WASHINGTON, DC – Today, U.S. Senator Mazie K. Hirono (D-HI) and U.S. Representatives John Garamendi (D-CA) and Jay Obernolte (R-CA) led 16 of their colleagues in introducing the Impact Aid Infrastructure Partnership Act, legislation that would provide a total of $1 billion over four years for Impact Aid Construction Grants to address the significant backlog of facility needs at federally impacted school districts. In fiscal year 2024, Hawaii received $53.3 million through the U.S. Department of Education’s federal Impact Aid program.
“Every child deserves to receive a quality education in a safe, suitable learning environment,” said Senator Hirono. “The Impact Aid Infrastructure Partnership Act would provide critical funding for over 1,000 school districts across the country to address their significant backlogs of construction, repair, and maintenance needs. Impact Aid is one of many critical programs administered by the Department of Education and this bill would strengthen this program to help ensure that federally impacted school districts have the funding they need to support millions of students as they learn and grow in our public schools.”
“This bill addresses long-overdue repair needs to ensure equitable access to quality education and safe learning environments for students across the country,” said Rep. Garamendi. “I am grateful to Senator Hirono for introducing this legislation in the Senate and for fighting for safe environments for teachers and students,” said Garamendi. Every child should have the opportunity to learn and excel in a safe environment. This legislation brings us closer to realizing that goal.”
“In California’s 23rd District, many of our schools serve military families and are located near federal lands that do not pay local tax and therefore reduce local tax revenues,” said Rep. Obernolte. “These schools face serious infrastructure challenges—from outdated buildings to limited capacity for critical upgrades. The Impact Aid Infrastructure Partnership Act is a vital step forward. It provides the resources and federal-local collaboration our schools need to modernize their facilities and create safe, effective learning environments for every student. I’m proud to help lead this legislation because it delivers real support to our communities and honors our commitment to military families and rural schools alike.”
The Impact Aid Infrastructure Partnership Act would ensure that federally impacted school districts have the resources needed to provide every student with a quality education and safe learning environment by authorizing $250,000,000 annually for four years for Impact Aid Construction Grants. Of this funding, 25% would be made available via formula funding to all eligible school districts. The Department of Education would disseminate the remaining 75% as competitive grants with priority for those school districts with acute emergencies in their facilities.
The federal Impact Aid program offers federal support for public school districts where federal activity has reduced the available tax base. As federal lands are tax exempt, including military installations, Indian treaty, trust, or Alaska Native Claims Settlement Act, and federal properties and facilities, federally impacted school districts have significantly less tax revenue and bonding capacity to meet their needs. Currently, Impact Aid supports over 1,100 school districts, totaling more than 10 million students.
“The Impact Aid Infrastructure Partnership Act is a crucial investment in the future of federally impacted school districts,” said Nicole Russell, Executive Director, National Association of Federally Impacted Schools (NAFIS). “Too many schools serving military-connected children, Native American students, and others affected by federal property face deteriorating facilities that undermine student achievement and make it difficult to recruit and retain teachers–and they lack the tax base to overcome these challenges due to the presence of nontaxable federal property. By addressing the extensive backlog of infrastructure needs, this legislation is an important step in leveling the playing field and ensuring every student has access to a safe, modern learning environment that supports their success.”
“2025 marks the 75th anniversary of the Impact Aid law, which recognized the Federal Government’s obligation to replace lost tax revenue in school districts with a federal presence by providing operational and minimal construction funding,” said Brent Gish, Executive Director, National Indian Impacted Schools Association (NIISA). “The Impact Aid Infrastructure Partnership Act would provide crucial funding to districts serving students residing on Indian land and those in military and federal property areas. These districts have very limited and sometimes no bonding capacity to construct new or renovate existing facilities and teacher housing. The growing backlog of need now exceeds $4 billion. It is our strong belief that in America, all children deserve a high-quality education in a safe and modern facility that supports innovative, culturally rich teaching. Quality facilities coupled with research-based instruction yields positive learning outcomes!”
“Schools around the country that receive Federal Impact Aid have a distinct disadvantage when it comes to raising funds for school construction,” said Kyle Fairbairn, Executive Director, Military Impacted Schools Association (MISA). “In a majority of states, the only way to build a school or do an extensive remodel is by passing a local bond issue supported by property taxes. In Impact Aid districts, these funds become the responsibility of local taxpayers because the federal government does not pay taxes on land it owns. This makes passing a bond issue very difficult, as it places a tremendous burden on taxpayers who do pay property taxes. The Impact Aid Infrastructure Partnership Act is a way to have the federal government help fund local schools, benefiting all taxpayers within an LEA.”
The Impact Aid Infrastructure Partnership Act is endorsed by National Association of Federally Impacted Schools (NAFIS); National Indian Impacted Schools Association (NIISA); Military Impacted Schools Association (MISA); and Build America’s School Infrastructure Coalition (BASIC).
In the Senate, this legislation was cosponsored by Senators Richard Blumenthal (D-CT), Dick Durbin (D-IL), Ruben Gallego (D-AZ), Kirsten Gillibrand (D-NY), Martin Heinrich (D-NM), Amy Klobuchar (D-MN), Alex Padilla (D-CA), Brian Schatz (D-HI), and Tina Smith (D-MN).
In the House, it was cosponsored by Representatives Eleanor Holmes Norton (D-DC), Julia Brownley (D-CA-26), Marilyn Strickland (D-WA-10), Josh Gottheimer (D-NJ-5), Don Davis (D-NC-1), Teresa Leger Fernández (D-NM-03), and Emily Randall (D-WA-06).
The full text of the legislation is available here.
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