program - A Caltrans administered program to encourage local and regional planning that further state goals, including best practices cited in the Regional Transportation Plan Guidelines adopted by the Transportation Commission. $29.5 million in funding will be made available for sustainable communities grants and $4.5 million to identify and address statewide, interregional, or regional transportation deficiencies. The FY 2022- 2023 grant applications are due in Fall of 2021.
State Planning and Research (Part I) - 75% of apportionment funds dedicated to research activities relating to the studies of economy, safety, and convenience of surface transportation systems and the desirable regulation and taxation of such systems.
State Planning and Research (Part II) - 2 percent of apportionments in Federal Aid Highway program for planning and research activities. States must allocate a minimum of 25 percent for exploratory research, development, and technology. The call for FY 2021- 2022 submissions are due June 18, 2021.