A newly created state company will manage the fund, to be filled with resources from road concession tolls.
Legislators argue the sell-off process requires a bill to be approved by congress.
The resources from the federal government will help finance projects in 23 cities across four states.
The Brazilian cities' administrations approved measures to impose retroactive real estate taxes reaching as far back as 2012 on the respective concessionaires.
The Minas Gerais state water utility will invest US$46mn to improve water and sanitation services in the city.
The move opens the way for the privatization process of Eletrobras, currently under analysis by the federal government.
The contracts were originally due to have been awarded last Friday but the process suffered a delay.
The Brazilian NOC is divesting a 90% stake in pipeline unit Transportadora Associada de Gás.