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House Sends $1 Trillion Infrastructure Bill to President

Late Friday night, the House cleared H.R. 3684- Infrastructure Investment and Jobs Act and sent the legislation to President Biden to be signed into law. The bill, worth about $1 trillion, cleared the Senate back in August. The bipartisan bill includes provisions for roads, bridges, ports, public transit, electric vehicles, coastal infrastructure, and rural broadband access.

The final details of the Democrats’ Build Back Better Act are still being ironed out, however the House is ready to begin considering the bill with paid leave provisions re-inserted by Speaker Pelosi. A consensus is still needed from all 50 Democratic Senators if the bill has any hope of making it through the Senate’s narrow reconciliation rules.

House Dems Finally Schedule Votes on Reconciliation, Infrastructure Bills

After last minute negotiations among themselves last night, the House Democrats have finally scheduled votes on both the  budget reconciliation and infrastructure bills for this morning.

There were a number of issues on which the House Democrats were trading proposals on the reconciliation measure, including those around immigration, deductibility of state taxes, and paid leave, just to name a few.  The version that is being voted on today will be further modified by a “manager’s amendment,” crafted to address additional last minute changes.

Even if this version does pass the House by the narrowest of margins, how the Senate plans to deal with it remains unknown.  The Senate may wind up taking up a different version of the bill, meaning that the ball would once again be in the House’s court.

The infrastructure bill, which has actually passed the Senate, is also scheduled (as of this morning) for a vote today.  This was part of the compromise between the moderate and progressives, as the latter group wanted to make sure that the former would vote for a reconciliation bill as well as the less costly infrastructure package.

We will provide additional updates.

It’s More Than Climate Provisions

The Office of Federal Relations continues to go through the current iteration of the reconciliation package.  In our last post, we highlighted some of the education, research, and climate-related provisions.  Not surprisingly, there are myriad other provisions of interest in the text.

A significant portion of the funds for the USDA would be dedicated to efforts to address challenges posed by wildfires.  For example, $2 billion is slated for efforts to reduce wildfires and $1 billion is earmarked to implement wildfire protection plans.  The plan would also allocate $25 million for burned forest forest rehabilitation and recovery and $150 million would be dedicated to state fire assistance programs.  The EPA section of the bill would create a $150-million community wildfire planning grants program.

The current version of the legislation includes several competitive grant programs to address wildfires/ land forest management as well.  These include, for example, a $250-million proposal to implement climate mitigation/ forest resilience practice among underserved forest landowners as well as a $200-million for a forest health/inventory program.  The bill also calls for the creation of a $775-million program to promote innovate wood products, including for building materials.

Tax

The reconciliation bill includes a number of tax-related provisions of interest to UW and other universities.  A change to the tax code that might be of interest to some public universities is the proposed creation of a public university research infrastructure tax credit in which up to 40 percent of a qualified cash contribution for projects related to the purchase, construction, or improvement of a research infrastructure property would be credited.  The credit would be capped at $50 million per institution per year and the total amount of the credit would be capped at $500 million per year for five years.

The text also proposes to provide a 20-percent credit to institutions of higher education that take on certain categories of environmental justice programs.  The credit would increase to 30 percent for Minority-Serving Institutions.  The total size of the program would be capped at $1 billion per year for 10 years.

The proposal seeks to make changes to the revenue code as it applies to individual students and families as well.  It would remove a Pell Grant award from a tax filer’s gross income for tax purposes.  It would also not count the value of a student/family’s Pell Grant for the purposes of determining the American Opportunity Tax Credit (AOTC) and the Lifelong Learning Credit.  Another provision would restore the eligibility of those convicted for drug offenses to participate in the AOTC.

Medical/ Health Care Workforce

The current framework also delves into the medical/ health care workforce arena, looking to add significant funds in a number of different fields.  For instance, Sec. 137401 looks to provide scholarships to medical schools to attract 1,000 future medical doctors to serve in rural and/or underserved communities.  The vouchers for scholarships would be aimed at students coming from first generation/ Pell-eligible/underserved backgrounds.

Examples of other medical/ health care workforce-related measures include:  $150 million for children’s hospitals that house graduate medical education; $650 million for the National Health Service Corps; $200 million for the Nurse Corps; $170 million for schools of nursing to grow and diversify nursing workforce in maternal and prenatal health; and, $85 million to health professions schools to address health risks related to climate change.

Immigration-Related Matters

The Congressional Democrats continue to seek to use the reconciliation package to address a number of immigration- and visa-related issues.

As noted in the previous post, the package would extend federal student aid eligibility to DACA- and Temporary Protected Status-eligible students.  It would also enable individuals who entered the country prior to January 1, 2010, to seek green cards.  The framework also proposes to recapture both unused employment- and family-based green cards from prior years and make them available going forward.

However, in its current form, the legislative text would increase a host of fees associated with international students, faculty, and staff, including those on F, J, and H visas, among other visas categories.  We are still assessing the scope and magnitude of these proposed increases.

Next Steps

We continue to go through the text.  It is important to keep in mind that the version that is currently being analyzed most likely will not be the final version that gets taken up for a vote, as negotiations still continue even as this is being written.

Stay tuned.

Announcement: Federal Relations Autumn 2021 Town Hall

Please join us for the inaugural quarterly Federal Relations Town Hall.

Thursday, October 21st at 12:00pm PT

After a presentation, there will be an opportunity to ask questions or offer comments/concerns regarding the UW’s federal advocacy priorities.

If you would like to join in-person, please RSVP here. Space is limited.

If you would like to join via Zoom, please register here.

This event is restricted to members of the UW community. A valid Net-ID is required to participate.

 

Immigration Reconciliation Provisions a No-Go in Senate

As noted previously, whether provisions that would make sweeping changes in immigration law, including those around DACA, would be allowed under budget reconciliation instructions would depend on a ruling by he Senate Parliamentarian. The Parliamentarian ruled last night that they would not be allowed in the reconciliation package.

In essence, the Parliamentarian ruled that massive policy changes are outside the scope of reconciliation, which is designed to address budgetary goals and objectives.

Following last night’s decision, key Senate Democrats vowed to pursue other avenues to bring about the changes being sought.

Read more about the situation here and here.