Federal Funding Programs
Understanding IRA, IIJA, and CHIPS
IRA
IIJA
The Inflation Reduction Act (IRA) allocates 783 billion dollars through tax credits and rebates, with other funds available through direct grants through federal agencies. It focuses on clean energy infrastructure, such as Electrical Vehicle charging and clean energy generation.
The law also establishes a tax mechanism known as "Direct Pay" to award tax credits to organizations that don't typically file federal income taxes.
The Infrastructure Investment and Jobs Act (IIJA) allocates 1.2 trillion dollars in formula determined amounts and competitive grants.
It focuses on funding road, rail and other transportation infrastructure projects. IIJA funding ends in 2026.
CHIPS
The CHIPS and Science Act (CHIPS) allocates 280 billion dollars focused in part on supporting research at institutions of higher education.
The law focuses on driving domestic investment in research of advanced computer chips and domestic manufacturing of such systems to shore up risks to the US computer chip supply chain following severe shortages in chip availability during the Coronavirus pandemic.