President Obama announced a $302 billion transportation reauthorization bill on February 26 in St. Paul, Minnesota. The bill outlines a four-year program that would be primarily funded through $150 billion in income from corporate tax reform. It also budgets $4 billion for the reauthorization of the Transportation Infrastructure Generating Economic Recovery (TIFIA) program.

Politicians and industry insiders expect the bill to face an uphill battle. They agree that corporate tax reform is unlikely to pass during an election year.

Ballard Spahr public finance attorney Steve T. Park called the proposal “bold,” but noted that some elements could garner meaningful support. The TIFIA grant program has become “wildly popular,” said Mr. Park, because it rewards “shovel-ready projects.”

The legislation currently funding transportation will expire this fall.

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P3/Infrastructure
Public Finance