Energy, Environment, and Resource Agencies Release FY2022 Budget

On May 29, 2021, the Biden administration released its full FY2022 budget request. Several key energy and environmental agencies, including the Department of the Interior (DOI), Department of Energy (DOE) and the Environmental Protection Agency (EPA) quickly followed suit. The overall budget request totals $6 trillion, with significant plus-ups in discretionary spending across the federal government. The budget also highlights tackling as a priority the challenges presented by climate change. Brownstein has created a summary of President Joe Biden’s climate-related priorities and selected programs within DOI, DOE and EPA.

Each year the president’s budget proposal is a document that outlines the administration’s priorities and guides agencies and appropriators as funding decisions are made. The Biden administration will need the cooperation of Congress to enact these budget amounts—and the full amounts are unlikely to be realized. This document provides details and attempts to guide Congress on spending amounts the president would like to approve when signing funding legislation.

The White House FY2022 budget also takes the opportunity to once again sell the American Jobs Plan—a broad piece of legislation that places climate as a central focus in many provisions. Top-level messaging priorities on climate include:

• $10 billion more in funding for clean energy tech innovation at non-defense agencies
• $7 billion (an increase of $1.5 billion) for the National Oceanic and Atmospheric Administration (NOAA) within the Department of Commerce
• $6.5 billion in lending for clean energy, energy storage and transmission projects in rural communities
• $4 billion in climate and sustainability research across agencies tasked with scientific research
• $3.6 billion in funding for water infrastructure across agencies
• $2 billion in workforce training for clean energy jobs
• $1.7 billion for energy-efficient building retrofits through the Department of Housing and Urban Development (HUD) and DOE
• $1.4 billion in spending geared toward environmental justice programs for marginalized and overburdened communities
• $1.2 billion in contributions to the Green Climate Fund to advance the objectives of the Paris agreement
• $1 billion for the creation of the Advanced Research Projects Agency for Climate (ARPA-C) and plus-ups for existing ARPA-E programs geared toward research and development
• $815 billion (an increase of $540 billion) for resilience and disaster planning projects
• $700 million in assistance for developing countries through the U.S. Department of State and U.S. Agency for International Development (USAID)
• $600 million in funds for EV procurement across federal agencies
• $580 million to remediate and reclaim abandoned oil and gas wells and mines
• $485 million to support multilateral climate initiatives
• $450 million for climate-focused projects in Indian Country
• $300 million for agriculture and conservation

Click here for full details on each agency's budget requests. 

This document is intended to provide you with general information regarding the Biden administration’s FY 2022 budget request. The contents of this document are not intended to provide specific legal advice. If you have any questions about the contents of this document or if you need legal advice as to an issue, please contact the attorneys listed or your regular Brownstein Hyatt Farber Schreck, LLP attorney. This communication may be considered advertising in some jurisdictions.