School districts that do not file federal taxes are eligible for some fully refundable credits this fiscal year under the Inflation Reduction Act, particularly for green infrastructure (e.g., installing heat pumps or buying electric vehicles). Schools may also be eligible to access other grants and credits through the Bipartisan Infrastructure Law (also known as the Infrastructure Investment and Jobs Act).

U.S. Sen. Ed Markey is hosting a webinar for school districts interested in these federal funds on April 10 from 3:15 to 4:15 p.m. Click here to register and submit questions for the Q&A.

Sen. Markey’s office also hosts office hours on IRA implementation, including the following sessions via Zoom:
• April 18, 1-2 p.m. Register
• May 16, 10-11 a.m. Register
• June 11, 10-11 a.m. Register
• July 9, 1-2 p.m. Register
Sen. Markey’s office has created guides that compile information on the tax credits and grants available related to the Green New Deal, Infrastructure Investment and Jobs Act and Inflation Reduction Act.

The office recently hosted a presentation on direct “elective pay” (the provision that allows schools and other tax-exempt entities to receive refundable tax credits) with the Department of Treasury.

With elective pay, tax-exempt and governmental entities that do not owe federal income taxes are, for the first time, able to receive a payment equal to the full value of tax credits for building qualifying clean energy projects or making qualifying investments. Unlike competitive grant and loan programs, in which applicants may not receive an award, elective pay allows entities to get their payment if they meet the requirements for both elective pay and the underlying tax credit. Applicable entities can use elective pay for 12 clean energy tax credits.

The following are some additional related resources:
IRS.gov/ElectivePay
IRS: IRA and CHIPS Pre-filing Registration Tool
IRS: Clean Energy Authorization Permission Management User Guide
IRS: Elective Pay FAQs
CleanEnergy.gov/DirectPay
Treasury.gov/IRA
Subscribe to IRS e-newsletters
IRS: Credits and deductions under the IRA
White House Inflation Reduction Act Guidebook

The World Resources Institute’s Electric School Bus Initiative offers free online resources and free technical assistance to school districts adding electric school buses to their fleets. The institute has worked with Boston Public Schools and would be happy to work with other districts around the state.

UndauntedK12 has resources and a fact sheet on federal funding available to schools through the IRA and IIJA. The organization has interest in working with more Massachusetts school communities.

Federal grants
The Department of Energy recently opened applications for the 2024 Renew America’s Schools Prize, which will award $180 million to districts across the country engaging in strategic partnerships to build capacity and implement energy upgrades at K-12 schools, lowering energy use and costs, improving indoor air quality, and fostering healthier learning environments.

The Mental Health Service Professional Demonstration Grant Program will award competitive grants to support and demonstrate innovative partnerships to train school-based mental health services providers to increase the number and diversity of high-quality, trained providers available to address the shortages of mental health services professionals in schools served by high-need LEAs.

Questions on any of these programs may be directed to Sade_Nabahe@markey.senate.gov or Katherine_Morfill@markey.senate.gov.

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