ESG – A Trend Destined to Impact Government Contracting
Industry leaders, investors, regulators, rating agencies, and governmental entities are all watching a strong trend that will likely become a competitive factor in government contracting in the future. The significance of the trend’s impact cannot yet be calculated, but it could be substantial.
Environmental, Social, and Governance (ESG) has been a topic of discussion at the corporate level of many large firms for a number of years. Investment groups also are discussing the various components of ESG, and many are seeking investment opportunities for projects that have high ESG metrics. Although no standardized way exists to measure ESG, companies that can point to initiatives and/or policies related to ESG often tout this in annual reports. Morningstar, Bloomberg, and MSCI use their own metrics to report on ESG ratings.
$500 Million Now Available For Pre-Disaster Mitigation Projects
Climate change and the need for mitigation efforts for disaster control have resulted in more federal funding available for public entities throughout the U.S.
The Federal Emergency Management Agency (FEMA) soon will distribute up to $500 million from a new Building Resilient Infrastructure and Communities (BRIC) grant program for pre-disaster mitigation projects. The funding is available for public officials at the state and local levels of government.
Transit authorities to launch major new initiatives in coming years
Contractors should pay attention to sustainability and expansion initiatives coming down the line to position themselves to take advantage of opportunities. As the Biden Administration begins to address climate change, transit authorities throughout the country will benefit from funding.
Clean air is a major component of sustainability, so increased funding will flow to public transit authorities in an effort to reduce the number of automobiles on roadways. Major initiatives at the local levels of government will provide hundreds of contracting opportunities as public officials attempt to make public transportation more convenient, economical and attractive.
New transportation funding trends are worthy of note
Transportation leaders have hoped for years that Congress would pass an infrastructure bill, but chances for billion-dollar infusions of cash don’t seem likely. Now, there are pilot programs and studies on ways to generate revenue, and there’s evidence of a major trend that’s developing.
Transportation infrastructure will be a high priority throughout the country in 2021. Many large projects have already been announced, and others are anticipated. However, there are significant indications that a major change is emerging in how transportation-related projects will be funded in the future.
Major Water Infrastructure Projects Available Throughout The U.S.
Billions of dollars are spent each year to renew, replace, expand, or upgrade water systems. The need to do more, and spend more, increases each year. That’s because the country’s aging water infrastructure has been neglected for too long.
Ports rebounding from pandemic offer large contracts
The Port of Galveston has announced a bulkhead replacement and mooring upgrade project which has an estimated cost of $17.3 million. In 2023, a slip-fill project has a projected cost of $16.1 million. Another project at Pelican Island in 2023 has a cost estimate of $21.2 million, and an auto processing berth project has a price tag of $30 million.
Ports Rebounding From Pandemic Plan Major Infrastructure Investments
Ports throughout the country have seen a surge in imports over the last several years, and many of them – undaunted by the pandemic – are launching projects that require private-sector partners. These upcoming contracting opportunities show the possibilities for infrastructure construction companies.
