As a new administration adjusts to their positions within our government, many are asking what their plans are. Particularly, the construction industry is questioning Biden’s infrastructure plan. The “Build Back Better” plan invests $2 trillion over a span of 4 years to complete tasks such as repair roads, bridges, and ports, creating affordable housing, improving broadband networks, and more.
However, many are concerned about when the plan will be implemented. The fear is rooted in the Trump administration, who promised infrastructure funding and never fulfilled their promise. The latest numbers from the Census Bureau on Monday show construction spending overall increased almost 6% last month compared to December 2019. But take out residential construction and it’s a different story. In industries that are hurting in the pandemic, like hotels, office and retail space, and transportation, construction is down. These construction projects have hope that Biden’s plan, if it materializes, would provide a much-needed boost.
And while lawmakers on both sides of government showed interest in a potential infrastructure package under the Biden administration, they have competing priorities for what the legislation should incorporate.
Republicans have been wary to discuss raising the federal gas tax, which has not been raised since 1993 with Representative Sam Graves (R-MO), arguing that infrastructure benefits can be achieved with funding mechanisms that don’t include an increase in the federal gas tax. Representative David Schweikert (R-AZ) vocalized the need for target spending concerning infrastructure funding. He also stated the need to move to an idea that is more equitable, bringing the money from individuals using the roads and bridges needing repairs. “A lot of the lobbying population still see the world of infrastructure as pouring concrete. For many of us, we want to say, ‘What is the ultimate definition that is actually good for our communities? What actually creates the most economic growth? It’s going to be a combination of technology, smart design, and pouring that concrete,’” Schweikert said.
Democrats have countered, saying that any infrastructure package needs to have some kind of climate change initiative attached to it and arguing that environment-related provisions should be included. Left lawmakers weighed into that debate again last week, with Rep. Ted Deutch (D-FL) saying there should be bipartisan support for implementing a carbon charge. “Polluters ought to pay. They should pay for the carbon they put into the atmosphere,” he said. House Transportation and Infrastructure Committee Chairman Peter DeFazio (D-OR) also commented, stating, “Infrastructure has to be a national effort…”
Overall, there is support from both parties to advance an infrastructure package of some kind in the 117th Congress. The uphill battle is the fine details in the plan and how best to fund the overall project.
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