Dubbed the American Jobs Plan, the White House said the “once-in-a-century capital investment” in U.S. infrastructure will create “millions” of good-paying jobs and position America to “out-compete” China by spending about 1% of GDP per year over the course of 8 years.
Overall, the plan is to spend $2 trillion over the course of the coming decade.
Among the key tenets of the plan are modernizing 20,000 miles of highway, repairing 10,000 small bridges and 10 economically significant bridges, eliminating all lead pipes in drinking water systems, expanding access to high-speed broadband, modernizing schools and upgrading veteran’s hospitals.
The plan also aims to create better-paying jobs for care workers and allocate $100 billion to workforce development programs targeted at underserved groups and students.
Overall, the administration intends to spend around $650 billion on revamping bridges and roads, $300 billion on housing infrastructure, $300 billion on reviving U.S. manufacturing, $400 billion on care for the elderly and disabled, $400 billion on clean-energy credits, as well as an unspecified amount on broadband, water systems and other measures.
In order to pay for this legislation, Biden also proposed what he has called the Made in America Tax Plan, which would raise the corporate tax rate to 28% from 21%. It would also increase the minimum tax on multinational corporations to 21% and “calculate it on a country-by-country basis so it hits profits in tax havens,” alongside several other efforts to eliminate perceived loopholes in the corporate tax code.