Alaska Municipal League warns federal grant pause could stall local projects; outlines roles of municipal government

Nils Andreassen, executive director of the Alaska Municipal League, told the Senate Community and Regional Affairs Committee on Jan. 28 that a recent Office of Management and Budget pause on certain Inflation Reduction Act and Infrastructure Investment and Jobs Act awards has created “a great deal of uncertainty” for Alaska communities and project partners.

Andreassen said the pause initially affected grants and loans tied to IRA and IIJA programs, then was narrowed in guidance and — as of the hearing — temporarily reprieved until the following Monday. “There’s a great deal of uncertainty, for those who had hired and whose fund source was federal,” he said, and added that he had seen “stop work orders, pause work orders go out.” He urged members and grantees to seek clarification from federal agencies and said AML is tracking impacts…