At the end of 2020, the Great Plains Institute and BlueGreen Alliance convened stakeholders across Minnesota to address the interrelated challenges of the economic impact of a global pandemic, longstanding racial disparities, and the urgent need to reduce greenhouse gas emissions. The group, Building Economic Resilience Through Clean Energy and Equity in Minnesota (BERCEE), brought together representatives from labor, energy, business, environmental organizations, tribal nations, and state and local governments.
After several meetings, the BERCEE initiative put forth a report with 32 federal and state recommendations for economic stimulus and pandemic recovery that would accomplish the following objectives:
- Provide significant near-term economic and jobs benefits
- Drive decarbonization
- Promote equity and a responsible transition
- Create clear benefits in energy, transportation, built environment, industrial or agricultural systems
Since releasing the report, there has been unprecedented momentum for equitable decarbonization policies and investments at the federal level. The Infrastructure Investment and Jobs Act (IIJA) was signed into law in November, followed shortly after by the passage of the Build Back Better Act (BBBA) in the House of Representatives. Between these two bills, the IIJA and the House version of the BBBA, nearly all the recommendations from the BERCEE initiative are addressed.
Below, we’ve laid out at a high level how the BERCEE recommendations are reflected in both pieces of legislation. We’ve also put together a more detailed accounting of where provisions related to specific BERCEE recommendations show up in each bill.
$56.84 billion for energy-related BERCEE recommendations
Infrastructure Investment and Jobs Act: $39.2 billion
The IIJA provides funding for deploying crucial decarbonization technologies for the building and industrial sectors, including carbon capture, hydrogen, and energy efficiency. It also includes funding for significant upgrades to our nation’s grid infrastructure, with an eye toward reliability and resiliency.
House Build Back Better Act: $17.64 billion
The House BBBA includes substantial measures for building efficiency, including billions for energy efficiency rebates, workforce training programs, and funding for states to upgrade and implement more efficient building codes. Regarding industrial decarbonization, the House BBBA provides funding for the US Environmental Protection Agency to create a market for clean products through transparent Environmental Product Declarations and low-embodied carbon labeling standards for certain projects. The House BBBA includes funding for grid buildout, grants to study transmission project impact, and rural clean energy programs. Notably, the House BBBA also includes direct pay for all clean energy tax credits.
$332.45 billion for transportation-related BERCEE recommendations
Infrastructure Investment and Jobs Act: $313.6 billion
The IIJA provides funding to drastically revitalizes the nation’s public transit infrastructure with investments in electric vehicle charging infrastructure, alternative fuel corridors, and the rail system. Additionally, the IIJA provides funding for the transit system repair backlog.
House Build Back Better Act: $18.85 billion
Building on the IIJA, the House BBBA provides additional funding for clean transportation. There is funding for charging infrastructure, high-speed rail, and the deployment of clean heavy-duty vehicles. It also includes a new refundable credit for used electric vehicles.
$36.262 for water-related BERCEE recommendations
Infrastructure Investment and Jobs Act: $24.12 billion
The IIJA makes significant investments in water infrastructure. Not only does it provide funding to improve the resiliency and sustainability of public water systems, but it also funds the reauthorized Clean and Drinking Water State Revolving Fund. From an equity perspective, the IIJA also addresses water affordability issues and requires a study on the historic distribution of water-related funding. Furthermore, it funds the sewer overflow and stormwater reuse grant program.
House Build Back Better Act: $12.142 billion
Along with the IIJA, the House BBBA also provides funding for sewer and stormwater reuse programs and water assistance programs. Additionally, there is significant funding for lead remediation projects.
$24.45 billion for agriculture, forestry, and land-related BERCEE recommendations
House Build Back Better Act: $24.45 billion
The House BBBA promotes sustainable soil and forest practices. It includes payments to landowners for good soil practices or carrying out climate mitigation practices. On national forest land, it provides funding for certain projects that have water management plans.
$107.625 billion for additional areas related to BERCEE recommendations
Infrastructure Investment and Jobs Act: $65 billion
The need for affordable broadband has been made clear during the last two years. The IIJA includes funding to increase broadband access, with specific support for rural areas. The IIJA also recognizes the changing workforce landscape, and it creates a 21st Century Energy Workforce Advisory Board.
House Build Back Better Act: $42.625 billion
Adding to the IIJA, the House BBBA also includes funding for increased broadband access and assistance for a transitioning energy workforce. It also contains provisions that align with several other BERCEE recommendations:
- A Greenhouse Gas Reduction fund
- Community Development Block Grants
- Low-income housing tax credit reforms
- Funding for sustainable service programs
Total federal investment for BERCEE recommendations across the Infrastructure Investment and Jobs Act and House version of the Build Back Better Act: $557.627 billion
Regarding equity, both the IIJA and the House BBBA have significant carveouts or dedicated programs for rural, underserved, or tribal communities.
While the IIJA moves toward an implementation phase, the future of the BBBA is uncertain. Funding policies and programs for climate and equity will be crucial to achieving BERCEE’s objectives.
For more information on how the federal IIJA and House BBBA provisions align with the BERCEE Initiative’s recommendations, contact Kate Sullivan at [email protected].
