Senate Democrats: We’re Set to Take Up Jobs Bill Next

WASHINGTON — Senate Democrats yesterday said they plan on Monday to take up the first of a series of jobs bills, which will include expansion of the Build America Bonds and TIGER grant programs, an extension of the transportation law, and transportation and water infrastructure funding.

Tax-related items and spending items are expected to be split into separate bills, but sources yesterday said it is unclear which bill would come first. If the Senate follows the Democratic leadership’s preferred timeline, the bill would be approved by next Friday.

The lawmakers released a jobs agenda that includes an extension of the ­current surface transportation law — the Safe, Accountable, Flexible, Efficient ­Transportation Equity Act: a Legacy for Users, or SAFETEA-LU, which expired more than four months ago — to “allow for billions more in infrastructure ­investment nationwide.”

The use of Build America Bonds would be expanded to include public buildings, courthouses, schools, roads, public safety facilities, water and sewer projects, and public utilities.

The Senate Democrats also plan to push for “making investments in all of the major transportation modes, including airports, highways, intercity rail, and mass transit,” according to an outline of the agenda.

They want to make “direct investments” in infrastructure such as roads, bridges, highways, transit systems, and airports.

Additionally, they want to expand the Transportation Investment Generating Economic Recovery program. The TIGER discretionary grant program was created by the American Recovery and Reinvestment Act last year, funded at $1.5 billion, and received applications for roughly 40 times that amount.

The additional TIGER grants would be used “to upgrade several modes of transportation,” such as road repairs, transit upgrades, and airport improvements, “in a number of specific communities,” according to the agenda.

The outline does not provide specifics on which communities would be included or how much funding would be allocated to the program. The agenda also includes grants to water and wastewater facilities, which have about $56 billion of ready-to-go projects in the wings, according to Rick Farrell, executive director of the Council of Infrastructure Financing Authorities.

State revolving fund proponents are circulating a letter that asks Senate Majority Leader Harry Reid of Nevada and Republican Leader Mitch McConnell of Kentucky to provide $3 billion each for clean water and drinking water SRFs. At least 30 senators, from both political parties, have signed the letter.

Timing on the bill may depend on Republicans, Reid suggested during a press conference, saying Democrats want to draft a bipartisan bill but may need to push forward on their own. He said the first procedural vote on the first bill from the agenda will take place on Monday. “I don’t see why we can’t finish this a week from Friday,” he said.

The first bill will focus on what the Congressional Budget Office says will create jobs now, Reid said. The CBO issued a report last month saying that payroll tax reductions and various forms of assistance to the unemployed would be effective for stimulating job creation in 2010, while infrastructure, aid to states, and an extension of the alternative minimum tax exemption would start creating jobs in 2011.

Transportation is already getting attention from Senate leadership, despite the CBO’s assessment of its near-term job creation helpfulness.

“The highway trust fund is an important part of this conversation,” said Sen. ­Richard Durbin, D-Ill.

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