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June 18, 2020
2020-1602

House Democrats unveil infrastructure proposal without pay-fors

House Democrats June 18 unveiled their $1.5 trillion infrastructure proposal (The Moving Forward Act, H.R. 2) that is slated to come to the floor before the July 4 recess and includes a Ways and Means portion that addresses financing issues like permanently reinstating Build America Bonds and Advance Refunding Bonds, and increasing and expanding the issuance of Private Activity Bonds. The foundation of the package is the House Transportation & Infrastructure Committee's nearly $500 billion/five years surface transportation portion that is currently being marked up with consideration of amendments.

The description of the broader proposal largely tracks the Moving Forward framework released in January. In addition to financing provisions, the bill would make permanent and expand the New Markets Tax Credit and temporarily increase the Historic Tax Credit program for all projects, permanently expand the credit for small projects, and eliminate rules that prevent access for non-profits, including public schools.

Ways & Means Committee Chairman Richard Neal (D-MA) highlighted other provisions including "programs to combat climate change by deploying green energy technologies to help reduce greenhouse gas emissions" and "create new green, good-paying union jobs." He also said, "There is a desperate need for modernizing low-income housing and the Committee proposed a massive expansion of the Low-Income Housing Tax Credit to get us there."

The materials do not describe revenue provisions, which Chairman Neal told reporters must be the subject of negotiation. His office previously suggested Congress and the Administration will need to work together on pay-for possibilities.

Legislative language has not yet been released and it is unclear if it will be released prior to Rules Committee consideration of debate parameters on the bill, which is expected to be on the House floor the week of June 29.

A fact sheet is attached. A press release is here.

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For additional information concerning this Alert, please contact:
 
Washington Council Ernst & Young
   • Any member of the group, at (202) 293-7474.
   • Heather Meade (heather.meade@ey.com)
   • Laura Dillon (laura.dillon@ey.com)

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ATTACHMENT

The Moving Forward Act

 

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