Biden to Detail Infrastructure Proposal This Week in Pittsburgh
President Joe Biden is expected to unveil his plans for an infrastructure and economic growth proposal amounting to nearly $4 trillion while on a visit to Pittsburgh this Wednesday. The package is expected to be divided into two parts, with the first part focused on infrastructure investments for transportation and initiatives related to Biden’s efforts to address climate change. The second package will be geared toward domestic initiatives such as national childcare programs, free community college, and universal pre-kindergarten.
Increased funding for infrastructure and transportation systems is one of NAIOP's 2021 Legislative Priorities. We support continued direct federal sources of funding for maintenance and repair, added funding flexibility through increase public-private partnerships, and federal support for major projects of national significance.
The Biden administration has signaled that increased taxes will be a component of the plans, with many expecting proposals to increase corporate tax rates, eliminate the preferential deduction for partnerships and other pass-through entities, and increase the capital gains tax rate for high-income individuals, among others. The tax increases will face stiff opposition from Senate Republicans, and the extent to which Senate Democrats are willing to negotiate with Senate Republicans to achieve a bipartisan bill remains unclear. Many members of the Democratic caucus advocate use of the budget reconciliation procedure, which allows a simple majority vote in the Senate for passage of legislation instead of the 60 votes normally required to overcome a filibuster.