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Breaking down Biden’s $2 trillion infrastructure plan to give U.S. ‘innovative edge’

The Biden administration on Wednesday set in motion its next big campaign in congress: A $2 trillion infrastructure plan to rebuild roads, bridges, power grids and other projects. The rollout came during President Joe Biden's visit to Pittsburgh today, and partisan battle lines began forming soon after. White House Correspondent Yamiche Alcindor reports.

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  • Judy Woodruff:

    The Biden White House has set in motion its next big campaign in Congress: a far-reaching rebuild of roads, bridges, power grids and other projects. The rollout came in Pittsburgh today, and battle lines began forming.

    White House correspondent Yamiche Alcindor reports.

  • Pres. Joe Biden:

    Thank you.

  • Yamiche Alcindor:

    In the Steel City, President Biden laid out his plan to reengineer America's infrastructure. The price tag, $2.25 trillion.

  • Joe Biden:

    It's not a plan that tinkers around the edges. It's a once-in-a-generation investment in America, unlike anything we have seen or done since we have built the interstate highway system and the space race decades ago.

  • Yamiche Alcindor:

    Mr. Biden said the plan would create millions of new jobs and shift the country away from fossil fuel.

  • Joe Biden:

    The American Jobs Plan will lead to a transformational progress in our effort to tackle climate change with American jobs and American ingenuity.

  • Yamiche Alcindor:

    He also said his proposals are essential to help the U.S. compete with China, the world's second largest economy, and the investments it is making.

  • Joe Biden:

    It's going to boost America's innovative edge in markets where global leadership is up for grabs, markets like battery technology, biotechnology, computer chips, clean energy, and competition with China in particular.

  • Yamiche Alcindor:

    The American Jobs Plan would spend about $2.25 trillion over eight years.

    And it includes $621 billion for roads, bridges, and other transportation methods, $580 billion for manufacturing, research and development, and job training efforts, $400 billion toward home care for the elderly and disabled, and more than $300 billion to improve drinking water, expand broadband access, and update electrical grids.

    To pay for all of that, the plan calls for raising the corporate tax rate from 21 percent to 28 percent. It aims to ensure multinational corporations pay at least a 21 percent tax wherever they do business. And it aims to end federal subsidies for fossil fuel companies.

    The White House says these measures would extend over 15 years. The plan would effectively undo a major component of the 2017 tax cuts signed into law by former President Trump. The proposal comes after the World Economic Forum's 2019 global report ranked U.S. infrastructure 13th in the world.

    This year, the American Society of Civil Engineers also graded it a C-minus. But given the tax hikes, building bipartisan support in Congress will be a political challenge.

    Senate Minority Leader Mitch McConnell signaled that he would not support the bill.

  • Sen. Mitch McConnell:

    It's like a Trojan horse. It's called infrastructure, but inside the Trojan horse, there's going to be more borrowed money and massive tax increases on all the productive parts of our economy.

  • Yamiche Alcindor:

    Democrats may attempt to use a process called reconciliation to get the bill through an evenly divided Senate and prevent a potential filibuster. Ultimately, the White House says this is only one part of a two-part legislative package to reshape the American economy.

    For the "PBS NewsHour," I'm Yamiche Alcindor.

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