An article published today by Fast Company’s Co.Exist highlights two policy ideas of PPI’s on how to get more infrastructure projects up and running.
Borrow Money When It’s Cheap
The Progressive Policy Institute, a centrist Washington, D.C., think tank, has proposed several ways around relying on the gas tax for infrastructure funding. These include using “dynamic scoring” to assess the true value of public works. Research shows that each dollar invested produces economic value of between $1.5 and $2. So, says the PPI, it makes sense for the federal government to borrow the money directly, especially at a time when interest rates are low. The PPI says we need to get away from the “hardening Republican view” that all public spending is bad, and instead make a distinction between borrowing that funds investment and borrowing that pays for ongoing everyday programs.
Will Marshall, president of the PPI, says Congress should agree to a White House proposal to exempt infrastructure companies from certain taxes. And it should seed a self-financing infrastructure bank, which would act as a founding partner as the public-private deals are being signed. Another idea is the West Coast Infrastructure Exchange, which bundles smaller projects across state lines, producing more attractive opportunities for private investors.
Read more at Fast Company’s Co.Exist.