IMPACT Act 2.0

Mar 14, 2025
Mar 14, 2025

Summary

Helps states use cleaner cement and asphalt for road projects by giving them money and support to lower pollution from making these materials.

What problem does this solve?

Making materials like cement and asphalt for roads creates significant air pollution. This bill helps solve the problem by giving states money and support to use cleaner, low-emission versions for highway projects.

What does this bill do?

Establishes grants for low-emission materials
Creates a program to give states money to cover the extra cost of using low-emission cement and asphalt in highway projects. It also provides a 2% incentive for using these materials.
Allows states to buy innovative materials in advance
Lets states use federal funds for multi-year contracts to buy specific amounts of new, low-emission materials at a set price. This helps guarantee a market for companies making cleaner products.
Creates a public list of approved clean materials
Directs the Federal Highway Administration to create and maintain a public list of approved low-emission construction materials that states can use for their projects.
Provides technical help to states
Offers states help to update their standards to allow for new, performance-based materials and to measure the pollution created when making these materials.
Authorizes $15 million in funding
Approves $15 million for the grant program for the years 2025 through 2027 to help states adopt low-emission materials.

Who does this affect?

  • State transportation departments
  • Cement, concrete, and asphalt producers
  • Road construction companies

What is the real world impact?

Reduces pollution from road construction
Encourages the use of new, cleaner types of cement and asphalt for building roads. This helps lower the greenhouse gas emissions that come from making these common construction materials.
Spurs innovation in construction materials
Creates a market for new, environmentally friendly construction products. By allowing states to promise to buy these materials in advance, it gives companies a reason to invest in developing them.
Could be seen as a limited subsidy
Provides financial incentives and reimbursements to states, which may be viewed as a government subsidy for the cement and asphalt industries. The total funding of $15 million is small for the entire country, potentially limiting its overall impact.

When does this start?

The rules in this bill would start as soon as it becomes law, but it sets specific deadlines for certain actions.
Grant funding period
The $15 million in funding for state grants is available from fiscal year 2025 through 2027.
Deadline for creating material submission process
Within 180 days of the bill becoming law, a process must be created for states to submit new low-emission materials for the public directory.
Deadline for application review
After a state applies to have a material listed in the public directory, a decision to approve or deny it must be made within 180 days.