The new plan would reduce the size of Biden’s initial proposal, known as the American Jobs Plan, from $2.25 trillion to $1.7 trillion and make four key concessions, according to the counteroffer document obtained by CNN.
- Biden is prepared to take off the table the manufacturing, research and development and innovation elements and pursue them in separate legislative processes.
- Biden will accept the GOP proposed funding level of $65 billion in broadband investments. His plan called for spending $100 billion on broadband, but the White House still believes they can achieve universal access to affordable high-speed internet at the lower funding level, though it will take longer.
- Biden is willing to reduce his request for $159 billion in funding above current levels in roads, bridges, and major infrastructure projects to just $120 billion in new investment. The Senate Republican framework called for $48 billion.
- The White House says it is willing to find common ground on a financing facility with a range of infrastructure projects eligible, including energy infrastructure. The Biden plan included $27 billion for a facility that would leverage private capital into energy infrastructure projects and another $10 billion for a facility that would offer debt and equity capital to small and medium-sized manufacturers.
However, the White House also pointed to nine other areas that they consider important but that the GOP lawmakers either left out or funded at lower levels.
These include the $400 billion measure to bolster caregiving for aging and disabled Americans and improve the wages of home health workers, which is the second largest piece of Biden’s plan, as well as investments in the remediation of brownfields and other environmental sites, the construction and modernization of veterans’ hospitals, the enhancement of workforce development programs, the expansion of electric vehicle infrastructure, the elimination of lead pipes and the strengthening the resilience of transportation and other physical infrastructure to better extreme weather, among others.
Also, the President opposes funding the proposal through an increase on gas taxes and user fees, which the White House says will increase the financial burden on working Americans, the counteroffer stressed.
Biden’s infrastructure plan is the first of a two-part proposal to help the nation’s economy recover from the coronavirus pandemic. Biden unveiled the second part, dubbed the American Families Plan, last month. It calls for spending $1.8 trillion to invest in things like education, child care and paid family leave.
The President plans to pay for the infrastructure portion by raising corporate taxes — a core campaign promise the administration says would raise more than $2 trillion over the next 15 years. The American Families Plan would be paid for by raising taxes on the wealthy.
Here’s what was included in the original Biden infrastructure proposal:
Transportation: $621 billion
Funding improvements to roads, bridges, railways and other infrastructure has been a central piece of Biden’s recovery plans. He has said that it will create “really good-paying jobs” and help the nation compete better.
Biden would spend $621 billion on roads, bridges, public transit, rail, ports, waterways, airports and electric vehicles in service of improving air quality, reducing congestion and limiting greenhouse gas emissions. But this is one of the funding areas Biden is willing to reduce.
His proposal calls for allocating $115 billion to modernize 20,000 miles of highways, roads and main streets, and $20 billion to improve road safety for all users. It would fix the “most economically significant large bridges” and repair the worst 10,000 smaller bridges.
Biden would also invest $85 billion to modernize existing transit and help agencies expand their systems to meet demand. This would double federal funding for public transit.
Another $80 billion would go to address Amtrak’s repair backlog and modernize the Northeast Corridor line between Boston and Washington DC — the line Biden relied on for decades to get home to Delaware — as well as to connect more cities.
Also, the President would funnel $25 billion to airports and $17 billion to inland waterways, ports and ferries.
Biden is also proposing to accelerate the shift to electric vehicles with a $174 billion investment in the electric vehicle market. It includes giving consumers rebates and tax incentives to buy American-made electric vehicles and establishing grant and incentive programs to build a national network of 500,000 charging stations by 2030. It would also replace 50,000 diesel transit vehicles and electrify at least 20% of yellow school buses.
Home care services and workforce: $400 billion
Biden would provide $400 billion to bolster caregiving for aging and disabled Americans.
His plan would expand access to long-term care services under Medicaid, eliminating the wait list for hundr
Here’s what’s in Biden’s counteroffer on infrastructure
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