A major infrastructure plan proposed by President Donald Trump on Wednesday could include billions of dollars in federal money, potentially bringing a direct hit on state and local governments that struggle to pay for vital infrastructure projects.
The proposed $4 trillion infrastructure bill, which is expected to be introduced next week, is the first major legislative package since Trump took office in January.
It’s expected to give him leverage to push through major infrastructure projects as part of his “Make America Great Again” agenda.
The legislation, which has been called the “Trump infrastructure plan,” would provide $1 trillion in direct spending to state and county governments to rebuild roads, bridges, airports, railways and water systems.
It would also allow states to use tax credits to build roads, and to encourage private investment in those projects.
The money would go toward upgrading existing infrastructure and other major projects that could help meet Trump’s goals of “making our communities safer, cleaner and more prosperous,” the White House said.
The plan would provide funding for $2 trillion in infrastructure projects, including the Keystone XL Pipeline, the $1 billion-plus Keystone Cargo Train and the Keystone Energy Pipeline.
The Trump administration also is pushing to fund a border wall that would help secure the U.S.-Mexico border.
Trump is expected on Thursday to announce a list of his priorities for infrastructure, including a $1,000 federal grant for new roads and bridges, as well as billions of other public and private dollars.
“We need to rebuild our roads, our bridges, our water systems, our airports, our railways, our ports, our roads,” Trump said on Tuesday.
“That’s why this is so important to me.
I want our nation to be able to get to jobs, to be competitive, to compete globally.”
State and local spending on infrastructure was already a top priority for the Trump administration, which pledged to make $1-trillion in infrastructure investments in fiscal 2018.
It also has a $7-trilion “National Infrastructure Recovery Act” that could see $1 to $2 billion in funding for state and rural infrastructure.