Innovative Finance and Asset Concession (IFAC) Grant Program

The U.S. Department of Transportation, through the Build America Bureau in the Office of the Secretary of Transportation, has announced the Innovative Finance and Asset Concession (IFAC) Grant Program for fiscal years 2024–2026. This program was created under Section 71001 of the Infrastructure Investment and Jobs Act and is designed to enhance the technical capacity of eligible public entities to facilitate and evaluate public-private partnerships. The IFAC program has two types of cooperative agreements, Technical Assistance and Expert Services, both aimed at helping eligible entities plan, analyze, and implement asset concessions for transportation-related infrastructure. The program makes available $45.98 million in competitive funding, with $18.86 million drawn from fiscal year 2025 appropriations, $18.86 million from fiscal year 2026, and $8.26 million carried over from fiscal year 2024. The maximum award per recipient is $2 million, with cooperative agreements of up to $1 million offered at 100 percent federal share. For awards greater than $1 million, a 50 percent non-federal match is required. Overall, between 30 and 40 awards are expected under this funding cycle. The program has strict funding restrictions, including a cap of $4 million per state within a three-year period, and awards will not exceed $2 million per entity. Eligible applicants include state governments, tribal governments, units of local government, agencies or instrumentalities of these entities, and special purpose districts or public authorities. To qualify, applicants must own, control, or maintain an existing asset and have legal authority to enter into concession contracts. Eligible assets include highways, bridges, tunnels, freight rail facilities, passenger rail systems, airports, ports, transit-oriented development projects, and related real property. Projects must focus on enhancing these assets through innovative financing structures or public-private partnerships, often tied to TIFIA-eligible projects. Applications must be submitted electronically through Grants.gov no later than 11:59 p.m. Eastern Time on October 1, 2025. Only one application per entity will be accepted. Applicants must first register in SAM.gov and obtain a Unique Entity Identifier. The required submission includes federal standard forms (SF-424, SF-424A, SF-424B, SF-LLL), a cooperative agreement plan of no more than 10 pages, and supporting materials such as asset information forms and budget details. Applications will be evaluated based on technical merit criteria, such as identification of need, project goals, and development strategies, as well as readiness criteria, including feasibility, private sector involvement, and organizational capacity. Applications will undergo a multi-step review process that includes eligibility screening, merit review by Department staff, and final selection by Department leadership. Awards will be made as cooperative agreements, and recipients must comply with federal reporting requirements, including semiannual performance progress reports and quarterly financial reports. Evaluation and compliance with federal regulations regarding civil rights, environmental standards, and procurement will also be required. The expected period of performance is up to 36 months, with funds available until expended. For further information, applicants may contact Jennifer Hara, IFAC Program staff, at (202) 839-0199 or via email at InnovativeFinanceTA@dot.gov. Additional program details, updates, webinars, and FAQs are available on the Build America Bureau website. Interested applicants are encouraged to review all eligibility conditions and ensure timely registration and submission to meet the October 1, 2025, deadline.

Applicants are strongly encouraged to register early in SAM.gov and Grants.gov and to submit applications ahead of the October 1, 2025, deadline.