If there’s one thing President-elect Donald Trump, Congress and a lot of Democrats can agree on, it’s the need for more spending on bridges, roads and other infrastructure. And corporate America and lawmakers are salivating at the prospect of a windfall.
“Infrastructure” is “the happiest word in American politics,” said Jason Grumet, president of the Bipartisan Policy Center, a Washington think tank.
Trump’s call for new roads, bridges and other public works finds wide support https://t.co/twk3IgwVUe
— Washington Post (@washingtonpost) November 12, 2016
At least for now. A presidential transition website this week said Trump will invest about $550 billion in new projects. But he hasn’t spelled out his priorities. Nor is it clear how much of that total would be new federal spending and how much would come from the private sector. And Congress might have its own ideas.
Two of Trump’s advisers, Wilbur Ross, a private-equity investor, and Peter Navarro, a University of California at Irvine business professor, released an analysis Oct. 27 suggesting that the federal government could provide tax credits — a form of subsidy — to investors in infrastructure and recapture lost revenue through taxes on higher wages and contractor profits. The credits would cover $137 billion, or 82 percent, of the equity investment needed for $1 trillion of infrastructure, according to the analysis.