Home
logo
Fairfax Businesses Primed to Win Big Cut of the $1.2 Trillion Infrastructure Plan

Fairfax Businesses Primed to Win Big Cut of the $1.2 Trillion Infrastructure Plan

Published on Wed Apr 27 2022 09:52:37 GMT+0000 (Coordinated Universal Time)

New Biden Guidance a Boon for Local Service and Manufacturing Industries


On April 18, the Biden administration directed federal agencies to ensure that all infrastructure projects funded through the $1.2 Trillion Infrastructure Bill of November 2021 will be made with US materials.

Though waivers are permitted in certain circumstances (e.g. quantities of the materials aren't sufficient and reasonably available or of satisfactory quality or the U.S. sourced materials would raise the cost of a project by more than 25%) the new directive is intended to help national manufacturers. Federal agencies must make sure that by mid-May any projects to build or repair roads, bridges, water pipes or even broadband internet are done via domestic contracts, including iron and steel. This is good news for large local firms like General Dynamics, Leidos, and Northrop Grumman.

Practically speaking, there are many industries in Virginia that will be aided by this new directive. While the driving forces behind Fairfax County's economy are the technology and financial sectors, service-based firms - of which the county boasts thousands - are in prime positions to obtain government contracts. The new infrastructure law also provides positive opportunities for anyone in the supply chain; from suppliers and manufacturers, to federal contracting and consulting.

Congresswoman Wexton, who represents Northern Virginia, shared that Virginia is expected to receive $7 billion for highway programs, $537 million for bridge replacement and repairs, and $1.2 billion to improve public transportation. Only time will tell how local companies will use the funding to address Virginia's 577 bridges and 2,124 miles of highway in poor condition. This is sorely needed, as a recent Biden Administration report found that commute times have increased by 7.7% in Virginia since 2011. Additionally, each driver in Virginia pays approximately $517 per year in costs due to driving on roads in need of repair. Let's hope the fruit of this push for the repair and expansion of infrastructure will show its improvement in our wallets by 2023!

© 2021 The Washington Correspondent. All rights reserved.