On March 1, the U.S. Environmental Protection Agency (EPA) announced the first phase of the new $5 billion Climate Pollution Reduction Grants (CPRG) Program. Established in the Inflation Reduction Act, the CPRG Program will award funds to state and local governments to develop and implement climate action plans to reduce greenhouse gas emissions. Split into two phases, EPA will first award $250 million in planning grants, which will be distributed via formula, and then award $4.6 billion in implementation grants, which will be distributed competitively. Counties located within one of the 67 most populous metropolitan statistical areas (MSAs) in the country are eligible to receive a $1 million planning grant, if they apply alongside the other local governments and public entities within their MSA. To receive their allocation, counties and their fellow applicants must submit their notice of intent to participate (NOIP) in the CPRG Program by April 28.

Phase I: Planning Grants

Under Phase I, EPA will directly award $1 million to each of the 67 most populous MSAs in the country to develop, update or evaluate a program to reduce greenhouse gas emissions in their region. Local governments within these MSAs will need to work to together on these programs and designate an appropriate entity to serve as the lead. The lead organization for an MSA must submit a NOIP by April 28 and an application, including a workplan and budget, for the planning grant, by May 31.

Phase II: Implementation Grants

Under Phase II, EPA will award $4.6 billion in competitive grants to implement the plans developed in Phase I. Entities eligible to apply for these funds include those who received funds under Phase I or covered under a plan developed under a Phase I planning grant. EPA will publish a notice of funding opportunity (NOFO) for these grants later this year.

Environmental stewardship is a primary function of county governments to ensure healthy, safe and vibrant communities for residents. Counties have urged the federal government to provide financial and technical assistance to local governments to help develop and implement local climate change adaptation and mitigation plans and welcome the announcement of the CPRG program.

Additional Resources

• NACo Webinar on March 16 at 3:00pm ET: The Climate Pollution Reduction Grants Program: How Local Governments Can Work Together in Phase I