Infrastructure Bank Bill May Hold Promise for Future
The Campaign for America's Future noted the introduction of the "National Infrastructure Development Bank Act of 2009," by U.S. Reps. Keith Ellison (D-Minn.), and Rosa DeLauro (D-Conn).
This legislation would create a development bank to finance infrastructure projects in the realm of transportation, the environment, energy, and telecommunications. Through federal funding and private investment, a national infrastructure development bank would offer urgently needed financial support to local and state governments, and address our nation's investment deficit.
Robert Borosage, co-director of the group, said, "Historically, we directed roughly 8 percent of our gross domestic product to long-term investments, and that investment paid off. But since then, we have adopted a short-term 'pay as you go' mentality that stops long-range investment before it begins. Nowadays, public investment as a percentage of GDP has dropped below 4 percent."
"The National Infrastructure Investment Act would help address these problems by creating an instrument that can help finance long-range investments with public and private capital," Borosage said. "Infrastructure investments can create jobs in the short term and economic growth in the long term, addressing both our current investment deficit and next decade's budget deficit at the same time. This bill supports long-term growth that will keep America competitive globally and improve our way of life."