Biden and bipartisan group of lawmakers reach deal on infrastructure

Today, President Joe Biden announced he had reached a deal on infrastructure with a bipartisan group of lawmakers. The measure includes $579 billion in new spending on infrastructure, for a total price tag of $1.2 trillion over eight years.

The measure focuses on traditional infrastructure like roads, bridges, rail and broadband and it includes $7.5 billion for electric vehicle infrastructure. Rather than raising taxes on corporations, the measure would be paid for via unused Covid-19 relief money, increased tax compliance and user fees, among other measures. Details are still lacking.  

Biden and business groups encouraged Congress to quickly pass the proposal. He said the infrastructure bill will move on a “dual track” with a separate spending package advancing Democratic priorities.  Business groups generally applauded the proposal. The news is likely to anger some far-left lawmakers who had hoped for a much larger, one-party approach to infrastructure to be paid for via higher corporate taxes.

The verdict is still out as to whether key players like Senate Majority Leader Chuck Schumer (D-N.Y.) and Senate Minority Leader Mitch McConnell (R-Ky.) will endorse the deal.