Infrastructure Investment and Jobs Act (IIJA)
The Infrastructure Investment and Jobs Act (IIJA) is a significant piece of federal legislation enacted in November 2021, aimed at revitalizing and upgrading the United States' infrastructure. With a total allocation of $1.2 trillion, this act outlines a comprehensive plan to address various infrastructure needs over a five-year period. Key provisions include substantial investments in roads, bridges, public transportation, railways, and broadband Internet, particularly targeting improvements in rural and underserved communities. The IIJA is also focused on enhancing the nation’s energy grid, promoting climate resilience, and addressing critical issues like clean drinking water and lead pipe removal.
The act emerged from bipartisan negotiations and was shaped by the consensus that US infrastructure required urgent and extensive funding, as highlighted by the American Society of Civil Engineers' C- grade assessment in 2021. Supporters view the IIJA as essential for maintaining the US’s competitive edge in the global economy, while critics express concerns regarding the financial implications of such large-scale spending. Overall, the IIJA represents a pivotal shift in infrastructure policy, balancing immediate physical upgrades with long-term economic and environmental goals.
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Infrastructure Investment and Jobs Act (IIJA)
The Infrastructure Investment and Jobs Act (IIJA) is federal legislation passed in 2021 by the 117th US Congress. Commonly referred to as the “infrastructure bill” and the “bipartisan infrastructure bill” during its formulation and debate stages, the IIJA allocates a total of $1.2 trillion to various infrastructure spending priorities over a five-year period. The legislation designates major funding for roads, bridges, climate change resilience, electricity grids, Internet infrastructure, public transportation, railways, waterways, and airports.
Supporters of the act describe it as a badly needed source of financing for crumbling US infrastructure and to better position the United States to compete in the twenty-first century global economy. Its opponents generally characterized the bill as financially irresponsible and excessive. The IIJA passed after an extended series of intense negotiations enabled the bill’s mostly Democrat backers to garner enough support for the legislation to secure an affirmative vote. It was signed into law by President Joe Biden (1942– ) on November 15, 2021.
Background
The American Society of Civil Engineers (ASCE) releases an annual “report card,” which evaluates the state of US infrastructure with the A-to-F grading system used in the nation’s academic institutions. In 2021, the ASCE gave the nation’s infrastructure a C- grade, continuing a string of alarming reports tabled by the organization over the preceding years. The ASCE’s evaluations were consistent with a broad, general consensus among experts and government officials that US infrastructure was in dire need of major funding for badly needed upgrades.
During the 2020 presidential election cycle, Democratic nominee Joe Biden adopted the “Build Back Better” catchphrase echoed by numerous national governments and economic organizations following the economic shocks caused by the COVID-19 global pandemic. Biden made the “Build Back Better” mantra a central element of his campaign and advanced the agenda after winning the 2020 election and taking office in January 2021.
The IIJA was initially part of a multitrillion-dollar legislative package tabled in March 2021 as the Build Back Better Act. Strong opposition to the unprecedented cost of the Build Back Better Act forced legislators to restructure the plan, which resulted in the IIJA splitting from the larger Build Back Better Act to become a standalone proposal. It was introduced in the US Congress on June 4, 2021, as the INVEST in America Act by Democrat representative Peter DeFazio (1947– ) of Oregon.
On June 30, 2021, the US House of Representatives held its first vote on the bill, which generated a result of 221 in favor and 201 opposed. This sent the legislation to the US Senate, which voted 66–28 in favor of considering it. A series of subsequent votes were held in the Senate from August 7–10, 2021, as senators debated its provisions. The US Senate passed the amended IIJA by a margin of 69–30 on August 10, 2021. This returned the updated version of the IIJA to the House of Representatives for a final vote, which was delayed on multiple occasions as the bill’s majority-Democrat supporters worked to rally enough support from lawmakers to pass it.
After multiple delays, the House of Representatives held its final vote on November 5, 2021, passing the amended IIJA by a 228–206 margin. President Biden signed the IIJA into law ten days later.
Overview
The IIJA passed by US lawmakers in November 2021emerged from a ten-member bipartisan working group, which debated and developed the proposal during its contentious and polarizing negotiation stages. It allocates $1.2 trillion in funding for various infrastructure projects and priorities through 2026, which are specified in granular detail in the legislation’s 2,702-page text.
According to a fact sheet issued by the White House after senators passed the amended IIJA, the US federal government will assign $110 billion for road construction, upgrades, repairs, and research projects. The bill also earmarks $66 billion for improving both passenger-oriented and freight-rail services along with an additional $65 billion for the nation’s energy grid. The energy investments aim to not only improve physical electricity delivery infrastructure, but also to accelerate the nation’s conversion to low-carbon power sources and safeguard electricity infrastructure from hacking and cyberattacks. Another $65 billion was assigned to improving access to broadband Internet services in rural and lower-income areas.
Other major spending priorities focus on clean drinking water, lead pipe abatement, climate change resilience, environmental protectionism, and transportation safety. The IIJA also makes major investments in public transit, airports, waterways, electric buses and ferries, and electric vehicles for the private consumer market. One of the bill’s major objectives is to dramatically reduce the number of vehicles on US roads to alleviate traffic congestion, reduce wear on roads and bridges, cut down on harmful emissions, and expand the availability and affordability of sustainable transportation alternatives.
US lawmakers continued to debate the Build Back Better Act following the officialization of the IIJA. Commentators note that while the IIJA maintains a strong focus on physical infrastructure and job creation, the objective of the Build Back Better Act is to establish a stronger social safety net and position the United States to deal more effectively with the realities of climate change. The US House of Representatives passed the Build Back Better Act on November 19, 2021, setting up a final vote on the legislation in the Senate. However, reluctance among some Democratic senators, most notably Joe Manchin (1947– ) of West Virginia, to support the Build Back Better Act endangered the legislation’s future. It will require the support of all Democratic senators to pass into law, with Manchin continuing to hold out as of early 2022. Observers believe the version of the Build Back Better Act passed in November 2021 will likely die on the Senate floor when the official vote is held while simultaneously noting that a modified version of the proposal could still be negotiated and considered in the future.
Bibliography
“America’s Infrastructure Report Card 2021.” American Society of Civil Engineers, 2021, infrastructurereportcard.org/. Accessed 14 Jan. 2022.
“Fact Sheet: The Bipartisan Infrastructure Deal.” The White House, 6 Nov. 2021, www.whitehouse.gov/briefing-room/statements-releases/2021/11/06/fact-sheet-the-bipartisan-infrastructure-deal/. Accessed 14 Jan. 2022.
“H.R. 3684 – Infrastructure Investment and Jobs Act.” 117th United States Congress, 2021, www.congress.gov/bill/117th-congress/house-bill/3684/text. Accessed 14 Jan. 2022.
“Infrastructure Investment and Jobs Act.” National Conference of State Legislatures, 8 Nov. 2021, www.ncsl.org/ncsl-in-dc/publications-and-resources/infrastructure-investment-and-jobs-act.aspx. Accessed 14 Jan. 2022.
“Infrastructure Investment and Jobs Act of 2021.” Ballotpedia, 2021, ballotpedia.org/Infrastructure‗Investment‗and‗Jobs‗Act‗of‗2021. Accessed 14 Jan. 2022.
Nobles, Ryan, et. al. “House GOP Leadership Urges Opposition to Infrastructure Bill Ahead of Key Vote.” CNN, 23 Sep. 2021, edition.cnn.com/2021/09/23/politics/infrastructure-bill-vote-house-republicans/index.html. Accessed 14 Jan. 2022.
Pramuk, Jacob. “The House Passed Biden’s Massive Social Safety Net and Climate Bill. Here’s What Happens Next.” CNBC, 19 Nov. 2021, www.cnbc.com/2021/11/19/house-passes-build-back-better-act-what-happens-next-in-the-senate.html. Accessed 14 Jan. 2022.
Sobczyk, Nick. “‘Build Back Better’ Stalled as House Returns.” E&E Daily, 10 Jan. 2022, www.eenews.net/articles/build-back-better-stalled-as-house-returns/. Accessed 14 Jan. 2022.