Senate GOP proposes two-year transportation bill funded with $40 billion rescission

Senate Republicans have put forward a transportation bill that would fund highway infrastructure spending, highway safety programs and public transportation needs for the next two years, and pay for it with a $40 billion rescission to unobligated federal funds.

The Senate on Thursday afternoon will vote on a motion to proceed to this bill, S. 1786, after the Senate votes on a motion to proceed to the Democratic alternative. The Democratic bill would spend $60 billion on transportation infrastructure programs and pay for it with a new tax on income earned above $1 million.

The sponsor of the GOP bill, Senate Finance Committee ranking member Orrin Hatch (R-Utah), argued that his bill is a better alternative because it would not add to the deficit or raise taxes.

"Built on several of the president's Jobs Council's proposals, this legislation is a better way of speeding transportation construction, while scrapping burdensome regulations that are hurting our nation’s job creators," Hatch said. "It isn't funded with job-killing tax hikes. It doesn't add a dime to the debt. And unlike the Democrats' stimulus proposal, it should garner bipartisan support."

Aside from funding highway programs for two years, the bill incorporates the Regulations from the Executive in Need of Scrutiny (REINS) Act, which would give Congress the authority to override regulations Republicans say are hindering job growth. It also delays several pending Environmental Protection Agency regulations.

Both the Democratic bill and the Republican alternative are likely to fail today, as both motions to proceed will require 60 votes for passage. The Democratic bill would spend $50 billion on new infrastructure programs and create a $10 billion infrastructure bank.

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