Published: Mon, February 12, 2018
World | By Paul Elliott

Trump to unveil plan to raise $1.5 trillion for infrastructure

Trump to unveil plan to raise $1.5 trillion for infrastructure

The rest is expected to come from state and local governments and private investment.

And he said if local governments do engage in the Trump plan, it could result in an even heavier tax burden on residents in NY and other high-tax states where many taxpayers likely will pay more federal taxes because they can deduct only $10,000 in state and local taxes from their federal returns.

The White House plans to further its efforts to cut regulatory burdens in its budget - including as part of its infrastructure plan.

Shuster has repeatedly called for a sustainable source of funding.

The budget request that President TrumpDonald John TrumpTillerson: Russia already looking to interfere in 2018 midterms Dems pick up deep-red legislative seat in Missouri Speier on Trump's desire for military parade: "We have a Napoleon in the making" MORE is releasing Monday will propose more than $23 billion for border security and immigration enforcement - including funds for a wall along the U.S. -Mexico border, the White House said Sunday.

Trump's infrastructure plan would put up $200 billion in federal money over the next 10 years to leverage $1.5 trillion in infrastructure spending, relying on state and local governments and the private sector to contribute the bulk of the funding.

"There will be a lookback provision so that states and local governments who have already recently raised revenues aren't penalized for being forward thinking and implementing the types of policies that we're encouraging through this program", a senior administration said. But the fund would match investments only up to $0.20 on the dollar at the maximum level of federal investment.

The official would not say where exactly the $200 billion is being cut from in other areas of the budget - though they said "there are some reductions in things like transit funding and TIGER grants, and things where the administration thinks that infrastructure funds haven't been spent efficaciously".

"So the way the incentive program works is, come with revenue and come with a project, and your score is higher based upon the share of non-federal revenue that you have in your project", the official said. And how do we know they truly care about them?

NY and Jersey have said they are unable to complete the project without sizable federal investment.

"Monday's our opening in terms of providing ideas to Capitol Hill", senior administration officials told reporters.

"Not only are we not walking away from the federal responsibility, we're taking even more responsibility to ensure that we get infrastructure funding and permitting on a sustainable track for generations", the senior administration official said.

The proposal also calls for US$50 billion for rural infrastructure, with states' governors to be given more latitude to decide on priorities.

The official explained that "virtually 100 percent of major infrastructure in the USA requires some form of federal permitting", but the federal government funds just about 14 percent of infrastructure costs, and owns an even smaller percentage.

But even an investment of $1.5 trillion towards infrastructure over the next decade won't be almost enough to keep pace with the needed repairs. At least as important is a plan to to shorten the permitting process for projects so that obtaining a permit takes no longer than two years, one administration official said. The American Society of Civil Engineers said a year ago that the US would need to invest $4.59 trillion by 2025 to improve the country's infrastructure.

In its background briefing, the White House said the permitting overhaul would require both actions by Congress and regulatory changes that could be accomplished under executive authority.

The official referenced the President's State of the Union address when moving to discuss issues with the environmental permitting process, "It's focused more on preparing for litigation and building up massive documents".

The plan also aims to invest in rural infrastructure and something that doesn't directly relate to brick-and-mortar infrastructure - workforce training.

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