As the U.S. swelters under consecutive and widespread heatwaves and Hurricane Beryl kicks off what is expected to be an abnormally active hurricane season, communities and businesses across the country are tapping all strategies and available resources to endure and prepare for a long summer of weather extremes. Indeed, the frequency of so-called “billion-dollar” weather-related disasters is already on pace with last year’s record year.

In the face of these challenges and potential threats, businesses can set an example by reducing their own operational risks, building the resilience of their workforce, supply chains, and the communities where they operate, and bringing innovative solutions to the marketplace. The federal government also plays a crucial role in driving private sector action and supporting community level resilience through its funding programs, guidance and technical assistance as well as regulations, standards, and incentives that prioritize and integrate climate resilience.

Given the scale and complexity of building resilience across communities and sectors and the interest of both the public and private sectors, a shared action agenda is urgently needed to align capabilities and develop and deploy the solutions that will position communities and local economies for thriving futures.

Last month, representatives from fourteen companies from industries including technology, communications, electric utilities, insurance, engineering, and more joined members of five federal agencies and offices in a roundtable discussion on advancing climate resilience in the United States. The robust conversation, convened by the Center for Climate and Energy Solutions (C2ES), Resilience Rising, and the Resilience Roadmap project, identified the emerging levers that federal agencies and companies are using to advance climate resilience in the United States. The convening also uncovered a broad desire for a shared action agenda to accelerate it.

The dialogue identified common sticking points among businesses as they consider approaches to building resilience to mounting climate impacts. Some of these include a reliance on critical infrastructure owned by other entities, a lack of guidance on employee safety standards, bureaucracy that can delay certain business investments, and a lack of necessary skills in the workforce. Companies aren’t the only ones facing challenges; with limited government resources and time to adapt, participants agreed that it is essential for federal agencies to assess and continuously improve the performance of their actions and programs.

A shared action agenda must address key challenges in broad areas such as coordinated infrastructure planning and workforce development and training. It should also address “keystone” areas like the quickly shifting insurance market and electric grid resilience. To accelerate action by the private sector, the federal government must remove barriers and establish easier pathways for private investment and develop incentives for employee protections and safe work environments.

The roundtable discussion highlighted four strategic collaboration areas to include in an effective shared action agenda. These aspects provide a roadmap for aligning public and private efforts toward building climate resilience. 

• Aligning public and private investments to rapidly scale solutions. There are multiple ways the private sector can align with government programs to scale investments in climate resilience. For instance, to fill the growing set of skills gaps, companies will need to identify the skillsets needed and then partner with and support workforce training programs to provide job opportunities to graduates.NOAA’s Climate-Ready Workforce Initiative is engaging employers across 9 new projects that will train and place workers, particularly from underserved and economically disadvantaged communities, in good-paying jobs that enhance climate resilience and strengthen coastal economies. Another opportunity to align public and private investments is through FEMA’s Building Resilient Infrastructure and Communities (BRIC) program, which provides grants and technical assistance for innovative risk mitigation projects and encourages applications that have the backing of a range of private and public sector partners. For example, BRIC has just selected thirty critical infrastructure projects to receive $237 million in federal cost-share; these projects will elevate utility pumping stations, enhance power poles, and more.

• Developing new combinations of existing capabilities to address growing risks. In many ways, the puzzle pieces for developing resilience solutions are already in hand but need to be assembled in different ways to address current needs. For example, existing insurance tools could be re-designed to incentivize adaptation and protect community affordability. This could take the form of insurance incentives for community-wide risk mitigation measures (e.g. wildfire resilience), with appropriate measures to support action by under-resourced communities and avoid inequitable outcomes.Employers could also explore how their employee benefits programs could be expanded to support a resilient workforce (e.g. a company program could help employees access homeowner’s insurance where rates are increasing).

• Creating the enabling environment for broad private sector action. The federal government is well-positioned to advance standards and best practices to protect workers and help companies operate effectively in the face of climate impacts. For example, a common understanding of what “good practice” looks like for growing hazards, like extreme heat, would benefit all employers and employees. While the Department of Labor’s Occupational Safety and Health Administration (OSHA) has proposed a rule for the nation’s first-ever federal safety standard around excessive heat in the workplace, at minimum, the federal government could help design guidelines and champion well-designed employee protection initiatives.Similarly, certain government entities can help establish common baseline standards and guidelines for the private sector (e.g., for infrastructure projects). On the other side of this, companies can create clear demand signals by advocating for a policy environment that rewards

• Driving action in priority areas. Among both federal agency representatives and corporate leaders at the roundtable, there was a shared sense that capital must be driven quickly to critical investments. Given the scale and speed of investment needed, and that federal resilience funding may be nearing its peak (for now), this will only be achievable if opportunities and needs are addressed in ways that unlock and leverage private sector investments. Participants noted specific opportunities to prioritize public and private investments and align action to scale solutions that work. For example, FEMA’s new map of Community Disaster Resilience Zones can be used by government agencies and companies to identify geographic areas of need, and to channel planning and technical assistance, and community-grantmaking activities to these zones.

Although there is still time to avoid the worst impacts of climate change through decarbonization, it is clear that action is necessary to reduce today’s vulnerabilities and risks. As leading companies pave the way for private sector action, through efforts like the Corporate Climate Resilience Pathways initiative, open dialogues that help quickly assess interdependencies and identify opportunities for collaboration with the federal government are critical. By aligning public and private investments, developing new capabilities, and creating an enabling environment that drives action in priority areas, we can foster a climate-resilient economy that benefits communities across the nation.