PROJECTED FEDERAL SPENDING FROM IIJA & IRA

NOTE: Projected spending includes advance appropriations, budget impacts of IRA tax credits as estimated by the CBO, and a small number of authorized programs.

SOURCE: Brookings analysis of Infrastructure Investment and Jobs Act, Inflation Reduction Act, and CBO data.

Graphic Content: The Brookings Institute

The largest project authorized in WRDA 2022 is a Texas Gulf Coast hurricane protection system, sometimes referred to colloquially as the “Ike Dike”. The $21.4 billion federal allocation represents over 60% of the cost of the $34.4 billion program. A significant portion of the project includes movable flood gates, pump stations, and floodwalls that Southland is well qualified to participate in with American Bridge, Johnson Brothers, Southland Contracting and Oscar Renda Contracting expertise.

This is a unique time in the construction market with generational investments being made across sectors. Southland is well positioned to capture the uptick in spending across these markets, particularly for bridges and water system improvements with existing and new clients across the US. Even outside of the US market, Southland has seen strong infrastructure spending across Canada, but particularly in Ontario and the Toronto metro area.

Even after this act, the funding gaps identified by ASCE will require ongoing investments to maintain and replace existing infrastructure, as well as fund new infrastructure in the rapidly growing Sun Belt states. The infrastructure construction market is poised for a strong finish to the 2020s and onward into the 2030s.