Making infrastructure more equitable and inclusive

How and why community benefits agreements can be incorporated into infrastructure projects

Community Benefits Agreements (CBAs) are key to implementing equitable economic development projects through the Bipartisan Infrastructure Law. They are formal contracts between community groups, government, and developers. CBAs make sure that developers invest in communities in ways that promote quality jobs and economic mobility as they restructure cities.

With strong local support, CBAs let communities have a say in projects and foster workforce development, making sure they meet specific needs like hiring locals and protecting the environment. With an increase in federal funding available for infrastructure projects, it’s vital to spend it in ways that will benefit communities long term, especially as it relates to developing diverse, local talent.

What is a community benefits agreement?

Community benefits agreements (CBAs) are “legal agreements between community benefit groups and developers, stipulating the benefits a developer agrees to fund or furnish, in exchange for community support of a project.” (Department of Energy, Office of Energy Justice and Equity). They are intended to ensure that local communities reap the benefits of economic development projects.

“Community benefit groups” can be organizations like neighborhood associations, other community-based and nonprofit organizations, labor unions, and other community stakeholders such as workforce development organizations. The “developer” can be a for-profit company, but in some instances it is a local government or governmental entity.

Why CBAs are useful for local government leaders

By bringing the community into negotiations early, CBAs can help developers avoid lengthy and contentious public hearings and processes for zoning, approvals, permitting, etc. Sometimes CBAs are negotiated between community benefit groups and developers alone before going through the regulatory approval process for a project, but in other instances local government encourages developers to negotiate with community organizations and plays a more active role in the negotiations.

CBAs can help local government officials make informed choices about potential projects because they provide evidence of community support. CBAs work best at holding developers accountable for providing community benefits if local government officials approve the CBA or incorporate it into their agreement with a developer.

“Through CBAs, communities are now playing a vibrant role in helping to make decisions that support the families and children who live in the communities where development is taking place.” — Anne E. Casey Foundation

Example infrastructure projects that could include a CBA

Project Type	Affordable housing development
City example(s):	National Community Reinvestment Coalition’s CBAs with developers in New York City Redevelopment of Yesler Terrace in Seattle
Relevant federal funding:	IRA Direct Pay tax credits Weatherization Assistance Program Greenhouse Gas Reduction Fund (GGRF)

Project Type	Public transportation (bus, subway, etc.)
City example(s):	Burlington Bus project Beltline development projects in Atlanta Example CBAs between jobs nonprofits and transit companies
Relevant federal funding:	PROTECT Program Reconnecting Communities Low and no emissions bus grants

Project Type	Ports and airports (including projects to reduce environmental impact and noise and air pollution)
City example(s):	Los Angeles International Airport/LAX (considered a model/seminal CBA) JFK Airport CBA
Relevant federal funding opportunities:	Airport Terminal Program Port Infrastructure Development Program (PIDP)

Project Type	Municipal building construction or renovation (including decarbonization or energy efficiency)
City example(s):	New York City Project Labor Agreement for Municipal Building Renovations
Relevant federal funding opportunities:	Climate Pollution Reduction Grants Energy Efficiency and Conservation Block Grant Program (EECBG)

Project Type	Community solar or renewable energy
City example(s):	Cincinnati solar procurement project (p.6)
Relevant federal funding opportunities:	Community Solar resources (DOE) GGRF: Solar for All

Project Type	Pedestrian safety initiatives
City example(s):	No CBAs specific to this theme, but pedestrian and bicyclist safety can be included as a part of mixed-use neighborhood development CBAs
Relevant federal funding opportunities:	Safe Streets and Roads for All (SS4A)

Project Type	Wastewater and sewage
City example(s):	Metropolitan St. Louis Sewer District
Relevant federal funding opportunities:	Clean Water State Revolving Fund (CWSRF) WaterSMART grants

Project Type	Redevelopment and revitalization
City example(s):	Milwaukee Park East Redevelopment Compact Gates Cherokee CBA in Denver, CO Sports stadiums like one for the Pittsburgh Penguins and the Nashville Soccer Club
Relevant federal funding opportunities:	Brownfields grants, including this resource for developing CBAs at brownfield sites

Additional Resources

CBA examples database (includes actual contracts)
Department of Energy Community Benefits Agreement Resource Guide
CBA Toolkit by PolicyLink

¹ Resources:
DOE Resource Guide;
Good Jobs First CBA PDF