A bipartisan coalition recently introduced the Building and Renewing Infrastructure for Development and Growth in Employment (BRIDGE) Act in the U.S. Senate, which would create an infrastructure financing authority that would assist states and local governments with loans and loan guarantees to build and maintain infrastructure.
If the bill becomes law, the new authority would be given $10 billion in seed funding to spur private sector investment. It will be structured so that, over time, it will become self-sustaining and no longer will need federal appropriations.
The coalition was led by Sens. Mark R. Warner (D-VA) and Roy Blunt (R-MO), and the bill had seven cosponsors.
“As we mark the fifth annual Infrastructure Week, we must think boldly and make real investments in our nation’s infrastructure rather than kick the can down the road with short-term fixes,” Warner said. “The BRIDGE Act offers a bold, bipartisan solution to help address our infrastructure needs by incentivizing private investment and pairing it with public resources. This legislation will set a clear framework that will help create jobs, expand U.S. commerce and trade, and keep American businesses competitive.”
The United States spends two percent of its Gross Domestic Product on infrastructure. To close the $2 trillion, 10-year investment gap, this would need to be increased to between 2.5 percent to 3.5 percent, according to the American Society of Civil Engineers.