NGA Workshop Unites States to Tackle Infrastructure Funding Challenges

States Explore New Avenues for Infrastructure Amid Funding Uncertainties

National Governors Association gathers state infrastructure leaders to explore innovative solutions

New York City – A host of state infrastructure coordinators and transportation officials convened in New York City for the National Governors Association's (NGA) biannual Infrastructure Coordinators Workshop. This session brought together participants from 20 states and territories to deliberate over alternative methods of infrastructure delivery and the potential of public-private partnerships (P3) amidst uncertainties surrounding federal funding.

Timothy Blute, the NGA's Chief Policy Officer, stated, “With funding uncertainty and rising construction costs, governors are thinking outside the box to continue to build the roads, bridges and transit projects their states need.” He highlighted that innovative approaches like public-private partnerships can advance infrastructure projects while being cost-effective.

The workshop's agenda was particularly relevant as the Infrastructure Investment and Jobs Act (IIJA) faced funding expiration on September 30, with temporary extensions only lasting until December. In a 2025 letter, governors pressed Congress for a reauthorization to ensure consistent funding, promote certainty, and enhance state flexibility.

The workshop facilitated discussions around alternative delivery strategies like design-build and P3 to tackle challenges such as fluctuating federal funding, escalating construction costs, and financial strains at the state level.

This meeting continued the dialogue from the NGA's Spring Infrastructure Coordinators Workshop in May, where governmental figures strategized with federal bodies like the EPA and DOT to maintain infrastructure investments. These efforts aim to deliver necessary infrastructure projects crucial for economic growth and public safety.

Karl Kuchel, from Macquarie Asset Management, emphasized, “We recognize the critical role public-private partnerships play in shaping infrastructure and economic growth across the country.” He pointed out Macquarie's commitment as a long-term partner in infrastructure development with public-sector leaders.

Jon Phillips from the Global Infrastructure Investor Association noted the trend of states gravitating towards private investments due to federal funding uncertainties. He stated that expanding state capacity for public-private collaborations could bolster infrastructure's future.

Gian-Carlo Peressutti of IFM Investors praised NGA's role in uniting stakeholders to address infrastructure funding and execution hurdles, highlighting the potential of pension capital in infrastructure development.

Nicolas Rubio, CEO of Meridiam Americas, stressed the eagerness of the private sector to collaborate with state governments, valuing the opportunity to engage in essential infrastructure discussions at the NGA gathering.

The NGA's Infrastructure Coordinator Workshops occur biannually, serving as a platform for states to exchange experiences, coordinate with private sector experts, and liaise with federal authorities.