Photo is of the first NEVI site to break ground, which is in New Milford on Route 7, about 11 miles north of where it intersects with I-84. (Photo credit – Keith Boccuzzi)
NEVI (National Electric Vehicle Infrastructure) Sustains Cuts in Appropriations Bill
This federal program to support building out of charging infrastructure was passed in 2021 as part of the Bipartisan Infrastructure Law. Since taking office in January, the administration has twice tried to freeze these funds and twice been rebuffed by the courts as it is an illegal impoundment of congressionally authorized expenditures.
The latest effort happened as part of the appropriations bills (the package of bills funding the government for the remainder of the fiscal year, where the Homeland Security Bill was separated from the pack and is now the subject of contentious negotiations).
The Transportation Bill reduced funding for NEVI. Because this is happening as part of the regular appropriations process, it cannot be challenged. According to the Eno Center for Transportation, “The current FY 2026 USDOT appropriations act would transfer funds out of the NEVI program into general FHWA Highway Infrastructure Programs. If the package as it currently stands passes, then $503.8 million In NEVI formula grants, $300 million in NEVI competitive grants, and $75 million for the Joint Office will be transferred.”
There May Not Be A Big Impact on CT
The rescission is using a formula that should not greatly impact CT. We reached out to the CT Department of Transportation and received this response:
“The bill language states that the amount of funding being reallocated for each state will be based on their percentage of unobligated FY22 funds. CT received $7.77 million in FY22 and has obligated $7.19 million of that. While we don’t know the exact amount of funds being swept away, considering we only have a small amount of our FY22 left unobligated, we don’t see this impacting our plans at all. We will still complete AFC build out and have a portion leftover for community charging.”
AFC stands for Alternative Fuel Corridors, the major highways so designated by virtue of available charging access. This includes all of the interstates traversing the state, plus Route 7. It covers many, though not all, of the major thoroughfares in the state.
This is relatively good news for CT, and we will monitor if anything changes as plans are finalized. The larger concern is how it will impact the vision of full national coverage for distance travel. The most concerning part is that a bipartisan group of senators was willing to allow the cuts. And every year there is a new appropriations process, so it can’t be stated with certainty that what we know today will be true going forward.
Buy America Change
As of this writing on February 10th, the Federal Department of Transportation announced much more stringent Buy America requirements. There was already a Buy America trajectory in place and a requirement to domestically source 55% of content. This new proposal (it isn’t final quite yet) will increase that to 100%. Of course, the question is whether the supply chain can absorb a change this dramatic and sudden, or whether it is a bad-faith proposal to undercut the program. Given the Administration’s antipathy to EVs, it is likely the latter.