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    State Future Funds

    Jumpstarting Investments in Low-Carbon and

    Resilient Energy and Transportation Infrastructure

    By Cathleen Kelly June 2015

      WWW.AMERICANPROGRESS.O

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    State Future FundsJumpstarting Investments in Low-Carbon and

    Resilient Energy and Transportation Infrastructure

    By Cathleen Kelly June 2015

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      1 Introduction and summary

      5 Poor air quality and climate change

    put Americans’ health at risk 

      8 Extreme weather effects

     11 Community resilience to climate change

    and other shocks

     13 Building reliable electricity and transit systems

     17 Recommendations: A strategy to support

    a low-carbon and prosperous future for all

     19 Blueprint for the creation and implementation

    of State Future Funds

      23 Conclusion

      25 Endnotes

    Contents

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    Introduction and summary

     Ask 50 governors or 100 mayors or 1,000 ciy council members o name heir big-

    ges challenges in serving heir consiuens and i’s a sae be ha a lack o money

     will op he lis. Across he counry, sae and local leaders ace budge shoralls

    ha, in some cases, are prevening hem rom accomplishing even he mos basic

    asks, rom repairing roads, o raining firs responders, adequaely mainaining

    schools, and providing criical social services.

    Te need o upgrade he naion’s inrasrucure looms large. In 2013, he AmericanSociey o Civil Engineers gave America’s aging energy and public ransi inrasruc-

    ure grades o D+ and D, respecively.1 In he naion’s firs-ever Quadrennial Energy

    eview, or QE, released in April 2015, ederal energy expers highligh he

    growing vulnerabiliy o he naion’s elecrical grid o exreme weaher and erroris

    hreas and he need or public and privae invesmen o modernize he counry’s

    energy inrasrucure.2 Te QE auhors asser ha upgrading he U.S. elecrical

    gridincluding grid sorage, ransmission, and power sysem operaionswould

    allow or beter inegraion o renewable energy ino he naional energy mix,

    reduce carbon polluion, help curb climae change, improve air qualiy and public

    healh, and increase he reliabiliy o elecriciy delivery in he ace o more exreme

     weaher. In addiion, increasing he use o microgrids, or localized gridswhich

    can be disconneced rom he radiional grid o operae auonomouslyand he

    use o disribued generaionor power generaed a he poin o usecan help

    communiies keep he lighs on when he larger sysem goes down in a sorm or is

    oherwise disruped.3 Microgrids and disribued generaion ha use renewable

    energy, such as wind and solar, can help o improve energy sysem reliabiliy while

    also reducing carbon polluion and improving air qualiy.4 

    Similarly, expanding public ransi servicesincluding meros and subways, buses,passenger rains, rams, and oher ligh railwould help o provide public ranspor-

    aion opions o he roughly 45 percen o American households ha lack access

    o public ransi and he millions more who are making do wih inadequae ransi

    services.5 Public ransi sysems and bike and walking pahs improve mobiliy,

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     which in urn expands access o jobs. I also increases ransporaion opions ha

    are imporan no only or everyday needs such as raveling o and rom work or

    school, bu are also criical in imes o emergency, paricularly in erms o geting

    people o saey beore exreme weaher his. Moreover, by aking cars off he

    road and reducing raffic congesion, public ransi and bike and pedesrian pahs

    improve air qualiy and public healh.

    For all o he above reasons, sae and local leaders have asked he ederal govern-

    men or a financial and echnical boos o build low-carbon and resilien energy

    and public ransporaion inrasrucure.6 Presiden Barack Obama made a posi-

    ive sep in ha direcion in November 2013 when he esablished he Sae, Local

    and ribal Leaders ask Force on Climae Preparedness and esilience o advise

    he ederal governmen on how o srenghen communiy resilience o exreme

     weaher and climae change.7 In response o is charge, he ask orce has recom-

    mended ederal suppor or planning and invesmens in climae resilien, effi-

    cien, and low-carbon ransporaion and energy sysems.8 Congress could answerhe call o suppor sae and communiy-based preparedness and climae change

    miigaion effors by replicaing exising sae loan programs ha have success-

    ully helped saes preserve he naion’s waers or recreaional use and, since he

    mid 1990s, deliver sae drinking waer or 95 percen o Americans. Tose loan

    programsspecifically, he Clean Waer Sae evolving Fund and he Drinking

     Waer Sae evolving Fundwere creaed and capialized by Congress.9 

    oday, ederal lawmakers can similarly parner wih saes and localiies o address

    pressing energy and ransporaion inrasrucure needs by esablishing wha CAP

    calls Sae Fuure Fundsproposed new revolving loan unds designed o supple-

    men sae and local governmen resources.10 Sae Fuure Funds would help saes

    and localiies cu carbon polluion and improve communiy resilience o exreme

     weaher evens, which are increasing in number and severiy, along wih oher

    associaed shocks.

     As envisioned, Sae Fuure Funds would combine ederal resources wih sae, local,

    and privae secor dollars o expand invesmens in low-carbon and resilien energy

    and ransporaion inrasrucure, including in low-income and ribal communiies.

    Sae Fuure Funds would offer a hos o benefis, including improving public healhand air qualiy, reducing raffic congesion and climae change risks, and increasing

    communiy access o good jobs, schools, and oher valuable oucomes. In addi-

    ion, Sae Fuure Funds would help saes comply wih he U.S. Environmenal

    Proecion Agency’s, or EPA’s, proposed Clean Power Plan, which calls on saes o

    reduce reliance on ossil uels and increase heir use o clean energy.

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    Ideally, Sae Fuure Funds would have he ollowing design eaures:

    • Deploying funds: Sae Fuure Funds would give saes new resources o offer

    low-ineres or ineres-ree loans and o provide loan guaranees in order o sup-

    por low-carbon and resilien energy and ransporaion inrasrucure projecs

    and planning.11

     

    • Developing investment plans designed with meaningful stakeholder engagement: 

    Saes would prepare annual invesmen plans based on meaningul engagemen

     wih local leaders, he public, and sakeholders, including low-income commu-

    niies and ribes.

    • Assisting low-income communities and American Indian tribes: Similar o he

    Sae Drinking Waer Ac, each sae would be required o inves 30 percen o is

    annual Sae Fuure Fund capializaion gran in low-income areas. In addiion,

    each sae would be required o inves 2 percen o is annual Sae Fuure Fundcapializaion gran in American Indian and Alaska Naive villages ha have

    no oherwise received Sae Fuure Fund grans.12 I needed, saes could offer

    low-income communiies longer loan payback periods. Saes could also provide

    echnical and financial assisance o build needed capaciy o suppor low-car-

     bon and resilien ransporaion and energy inrasrucure in low-income areas,

    including energy efficiency improvemens. 13

    • Sharing the cost: Each sae would be required o conribue o is Sae Fuure

    Fund a leas 20 percen o he oal capializaion gran made o he sae.14 

    Saes could use Sae Fuure Funds o suppor a wide range o low-carbon and

    resilien energy and ransporaion projecs. For example, saes could provide

    low-ineres loans or smar grids, disribued renewable energy, microgrids,

    large-scale renewable energy generaion aciliies, and residenial and com-

    mercial energy efficiency programs, including in low-income areas. o provide

    more susainable and resilien ransporaion opions, Sae Fuure Funds could

    provide loans or bus acquisiion o help expand bus service, reduce flood and

    oher exreme weaher risks o exising public ransi sysems, and expand bike

    and pedesrian pahs. Saes could also use Sae Fuure Fund resources o supporlong-erm planning or low-carbon and resilien ransporaion and energy inra-

    srucure and or job raining. Saes could also suppor challenge grans or prizes

    o spark innovaive inrasrucure designs. Addiional Sae Fuure Fund design

    eaures are offered in he repor.

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    Te realiy is ha sae and local governmensand communiiesare on he

    ron lines when i comes o coping wih crumbling and oudaed inrasrucure,

    raffic congesion, air polluion, more exreme weaher driven by climae change,

    and growing inequiies. Congress has he power o provide sae and local offi-

    cials wih a remedy o he pressing on-he-ground challenges hey conron daily.

    Specifically, by creaing Sae Fuure Funds, Congress can suppor sae and localeffors o build low-carbon and resilien inrasrucure, srenghen communiies

    and grow opporuniies or all o prosper.

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    Poor air quality and climate change

    put Americans’ health at risk

     A recen discussion beween Presiden Barack Obama and some o he naion’s

    op healh care proessionals highlighed15 wha expers have long orewarned:16 

    Climae change can lead o more smog, longer allergy seasons, and higher raes

    o exreme weaher-relaed injuries and illnesses, including hea sroke and

    insec-borne diseases. A recen American Toracic Sociey survey revealed ha

    7 ou o 10 docors believe ha increased air polluion due o climae change

    is worsening he severiy o illnesses in heir paiens. Moreover, hose same

    docors expec ha healh risks relaed o air polluionand by exension,climae changewill increase in he uure.17 

    Low-income individuals and people o color are paricularly vulnerable o climae-

    relaed healh hazards. According o an analysis by he Naional Associaion or

    he Advancemen o Colored People, or NAACP, “hea-relaed deahs among

     Arican Americans occur a a 150 o 200 percen greaer rae han or non-

    Hispanic whies. Ashma, which is exacerbaed by polluans, affecs Arican

     Americans a a 36 percen higher rae o incidence han whies.”18

    In he Unied Saes, he elecriciy and ransporaion secors, respecively, are

    he wo larges sources o carbon polluionhe primary driver o global climae

    changeand oher greenhouse gas emissions.19 Tese secors ogeher were

    responsible or 58 percen o oal U.S. greenhouse gas emissions in 2013 and are

    major sources o sulur dioxide and nirogen oxide emissions, which are harm-

    ul o public healh and he environmen.20 Te ransporaion secor also emis

    fine pariculae mater, or PM, along wih volaile organic compounds, or VOCs,

     which also have adverse healh effecs.21 Energy- and ransporaion- secor emis-

    sions are discussed in more deail below.

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    Disaster risks and costs are skyrocketing

     According o he Naional Climae Assessmen, or NCA, climae change is increas-

    ing he rae and inensiy o exreme weaher evens, including hurricanes, heavy

    downpours, drough, and exreme hea.22 Te NCA also concludes ha climae

    change effecssuch as sea level rise, more inense sorm surge, and heavier rainsormsare overwhelming exising and oudaed flood proecions and puting

    communiies, businesses, and inrasrucure a risk.23 Similarly, risk managemen

    expers and insurance indusry leaders have deermined ha he number, srengh,

    and cos o exreme weaher evens has increased and are likely o coninue o do

    so in he uure.24 For example, an analysis by he insurer Swiss e indicaes ha a

    sorm oday causing $19 billion o physical damage and economic loss is considered

    a once-in-70-years occurrence.25 Bu wih climae change aken ino accoun, models

    sugges ha by he 2050s, he probabiliy o a $19 billion even will grow o once

    in every 50 years.26 Swiss e esimaes ha such sorms will cause a whopping $90

     billion o damage in curren dollars by he 2050s.27 

    For his reason, he Governmen Accounabiliy Office, or GAO, lised exreme weaher a he op o is 2015 High

    isk Lis or ederally unded inrasrucure, affordable housing, and oher asses.28

     A recen CAP analysis ound ha over he pas our yearsrom 2011 o 2014

    here were 42 exreme weaher evens ha each caused a leas $1 billion in dam-

    age.29 ogeher, hese disasers killed 1,286 people and riggered $227 billion in

    economic losses across 44 saes.30 

     As experienced during Supersorm Sandy in 2012, more inense sorms can dev-

    asae communiies by damaging homes, businesses, public ransporaion, power

    plans, and oher criical inrasrucure. Te Naional Oceanic and Amospheric

     Adminisraion, or NOAA, esimaed ha he oal propery, inrasrucure,

    and economic aciviy losses caused by Supersorm Sandy were $65 billion.31 

    Furhermore, Supersorm Sandy rebuilding and recovery effors cos he ederal

    governmenand by exension axpayers$50 billion.32 

    Climate change risks are not equally shared

     While all communiies are affeced by exreme weaher evens, in a world o grow-

    ing inequiies, exreme weaher risks are no equally shared.33 ecen exreme

     weaher evens such as Hurricane Karina and Supersorm Sandy reveal ha low-

    income communiies bear he brun o hese naural disasers.34 Sorms easily dam-

    age poorly consruced housing and crumbling inrasrucure, which are common

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    in low-income communiies.35 Environmenal hazards rom power plans, oxic-

     wase sies, and landfills, ofen buil along-side low-income neighborhoods, creae

    added risks or hese communiies during and afer exreme sorms.36 Financial

    insecuriy ha can come in he orm o los wages and oher financial hardships in

    he wake o an exreme weaher can push already sruggling amilies ino povery.37 

     Wih exreme weaher evens on he rise, low-income amilies are a a greaer

    risk han ever beore. According o a 2012 CAP analysis, on average, he counies

    harmed by many o he mos expensive exreme weaher evens in 2011 and 2012

    had a majoriy concenraion o middle-and low-income households.38 Te ypical

    household in counies hi by floods causing more han $1 billion in damage during

    he 2011–2012 imerame earned a median income o $44,547 per yeara sag-

    gering 13 percen below he U.S. median income o $51,371 in 2012.39 

    Low-income communiies are paricularly vulnerable o flooding because hey are

    ofen locaed in low-lying areas and lack he resources o respond o and recoverrom disasers. For insance, nearly 30 percen o low-income neighborhoods in

    New Orleans experienced moderae o heavy damage during Hurricane Karina.40 

    In addiion, only one in five households in New Orleans owned a vehicle o help

    hem evacuae, which compounded he vulnerabiliy o people in low-income

    communiies o Karina’s flood waers.41 

    Similarly, more han one-hird o he people living in he pah o Supersorm

    Sandy resided in governmen-assised housing.42 epors esimaed ha roughly

    hal o New York Ciy’s public housing residenssome 40,000 peoplewere

    displaced rom heir homes, eiher emporarily or permanenly, by Supersorm

    Sandy.43 In he immediae wake o Supersorm Sandy, many oher public housing

    residens ound hemselves sranded in heir dark and cold aparmens, having

    o ge by wihou hea, backup generaors, emergency boilers, or working eleva-

    ors.44 Many were orced o endure hese condiions because hey had no oher

    affordable place o say or lacked a reasonable means o leaving heir neighbor-

    hoods due o he shu-down subway sysem and because hey did no have access

    o oher public ransi or ransporaion opions, among oher reasons.45

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    Extreme weather effects

    Extreme weather makes it harder to keep the lights on

     According o he Quadrennial Energy eview, exreme weaher and climae

    change “is a leading environmenal risk” o elecriciy ransmission, sorage, and

    disribuion sysems.46 In 2012, Supersorm Sandy, or example, caused massive

    power ouages across New York and New Jersey, leaving more han 8.5 mil-

    lion cusomers wihou power.47 Te QE auhors ound ha hisorically, he

    leading causes o grid ouages in he Unied Saes have been weaher relaed.48 

    Te effecs o global climae change are well documened and immediae. Hea

     waves increase cusomer demand or air condiioning, which srains he grid and

    reduces he efficiency o elecriciy ransmission and disribuion.49 Droughs con-

    srain waer supplies needed or hydropower and oher ypes o power generaion

    and or naural gas producion.50 Low waer levels can cu off waer-based rans-

    por roues or energy producs.

    ising sea levels, more exreme sorms, and more inense sorm surges pu a risk

    he roughly 100 power plans, subsaion, and oher elecric aciliies in he con-

    iguous Unied Saes ha are locaed wihin 4 ee o local high ide.51 Te average

    global sea level has already increased 8 inches since 1880.52 Expers expec seas o

    rise as much as an addiional 6 ee by 2100, urher increasing coasal flood risks.53 

     Wildfires can damage ransmission and disribuion inrasrucure and cause

    power ouages.54 In addiion, smoke and fine pariculae mater rom fires can

    cause ransmission lines o shu down “by ionizing he air and creaing an elecri-

    cal pah away rom ransmission lines,” according o expers.55 No surprisingly,

    climae change is increasing wildfire risk acors by jacking up emperaures andlowering he level and occurrence o rain and snowall and oher orms o precipi-

    aion.56 Te average number o large wildfires in he wesern Unied Saes rose

    rom 140 fires in he 1980s o 250 wildfires beween 2000 and 2012.57 

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    Lasly, warmer air emperaures hea up waer in rivers and reservoirs ha are

    needed by power plans or cooling.58 When incoming or ouflowing waer ges

    oo ho, power plans mus reduce producion or shu down emporarily o avoid

    unsae condiions a he plan or violaion o ederal and sae emperaure regula-

    ions o proec local ecosysems.59 

    In addiion o being vulnerable o he effecs o climae change, he elecriciy

    secor is he larges sources o carbon polluion in he Unied Saes. In 2013,

    he elecriciy secor conribued 31 percen o oal U.S. greenhouse gas emis-

    sionshe six gases ha conribue o global climae change, including carbon

    dioxide, mehane, nirous oxide, hydrofluorocarbons, perfluorinaed chemicals,

    and sulur hexafluoride.60 Te majoriy o U.S. elecriciy secor emissions come

    rom he burning o ossil uels such as coal, oil, and naural gas, used o produce

    elecriciy.61 Fossil uel-fired power plans are also responsible or 70 percen o

    he naion’s sulur dioxide emissions and 13 percen o nirogen oxide emissions.62 

    Tese emissions cause smog, acid rain, and visibiliy-reducing haze and are harm-ul o public healh, ecosysems, and wildlie.63 

    Extreme weather is a risk to the transportation sector

    Exreme weaher evens, sorm surge, and sea level rise hreaen he reliabiliy and

    capaciy o U.S. ransporaion sysems, paricularly in coasal areas. In addiion,

    exreme weaher evens can disrup he ransporaion neworks ha people depend

    on daily o ge o work and school and ha businesses rely on o deliver goods and

    services.64 Tese disrupions can cause boh large economic and personal losses.65 

     According o he NCA, he naion’s roads, bridges, railways, pors, airpors,

    ligh rail, subways, and oher ransporaion sysems are increasingly vulnerable

    o he impacs o climae change.66 In 2011, he heavy rains and flood waers o

    Hurricane Irene damaged more han 2,000 roads, 1,000 culvers, 200 bridges, and

    more han 200 miles o railroad in Vermon alone.67 Irene closed airpors rom

    Philadelphia o New York wih an esimaed 11,800 flighs canceled.68 In prepara-

    ion or Irene, New York Ciy shu down is subway sysem, he firs ime in he

    ciy’s hisory ha a weaher even closed he subway.69

     A year laer, in Ocober 2012, Supersorm Sandy hi he norheasern region o he

    Unied Saes. Called he “wors disaser or public ransi sysems” in he naion’s

    hisory by he Hurricane Sandy ebuilding ask Force, Sandy caused a rans-

    poraion nighmare or more han hal o America’s public ransi commuers as

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    subways, commuer rail, and buses ground o a hal.70 Furhermore, major damage

    o ransporaion inrasrucure creaed sorm recovery delays, including seawaer

    seepage a New York Ciy’s Brooklyn-Batery unnel and flooding ha closed eigh

    New York Ciy subway unnels.71 As meropolian New Yorkers sough alernaive

    means o commuing, roads were overwhelmed wih personal vehicles ha creaed

    hours o raffic gridlock.72

     America’s ransporaion secor, in addiion o being highly exposed o climae

    change risks, is a second leading source o U.S. carbon polluion. In 2013, 27 per-

    cen o oal U.S. greenhouse gas emissions came rom he ransporaion secor,

    he majoriy o which is carbon polluion rom burning gas and oil in cars.73 Te

    ransporaion secor is also responsible or 13 percen o he naion’s primary fine

    pariculae mater, or PM, emissions, 59 percen o nirous oxide emissions, and

    46 percen o volaile organic compound, or VOC, emissions.74 

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    Community resilience to

    climate change and other shocks

     As he public healh, saey, and economic risks o climae change accelerae,

    communiies are increasingly recognizing he need o srenghen heir resilience

    o exreme weaher evens and oher shocks such as economic recession. Bu wha

    does communiy resilience acually mean? According o he NCA, a resilien com-

    muniy has “he capabiliy o anicipae, prepare or, respond o, and recover rom

    significan muli-hazard hreas wih minimum damage o social well-being, he

    economy, and he environmen.”75 

    For simpliciy’s sake, some describe resilience as he abiliy o bounce back rom

    shocks. Bu, here is a growing movemen ha defines resilience as more rans-

    ormaional han simply bouncing back or reurning o he saus quo. Tere is

    an increasing amoun o lieraure and analysis ha characerizes resilience as an

    opporuniy or communiies o “bounce orward”ha is o say, become more

    susainable and prepared o mee he challenges and risks o exreme weaher

    and economic opporuniies o he 21s cenury.76 For example, in a 2015 repor

    eniled “Bounce Forward: Urban esilience in he Era o Climae Change,” he

    Kresge Foundaion and Island Press modernize he definiion o urban resil-

    ience based on an exensive lieraure review and inerviews wih expers. Te

    repor defines resilience as, “he capaciy o a communiy o anicipae, plan

    or, and miigae he dangersand seize he opporuniiesassociaed wih

    environmenal and social change.”77 In oher words, resilience is more han jus

     wihsanding sresses; i also includes he capaciy o hrive under new circum-

    sances as global emperaures rise.

    In realiy, resilience is possible over he long erm only i sociey reduces green-

    house gas emissions and avoids he wors impacs o climae change.78 In addiion,

    here is rising recogniion ha, in a world o growing inequaliy and dispropor-ionaely high climae change risks in low-income areas, equiy is crucial o build-

    ing resilien communiies.79 Island Press and he Kresge Foundaion asser:

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     In an increasingly unequal world, he affluen are well-posiioned o seize he

    opporuniies ha come wih change and shield hemselves om harm, while

    he disadvanaged and marginalized ace disproporionae risks. Tese dynam-

    ics are sel-perpeuaing: he affluen consolidae heir gains while he poor all

     arher behind. Equiy, hen is cenral o resilience.80

    For hese reasons, here is a growing number o ciies, communiy advocaes,

    and expers who see resilien communiies as hose ha no only plan or

    changes ha are already under way or anicipaed, bu also reduce carbon pollu-

    ion as a way o curb anicipaed climae change risks. A he same ime commu-

    niies work o reduce emissions, hey can simulaneously osering greaer social

    cohesion, equiy, and inclusion.81 

    ake he example o New York Ciy. ecognizing ha resilience, equiy, curbing

    climae change, and susainable developmen are he building blocks o a livable

    ciy, Mayor Bill de Blasio recenly renamed and updaed he ciy’s susainabiliyand resilience plan. Now called OneNYCpreviously named PlaNYChe

    plan includes he goal o lif 800,000 New Yorkers ou o povery by 2050 and

    reduce premaure moraliy raes by 25 percen, alongside he ciy ’s greenhouse

    gas reducion and susainabiliy arges.82 OneNYC aims o make New York Ciy

    more equiable, resilien, and susainable or all ciy residens.

     Across he counry, similarly orward-hinking local governmens are working

    o reduce exreme weaher risks in low-income communiies while increasing

    living sandards in hose communiies. Washingon, D.C., and Porland, Oregon,

    have made equiy core principles in heir climae preparedness plans.83 By build-

    ing relaionships wih communiy-based organizaions, officials in boh ciies are

    engaging residens in he planning process. Similar effors are underway in Seatle,

    San Francisco, and Oakland, Caliornia.84 By meaningully engaging communiy

    advocaes, residens, and ohers sakeholders in he planning process, ciy leaders

    can build rus and ensure ha heir resilience plans adequaely address he real

    risks and challenges acing communiies.

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    Building reliable electricity

    and transit systems

    Low-carbon energy system resilience

    Given ha he elecriciy secor is highly vulnerable o exreme weaher evens

    and is he leading sources o carbon polluion in he Unied Saes, sae and

    local leaders have idenified a hos o sraegies o srenghen energy sysem

    resilience, including developing cleanly sourced, disribued microgrids.85 

    Similarly, he QE recommends ha governmens and he privae secor inves

    in improving he reliabiliy o he naion’s energy inrasrucure. For example,he QE auhors sugges more suppor or efficien energy use, rapid adopion

    o renewable energy, clean energy sorage, disribued generaion, and smar

    grid and long-disance elecriciy ransmission echnologies ha would make

    elecriciy delivery more reliable and cu carbon polluion.

    Supersorm Sandy revealed several powerul lessons or increasing elecriciy

    secor resilience. Te Co-op Ciy housing complex in he Bronx neighborhood o

    New York Ciy, or example, mainained power during Supersorm Sandy because

    i is equipped wih a microgrid ha disconneced emporarily rom he cenralized

    power sysem.86 Likewise, he majoriy o New York Universiy’s buildings a is

    downown Manhatan campus kep power during he sorm due o reliance on a

    combined hea and power sysem, which allowed he campus o disconnec rom

    he grid and produce is own elecriciy. Because i mainained power, he NYU

    campus served as an emergency command pos or New York Ciy officials and an

    emergency service cener or local residens in he wake o he sorm.87 

    Te need o improve he reliabiliy o he counry’s energy inrasrucure was urher

    highlighed in a 2014 analysis rom he Union o Concerned Scieniss, which noed:

    Renewable echnologies like wind urbines and roofop solar panels are small,

    disribued, and ofen weaher sorms and hea waves beter han convenional

     power plans. I individual urbines or solar panels are damaged, he impac

    on he grid is ar less han i a large coal or nuclear plan goes off-line …

    Unlike convenion power plans, wind urbines and solar panels do no require

    waer o produce elecriciy.88

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    Moreover, improving he energy efficiency o buildings and homes can make

    hem more habiable during power ouages, allowing residens o sheler in place

    during exreme weaher evens.89 By reducing elecriciy demand rom homes and

     businesses, energy efficiency improvemens can reduce energy demand and he

    need o build ou capaciy, in addiion o he added benefi o diminishing carbon

    polluion and oher harmul emissions.90

    In he afermah o Supersorm Sandy, New York Ciy is increasing he resilience

    o is power secor by expanding disribued generaion, microgrids, and building

    efficiency.91 Ciy officials are also working wih uiliies and regulaors o imple-

    men smar-grid echnologies o enable real-ime assessmens o sysem ouages

    ha consumers and uiliies can use o reduce peak and oal demand.92

     Washingon, D.C.’s, susainabiliy and resilience plan aims o improve he reliabil-

    iy o he ciy’s elecriciy sysem and cu carbon polluion by building 1,000 addi-

    ional residenial and commercial renewable energy projecs by 2032.93 Te ciyis also developing a plan or a rollou o smar meers and smar-grid echnologies

    ha would allow consumers and uiliies o beter undersand and manage energy

    use and reduce power ouage duraion and cos.94 

    By helping proec agains power ouages, microgrids can improve he reliabiliy o

    oher sysems ha need energy o uncion. For example, NJ ransi, New Jersey’s

    public ransporaion sysem, was awarded $1.3 billion in 2014 rom he Federal

    ransi Adminisraion o prepare inrasrucure or more exreme weaher

    evens.95 Te money will be used or five projecs, including NJ RNSIGID, a

    microgrid ha will generae and supply power o key sae ransi corridors in case

    he radiional grid ails.96 Power or he microgrid will be supplied by a variey o

    echnologies, including renewable energy and disribued generaion.97 

    Expanding he use o renewable energy, energy efficiency, smar-grid echnolo-

    gies, and energy sorage sysemsin addiion o srenghening he resilience

    o he naion’s elecriciy secoralso helps cu carbon polluion by reducing

    reliance on ossil uels. In 2012, energy-relaed carbon emissions dropped o an

    18-year low in he Unied Saes.98 Sudies indicaed ha wind and solar energy

     were responsible or 31 percen o hese reducions.99

     

    Forunaely, he cos o low-carbon energy, such as solar and wind power, is plum-

    meing. For example, in 42 o he naion’s 50 bigges ciies, roofop solar phoovol-

    aic energy sysems are cheaper han power rom local uiliies.100 Te wind energy

    secor is also experiencing a period o declining coss and increasing deploymen.101 

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    Tese dramaic price drops or solar and wind energy creae opporuniies or

    households and communiies o produce heir own energy while reducing carbon

    polluion in he process. While beneficial or all, he opporuniy o insall solar

    panels and ake advanage o heir lower energy coss may be paricularly atrac-

    ive o low-income amilieswho spend up o 30 percen o heir annual monhly

    income on energy bills.102

    By upgrading he power grid, he ederal and local governmens and he privae

    secor can increase flexibiliy o beter inegrae renewable energy sources, expand

    ransmission capaciy and energy sorage, and increase he reliabiliy o he

    elecriciy sysem. Similarly, invesmens in smar meers and demand-response

    programs, microgrids, and energy efficiency upgrades can improve energy sysem

    resilience. All o hese sraegies offer he added benefis o helping o lower

    energy expenses or consumers, improve air qualiy, curb climae change, and

    drive down healh care coss over he long erm.103

    A low-carbon resilience strategy for public transit

    Sae and local leaders are increasingly recognizing ha expanding public rans-

    poraion, such as buses, subways, and ligh rail, is an imporan sraegy o pro-

     vide communiies crucial access o saey beore exreme weaher srikes, while

    also increasing daily mobiliy, curbing climae change and raffic congesion, and

    improving air qualiy. In he wake o Supersorm Sandy, or example, he NYS 2100

    Commissionesablished by Gov. Andrew Cuomo (D) o ideniy inrasrucure

    resilience sraegiesrecommended srenghening and expanding exising public

    ransi sysems and building a bus rapid ransi nework o give people sae and

    affordable opions beore exreme weaher evens.104 Similarly, ormer New York

    Ciy Mayor Michael Bloomberg’s ciy resilience plan called or he expansion o bus

    service and bike and pedesrian pahs o increase conneciviy beween ranspora-

    ion hubs and o give commuers more opions during subway ouages. 105 In 2008,

    New York Ciy began insalling elevaed sidewalk graes along Hillside Avenue in

    Queens, a high flood risk area, o preven sil and waer rom washing across side-

     walks during floods and flowing ino he subway sysem.106

    Te building o new biking and walking pahs are also par o Washingon’s susain-

    abiliy plan. Te plan calls or he expansion o he Capial Bikeshare programa

     bike sharing service ha is owned by he local governmen and operaed by a

    public-privae parnershipin order o give commuers more ransporaion

    opions, including when pars o he ransi sysem are closed due o exreme

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     weaher. Washingon’s susainabiliy plan also aims o reduce flood and oher risks

    o he exising ransi sysem.107 Meanwhile, Alanic Ciy, New Jersey, convered

    is 190-vehicle flee o buses o run on compressed naural gas, or CNG, and

     buil a public CNG ueling saion. During Supersorm Sandy, he ueling saion

    remained open, and he ciy’s buses were used o evacuae elderly and disabled

    residens, ranspor paiens o medical services, and gaher emergency goods.108

     

    In addiion o exreme weaher risks, many communiies are challenged by he

    ac ha much o he naion’s affordable housing is no linked o he ranspora-

    ion opions ha amilies need o access good jobs, schools, resh ood, and oher

    ameniies.109 Increasing ederal resources or public ransi invesmens would

    empower local leaders o build a 21s cenury ransporaion sysem ha provides

    all residens wih high-qualiy and affordable mobiliy opions, while reducing

    raffic congesion, improving air qualiy, and curbing climae change.

    Even wih subsanial gaps in he naion’s public ransporaion services, exisingpublic ransi offers millions o low-income residens’ access o jobs, educaion,

    and healh care, among oher services.110 A 2007 naional survey by he American

    Public ransporaion Associaion revealed ha 35 percen o all ransi riders had

    household incomes in 2004 ha were roughly hal he naional median household

    income o $44,389 or less, in 2004 dollars.111 In addiion, he survey ound ha 65

    percen o all ransi riders have incomes o less han $49,999, or slighly higher

    han he median income.112 

    In New Orleans, ciy officials plan o add six biodiesel buses o he exising bus

    sysem and increase sreecar roues.113 Te aim is o expand access o goods and

    services or residens, as well as provide cheaper and more efficien ransi opions.

    In addiion o increasing mobiliy, public ransi reduces he number o cars on

    he road, improves air qualiy, and helps o lower raes o ashma, lung disease,

    lung cancer, and moraliy associaed wih ailpipe polluion.114 According o

    he American Public ransporaion Associaion, in 2014, public ranspora-

    ion reduced carbon dioxide emissions by 37 million meric ons and saved an

    esimaed 4.2 billion gallons o gasoline.115 Moreover, high-densiy residenial

    and commercial developmen around ransi service lowers he number o daily vehicle rips anywhere rom 20 percen o 40 percen relaive o he U.S. average.116 

    Cuting down on congesion, public ransi eases burdens on drivers and commu-

    niies.117 A exas A&M Universiy analysis esimaes ha removing ransi service

    in he op 10 mero regions alone would add 677 million hours o addiional

    raffic delay each year.118 

    http://tti.tamu.edu/documents/ums/congestion-data/complete-data.xlshttp://tti.tamu.edu/documents/ums/congestion-data/complete-data.xls

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    Recommendations: A strategy

    to support a low-carbon and

    prosperous future for all

    Despie progress developing sraegies o srenghen inrasrucure and communiy

    resilience in ciies and saes, ew resilience plans have acually been implemened

    o dae because o budge limiaions, policy and legal barriers, and he challenge o

    predicing climae change effecs a he local level.119 

    By esablishing Sae Fuure Funds, Congress can empower sae and local leaders

    o build low-carbon and resilien inrasrucure and communiies. Sae Fuure

    Funds would help sae and local governmens overcome unding and echnicalobsacles by, or example, providing loans and loan guaranees or low-carbon and

    resilien energy and ransporaion inrasrucure projecs and planning. For hese

    reasons, Sae Fuure Funds would give sae and local leaders a powerul ool o

    address urgen challenges, including rising exreme weaher risks, raffic conges-

    ion, carbon and oher air polluion, and growing economic inequiies.

    Here’s how Sae Fuure Funds would work: Congress would creae new revolving

    loan unds o supplemen sae and local governmen resources o build low-car-

     bon and resilien ransporaion and energy inrasrucure. Trough a cos sharing

    approach, Sae Fuure Funds would combine ederal resources wih sae dollars

    o leverage local and privae secor invesmens o mee sae and local energy

    and ransporaion inrasrucure prioriies. Saes would use Sae Fuure Funds

    o offer loans a compeiive or below-marke raes or a variey o projecs

    increasing residenial and business access o renewable energy, improving build-

    ing efficiency, making elecriciy grids smarer and more reliable and expanding

    and hardening public ransi sysems. As discussed above, hese projecs would

    improve he reliabiliy o energy and ransporaion services while also reducing

    carbon polluion and consumer energy coss and improving public healh.

    Sae Fuure Funds would also help saes mee or exceed heir polluion reduc-

    ion arges under he EPA’s proposed Clean Power Plan, which calls on saes o

    decrease carbon emissions rom he energy secor, in par by reducing reliance

    on ossil uels and increasing he use o clean energy. Many sae leaders srongly

    suppor he Clean Power Plan’s flexibiliy and is benefis, including cleaner air and

    lower healh care and disaser recovery coss.120 

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    Federal suppor o bolser sae compliance wih environmenal regulaions

    is nohing new. In 1987, or example, Congress creaed he Clean Waer Sae

    evolving Fund o provide low-cos clean waer financing and o suppor sae

    effors o comply wih he Clean Waer Ac. A similar und, he Drinking Waer

    Sae evolving Fund, was creaed in 1996 o provide financing or waer inra-

    srucure improvemens and help saes comply wih he Sae Drinking Waer Ac.

    Tese unds pair ederal unds wih sae and privae secor resources o upgrade

    he naion’s waer inrasrucure, o ensure ha American’s have access o sae

    drinking waer, and o proec our naion’s waer resources.

     A blueprin or he design o Sae Fuure Funds, which is deailed below, draws

    on Congress’ design or he Drinking Waer Sae evolving Loan Fund and he

    associaed unds esablished by saes in he Sae Drinking Waer Ac.125 A lis o

    eligible projecs ypes ha Sae Fuure Funds could suppor is also lised below.

    On June 2, 2014, the EPA proposed its Clean Power Plan, or CPP,

    a strategy to cut carbon pollution from the nation’s existing fossil

    fuel-fired power plants.121 The EPA plans to finalize the CPP by the

    end of summer 2015.

    The CPP outlines the best system of emissions reduction, or BSER, for

    carbon pollution from existing power plants based on four key “building

    blocks.” Building block 1 focuses on making existing coal-fired power

    plants run more efficiently, while building blocks 2 and 3 strive to

    replace higher-carbon electricity generation with lower- or zero-carbon

    generation. Building block 4 seeks to reduce overall electricity demand.

    The CPP also includes states-specific carbon-pollution reduction targets

    based on each state’s electricity generation mix and other factors. TheEPA proposal outlines an interim carbon-pollution reduction goal for

    each state, calculated as an average over the 10-year period from 2020

    to 2029, and a final goal in 2030. Altogether, the plan would reduce

    nationwide carbon emissions by 30 percent of 2005 levels by 2030.122

    The CPP does not prescribe which policies states must use to achieve

    their pollution reduction goals. Instead, states have the flexibility

    to implement all, some, or none of the building blocks or to ap

    alternative measures that reduce power plant emissions.

    This flexibility will ensure states can meet their pollution reductio

    without compromising the reliability of the electricity grid. In Feb

    2015, the Analysis Group released a report concluding that the EP

    “provides states and power plant owners a wide range of complia

    options and operational discretion … that can prevent reliability

    while also reducing carbon pollution and cost.”123 Similarly, the Br

    Group analyzed grid reliability concerns in a report prepared for t

    vanced Energy Economy Institute. Brattle concluded that the “on

    transformation of the power sector, the steps already taken by sy

    operators, the large and expanding set of technological and oper

    tools available and the flexibility under the CPP are likely sufficienensure that compliance will not come at the cost of reliability.”124

    States will be able to comply with the Clean Power Plan without

    State Future Funds envisioned by this report. But this funding me

    nism certainly would help states meet their pollution reduction t

    or, perhaps, exceed those targets by investing more aggressively

    renewable energy and energy efficiency technologies.

    EPA’s Clean Power Plan

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    Blueprint for the creation

    and implementation of

    State Future Funds

    Sae and local governmens and communiies are conroned wih muliple

    pressing challenges, including crumbling and oudaed inrasrucure, raffic

    congesion, air polluion, more exreme weaher driven by climae change, and

    growing inequiies. Congress could empower sae and local governmens o

    address hese challenges by providing grans o saes o capialize Sae Fuure

    Funds. Saes could hen use heir Sae Fuure Funds o provide low-ineres

    loans and loan guaranees or low-carbon and resilien inrasrucure projecs

    and planning. Te how o seps o esablish Sae Fuure Fundsrom decidinghow much unding each sae und would receive o cos-sharing and assising

    low-income communiiesare described below.

    • Establishing State Future Funds: Te U.S. reasury secreary would offer o

    ener ino agreemens wih saes o make annual capializaion gransseed

    moneyo suppor low-carbon and resilien energy and ransporaion

    inrasrucure.126 o be eligible o receive a capializaion gran, a sae would

    esablish a Sae Fuure Fund, or sae revolving loan und.127

    • Capitalizing State Future Funds: 

    Congress could use income rom reorms

    o he ederal ax code depreciaion rules or rom oher one-ime sources o

    ax-reorm revenue o provide he iniial capializaion grans or Sae Fuure

    Funds. A recen CAP analysis concluded ha some common-sense ax reorms

    could generae more han $200 billion over 10 years or he ederal govern-

    men.128 Te ederal governmen would ideally make an iniial conribuion o

    a leas $500 million o each Sae Fuure Fund o kick sar invesmens in clean

    energy and oher low-carbon and resilien inrasrucure. Capializaion grans

    or uure years could be suppored by revenue rom addiional ax reorms, or a

    carbon ax i enaced down he road. In addiion, as money is paid back ino herevolving loan unds, saes can use hose unds o make new loans.

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    • Developing an allotment formula: For he firs hree years o he program,

    unds would be alloted o saes based on a ormula similar o ha used by

    Deparmen o Energy, or DOE, o allocae Sae Energy Program unds. Te

    2009 American ecovery and einvesmen Ac requires DOE Sae Energy

    Program unds o be alloted o saes based on a gran ormula ha akes ino

    accoun populaion and energy consumpion in each sae. Sae Fuure Fundscould be allocaed based on a gran ormula ha considers he populaion,

    energy consumpion, and public ransi use in each sae.129 Te minimum

    proporionae share alloted o saes would be 1 percen o available unds. I

    needed, he minimum proporionae share could be adjused or Wyoming wih

    is low populaion numbers and or he Disric o Columbia because o is small

    size.130 Afer he firs hree years o he program, Sae Fuure Funds resources

     would be allocaed o each sae based he proporional share o he sae needs,

    idenified hrough an energy and ransporaion inrasrucure improvemen

    needs survey conduced by DOE and he Deparmen o ransporaion,

    or DO, wih inpu rom EPA and he Deparmen o Housing and UrbanDevelopmen, or HUD.131 

    • Deploying funds: Saes could use Sae Fuure Fund resources o make loans

     wih ineres raes ha are less han or equal o he marke ineres rae, includ-

    ing ineres-ree loans. Saes could also use Sae Fuure Fund resources o

    provide loan guaranees, as a source o reserve and securiy or leveraged

    loans, or provide oher auhorized financial assisance o suppor low-carbon

    and resilien energy and ransporaion inrasrucure projecs and planning.132 

    • Developing investment plans informed by meaningful stakeholder engagement: 

    Saes would prepare an annual invesmen plan o ideniy how hey will use

    Sae Fuure Fund resources. Invesmen plans would be developed based

    on meaningul engagemen wih local leaders, he public, and sakeholders,

    including low-income communiies and ribes. Each sae invesmen plan

     would include a lis o projecs hey inend o suppor wih he Sae Fuure

    Fund, as well as projec selecion crieria and mehods. Saes would be

    required o prioriize invesmens in energy and ransporaion sysems and

    projecs ha address he mos pressing public healh risks and improve equiy,

    such as projecs ha would increase low-income and ribal communiy accesso clean and affordable energy and ransporaion opions.

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    • Assisting low-income communities and American Indian tribes: Similar o

     wha Congress auhorized in he Sae Drinking Waer Ac, each sae would be

    required o inves 30 percen o is annual Sae Fuure Fund capializaion gran

    in low-income areas. In addiion, each sae would be required o inves 2 percen

    o is annual Sae Fuure Fund capializaion gran in American Indian and Alaska

    Naive villages ha have no oherwise received Sae Fuure Fund grans.133

     

    • Sharing the cost: Consisen wih congressional auhorizaion in he Sae

    Drinking Waer Ac, each sae would be required o conribue o is Sae Fuure

    Fund a leas 20 percen o he oal capializaion gran made o he sae. 134 

    • Offering special assistance: As Congress auhorized under he Sae Drinking

     Waer Ac, low-income communiies could be offered longer loan payback peri-

    ods.135 Saes could also provide echnical and financial assisance o build needed

    capaciy o suppor low-carbon and resilien ransporaion and energy inrasruc-

    ure, including energy efficiency improvemens, paricularly in low-income areas.

    • Ensuring oversight: 

    Te U.S. reasury Deparmen would manage oversigh o

    Sae Fuure Funds, wih echnical inpu rom he DOE, DO, EPA, and he HUD.

    • Holding states accountable for program success: Congress could ensure sae

    accounabiliy or use o Sae Fuure Fund resources by designing economic,

    social, and environmenal perormance merics agains which all gran recipi-

    ens will be measured.136

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    States would use State Future Fund resources to support the following

    types of low-carbon and resilient energy and transportation projects:

    Low-carbon and reliable energy

    • Smart grids and incentives for smart meters to improve the reliabil-

    ity and efficiency of the electrical system and to lower energy cost.

    • Distributed renewable energy, such as solar and wind, to improve

    access to low-carbon and reliable power and to lower energy costs.

    • Microgrids to supply reliable power to communities, businesses,

    and public transit and rail lines that provide access to jobs every day

    and help people get to safety before extreme weather hits.

    • Large-scale renewable energy generation facilities to lower carbon

    pollution and improve air quality.

    •Residential and commercial energy efficiency and weatherizationprograms to lower energy costs.

    • Energy efficiency and resilience improvements for public housing

    to lower energy costs and ensure access to power in the wake of

    severe storms, including the installation of back-up generators.

    • Other low-carbon and resilient energy projects.

    Sustainable and resilient transportation

    • Help expand bus, rail, and other rapid transit services, throug

    ects such as bus acquisition, including in underserved areas.

    • Strengthen the resilience of existing public transit as a way to r

    risks of flood and other extreme weather events, where approp

    • Expand or build bike and walking paths to improve air quality

    reduce street and highway congestion.

    • Develop other low-carbon and resilient transportation infrast

    ture projects, where appropriate.

    Planning and technical support, job training, and innovation ince

    • Long-term, low-carbon, and resilient energy and transportati

    infrastructure planning, including technical assistance to iden

    communities and infrastructure that are highly exposed to exweather risks.

    • Challenge grants and prizes to support innovative design ide

    resilient and low-carbon energy and transportation infrastruc

    • Job training programs for energy efficiency, renewable ener

    distributed generation, and other low-carbon and resilient t

    portation and energy strategies.

    Energy and transportation projects for the 21st century

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    Conclusion

    Saes, ciies, and communiies ace a hos o challenges rom aging inrasrucure,

    o raffic congesion, air polluion, mouning healh care coss, growing inequiies,

    and rising risks rom exreme weaher driven by climae change. Tese are prob-

    lems ha people across he counry, paricularly sae and local leaders, grapple

     wih daily. Congress has an opporuniy o suppor sae and local soluions o

    hese pressing challenges by creaing Sae Fuure Funds ha can bolser sae and

    local effors o build low-carbon and resilien energy and ransporaion inra-

    srucure and communiies and hereby expand opporuniies or all o prosper.

    By esablishing Sae Fuure Funds, Congress can combine ederal unds wih

    sae dollars o leverage local and privae secor resources o significanly increase

    invesmens in low-carbon and resilien ransporaion and energy inrasrucure.

    Tese much needed invesmens would help srenghen communiy resilience,

    improve air qualiy, increase access o good schools and jobs, and reduce energy

    and healh care coss. Sae Fuure Funds would also help saes mee or exceed

    heir emission reducion arges under he EPA’s proposed Clean Power Plan.

    By esablishing Sae Fuure Funds, Congress would go a long way oward pro-

     viding all people access o low-carbon and affordable energy and ransporaion

    services, which are key o creaing resilien communiies where all people can

    adap and hrive.

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    About the author

    Cahleen Kelly is a Senior Fellow a American Progress. She specializes in iner-

    naional and U.S. climae miigaion, preparedness, resilience, and susainable

    developmen policy. Kelly served in he Obama adminisraion a he Whie

    House Council on Environmenal Qualiy, where she led a 20-plus-agency askorce o develop a naional climae-resilience sraegy.

    Kelly is an inernaionally recognized climae policy exper and a regular adviser

    o U.S. and European officials on environmenal policy issues. She is a proessor o

    inernaional and environmenal policy a he Johns Hopkins Universiy Paul H.

    Nize School o Advanced Inernaional Sudies, or SAIS. Kelly is a prize-winning

    graduae o SAIS, where she earned a maser o ars in inernaional relaions and

    energy and environmenal policy.

    Acknowledgments

    Te auhor would like o hank o Greg Doson, Miranda Peerson, Alison

    Cassady, Myriam Alexander-Kearns, Danielle Baussan, racey oss, Kevin

    DeGood, Hannah Flesch, Yume Hoshijima, Carl Chancellor, Anne Paisley, and

    Cheser Hawkins or heir conribuions o his repor.

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    Endnotes

      1 2 American Society of Civil Engineers, “2013 Report Cardfor America’s Infrastructure,” available at http://www.infrastructurereportcard.org/a/#p/energy/overview(last accessed June 2015).

    2 Office of Energy Policy and Systems Analysis, Quadren-

    nial Energy Review: Energy Transmission, Storage, andDistribution Infrastructure (U.S. Department of Energy,2015), available at http://energy.gov/epsa/quadrennial-energy-review-qer.

    3 Ibid: and U.S. Department of Energy, “The Role ofMicrogrids in Helping to Advance the Nation’s EnergySystem,” available at http://energy.gov/oe/services/technology-development/smart-grid/role-microgrids-helping-advance-nation-s-energy-system (last accessedJune 2015); U.S. Department of Energy, “RenewableEnergy: Distributed Generation Policies and Programs,”available at http://energy.gov/eere/slsc/renewable-energy-distributed-generation-policies-and-programs (last accessed June 2015).

    4 Ibid.

      5 American Society of Civil Engineers, “2013 Report Card

    for America’s Infrastructure.”

      6 President’s State, Local and Tribal Leaders Task Forceon Climate Preparedness and Resilience, Recommenda-tions to the President  (2014), available at https://www.whitehouse.gov/sites/default/files/docs/task_force_re-port_0.pdf; White House Council on EnvironmentalQuality, Progress Report of the Interagency ClimateChange Adaptation Task Force: Recommended Actions inSupport of a National Climate Change Adaptation Strat-egy (2010), available at https://w ww.whitehouse.gov/sites/default/files/microsites/ceq/Interagency-Climate-Change-Adaptation-Progress-Report.pdf.

    7 Ibid.

      8 Ibid.

      9 Environmental Protection Agency, “Drinking Water

    State Revolving Fund,” available at http://water.epa.gov/grants_funding/dwsrf/index.cfm (last accessedJune 2015); Environmental Protection Agenc y, “CleanWater State Revolving Fund,” available at http://water.epa.gov/grants_funding/cwsrf/cwsrf_index.cfm (lastaccessed June 2015).

    10 Cathleen Kelly and Greg Dotson, “How State FutureFunds Can Help States Build Resilient Infrastructure andCut Carbon Pollution,” Center for American Progress,January 16, 2015, available at https://www.american-progress.org/issues/green/news/2015/01/16/104716/how-state-future-funds-can-help-states-build-resilient-infrastructure-and-cut-carbon-pollution/. 

    11 Safe Drinking Water Act , Title XIV of the Public HealthServices Act, Public Law 107–377, (December 31, 20 02),Sec. 1452 (a) (2), p. 456, available at http://www.epw.senate.gov/sdwa.pdf. 

    12 In the Safe Drinking Water Act, Congress authorizedstates to provide additional subsidies, includingprincipal forgiveness, to disadvantaged communities,not to exceed 30 percent of the state’s annual fundcapitalization grant. In addition, Congress requiredthat states invest 1.5 percent of their annual waterfund capitalization grants in Indian tribes and AlaskaNative villages that have not received grants from the

    water state loan fund. Safe Drinking Water Act , Title XIVof the Public Health Services Act, Sec. 1452 (d), p. 458,and Sec. 1452 (i), p. 461, available at http://www.epw.senate.gov/sdwa.pdf.

     13 Ibid., Sec. 1452 (f), p. 458.

     1 4 Ibid., Sec. 1452 (e), p. 458.

      15 The White House, “The President Speaks on the Impactsof Climate Change on Public Health,” April 7, 2 015,available at https://www.whitehouse.gov/photos-and-video/video/2015/04/07/president-speaks-impacts-climate-change-public-health.

    16 U.S. Global Change Research Program, “NationalClimate Assessment: Human Health” (2014), availableat http://nca2014.globalchange.gov/highlights/report-findings/human-health.

    17 Mona Sarfaty and others, “Member Survey on ClimateChange and Health,” American Thoracic Society  12 (2)(2015), available athttp://www.atsjournals.org/doi/abs/10.1513/AnnalsATS.201410-460BC#.VXhJiflVhHz.

      18 National Association for the Advancement of ColoredPeople, “The Hidden Consequences of Climate Change,”available at http://action.naacp.org/page/-/images/press/The Hidden Consequences of Climate Change.pdf  (last accessed June 2015).

    19 Environmental Protection Agency, “Sources of Green-house Gas Emissions,” available at http://www.epa.gov/climatechange/ghgemissions/sources.html (lastaccessed June 2015).

    20 Environmental Protection Agency, “Sources of Green-house Gas Emissions: Electricity Sector Emissions,” avail-able at http://www.epa.gov/climatechange/ghgemis-sions/sources/electricity.html (last accessed June 2015);Environmental Protection Agency, “Air Emissions,”available at http://www.epa.gov/cleanenergy/energy-and-you/affect/air-emissions.html (last accessed June

    2015).

      21 Ibid.; EPA, “An Introduction to Indoor Air Quality (IAQ),”available at http://www.epa.gov/iaq/voc.html (lastaccessed June 2015); EPA, “Particulate matter,” availableat http://www.epa.gov/pm/ (last accessed June 2015).

    22 U.S. Global Change Research Program, “NationalClimate Assessment: Infrastructure” (2014), available athttp://nca2014.globalchange.gov/highlights/report-findings/infrastructure.

    23 Ibid.

      24 City of New York, “A Stronger, More Resilient New York:Chapter 2 Climate Analysis” (2013), available at http://www.nyc.gov/html/sirr/downloads/pdf/final_report/Ch_2_ClimateAnalysis_FINAL_singles.pdf ; Smarter-Safer, “Bracing for the Storm” (2015), available at http://

    www.smartersafer.org/wp-content/uploads/Bracing-for-the-Storm.pdf .

    25 City of New York, “A Stronger, More Resilien t New York.”

    26 Ibid.

      27 Ibid.

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  • 8/21/2019 State Future Funds

    29/33

    26 Center for American Progress |  State Future Funds

      28 U.S. Government Accountability Office, “High-Risk Se-ries: An Update,” GAO-15-290, Report to CongressionalCommittees, February 2015, available at http://www.gao.gov/assets/670/668415.pdf. 

    29 Miranda Peterson and Alexander Fields, “ExtremeWeather on the Rise,” Center for American Progress,April 2, 2015, available at https://www.american-progress.org/issues/green/news/2015/04/02/110333/extreme-weather-on-the-rise/. 

    30 Ibid.

      31 Hurricane Sandy Rebuilding Task Force, Hurricane SandyRebuilding Strategy: Stronger Communities, A ResilientRegion (U.S. Department of Housing and Urban Devel-opment, 2013), available at http://portal.hud.gov/hud-portal/documents/huddoc?id=hsrebuildingstrategy.pdf. 

    32 Disaster Relief Appropriations Act , Public Law 113–2,113th Congress, 2nd Sess. (January 29, 2013), availableat https://www.congress.gov/113/plaws/publ2/PLAW-113publ2.pdf. 

    33 Island Press and the Kresge Foundation, “BounceForward: Urban Resilience in the Era of Climate Change”(2015), available at http://kresge.org/sites/default/files/Bounce-Forward-Urban-Resilience-in-Era-of-Climate-Change-2015.pdf ; Tracey Ross, “Disaster in the Making”(Washington: Center for American Progress, 2013),

    available at https://www.americanprogress.org/issues/poverty/report/2013/08/19/72445/a-disaster-in-the-making/; Cathleen Kelly and Tracey Ross, “One StormShy of Despair” (Washington: Center for AmericanProgress, 2014), available at https://www.american-progress.org/issues/green/report/2014/07/17/93981/one-storm-shy-of-despair/.

    34 Ross, “Disaster in the Making.”

    35 Ibid.; Kelly and Ross, “One Storm Shy of Despair.”

    36 Ibid.

      37 Ibid.; Cathleen Kelly, “For U.S. Cities, Every Week Is‘Infrastructure Week,’” Next City, May 12, 2015, availableat http://nextcity.org/daily/entry/infrastructure-week-congress-funding-bridges-roads-water-in-cities.

    38 Daniel J. Weiss, Jackie Weidman, and MackenzieBronson, “Heavy Weather: How Climate Destruc-tion Harms Middle and Lower Income Americans”(Washington: Center for American Progress, 2012),available at https://www.americanprogress.org/issues/green/report/2012/11/16/45135/heavy-weather-how-climate-destruction-harms-middle-and-lower-income-americans/.

    39 Ibid.; Bureau of the Census, Household Income 2012 (U.S.Department of Commerce, 2013), available at https://www.census.gov/prod/2013pubs/acsbr12-02.pdf.

      40 John Logan, “The Impact of Katrina: Race and Classin Storm-Damaged Neighborhoods” (Providence,RI: Brown University, 2006), available at http://www.s4.brown.edu/Katrina/report.pdf.

      41 Michel Masozeraa, Melissa Bailey, Charles Kerchner,

    “Distribution of impacts of natural disasters acrossincome groups: A case study of New Orleans,” Ecologi-cal Economics 63 (2007): 299–306, available at http://www.d.umn.edu/~pfarrell/Natural Hazards/Readings/Katrina article.pdf .

      42 Danielle Baussan, “Social Cohesion: The Secret WeaponIn the Fight for Climate Resilience” (Washington:Center for American Progress, 2015), available athttps://www.americanprogress.org/issues/green/report/2015/05/11/112873/social-cohesion-the-secret-weapon-in-the-fight-for-equitable-climate-resilience/.

      43 Ibid.

      44 Hurricane Sandy Rebuilding Task Force, HurricaneSandy Rebuilding Strategy: Stronger Communities, A Resilient Region; Eric Lipton and Michael Moss,

    “Housing Agency ’s Flaws Revealed by Storm,” TheNew York Times, December 9, 2012, available at http://www.nytimes.com/2012/12/10/nyregion/new-york-city-housing-agency-was-overwhelmed-after-storm.html?pagewanted=all&_r=0.

      45 Ross, “Disaster in the Making”; Kelly and Ross, “OneStorm Shy of Despair.”

      46 Office of Energy Policy and Systems Analysis, Quadren-nial Energy Review.

      47 Hurricane Sandy Rebuilding Task Force, Hurricane SandyRebuilding Strategy: Stronger Communities, A ResilientRegion.

      48 Office of Energy Policy and Systems Analysis, Quadren-nial Energy Review.

      49 Interagency Climate Change Adaptation Task Force,U.S. Energy Sector Vulnerabilities to Climate Change andExtreme Weather (U.S. Department of Energy, 2013),available at http://energy.gov/downloads/us-energy-sector-vulnerabilities-climate-change-and-extreme-weather.

      50 Office of Energy Policy and Systems Analysis, Quadren-nial Energy Review.

      51 Michelle Davis and Steve Clemmer, “Power Failure:How Climate Change Puts Our Electricity at Risk—andWhat We Can Do” (Cambridge, MA: Union of ConcernedScientists, 2014), available at http://www.ucsusa.org/sites/default/files/legacy/aossets/documents/Power-Failure-How-Climate-Change-Puts-Our-Electricity-at-Risk-and-What-We-Can-Do.pdf .

    52 James Walsh and others, “Ch. 2: Our Changing Climate.”

    In J.M. Melillo, Terese Richmond, and G. W. Yohe, eds.,The Third National Climate Assessment  (Washington: U.S.Global Change Research Program, 2014).

      53 Ibid.

      54 Office of Energy Policy and Systems Analysis, Quadren-nial Energy Review.

      55 Davis and Clemmer, “Power Failure.”

      56 Walsh and others, “Ch. 2: Our Changing Climate.”

      57 Union of Concerned Scientists, “Science Connections;Western Wildfires & Climate Change” (2013), availableat http://www.ucsusa.org/sites/default/files/legacy/as-sets/documents/global_warming/Infographic-Western-Wildfires-and-Climate-Change.pdf ; Davis and Clemmer,“Power Failure.”

    58 Interagency Climate Change Adaptation Task Force,U.S. Energy Sector Vulnerabilities to Climate Change andExtreme Weather.

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ault/files/legacy/assets/documents/Power-Failure-How-Climate-Change-Puts-Our-Electricity-at-Risk-and-What-We-Can-Do.pdfhttp://www.nytimes.com/2012/12/10/nyregion/new-york-city-housing-agency-was-overwhelmed-after-storm.html?pagewanted=all&_r=0http://www.nytimes.com/2012/12/10/nyregion/new-york-city-housing-agency-was-overwhelmed-after-storm.html?pagewanted=all&_r=0http://www.nytimes.com/2012/12/10/nyregion/new-york-city-housing-agency-was-overwhelmed-after-storm.html?pagewanted=all&_r=0http://www.nytimes.com/2012/12/10/nyregion/new-york-city-housing-agency-was-overwhelmed-after-storm.html?pagewanted=all&_r=0http://www.d.umn.edu/~pfarrell/Natural%20Hazards/Readings/Katrina%20article.pdfhttp://www.d.umn.edu/~pfarrell/Natural%20Hazards/Readings/Katrina%20article.pdfhttp://www.d.umn.edu/~pfarrell/Natural%20Hazards/Readings/Katrina%20article.pdfhttps://www.americanprogress.org/issues/green/report/2012/11/16/45135/heavy-weather-how-climate-destruction-harms-middle-and-lower-income-americans/https://www.americanprogress.org/issues/green/report/2012/11/16/45135/heavy-weather-how-climate-destruction-harms-middle-and-lower-income-americans/https://www.americanprogress.org/issues/green/report/2012/11/16/45135/heavy-weather-how-climate-destruction-harms-middle-and-lower-income-americans/https://www.americanprogress.org/issues/green/report/2012/11/16/45135/heavy-weather-how-climate-destruction-harms-middle-and-lower-income-americans/http://nextcity.org/daily/entry/infrastructure-week-congress-funding-bridges-roads-water-in-citieshttp://nextcity.org/daily/entry/infrastructure-week-congress-funding-bridges-roads-water-in-citieshttps://www.americanprogress.org/issues/green/report/2014/07/17/93981/one-storm-shy-of-despair/https://www.americanprogress.org/issues/green/report/2014/07/17/93981/one-storm-shy-of-despair/https://www.americanprogress.org/issues/green/report/2014/07/17/93981/one-storm-shy-of-despair/https://www.americanprogress.org/issues/poverty/report/2013/08/19/72445/a-disaster-in-the-making/https://www.americanprogress.org/issues/poverty/report/2013/08/19/72445/a-disaster-in-the-making/https://www.americanprogress.org/issues/poverty/report/2013/08/19/72445/a-disaster-in-the-making/http://kresge.org/sites/default/files/Bounce-Forward-Urban-Resilience-in-Era-of-Climate-Change-2015.pdfhttp://kresge.org/sites/default/files/Bounce-Forward-Urban-Resilience-in-Era-of-Climate-Change-2015.pdfhttp://kresge.org/sites/default/files/Bounce-Forward-Urban-Resilience-in-Era-of-Climate-Change-2015.pdfhttps://www.congress.gov/113/plaws/publ2/PLAW-113publ2.pdfhttps://www.congress.gov/113/plaws/publ2/PLAW-113publ2.pdfhttp://portal.hud.gov/hudportal/documents/huddoc?id=hsrebuildingstrategy.pdfhttp://portal.hud.gov/hudportal/documents/huddoc?id=hsrebuildingstrategy.pdfhttp://portal.hud.gov/hudportal/documents/huddoc?id=hsrebuildingstrategy.pdfhttps://www.americanprogress.org/issues/green/news/2015/04/02/110333/extreme-weather-on-the-rise/https://www.americanprogress.org/issues/green/news/2015/04/02/110333/extreme-weather-on-the-rise/https://www.americanprogress.org/issues/green/news/2015/04/02/110333/extreme-weather-on-the-rise/http://www.gao.gov/assets/670/668415.pdfhttp://www.gao.gov/assets/670/668415.pdf

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    27 Center for American Progress |  State Future Funds

      59 Ibid.; Davis and Clemmer, “Power Failure;” Union ofConcerned Scientists, “Power Plants That Have ShutDown or Reduced Output Because of Water Problems,2006–2013” (2014), available at http://www.ucsusa.org/sites/default/files/legacy/assets/images/ce/Map-Power-Plants-Shut-Down-or-Reduced-Output-Because-of-Water-Problem_Full-Size.jpg.

    60 United Nations Framework Convention on ClimateChange, “Kyoto Protocol,” available at http://unfccc.int/kyoto_protocol/items/3145.php (last accessed June2015).

      61 Environmental Protection Agency, “Sources of Green-house Gas Emissions: Electricity Sector Emissions,” avail-able at http://www.epa.gov/climatechange/ghgemis-sions/sources/electricity.html (last accessed June 2015).

    62 Environmental Protection Agency, “Air Emissions,” avail-able at http://www.epa.gov/cleanenergy/energy-and-you/affect/air-emissions.html (last accessed June 2015)

      63 Environmental Protection Agency, “Acid Rain,” availableat http://www.epa.gov/acidrain/ (last accessed June2015).

    64 U.S. Global Change Research Program, “NationalClimate Assessment: Transportation” (2014), availableat http://nca2014.globalchange.gov/report/sectors/transportation. 

    65 Ibid.

    66 Ibid.

    67 Ibid.

    68 National Oceanic and Atmospheric Administration,“Service Assessment, Hurricane Irene, August 21–30,2011” (2012), available at http://www.nws.noaa.gov/om/assessments/pdfs/Irene2012.pdf .

    69 Ibid.

      70 Hurricane Sandy Rebuilding Task Force, “Hurri-cane Sandy Rebuilding Strategy” (2013), availableat http://portal.hud.gov/hudportal/documents/huddoc?id=HSRebuildingStrategy.pdf .

      71 Ibid.

      72 Ibid.

      73 Ibid.

      74 American Lung Association, “American Lung Associa-tion Energy Policy Development: Transportation Back-ground Document” (2011), available at http://www.lung.org/healthy-air/outdoor/resources/transportation-backgrounder.pdf. 

    75 U.S. Global Change Research Program, “NationalClimate Assessment: Adaptation” (2014), available athttp://nca2014.globalchange.gov/report/response-strategies/adaptation. 

    76 Island Press and the Kresge Foundation, “BounceForward.”

    77 Ibid.

      78 U.S. Global Change Research Program, “NationalClimate Assessment: Adaptation”

    79 Island Press and the Kresge Foundation, “BounceForward”; Cathleen Kelly, “For U.S. Cities, Every Week Is‘Infrastructure Week.’”

    80 Island Press and the Kresge Foundation, “BounceForward.”

      81 Ibid; Movement Strategy Center, “Pathways toResilience: Transforming Cities in a Changing Climate”(2015), available at http://kresge.org/sites/default/files/Pathways-to-resilience-2015.pdf; Baussan, “Social Cohe-sion”; Seattle Office of Sustainability and Environment,“Seattle Climate Action Plan” (2013), available at http://www.seattle.gov/Documents/Departments/OSE/2013_CAP_20130612.pdf ; Sustainable DC, “Sustainable DC,Second Year Progress Report” (2015), available at http://

    www.sustainabledc.org/wp-content/uploads/2014/04/Sustainable-DC-Progress-Report-April-2015.pdf; City ofPortland, “Succeeding on Climate Must Involve Every-one, Public Comment Draft” (2015), available at http://www.portlandoregon.gov/bps/article/520800; City ofOakland, “Energy and Climate Action Plan” (2012), avail-able at http://www2.oaklandnet.com/oakca1/groups/pwa/documents/report/oak039056.pdf. 

    82 The City of New York, “One New York,”

      83 Sustainable DC, “Sustainable DC, Second Year ProgressReport”; City of Portland, “Succeeding on Climate MustInvolve Everyone, Public Comment Draft.”

      84 Kelly, “For U.S. Cities, Every Week Is ‘InfrastructureWeek’”; Miranda Peterson, “Cities Urged Not To IgnoreMarginalized Communities In Climate Change Plans,”ClimateProgress , May 20, 2015, available at http://think-

    progress.org/climate/2015/05/20/3660371/national-climate-adaptation-forum-equity/; Island Press and theKresge Foundation, “Bounce Forward”; Seattle Office ofSustainability and Environment, “Seattle Climate ActionPlan”; City of Oakland, “Energy and Climate ActionPlan”; San Francisco Department of The Environment,“Environmental Justice,” available at http://www.sfenvi-ronment.org/education-equity/environmental-justice (last accessed June 2015).

    85 Island Press and the Kresge Foundation, “BounceForward”; President’s State, Local, and Tribal Leaders

     Task Force on Climate Preparedness and Resilience,Recommendations to the President .

    86 William Pentland, “Lessons From Where The LightsStayed On During Sandy,” Forbes, October 31, 2012,available at http://www.forbes.com/sites/williampent-land/2012/10/31/where-the-lights-stayed-on-during-

    hurricane-sandy/.

    87 ICF International, “Combined Heat and Power: EnablingResilient Energy Infrastructure for Critical Facilities”(2013), available at http://www1.eere.energy.gov/manufacturing/distributedenergy/pdfs/chp_critical_fa-ci