PRESS RELEASE: BIPARTISAN INFRASTRUCTURE DEAL AND RECONCILIATION BOTH NEEDED TO CREATE JOBS, REDUCE COSTS & LOWER TAXES FOR WORKING FAMILIES

FOR IMMEDIATE RELEASE 
July 28, 2021

Contact: 
Maddy McDaniel, Communications Director
[email protected] or 914-471-7716

BIPARTISAN INFRASTRUCTURE DEAL AND RECONCILIATION BOTH NEEDED TO CREATE JOBS, REDUCE COSTS & LOWER TAXES FOR WORKING FAMILIES

Bipartisan Infrastructure Framework Could Create Up to 10 Million Good-Paying Jobs Across the Country

Moody’s Chief Economist Mark Zandi: The Bipartisan Plan And The Build Back Better Agenda Together Will “Lift The Economy’s Longer-term Growth Potential And Ease Inflation Pressures”

POLLING: 62% of Voters, Including a Majority of Independents, Support Passing the Rest of the Build Back Better Agenda Through Reconciliation

WASHINGTON, D.C. — Today, the Bipartisan Infrastructure Deal passed a cloture vote in the U.S. Senate, the first step towards passing a historic investment in infrastructure that would create millions of jobs. The plan includes critical investments in physical infrastructure, water infrastructure, broadband, and the country’s electric grid.

Congress is also considering the Build Back Better agenda, a once-in-a-generation opportunity to make long overdue investments in clean energy, caregiving, education, and more that will create millions of jobs, reduce costs for families, and lower taxes on working and middle-class Americans.

If paired with the Build Back Better agenda, the Bipartisan Infrastructure Deal will boost economic growth and ease inflationary pressures, according to Moody’s Chief Economist Mark Zandi. 

Invest in America Action’s senior advisor Zac Petkanas made the following statement: 

“Today’s vote is a welcome step in the right direction. This historic investment in our physical infrastructure will create millions of good-paying jobs, help get our economy back on track after a devastating year, and position the U.S. to once again be a leader in the global economy.

“Updating our physical infrastructure and ensuring everyone has access to broadband and clean water will strengthen our economy and improve the lives of working Americans.

“But we can’t stop there — if we don’t also make President Biden’s proposed investments in care, clean energy, housing, and education, we will leave millions of jobs on the table. That’s why experts agree that the bipartisan plan must be paired with the Build Back Better agenda to put people back to work, lower costs and lower taxes for middle-class and working families.”

This year, the American Society of Civil Engineers gave American infrastructure a grade of C-, highlighting the country’s outdated and underfunded transportation, water, power grid, and communications systems. The Bipartisan Infrastructure Framework will address these problems by investing hundreds of billions of dollars to update roads and bridges, invest in ports and public transit, modernize the power grid, remove lead from drinking water and update water infrastructure across the country.

Investing in infrastructure will create millions of jobs and turbocharge the economy: 

Infrastructure investments are also a vehicle to address racial equity. 

The Bipartisan Infrastructure Deal must be paired with the Build Back Better agenda’s investments in clean energy, caregiving, education, and more in order to create a sustainable, equitable economy. 

Investments in clean energy

  • Clean energy is the fastest growing industry in America — before the pandemic, clean energy jobs employed three times as many workers as the fossil fuel industry.

  • The clean energy investments in the American Jobs Plan would set the country on a path of achieving net-zero emissions economy-wide by 2050, according to S&P Global.

  • Tax credits in the American Jobs Plan would cut air pollution by up to 84% in just five years, and cut carbon dioxide to 76% below 2005 levels in ten years.

  • According to the Center for American Progress, President Biden’s plans would reduce annual carbon dioxide by an estimated 626 million metric tons while also reducing average electricity bills. CNBC reported that upgrading to more resilient electric grids would prevent widespread blackouts like the recent blackouts in Texas.

    • The tax credits in the American Jobs Plan would drive a 50% increase in renewable energy development.

    • The American Jobs Plan’s investments in cleaning up the nation’s electricity standard and industrial sector would target between 70-80% of the country’s total greenhouse gas emissions.

    • By itself, the American Jobs Plan’s power sector investments could double the share of clean electricity generation after 10 years.

Investments in care for children, the elderly, and the disabled 

  • Investing in care work, just like investing in physical infrastructure and clean energy, boosts the economy and creates new jobs.

  • Going big on care infrastructure investments could support the creation of 3 million new jobs.

  • Social care investments have the potential to generate twice as many jobs as infrastructure spending and 50% more jobs than green energy development.

  • Investing in the care economy, in turn, produces widespread benefits in the restaurant and retail sectors as caregivers spend their disposable income.

  • Increasing access to child care will help women return to their own careers. An investment of 2% of GDP in the care industry has the potential to reduce the gender gap in employment by half in the United States.

  • A lack of affordable child care has become a barrier to work for many parents, especially mothers. Equal access to high-quality child care and preschool would increase GDP by $551 billion by allowing more parents to seek and keep their jobs.

  • Access to affordable child care could increase the lifetime earnings for women with two children by about $94,000. It would also boost the collective lifetime earnings of a cohort of 1.3 million women by $130 billion.

Investments in paid family and medical leave

  • Family and medical leave programs will strengthen the health of workers and solidify our economic growth.

  • Research suggests there are several ways in which paid medical leave has an effect on health outcomes, including improved health management, earlier treatment, greater healthcare utilization, reduced financial stress, and enhanced return-to-work supports.

  • Mothers are 20-50% less likely to separate from the labor force five years after giving birth if they have access to paid leave.

  • Women with access to paid leave are 40% more likely to return to work after giving birth than those without access to leave.

  • Workers and their families lose $22.5 billion in wages each year due to a lack of paid family and medical leave.

  • Surveys from California’s pioneering paid family leave (PFL) program show employers reporting either a “positive effect” or “no noticeable effect” on productivity (89%), profitability/performance (91%), turnover (96%), and employee morale (99%).

  • According to Maya Rossin-Slater, assistant professor of economics at the University of California, Santa Barbara, expanding access to paid family leave “reduces disparities in leave-taking between low and high socioeconomic groups, and does so without damaging these women’s later labor market prospects.

Investments in universal pre-kindergarten

  • Universal pre-k will improve children’s development, help parents return to the workforce, and boost the economy.

  • Research shows that universal preschool boosts children’s education achievementmakes children more ready for school, and can even increase the future earnings potential for low and middle-income students.

  • By providing an accessible form of high-quality child care, universal preschool would help parents — especially mothers — return to or enter the workforce, saving families thousands of dollars and improving their economic well being.

    • In 2009, Washington, D.C. began offering two years of universal preschool across the city’s public schools. In the years since, the city’s maternal labor force participation rate increased by 12 percentage points.

  • A study from the Washington Center of Equitable Growth found that a universal preschool program would generate economic benefits surpassing the costs of the program within eight years. By 2050, the economic benefits would total $304.7 billion.

    • That includes $81.6 billion in government budget benefits, $108.4 billion in increased compensation of workers, and $114.7 billion in reduced costs to individual people from better health and less crime and child abuse.

    • The same study found that by 2050, universal pre-k would yield $8.90 in benefits for every $1 invested.

Investments in free community college

  • Free community college will increase access to college for millions of Americans, particularly Black and brown students, providing a pathway to education to students who would otherwise be deterred from going to college by the prospect of going into debt.

    • Investing in free community college could increase college enrollment by 26%, and increase degree completions by 20%.

    • The benefits of free community college would be particularly felt by students of color — making community college free leads to a 47% perfect enrollment increase for Black men, a 51% increase for Black women, a 40% increase for Latino men, and a 52% increase for Latina women.

  • Free community college can pay for itself. The American Families Plan’s investments in community college could yield a total of $371.4 billion in additional tax revenue, and deliver private after-tax earnings of $866.7 billion after 11 years.

Investments in housing

  • The U.S. is experiencing a dire shortage in affordable housing.

About Invest in America

Invest In America is a national rapid response operation advocating for robust public investment to rescue the economy from the COVID crisis and create prosperity for the future, and to fight back against fear-mongers who use deficit concerns as a scapegoat to starve American communities and businesses of resources.

The operation consists of two components: Invest in America, the charitable and public education arm, which is a fiscally sponsored project of Economic Security Project funded by the William and Flora Hewlett Foundation and Economic Security Project co-chair Chris Hughes; and Invest in America Action, the advocacy and social welfare arm, which is a fiscally sponsored project of Economic Security Project Action funded by Chris Hughes and the Omidyar Network.

Learn more at InvestInAmericaNow.com and @InvestNowUSA, and InvestinAmericaProject.com.

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