Original proposal
On March 31, 2021,[13] Biden unveiled details of the $2.3 trillion American Jobs Plan (which, combined with the American Families Plan, amounted to $4 trillion in infrastructure spending),[14] which he billed as "a transformative effort to reshape the nation's economy."[15] The plan aimed to create millions of jobs, strengthen unions, expand labor protections, and address change. climate.[16][17].
The plan called for $621 billion of spending on transportation infrastructure. That included $115 billion for highways and roads, $80 billion to upgrade U.S. railroads, $85 billion to modernize public transportation, $25 billion for airports, $174 billion to incentivize the adoption of electric vehicles (including $15 billion to build electric vehicle charging stations by 2030), and $17 billion for inland waterways, coastal ports, land ports of entry and ferries. He also called for electrifying at least 20% of the country's yellow school bus fleet.[13].
The plan called for $100 billion in funding for American energy infrastructure, with the goal of transitioning the country to 100% carbon-free electricity production by 2035. It was intended to establish a "Grid Deployment authority" within the Department of Energy to support the construction of high-voltage transmission lines.[3].
The plan included $213 billion to build and modernize more than 2 million homes and $40 billion to improve public housing.[13] It also sought to end exclusionary zoning.[17] The plan included $111 billion to modernize drinking water, wastewater, and stormwater systems. $45 billion of that amount went to replacing 100% of the country's lead water pipes.[3] The plan aimed to provide universal high-speed broadband coverage.[13].
The American Jobs Plan proposed a $16 billion investment to plug "orphan wells," abandoned oil or gas wells that continually release methane emissions.[18] The plan contained $100 billion to build and improve public schools, $25 billion to improve child care facilities, and $12 billion to spend on community colleges.[13]
In addition, it contained a proposal for a Civilian Climate Corps loosely modeled on the Civilian Conservation Corps (CCC) created during the New Deal.[19] He also proposed that $10 billion be allocated for the program, which the White House said would create between 1 and 20 jobs.[18] In contrast, during its nine years of operation, about three million people participated in the original CCC.[20].
The plan would have spent $180 billion on research and development, including substantial spending on clean energy and basic climate research. It would also have spent $50 billion on semiconductor technology.[13] The plan set aside $300 billion for manufacturing expenses.[3].
The plan included $400 billion to expand access to home or community care for seniors and people with disabilities.[13].
Passage of the Protecting the Right to Organize Act (PRO Act) was included as part of the proposal.[21] The legislation would strengthen unions by overriding state right-to-work laws;[22][23] and making union elections secure.[24].
Funding was planned to come from increasing the corporate tax rate as part of a proposed "made in America" tax plan.[3] This would have partially reversed the Tax Cuts and Jobs Act of 2017. The corporate tax rate would have been raised from 21% to 28%, bringing it closer to the pre-2017 rate of 35%. The plan aimed to raise more than $2 trillion by 2036,[17] with other methods including eliminating subsidies for fossil fuel companies, increasing the global minimum tax from approximately 13% to 21%, and deficit spending.[13][25].
There was also an increase in global intangible low-taxed income (GILTI) from 10.5% to 21%.[26] GILTI taxes target intangible assets such as patents, copyrights, and trademarks ("Trademark"), which companies can sometimes use to avoid taxes. This tax was created in 2017 to discourage companies based in the United States from transferring their profits to corporate tax havens.[27].
Bipartisan bill
On July 28, 2022, Senate negotiators announced that a $1.2 trillion deal had been reached for physical infrastructure.[28] According to NPR, this included:[28].
The bill also made the Minority Business Development Agency a permanent agency.[29] On August 10, the Senate voted 69 to 31 to advance the bill.[30][31] On November 5, the House of Representatives passed it, 228-206.[32] Biden signed the legislation into law on November 15.[33].
Reception
The Center for American Progress (CAP), a liberal think tank, praised the original AJP for its focus on climate justice.[34] The program also received support from some unions; and AFL-CIO President Richard Trumka praised the plan for its inclusion of the PRO Act.[35] Senator Bernie Sanders favored the plan and argued that the White House should go further.[36]
Political conservatives called the original legislation costly and questioned the inclusion of policy areas not traditionally considered "infrastructure." Republican Senator Ted Cruz criticized the plan, arguing that it would lead to job losses and serve as a "New Deal lite, disguised as an infrastructure plan." House Minority Leader Kevin McCarthy called the plan "major expansions of infrastructure." government agencies and even more inflation that will lead to higher costs for all Americans."[39].