The $1.2trn US infrastructure deal explained
America’s $1.2trn infrastructure bill was passed late on Friday night, securing the largest amount of investment in infrastructure seen in over ten years.
Broadly speaking, the investment will include refurbishing roads, replacing lead pipes and improving America’s power grid, in addition to supposed climate change focused infrastructure.
BREAKING: The $1.2 trillion infrastructure bill was just passed by the House and will now go to President Biden's desk.— Pomp 🌪 (@APompliano) November 6, 2021
They can't stop spending and asset prices can't stop going up.
In order to pay for the additional spending, $200bn in funds originally earmarked for Covid-19 will be used, as well as $50bn from a rule on Medical rebates from the Trump era. Also, $50bn will be taken from a number of states’ unemployment insurance supplemental funds which haven’t been used.
Close to half of the $1.2trn is previously approved funding.
The bill passed thanks to 13 uniparty Republicans, along with the Congressional Black Caucus, who short-sheeted House Progressives, to the bemusement of many conservatives in America.
The House just passed the $1.2 trillion Infrastructure Bill. 13 spineless RINO Republicans voted for the bill. They all need to be primaried. Get them out. All of them.— Kambree (@KamVTV) November 6, 2021
Tax hikes and an upgrade of IRS enforcement capabilities will be needed too to offset the high levels of spending, both of which could be included into the reconciliation bill.
It has been estimated that $256bn could be added on to the nation’s budget deficit over the next 10 years, according to the Congressional Budget Office, which will end up on America’s already enormous $29trn debt.
The US National Debt is $29 trillion. This is a $86k debt obligation per citizen. Debt continues to increase at unprecedented rates. Spending and money printing is out of control. And they now want to spend even more. Eventually they will be forced to hyperinflate this away.— Nancy Pelosi Portfolio Tracker (@NancyTracker) November 2, 2021
Back to the specifics involved. What are some of the specific infrastructure changes?
Around $110bn will be spent on improving the nation’s roads and bridges. $39bn will be spent on upgrading public transit systems, including improving access for the elderly and disabled.
Amtrak, having been created half a century ago, will see its biggest ever investment with $66bn set aside for high-speed rail.
The bill will seek to ensure that every American has access to high-speed internet via $65bn of spending.
This is a big deal. The House just passed the historic, bipartisan infrastructure bill.— Amy Klobuchar (@amyklobuchar) November 6, 2021
It’s going to expand broadband, build roads, fix bridges, create jobs, and so much more!
Thousands of miles of new transmission lines will be provided in addition to environmentally friendly smart-grid technology, in an effort to upgrade America’s energy grid.