Eight nonprofits to administer $20 billion in federal climate funds
Eight nonprofit institutions will administer $20 billion in federal funds designated for combating climate change and reducing pollution.
The Biden administration had previously announced that these funds from the Democrats’ 2022 climate, tax and healthcare bill, would be administered by a mix of large national and smaller local institutions.
But it was unclear which entities would be in charge or how many of them would do it.
The eight selected institutions are expected to be formally announced Thursday by Vice President Kamala Harris and EPA Administrator Michael Regan.
The institutions are: Climate United Fund, Coalition for Green Capital, Power Forward Communities, Opportunity Finance Network, Inclusiv, Justice Climate Fund, Appalachian Community Capital and Native CDFI Network.
“The grantees announced today will help ensure that families, small businesses, and community leaders have access to the capital they need to make climate and clean energy projects a reality in their neighborhoods,” Harris said in a written statement.
The organizations have helped thousands of people, businesses and community groups get access to funding for climate-friendly projects, the Biden administration said in a press release.
It added that the federal capital will allow tens of thousands more projects to be built.
The federal money has been scrutinized by Republicans, who criticized it as a “slush fund” and proposed to repeal it. If Republicans win back both chambers of Congress and the White House, they could try to repeal it — though that may be more difficult if it is already distributed to outside groups.
On the other hand, environmental groups have described the money as a significant way to bolster climate action around the country.
“This is an unprecedented investment in climate action and in communities,” said Adam Kent, director of blended and inclusive finance at the Natural Resources Defense Council.