The Department of Transportation on March 11 announced the availability of $1.4 billion in credit assistance over the next five years for critical infrastructure projects nationwide, using Transportation Infrastructure Finance and Innovation Act funding.
The TIFIA program allows states and cities to submit letters of interest for direct loans, loan guarantees and standby lines of credit authorized by the FAST Act.
The amount of available loan funding will increase from $275 million in fiscal 2016 to as much as $300 million by fiscal 2020. But the amount of TIFIA funding authority available in any given year may be less than the amount authorized, DOT said.
“The TIFIA credit program has a strong record of success in stimulating local economies and bringing critical transportation projects to communities that need them,” Transportation Secretary Anthony Foxx said in a statement. “This year, the added flexibility and streamlined review process should make it easier for a variety of applicants to take advantage of the funding opportunities, and to bring significant infrastructure developments to their neighborhoods.”
A wide range of surface transportation infrastructure is eligible for TIFIA credit assistance, including highways, passenger and freight rail, public transit, intermodal freight facilities, and international bridges and tunnels.
The FAST Act expands TIFIA eligibility for transit-oriented development and the capitalization of a rural projects fund within a state infrastructure bank.
The program’s flexibility will permit many qualified small-scale and large-scale projects that might otherwise be delayed or shelved to move forward quickly, DOT said.
DOT said historically, $1 of TIFIA program funds support a TIFIA loan of approximately $14 and results in infrastructure investments of up to $40, when considering state, local and private sector investments.
To date, the TIFIA program has provided nearly $23 billion in credit assistance to support more than $82 billion in transportation infrastructure investments for 56 major transportation projects around the country, the agency said.
