Coalition for the National Infrastructure Bank (NIB)
$5 Trillion, 25 Million Jobs
Bullet Summary of the National Infrastructure Bank
Bullet Summary of the National Infrastructure Bank (NIB):
Pathway out of the Second Great Depression
Last Updated July 15, 2020
House Bill HR 6422 to create a $4 trillion National Infrastructure Bank
Expected Benefits:
Rebuilds Crumbing Infrastructure Across America:
less traffic congestion and CO2 pollution; lead-free water; new schools, affordable housing, mass transit, broadband, electricity grids; enough funding for every single state.
Workers:
creates 25 million new jobs, paying union-level wages; re-hires from among the 40 million Americans now unemployed; provides training in permanent, new, construction occupations. Reduces income inequality. Stimulates union membership.
Engineers/Contractors/Suppliers:
lots more business from all this new construction.
Other Businesses:
more productive and profitable; trucks move faster; more consumer demand.
Economy:
Ensures Coronavirus Recession is V-shaped (instead of L-shaped); pushes up long-term growth from 1.8%/year, to 5%/year.
Federal and State Revenues:
Stimulated by Economic Growth; reduces deficits as % of GDP.
Expected Costs:
Requires no new Federal Debt or new Taxes.
No other Infrastructure or Jobs Proposal is Budget Neutral like this one.
Very small appropriation to start, after which NIB earns its own way.
Loan rate:
of 2%/year is the most affordable. Loan length = infrastructure’s lifetime.
Flexible loan repayment:
States, counties, cities, utilities, authorities, and cooperatives can repay loans out of general revenues, special revenues, or user fees.
How The NIB Works:
Created:
as a government-owned, depository/lending bank. Independent, with full disclosures.
Capitalized:
with existing, privately-owned Treasuries (same method as four NIBs in our nation’s past); Treasuries exchanged for preferred stock paying an extra 2%.
Lends:
the same as any commercial bank, up to a total of $4 trillion, creating an equal deposit as each loan is approved.
Well-targeted infrastructure project selection:
with maximum input from States and Regional Economic Accelerator Planning Groups.
Loan Monitoring:
Ensures projects stay on track, and all groups benefit fairly.
NIB earns up to $80 billion/year:
used to pay overhead, dividend to Government; and finance a built-in Loan Subsidy Program.
How You Can Help:
Write or call your Member of Congress today, and ask him/her to co-Sponsor HR 6422, the National Infrastructure Bank Act of 2020, to create great-paying jobs in your area.
Download the Bullet Summary as a PDF file in order to see a table of projects with an estimate of the funding that will be available per project.