SIFIA Act

This bill creates a new federal tax-credit bond program to help build and modernize public school buildings. School districts can partner with qualified private developers to design and deliver schools that are expected to be net‑zero energy. Investors receive federal tax credits in place of traditional interest, with rates set so districts can borrow at little or no interest cost. At the end of the agreement, the developer must transfer the buildings to the district at no extra cost .

The program is capped at $10 billion total, with up to $2.5 billion available each year and $1 billion of the total reserved for rural areas. The federal government will hand out this bonding authority on a first‑come, first‑served basis, with limits per district and for charter/nonprofit‑run facilities. Projects must begin within 6 months and spend the funds within 6 years. Preference goes to small, minority‑, and women‑owned developers. Developers must show experience with net‑zero school projects and report on costs, savings to districts, and any changes in student performance or teacher retention. Bonds must be issued before January 1, 2031 .

• Who is affected: Public school districts and students; rural communities; experienced private developers; and bond investors .
• What changes: New “SIFIA” tax‑credit bonds for school construction/renovation; net‑zero energy expectations; transfer of buildings to districts; first‑come allocation with caps and rural set‑aside; reporting on costs and outcomes .
• When: Bonds must be issued by the end of 2030; projects must start within 6 months and finish spending within 6 years .