Biden Administration announces details on major new infrastructure push
This post contains references to products from one or more of our advertisers. We may receive compensation when you click on links to those products. Terms apply to the offers listed on this page. For an explanation of our Advertising Policy, visit this page.
President Joe Biden is unveiling details of his massive two-trillion-dollar-plus infrastructure package at a news conference in Pittsburgh. The bill being worked up by Congress right now would put $621 billion dollars into transportation and infrastructure projects. Biden says his plan, “Modernizes transportation infrastructure.”
For more TPG news delivered each morning to your inbox, sign up for our daily newsletter.
The projects will include bridges, roads, public transportation, ports, airports and electric vehicle infrastructure, and research and development. The plan will also raise taxes on the wealthy and corporations to pay for it. It will raise the corporate tax rate to 28% and would increase the tax rate on high-earners, according to Reuters.
President Biden said, “It’s a once-in-a-generation investment in America.”
The Washington Post, quoting anonymous Biden Administration sources, reports the highest income tax rate would go to 39.6%, and taxes on wealthy investors would also rise. The Post also reports the wealthy would see a reduction in the number of deductions they can claim on their income taxes.
President Biden said, “It’s time to build our economy from the bottom up.. not from the top down.”
The White House says the law would pay for itself in 15 years. White House spokesperson Jen Psaki said in a press briefing on Monday that, “The president has a plan to fix the infrastructure of our country… and he has a plan to pay for it.”
The New York Times is reporting that the bill would repair or rebuild 20,000 miles of roads, and fix 10 of the most economically important bridges in the country.
According to the Times, the plans include $115 billion for roads and bridges, $85 billion for public transit and $42 billion for ports and airports.
There’s not a ton of details yet, but the bill will also provide $80 billion for Amtrak and freight train upgrades according to the New York Times.
President Biden has talked often about his dreams of sparking the “second great rail revolution.” Biden’s love for commuting via Amtrak and passenger rail is no secret. That’s also a priority for Biden’s Transportation Secretary Pete Buttigieg who told TPG back in February:
“This isn’t just rewinding to 2019. This is how to make sure that the 2020s are remembered as the years in which America once more took the lead on infrastructure globally. That’s everything from making sure our roads and bridges are up to date to being prepared for a future that includes electric vehicles and automated vehicles, and it means doing so in a way that meets the climate challenge and that meets challenges of racial and economic justice that, frankly, in the past have sometimes been made worse by federal decisions about transportation. Now we have a chance to make things much better.”
Where is rail investment most needed? According to the President and CEO of the U.S. High Speed Rail Association Andy Kunz, there are five top-priority projects the administration could look at. They include rail projects in California, Texas, Florida and the Pacific Northwest, as well as upgrades to Amtrak’s Northeast Corridor. Additionally, the organization has said it would like the Biden administration to create a new High-Speed Rail Development Authority within the Department of Transportation (DOT).
Rick Harnish, executive director for the High Speed Rail Alliance told the Wall Street Journal, “There’s a couple projects that, if you really pushed them, they could really demonstrate what high-speed rail could do.”
In his campaign messaging, Biden said that he “will make sure that America has the cleanest, safest, and fastest rail system in the world — for both passengers and freight.” To do that, then-candidate Biden said he would “tap existing federal grant and loan programs” at the DOT as well as working with Amtrak and private freight companies to further electrify the country’s rail system.
Featured image of President Biden in Pittsburgh, Pennsylvania on March 31, 2021 by Jim Watson/AFP via Getty Images.
Welcome to The Points Guy!
WELCOME OFFER: 80,000 Points
TPG'S BONUS VALUATION*: $1,650
CARD HIGHLIGHTS: 2X points on all travel and dining, points transferrable to over a dozen travel partners
*Bonus value is an estimated value calculated by TPG and not the card issuer. View our latest valuations here.
- Earn 80,000 bonus points after you spend $4,000 on purchases in the first 3 months from account opening. That's $1,000 when you redeem through Chase Ultimate Rewards®. Plus earn up to $50 in statement credits towards grocery store purchases within your first year of account opening.
- Earn 2X points on dining including eligible delivery services, takeout and dining out and travel. Plus, earn 1 point per dollar spent on all other purchases.
- Get 25% more value when you redeem for airfare, hotels, car rentals and cruises through Chase Ultimate Rewards®. For example, 80,000 points are worth $1,000 toward travel.
- With Pay Yourself Back℠, your points are worth 25% more during the current offer when you redeem them for statement credits against existing purchases in select, rotating categories.
- Get unlimited deliveries with a $0 delivery fee and reduced service fees on eligible orders over $12 for a minimum of one year with DashPass, DoorDash's subscription service. Activate by 12/31/21.
- Count on Trip Cancellation/Interruption Insurance, Auto Rental Collision Damage Waiver, Lost Luggage Insurance and more.
- Get up to $60 back on an eligible Peloton Digital or All-Access Membership through 12/31/2021, and get full access to their workout library through the Peloton app, including cardio, running, strength, yoga, and more. Take classes using a phone, tablet, or TV. No fitness equipment is required.