In his second whopping package since taking office, Joe Biden outlined what he called a “bold” $2 trillion plan to aggressively invest in repairing American infrastructure and addressing climate change.
The investments would be made over a total of eight years, relying on a hike of the corporate tax rate to 28 percent.
Here are five major takeaways from the announcement, as reported by The Hill.
1. The proposal is not dreamy enough for progressives
Progressive democrats aren’t so happy with Biden’s proposal, arguing it isn’t large enough to address climate change.
Rep. Alexandria Ocasio Cortez, queen of the progressives, tweeted Tuesday that the package “needs to be way bigger,” noting that the package would be spent over a much longer timetable than Biden’s rescue package.
Meanwhile, a coalition of progresive organizations making up the Green New Deal Network are pressing Biden for stronger action when it comes to addressing climate change, such as the $10 trillion climate agenda backed by Sen. Ed Markey and other members of the progressive caucus.
2. Republicans are unlikely to support the proposal
Getting team-right support for a bill paid for through tax increases is unlikely.
“Our nation could use a serious, targeted infrastructure plan. There would be bipartisan support for a smart proposal. Unfortunately, the latest liberal wish-list the White House has decided to label ‘infrastructure’ is a major missed opportunity by this Administration,” Senate Minority Leader Mitch McConnell said in a statement.
The proposal calls for paying for the legislation over 15 years by raising the corporate tax rate from 21 percent to 28 percent.
3. The plan is spread too thin & goes too far beyond roads and bridges
Only $620 billion of the investment will go towards repairing transportation infrastructure.
The plan also puts $174 billion toward boosting the market for electric vehicles, setting up incentives for state and local governments to build a national network of 500,000 electric vehicle chargers over the next decade.
Biden is also proposing over $100 billion in funding to ensure safe drinking water by eliminating all lead pipes and service lines.
Additionally, one part is designed to enhance the “care economy,” with $400 billion towards access to home and community-based services for elderly people and the disabled.