Washington (AP) — President Joe Biden and a bipartisan senator group agree to significantly increase infrastructure spending, although significant hurdles remain before the blueprint released Thursday becomes a reality. Did.
According to the White House, the agreement requires approximately $ 579 billion in new spending over the next five years for roads, bridges, public transport and other public works. Adding the amount that the federal government currently expects to spend on these items, the total is about $ 973 billion over five years.
Let’s see where these dollars go and how lawmakers make changes to the payment of new spending.
The agreement requires a $ 109 billion boost for roads and bridges. This is the number one item in the plan, but looking at it, the American Society of Civil Engineers estimates that the country has $ 786 billion of unprocessed capital demand for roads and bridges.
The next largest application information in the transportation sector is $ 66 billion for freight and passenger railroads, $ 49 billion for public transport, and $ 25 billion for airports. For 36 years as a senator, Biden regularly rode Amtrak between his homes in Washington and Wilmington, Delaware, proposing a significant increase in federal funding for rail services.
Proponents say that increased use of public transport and rail will reduce greenhouse gas emissions. To speed up the use of electric vehicles, the plan will require $ 7.5 billion in electric vehicle charging stations.
In addition to transportation, the plan also aims to increase funding by approximately $ 73 billion to a broader network of transmission lines to power households and businesses throughout the county from solar and wind power. .. There are also $ 65 billion to enhance broadband access and $ 55 billion to improve the country’s drinking and wastewater systems.
Biden didn’t want to increase the user fees, federal gas and diesel taxes normally used to finance highways and transportation. Republicans didn’t want to raise corporate taxes. The result was a cash battle. By withdrawing dollars from existing programs, cracking down on tax evaders, auctioning a spectrum of 5G services, making at least one credible standby for Congress, and selling some of its strategic petroleum reserves. , Propose payment of the bill.
According to a document from Senator Rob Portman of R-Ohio, he predicts that spending an additional $ 40 billion on the IRS will generate about $ 140 billion in additional federal revenue through auditing and improved customer service. I am. The agency suffered a budget cut that began about 10 years ago, reducing the number of staff and the audits it conducted.
Another major source of income is to regain $ 80 billion in unused COVID bailout funds, as well as some of the supplementary unemployment insurance provided in this year’s COVID bailout bill. Dozens of states have refused the federal government’s temporary $ 300 weekly benefit, claiming that this payment is preventing people from returning to the workforce.
Lawmakers also estimate that improving the integrity of the state’s unemployment insurance system will raise $ 65 billion and $ 72 billion in spectrum auctions for 5G services. Perpetrators of fraud, sometimes in China, Nigeria and Russia, purchased personally identifiable information stolen on the dark web and flooded the state’s unemployment system with false allegations.
Snapshot of bipartisan infrastructure agreement
Source link Snapshot of bipartisan infrastructure agreement