4 Federal Funding Insights to Consider in 2023

In late 2022, Gordian partnered with GovExec to survey 200 state, local and K-12 leaders and find out their most critical needs given the waves of new federal funding available to them. Following the survey, Gordian and GovExec hosted a webinar to discuss the barriers of successfully utilizing federal funds and some impactful procurement uses of these funds. In case you weren’t able to join, check out these four key insights that can help you navigate the federal funding landscape in 2023.

1. Lack of Adequate Information is Preventing Spending

One of the biggest barriers that state, local and K-12 leaders face when accessing federal funding and state grants is a lack of information. Because of this, they sometimes miss opportunities to address vital facilities and infrastructure needs. Nearly half of the leaders reported being unsure of what projects would qualify for funding, while 43% reported being unsure how to comply with regulations. Other common reasons preventing use of funding are lack of awareness of available funds, lack of resources to manage funds, and lack of information on how state grants work.

Report - Page 7 Graph

2. New Federal Funding Opportunities May Offer More Flexibility Than You Might Think

While there can be many complexities to accessing federal funds, there are recent options that offer greater flexibility than others.

The Coronavirus State and Local Fiscal Recovery Funds (SLFRF) program, a part of the American Rescue Plan, is one source of flexible funds allotted to state and local governments to support their ongoing recovery from the COVID-19 crisis. This includes $350 billion supporting state and county agencies, metropolitan cities, smaller municipalities and tribal governments. For added flexibility, entities eligible for SLFRF funding can also reclaim up to $10 million in lost tax revenues that can be reprogramed for a multitude of expenditures including capital improvement projects.

Watch the webinar to find out more about federal funding opportunities.

3. Communities Are Prioritizing the Next Generation

When considering which needs to address first, many communities are prioritizing improving conditions for the next generation of Americans. If we look at how much leaders report federal or state funding might help them, infrastructure and aging facilities are at the top of the list:

Report - Page 9 Graph

More specific issues like clean water access, housing affordability and behavioral and mental health are also at the forefront of concerns many local leaders face.

4. Gordian Understands That Readiness is Crucial

When it comes to accessing federal funds, complex guidelines may be hard for many teams to navigate, especially under tight timelines. When asked why leaders are having trouble utilizing federal funding, lack of resources to manage funds is high on the list. Simply put, state, local and K-12 leaders need to build more capacity.

One solution is to partner with a trusted organization that understands the urgency of and complexity of using federal funds. A partner like Gordian that can help you understand regulations, keep track of deadlines and accelerate the projects that matter most in your community.

About Gordian

Gordian is the leader in facility and construction cost data, software and services for all phases of the building lifecycle. A pioneer of Job Order Contracting, Gordian’s solutions also include proprietary RSMeans data construction costs and Facility Intelligence Solutions. From planning to design, to procurement, construction and operations, Gordian’s solutions help clients maximize efficiency, optimize cost savings and increase building quality.