Today, President’s Obama made a speech in St. Paul to launch a new round of TIGER (Transportation Investment Generating Economic Recovery) as well as his four year infrastructure proposal. The speech (which can be viewed above) did not go into much detail but the White House has posted more details on the President’s plan here.
The basic outline of the plan is to spend $302 billion in the next four years to improve the country’s infrastructure. Of the $302 billion, $90 billion will be new spending that was not planned before this initiative. The plan will also fill the funding gap in the Highway Trust Fund.
To pay for the additional spending the President will propose business tax reform that simplifies the tax code and closes loopholes. In a speech given yesterday Jason Furman, the Chairman of the Council of Economic Advisors, indicated that the business tax reform would be revenue neutral in the medium and long-term but in the short term it would provide revenue to finance infrastructure projects.
This proposal will help create jobs and more development while also lowering the cost of doing business and providing workers more efficient commutes to work. For this plan to succeed we must let Congress know that the proposal has support and that they must Fix the Jobs.