Guidebook: Ocean Climate Funding for Coastal Cities

Continuing the work: Federal support offers a window of opportunity for coastal cities

After years of advocacy by the ocean community, the federal government meaningfully invested in ocean climate action, including through passage of the Inflation Reduction Act (IRA) in 2022 and the Infrastructure Investment and Jobs Act (IIJA) in 2021.¹ When President Biden signed the IRA into law one year ago, it became the single biggest investment in climate solutions in U.S. history to boost clean energy, protect, restore ecosystems, and create climate-ready infrastructure. This builds upon the progress started with the IIJA, which authorized $1.2 trillion in infrastructure spending and has awarded funding to nearly 37,000 projects throughout the nation at the time of publication. 

These historic investments are continuing to provide funding for coastal cities along the Great Lakes and ocean to adapt to the climate-induced threats they face.² Urban Ocean Lab has identified over $21.7 billion in funds that cities are eligible to use in implementing ocean climate action projects, $11 billion allocated from the IRA and $10.7 billion allocated from the IIJA. Cities and other coastal project managers must act quickly to identify and apply for applicable project funding as many federal programs have already started awarding funds to applicants. This guidebook is intended to be a concise directory to assist cities in accessing the remaining and ongoing funding opportunities afforded for ocean climate projects in these two laws.  

Where to act: Funding opportunities by ocean climate action area

Collectively, the IIJA and the IRA provide coastal cities throughout the country with unprecedented opportunities to adapt and become part of the solution to the climate crisis. This guidebook organizes opportunities that cities are eligible for into four categories of action: coastal resilience and disaster risk reduction, climate-ready coastal infrastructure, coastal ecosystems, and the blue economy and workforce.³

To build resilience in coastal communities, funding opportunities in this action area support adaptation efforts that advance environmental and climate justice initiatives, improve place-based climate models that help communicate extreme weather and climate events, reduce or eliminate the risk of repetitive flood damage to buildings, and develop mitigation and restoration projects to reduce the risks from extreme heat, air pollution and natural disasters. As a result of historically discriminatory policies like redlining, frontline and ocean justice communities experience the “first and worst” of many environmental impacts, which are only made worse by climate change. Coastal cities should consider how to equitably and justly adapt to existing and forecast coastal climate threats. 

Coastal infrastructure refers to the physical systems and structures that are specific or unique to the coast or at heightened risk due to coastal impacts of climate change. In the next 30 years, 4.4 million acres of land in the U.S. (an area roughly the size of Connecticut) and $35 billion of real estate could be submerged because of rising sea levels and increased storm surge. Coastal cities can adapt and build more resilient infrastructure to withstand the impacts of climate change and support healthier communities and ecosystems. This action area includes funding opportunities that reduce emissions of greenhouse gasses and hazardous pollutants at ports, support electric or low-emitting ferry vessels, address adverse impacts on coastal communities and ecosystems caused by stormwater run-off, provide affordable access to public coastal spaces, research and develop wind energy technologies, and implement desalination, water reclamation, and reuse projects to prepare for drought conditions and climate change.

Coastal ecosystems are a diverse set of natural ecosystems and include salt marshes, mangroves, seagrass meadows, kelp forests, oyster reefs, and coral reefs. They provide natural shoreline protection,enhance food security, and support coastal economies, all while absorbing tons of carbon. This action area includes funding opportunities for projects that support climate-ready fisheries; remove or modify barriers to fish passages; restore natural systems through nature-based solutions and community resilience projects; and conserve marine, estuarine, coastal, and Great Lakes ecosystem habitats.

The blue economy and workforce action area refers to programs that promote economic growth, create good accessible jobs, and preserve or improve the livelihoods of people living in coastal cities while ensuring environmental sustainability of the ocean and coastal areas. It can be applied to any industries and economic pursuits on or adjacent to the ocean and Great Lakes. This action area includes funding opportunities for projects that support small businesses and entrepreneurs aligned with ocean climate resilience projects by developing workforce training programs and creating maritime jobs.

Notes

¹ The Infrastructure Investment and Jobs Act, Public Law 117-58, is sometimes also referred to as the Bipartisan Infrastructure Law.

² Authors included Great Lakes communities in the definition of "coastal communities" but individual federal program details for funding opportunity eligibility should be reviewed.

³ This coastal city-centered guidebook only included programs that cities are eligible to apply for or to apply for in partnership. Several programs included are open to many entities including cities, and therefore other entities may also find value in this guidebook.

Assets

Appendix

Additional resources for reference outside of the coastal city-centered climate scope of this guidebook. 

Primary Sources

1. U.S. Department of Health and Human Services, “Grants.gov”, An E-Government initiative to provide a centralized location for grant seekers to find and apply for federal funding opportunities, register to receive grant notices, and download funding opportunity notices (last accessed July 2023).

2. United States Library of Congress, “H.R.3684 - Infrastructure Investment and Jobs Act,” (2022): Full text of the IIJA. 

3. United States Library of Congress, “H.R.5376 - Inflation Reduction Act of 2022,” (2022): Full text of the IRA.

4. White House, “Announced Infrastructure Funding as of May 26, 2023,” (2023): IIJA funding announced per state by category.

5. White House, “Bipartisan Infrastructure Law Guidebook,” (2023): Official guidebook of all IIJA programs and activities.

6. White House, “Inflation Reduction Act Guidebook,” (2023): Official guidebook of all IRA programs and activities.

7. White House, “White House Highlights Infrastructure Progress in Every Corner of the Country, Updates State-by-State Fact Sheets,” (2023): State-by-state fact sheets on IIJA progress in all 50 states, DC, and the territories as of January 13, 2023.

Selected Auxiliary Sources

1. Bloomberg Cities Network, “What are the best sources of funding for planning projects aimed at fulfilling NEPA environmental review requirements, outreach, or design? How should cities think about applying for IIJA funding if they will be applying for larger grants in the future?” (2022): Instructions on how municipalities should use IIJA funding to advance local infrastructure needs, both within and outside of the climate sector.

2. Brookings, “How state and local leaders can harness new infrastructure funding to build a stronger, more inclusive workforce,” (2023): Guide to help state and local leaders use IIJA funding specifically for workforce development activities, both within and outside of the climate sector.

3. C40 Knowledge Hub, “Climate action and the Inflation Reduction Act: A guide for local government leaders,” (2022): Guidebook to help local governments understand the climate provisions included in the IRA.

4. Center for American Progress, “How States and Cities Can Benefit From Climate Investments in the Inflation Reduction Act,” (2022): Overview of how cities and states can use IRA funding opportunities to advance climate and energy initiatives.

5. Rocky Mountain Institute, “Supporting Local Governments as Climate Change Threatens Their Communities,” (2023): How cities and states can identify and leverage IRA and IIJA funds to invest in resiliency projects.

6. Sabin Center, "Inflation Reduction Act Tracker," (2023): Tracker of climate change-related funding in IRA for all entities.

7. The United States Conference of Mayors, “Cities Advancing Climate Action: Leveraging Federal Funds for Local Impact A Resource Guide,” (2022): Guide for mayors and local leaders to identify IIJA funding programs that will help cities reach their climate goals.

8. The United States Conference of Mayors, “Infrastructure Investment & Jobs Act: A Federal Investment Guide for Local Leaders,” (2021): Guide for local leaders that identifies all funding opportunities for cities in the IIJA. 

9. World Resources Institute, “Understanding How Cities Can Take Advantage of IRA Grants, New IRS Provisions and Direct Pay Models to Advance Communitywide Clean Energy Projects,” (2022): Webinar for cities and local governments on climate and energy funding opportunities in the IRA. 

Acknowledgments

Thank you to Sarah Guy, Director of Strategy and Outreach at Ocean Defense Initiative, and Amy Turner, Director of the Cities Climate Law Initiative at the Sabin Center for Climate Change Law at Columbia Law School, for reviewing this report. 

Authors

Alexandra Carter, Policy Director
Isabel Jamerson, Research Fellow

Designer

Shangtong Li, Research Fellow