Create $1 Trillion in Infrastructure Investment
Current Status: In ProgressAs of
As part of the American Energy & Infrastructure Act:
"Leverages public-private partnerships, and private investments through tax incentives, to spur $1 trillion in infrastructure investment over 10 years. It is revenue neutral."
"Leverage new revenues and work with financing authorities, public-private partnerships, and other prudent funding opportunities."
"Harness market forces to help attract new private infrastructure investments through a deficit-neutral system of infrastructure tax credits."
"According to the National Association of Manufacturers (NAM), without major improvements to our transportation systems, “the United States will lose more than 2.5 million jobs by 2025” (NAM, Build To Win, 2016). NAM estimates a “ten-year funding gap” of approximately $1 trillion. The Trump Infrastructure Plan is aimed at achieving a target of investment to fill this gap. NAM also found that $8 billion in infrastructure tax credits would support $226 billion in infrastructure investment over 10 years. Innovative financing programs also provide a 10-to-1 return on investment."
Many analysts believe that if high user fees or tolls are needed to help private investors recoup their investments, then a lot of infrastructure in America may simply never get funded. Many of these projects may be worthwhile, but they typically require public funding, and Trump's plan to provide private investment incentives does not also include a direct funding mechanism.
The White House reportedly began outlining an infrastructure plan in March 2017. Meanwhile, priorities in Congress including tax reform and healthcare have pushed an infrastructure bill onto the back burner with additional questions as to the mechanisms that the administration wants in place.