Many experts believe that we will need to build a lot of new infrastructure—including transmission lines, renewable energy facilities, energy storage sites, and more—to address decarbonization needs, aging infrastructure, growing power demands, and shifting generation portfolios. These infrastructure projects have the power to shape communities, but without intentional planning and community input, they can also deepen inequities and environmental challenges. Community Benefit Agreements (CBAs) and Community Benefit Plans (CBPs) can help mitigate such inequities and ensure that development delivers meaningful benefits to those most affected by construction, land use changes, and ongoing operation of new infrastructure.
Actually achieving successful CBAs, however, can be a challenging and confusing process, especially for communities or developers new to the process. Many published resources offer guidance, best practices, and examples of how CBAs have been structured, but it can be hard to know where to begin. To better understand the scope of these available resources on CBAs—including the types of information provided and how they can be applied to clean energy and climate change work across different sectors—and to help interested parties know where to go for support, we reviewed and synthesized a range of studies, reports, and case studies. Below, we provide an introduction to CBAs, followed by a curated selection of key resources categorized by the three largest greenhouse gas emitting sectors to help interested parties know where to start.
Why do Community Benefits Matter?
According to the Urban Institute, “CBAs are legally binding contracts between coalitions of community-based organizations and developers that shape how local development projects contribute to improving the quality of life of nearby residents.”
Well-designed CBA and CBPs can positively impact all stakeholders—from community members to developers—by promoting transparency, supporting local economies, and addressing potential project impacts. CBAs can be implemented in various ways; some states, such as California, Michigan, New Jersey, Connecticut, and Maine, have built CBA requirements into their permitting processes for renewable energy projects. Certain cities, like Detroit and Cleveland, have taken this further by establishing community benefits ordinances, with Detroit requiring large-scale projects to negotiate with neighborhood advisory councils. Even when not mandated, voluntary CBAs can enable respectful collaboration that helps to streamline project approvals and prevent future legal disputes, creating mutually beneficial outcomes for all parties. This widespread appeal is further reflected in a 2022 Data for Progress poll, which found that 61% of Democrats, 63% of Republicans, and 53% of Independent voters support CBAs. Through cross-sectoral work to address climate change and promote an equitable clean energy transition, we see CBAs as a tool that can align infrastructure projects with community priorities and sustainability goals.
In the section below, we provide practical resources to help stakeholders understand, implement, and engage on CBAs in the three highest-emitting sectors—energy, industrial, and transportation—as well as cross sectorally.
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Energy Generation and Transmission and Distribution Infrastructure: Aging infrastructure, coupled with increasing extreme weather events and decarbonization needs, together highlight the need to strengthen our energy systems. As we work to integrate diverse energy sources, infrastructure upgrades are essential. However, community concerns and siting and permitting challenges—often spanning multiple states—have resulted in delays and lengthy processes, leaving us with outdated infrastructure. CBAs can help navigate these challenges by building local support for projects, fostering community engagement, and ensuring that energy developments deliver tangible benefits to the people most impacted.
Key Resources:
ACEG | The PACE of Trust: A Framework by Community Voices for Advancing Transmission: This in-depth report identifies best practices for community engagement in transmission development based on multi-stakeholder roundtable discussions, including representatives of agriculture, wildlife advocacy, host communities, labor, and Indigenous communities. The insights are grouped into four main categories: participation and engagement of communities; accountability & good governance; communication, transparency & trust; and economic & non-economic benefits.
Columbia Law School Sabin Center for Climate Change Law | Community Benefits Agreements Database: This extensive resource catalogs CBA case studies across various sectors but focuses on clean energy and related infrastructure, including solar, wind, energy storage, and transmission. For example, a CBA for a 20MW solar facility in Maui—between Kahana Solar, the West Maui Preservation Association, and Maui Electric—was developed through formal mediation. Kahana Solar agreed to provide $55,000 annually for 25 years: $40,000 for local priorities such as environmental stewardship, water protection, and trainings, and $15,000 to the Hawaii Community Foundation for community use under set guidelines.
NREL | Community Energy Planning: Best Practices and Lessons Learned in NREL’s Work with Communities: This manual outlines best practices in energy planning and strategies for engaging local communities in decision-making processes, such as understanding community dynamics and removing barriers to ensure broad and equitable involvement.
Industry: As the U.S. brings more manufacturing plants home and expands U.S.-based manufacturing, there is a risk of creating or exacerbating “sacrifice zones” and overburdening local communities. While these facilities may be necessary, factories and industrial plants often contribute to pollution and health risks in surrounding neighborhoods. CBAs offer a pathway to ensure that these projects bring benefits to local communities while mitigating negative impacts.
Key Resources:
OCED | Community Benefits Plan Guidance: This step-by-step guide provides detailed information for applicants of the Industrial Demonstrations Program (IDP) to advance equity goals and engage with communities and labor in the development of needed CBPs. While CBPs are not identical to CBAs, these principles can be applied to ensure community involvement and equitable outcomes in industrial projects. This resource also emphasizes the importance of setting SMART (Specific, Measurable, Achievable, Relevant, and Timely) goals to ensure effective and accountable community engagement throughout the project.
Renewable Thermal Collaborative (RTC) | Community Benefits Handbook: This detailed toolkit offers best practices for creating CBAs in industrial projects and provides guidance on how organizations can effectively engage with local communities. This resource includes various examples of successful CBAs and additional tools to support community engagement.
Resources for the Future | Improving Community Benefits Plans Can Optimize Local Outcomes: This informational article examines the limitations of CBPs compared to CBAs, highlighting why CBAs may be a more effective tool. It also focuses on ensuring proper community representation and engagement and provides examples of community benefits like minority hiring, local employment opportunities, and funding for affordable housing and environmental remediation.
Transportation: Decarbonization requires notable shifts in the transportation sector, including in needed infrastructure and operations. Without community inclusion in the project development process, transportation projects can lead to community displacement, increased local air pollution, and other environmental challenges. However, when designed with community input, these projects can expand public transit options, drive electrification, and better serve local needs.
Key Resources:
FHWA | Development Agreements / Community Benefits Agreements Resources: This resource page provides transportation-specific resources and examples of successful development agreements and CBAs across various states.
PolicyLink | Healthy, Equitable Transportation Policy: Recommendations and Research: This comprehensive report discusses the need for equity and health considerations in transportation. The resource briefly touches on CBAs in the context of local hiring requirements, such as mandating that at least 30% of project hours be performed by disadvantaged workers from surrounding low-income ZIP codes. This resource also focuses on policy recommendations and mixed-income transit-oriented development.
Transit Center | Equity in Practice: A Guidebook for Transit Agencies: While not specific to CBAs, this in-depth report outlines best practices for transit agencies, ways to measure equity, and the importance of community engagement in transportation planning.
Additional Cross-Sectoral Resources: This section provides additional useful resources that apply across sectors, including larger resource hubs and inventories, environmental justice principles, and tools.
Clean Air Task Force | Community Benefits Resource Inventory: This inventory serves as a library of relevant resources which compiles factsheets, reports, and other materials focused on the application of CBAs in clean energy projects.
Fair Shake Environmental Legal Services | Community Benefits: This resource hub is aimed at community advocates and leaders, providing practical tools (such as worksheets, templates, and workshops) to help guide the creation of impactful CBAs.
Good Jobs First | Community Benefits Agreements, Making Development Projects Accountable: This in-depth analysis provides an overview of CBAs, highlighting their benefits, key considerations, and real-world examples of successful CBAs to guide developers and communities.
Smart Growth America | Strategies to Minimize Displacement: This factsheet highlights how CBAs can help prevent displacement, particularly in brownfield redevelopment projects, by ensuring that new developments include community-driven benefits.
WEACT | Community Engagement Brief: This community-centered brief outlines key principles, best practices, and frameworks for conducting comprehensive Environmental Justice (EJ) analyses, focusing on inclusive community engagement throughout the development process.
World Resources Institute | Database of Community Benefits Frameworks Across the US: This comprehensive database offers information on various benefit frameworks (like host community agreements, project workforce agreements, and CBAs) to help communities and developers understand and apply these models in their own projects.
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CBAs can be an effective way to engage communities and increase the likelihood of local support for climate change and energy related infrastructure projects, particularly when the focus is on fostering genuine relationships and delivering meaningful, tangible benefits. However, caution is needed to ensure that these agreements are not used to justify further strain on already overburdened areas, with financial compensation merely serving as a means to overlook longstanding challenges. Instead, CBAs should be a tool for delivering real, lasting solutions. By prioritizing transparency, actively involving a diverse range of community voices, and ensuring that agreements are publicly available, CBAs can create projects that build trust, promote accountability, and truly benefit the communities they serve.
