ROCHESTER, Minn. - The Biden Administration is at the starting point of a $3 trillion infrastructure bill and there's a lot of projects included in the proposal.
White House advisers are expected to present a two-part proposal to President Biden as early as this week. The first part focuses on infrastructure and clean energy and the second part is on potential tax increases. This is part of the recovery plan set by President Biden intended to help boost the economy.
The infrastructure proposal would focus heavily on money for roads, bridges and rails and it would also include hundreds of billions of dollars in spending for climate related measures, as well as research and development. On top of that, $100 billion will go towards education infrastructure. For the tax side of things, the potential increase would be on corporations and Americans making more than $400,000.
KIMT News 3's political analyst, Rayce Hardy, said there are mixed feelings about the proposal. "That type of government spending will lead to higher employment," he explained. "However, there's a side effect and the side effect is that it can put upwards pressure on prices, which could lead to inflation." Hardy said it could also increase deficits, which would raise the national debt.
Hardy explained the big question here is where will this money come from. "By May, something is going to happen. It's either going to be bipartisan: they're going to come together. Or it's gonna be through this reconciliation process where it's going to end up with a 51 to 50 vote," he said. The reconciliation process is how president Biden's $1.9 trillion relief package got approved.
White House officials stress that no final decisions have been made. President Biden still has to review the proposal, but sources say the $3 trillion plan could be put forward sometime this week.