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How to Bid on IIJA Infrastructure Projects: A Contractor's Complete Guide

By Finding Permits · May 14, 2026

The Infrastructure Investment and Jobs Act (IIJA), signed in 2021, is distributing $1.2 trillion across roads, bridges, broadband, water systems, transit, and energy over a decade. In 2025 and 2026, the largest wave of that funding is hitting the construction market. State and local agencies are issuing bids at a rate not seen since the 1950s highway buildout. Contractors who know how to find and qualify for these projects are filling their backlogs two to three years out.

What Types of Projects Does the IIJA Fund?

Roads and bridges: $110B for highway repair, bridge replacement, and safety improvements.
Public transit: $39B for bus, rail, and transit system modernization.
Broadband infrastructure: $65B for rural and underserved area fiber buildout.
Water and wastewater: $55B for pipe replacement, lead service line removal, and treatment upgrades.
Electric vehicle charging: $7.5B for EV charging network along highway corridors.
Clean energy and power grid: $73B for transmission, grid resilience, and clean energy infrastructure.
Airports and ports: $25B for terminal upgrades, runway work, and port modernization.

How IIJA Money Flows to Contractors

Federal IIJA dollars do not go directly to contractors. The money flows from federal agencies to states, then from states to local governments and transit authorities, who then issue public bids. Understanding the chain helps you target the right agencies.

Federal → State DOT → Local Agency → Public Bid

For highway and bridge work, your state Department of Transportation (DOT) is the gateway. Register as an approved contractor with your state DOT and monitor their bid letting calendar. Most states post upcoming projects 90–180 days before the bid date.

Federal → EPA/USDA → Municipal Water Authority → Public Bid

For water and wastewater work, funding often routes through the EPA's State Revolving Fund or USDA Rural Development grants. Your target is the local water utility or municipal public works department issuing the construction bid.

Where to Find IIJA-Funded Bids

SAM.gov — federal procurement portal for any federally-funded project. Create a free account and set up alerts by NAICS code and state.
State DOT bid letting pages — every state publishes upcoming highway and bridge bids. Subscribe to email alerts.
State procurement portals (e.g., BidNet, DemandStar, eMarketplace) — used by agencies to post public bids.
Local government websites — water, transit, and airport authorities post bids directly on their sites.
Building permits — large infrastructure projects require local permits even when federally funded. Permit data gives you project-level intelligence 30–90 days before bids close.

Using Building Permits to Get Ahead of IIJA Bids

Federal infrastructure projects require local building permits for site-specific work even when funded federally. A bridge rehabilitation project requires permits from the local municipality. A water treatment plant expansion requires a building permit from the city or county. Tracking these permits gives you intelligence that bid boards do not — you see the project taking shape before it officially goes to bid.

A permit pulled for a $15M waterline replacement in your city is a 30–60 day head start on every competitor waiting for the formal bid announcement.

Requirements You Must Meet for IIJA-Funded Work

Federal funding comes with federal strings. Know these requirements before you submit your first bid:

Buy America / Build America Buy America (BABA): Materials must be domestically produced. Applies to iron, steel, manufactured products, and construction materials. Document your supply chain before bidding.
Davis-Bacon prevailing wage: Federal projects require you to pay locally-determined prevailing wages to all workers. Your bids must account for these rates, which vary by trade and county.
DBE participation goals: Disadvantaged Business Enterprise goals require a percentage of subcontract value to go to certified DBE firms. Typical goals run 8–15%. Have your DBE subs identified before bid submission.
SAM.gov registration: You must be registered in SAM.gov to receive federal contract payments. Registration is free but takes 10–14 business days.
OSHA compliance documentation: Most federal projects require an OSHA 30 safety plan and demonstrated safety record.

How to Get Certified as a DBE or SBE

If your firm qualifies as a small, minority-owned, woman-owned, or veteran-owned business, DBE certification can be a significant competitive advantage. State DOTs and transit agencies have DBE program offices. Certification is handled at the state level through the Unified Certification Program (UCP). The application typically takes 60–90 days.

Building Your IIJA Bid Package

Public sector bids are more document-intensive than private work. A competitive IIJA bid package includes: a completed bid form, bonding documentation (bid bond, performance bond, payment bond), insurance certificates, safety plan, DBE participation form, Buy America certification, Davis-Bacon wage determination acknowledgment, and your firm's relevant project experience.

The contractors who lose public bids most often lose on documentation, not price. Build a bid checklist and assign a dedicated person to manage compliance paperwork.

Frequently Asked Questions

What is the IIJA and how does it fund construction projects?

The Infrastructure Investment and Jobs Act (IIJA), also called the Bipartisan Infrastructure Law, provides $1.2 trillion for US infrastructure over 10 years. Funds flow from federal agencies to states and local governments, which then issue public bids for construction work. Contractors compete for those bids through state procurement portals and local agency bid processes.

Do I need to be SAM.gov registered to bid on IIJA projects?

You must be registered in SAM.gov to receive payment on federally-funded contracts. Registration is free at SAM.gov and takes 10–14 business days. Some state-funded projects with federal pass-through may not require SAM registration, but it is safest to register before pursuing any public infrastructure work.

What is the Buy America requirement and how does it affect my bids?

Build America Buy America (BABA) requires that iron, steel, manufactured products, and construction materials used on federally-funded projects be produced in the United States. Document your supply chain before bidding. If a domestic source is unavailable, you can apply for a waiver, but approvals are limited and take time.

What is a Davis-Bacon prevailing wage and how do I calculate it?

The Davis-Bacon Act requires contractors on federally-funded projects to pay workers the locally prevailing wage rate for their trade and county, as determined by the US Department of Labor. Look up the applicable wage determination for your project's county at SAM.gov before estimating labor costs. Prevailing wages often exceed market rates and significantly affect bid pricing.

How can building permits help me find IIJA projects before they are publicly bid?

Even federally-funded projects require local building permits for site work, demolition, and construction. Monitoring permit data in your target market lets you see project activity 30–90 days before the formal bid is published. A large permit for a bridge repair, waterline replacement, or transit facility signals an upcoming bid opportunity.

What bonding is required for IIJA-funded projects?

Federal projects covered by the Miller Act require a bid bond (typically 5–10% of bid price), a performance bond (100% of contract value), and a payment bond (100% of contract value). Bond capacity is a critical constraint for smaller contractors — work with your surety early to understand your limits before pursuing large public projects.