President Biden’s $2.3 trillion infrastructure plan faces a contentious path on Capitol Hill, where Republicans criticized the proposed corporate tax increases as a nonstarter and some Democrats began to jockey for their own demands.
While Democrats narrowly control both chambers of Congress, the party faces challenges in passing the infrastructure plan. The efforts to rebuild roads, bridges and airports and expand broadband access, but Republicans oppose tax hikes as part of the process.
Among the administration’s goals, it aims to revamp 20,000 miles of roads and highways and repair 10,000 bridges. The proposal calls to build a national network of 500,000 electric vehicle chargers by 2030 and replace 50,000 diesel public transit vehicles.The administration hopes to build or rehabilitate 500,000 homes for low- and middle-income Americans and replace all lead pipes in drinking-water systems. The plan also aims to deliver universal, affordable broadband service.
Mr. Biden’s plan would provide $621 billion for surface transportation, $400 billion for long-term care for elderly and disabled people under Medicaid and $300 billion for domestic manufacturing, along with hundreds of billions of dollars for other efforts. It also includes a series of tax increases on companies, including raising the corporate tax rate to 28% from 21%, that the White House said would cover the cost of the spending over 15 years.
While both parties have circled around passing a major infrastructure package for years, disagreement about the scope of such a bill and how to pay for it have stymied previous efforts. If Democrats move to pass an infrastructure package without Republican support, its scope could be limited by Senate rules constraining what legislation can advance with a simple majority.
Unlike the $1.9 trillion coronavirus relief measure Mr. Biden recently signed into law, lawmakers don’t face a looming deadline to pass this package. House Speaker Nancy Pelosi has set July 4 as a tentative goal for passing the bill, according to a person familiar with the matter, though has indicated that timeline could slip until later in July. The White House claimed that it would like the package to be passed by this summer.