Transportation Infrastructure Finance and Innovation Act (TIFIA) Program
Federal Agency
Sub-Department
Build America Bureau
Purpose
To provide credit assistance for qualified projects of regional and national significance, filling market gaps and leveraging substantial private co-investment through supplemental, subordinate investment in critical improvements to the nation's transportation system.
Applicant and/or Project Eligibility Requirements
Eligible applicants include state governments, state infrastructure banks, private firms, special authorities, local governments, and transportation improvement districts. Projects must have a minimum anticipated cost of $10-50 million (depending on project type) and a dedicated loan repayment source.
Decarbonization Considerations
Eligible programs include Intelligent Transportation Systems, Intermodal Connectors, Transit Vehicles and Facilities, Intercity Buses and Facilities, Transit Oriented Development, and more.
Equity Considerations
See the "Equity Design Considerations for Federal Funding" for general considerations and additional sector-based resources: https://cityrenewables.org/resources/equity-design-considerations-for-federal-funding/
Helpful Tips
TIFA intends to facilitate projects with significant public benefits, encourage new revenue streams and private participation, fill capital market gaps for secondary/subordinate capital, and limit Federal exposure by relying on market discipline. The granter intends to be a flexible, "patient" investor willing to take on investor concerns about investment horizon, liquidity, predictability and risk.
Other Notes
Smaller projects can apply through the streamlined "TIFIA Lite" program. For this: Borrower should be (1) a public or publicly-sponsored entity; (2) experienced with debt financing, such as prior TIFIA, RRIF, or commercial loans; and (3) willing to accept the terms of the standard TIFIA loan agreement template with little to no negotiation. Projects should be (1) shovel-ready with all permits and licensing completed; (2) given an investment grade rating from a nationally-recognized agency; and (3) posess a loan repayment source in the form of a general obligation pledge, dedicated tax revenue pledge, or government appropriations.