I

103D CONGRESS

1ST SESSION H. R. 3489

To improve economic productivity and create thousands of jobs by establishing

an infrastructure reinvestment fund which will provide immediate,

upfront funding of intermodal surface transportation programs, and for

other purposes.

IN THE HOUSE OF REPRESENTATIVES

NOVEMBER 10, 1993

Mr. BORSKI (for himself and Mr. WISE) introduced the following bill; which

was referred jointly to the Committees on Public Works and Transportation, Government Operations, Rules, and Ways and Means

A BILL

To improve economic productivity and create thousands of

jobs by establishing an infrastructure reinvestment fund

which will provide immediate, upfront funding of intermodal surface transportation programs, and for other

purposes.

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled,

3 SECTION 1. SHORT TITLE.

4 This Act may be cited as the ‘‘Infrastructure Rein5 vestment and Economic Revitalization Act of 1993’’.

6 SEC. 2. FINDINGS AND PURPOSES.

7 (a) FINDINGS.—Congress finds that—
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1 (1) the quality of our Nation’s transportation

2 infrastructure and the efficient movement of people

3 and goods are directly linked to our Nation’s eco4 nomic productivity and competitiveness;

5 (2) our Nation’s trading partners, with whom

6 we compete in the global economy, have invested

7 substantial amounts of their resources into capital

8 infrastructure investment and currently enjoy pro9 ductivity growth rates that are more than triple the

10 United States growth rate;

11 (3) to compete in the global marketplace of the

12 1990’s, the United States must substantially in13 crease its level of infrastructure investment as soon

14 as possible;

15 (4) by allowing infrastructure investment to

16 drop from 2.4 percent of the gross national product

17 in the late 1960’s to less than 0.3 percent in the

18 1980’s, our Nation has neglected the foundation of

19 economic growth; and

20 (5) without a substantial influx of new capital,

21 infrastructure investment will not be able to keep

22 pace with the rapid rate of infrastructure decay that

23 will result in crumbling roads, increasing traffic con24 gestion, higher costs, and inadequate transit sys25 tems.
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1 (b) PURPOSES.—The purposes of this Act are as fol2 lows:

3 (1) Issuance of bonds to finance massive capital

4 infrastructure reinvestment immediately.

5 (2) Creation of thousands of productive new

6 jobs by initiating new rehabilitation and construction

7 projects.

8 (3) Stimulation of the economy and creation of

9 economic growth by increasing the efficiency of our

10 Nation’s infrastructure and investment in its long11 term maintenance.

12 (4) Complementing the purposes of the Inter13 modal Surface Transportation Efficiency Act of

14 1991 by creating a new financing mechanism to pro15 vide a more immediate source of funds.

16 SEC. 3. INFRASTRUCTURE REINVESTMENT FUND.

17 (a) REVENUES FROM HIGHWAY TRUST FUND.—

18 Subsection (c) of section 9503 of the Internal Revenue

19 Code of 1986 (relating to Highway Trust Fund) is amend20 ed by adding at the end thereof the following new para21 graph:

22 ‘‘(7) INFRASTRUCTURE REINVESTMENT

23 FUND.—The Secretary shall pay from time to time

24 from the Highway Trust Fund into the Infrastruc25 ture Reinvestment Fund amounts (as determined by
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1 him) equivalent to 2.5 cents per gallon of the taxes

2 imposed by sections 4041(a) and 4081 which are re3 ceived after September 30, 1994, and before October

4 1, 2024.’’.

5 (b) INFRASTRUCTURE REINVESTMENT FUND.—

6 (1) IN GENERAL.—Subchapter A of chapter 98

7 of such Code (relating to trust fund code) is amend8 ed by adding at the end thereof the following new

9 section:

10 ‘‘SEC. 9512. INFRASTRUCTURE REINVESTMENT FUND.

11 ‘‘(a) CREATION OF FUND.—There is established in

12 the Treasury of the United States a trust fund to be

13 known as the ‘Infrastructure Reinvestment Fund’, consist14 ing of such amounts as may be appropriated or credited

15 to such Fund as provided in this section, section

16 9503(c)(7), or section 9602(b).

17 ‘‘(b) TRANSFERS TO FUND.—In addition to the

18 amounts transferred under section 9503(c)(7), there are

19 hereby appropriated to the Infrastructure Reinvestment

20 Fund amounts equivalent to 2.5 cents per gallon of the

21 taxes imposed by sections 4041(a) and 4081 which are

22 received after September 30, 1994, and before October 1,

23 2024.

24 ‘‘(c) EXPENDITURES FROM FUND.—Amounts in the

25 Infrastructure Reinvestment Fund shall be available, as
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1 provided in appropriation Acts, only for purposes of carry2 ing out section 5 of the Infrastructure Reinvestment and

3 Economic Revitalization Act of 1993.

4 ‘‘(d) INFRASTRUCTURE BONDS.—

5 ‘‘(1) IN GENERAL.—There are authorized to be

6 appropriated to the Infrastructure Reinvestment

7 Fund, as repayable advances, the maximum amount

8 (less an appropriate reserve) which the Secretary es9 timates may be fully amortized before October 1,

10 2024—

11 ‘‘(A) based on an amortization schedule

12 comparable to a 30-year bond issued as part of

13 the public debt, and

14 ‘‘(B) using only amounts appropriated to

15 such Fund under subsection (b) (and interest

16 thereon) with respect to infrastructure reinvest17 ment taxes received in the Treasury before such

18 date.

19 ‘‘(2) REPAYMENT OF ADVANCES.—Advances

20 made to the Infrastructure Reinvestment Fund shall

21 be repaid, and interest on such advances shall be

22 paid, under such terms and conditions as the Sec23 retary shall prescribe.

24 ‘‘(3) FINAL REPAYMENT.—No advance shall be

25 made to the Infrastructure Reinvestment Fund after
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1 September 30, 2024, and all advances made to such

2 Fund shall be repaid on or before such date.

3 ‘‘(4) RATE OF INTEREST.—Interest on ad4 vances made pursuant to this subsection shall be de5 termined in accordance with section

6 9509(d)(3)(C).’’.

7 (2) CLERICAL AMENDMENT.—The table of sec8 tions for such subchapter A is amended by adding

9 at the end thereof the following new item:

‘‘Sec. 9512. Infrastructure Reinvestment Fund.’’.

10 SEC. 4. OFF-BUDGET STATUS OF FUND.

11 Notwithstanding any other provision of law, the re12 ceipts and disbursements of the Infrastructure Reinvest13 ment Fund shall not be counted as new budget authority,

14 outlays, receipts, or deficit or surplus for purposes of—

15 (1) the budget of the United States Govern16 ment as submitted by the President,

17 (2) the congressional budget, or

18 (3) the Balanced Budget and Emergency Defi19 cit Control Act of 1985.

20 SEC. 5. INFRASTRUCTURE REINVESTMENT PROGRAM.

21 (a) AUTHORIZATION OF APPROPRIATIONS.—There

22 shall be available, out of the Infrastructure Reinvestment

23 Fund, for fiscal year 1995 to the Secretary for carrying

24 out surface transportation programs an amount equal to

25 the aggregate amount advanced to such Fund under sec-
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1 tion 9512(d) of the Internal Revenue Code of 1986 plus

2 interest thereon. Such sums shall remain available until

3 expended.

4 (b) ALLOCATION OF FUNDS AMONG PROGRAMS.—

5 From the funds made available by subsection (a), the Sec6 retary shall make available to carry out a surface trans7 portation program an amount determined by multiply8 ing—

9 (1) the amount of funds made available by sub10 section (a), and

11 (2) the quotient of the amount of funds made

12 available for such program for fiscal year 1993 di13 vided by the aggregate of all funds made available

14 for all such programs for fiscal year 1993.

15 (c) APPLICABILITY OF APPORTIONMENT FORMULAS

16 AND OTHER PROVISIONS.—

17 (1) IN GENERAL.—Except as otherwise pro18 vided by this Act, funds made available to a surface

19 transportation program under subsection (b) shall be

20 subject to apportionment, Federal share, planning,

21 design, period of availability, and other requirements

22 in the same manner and to the same extent as if

23 such funds were made available, out of the Highway

24 Trust Fund, for such program.
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1 (2) OBLIGATION LIMITATION.—Funds made

2 available by subsection (a) shall not be subject to

3 any obligation limitation.

4 (d) CONTRACT AUTHORITY.—Approval by the Sec5 retary of a grant, project, or contract with funds made

6 available by subsection (a) shall be deemed a contractual

7 obligation of the United States for payment of the Federal

8 share of the cost of the grant, project, or contract.

9 SEC. 6. DEFINITIONS.

10 In this Act, the following definitions apply:

11 (1) SECRETARY.—The term ‘‘Secretary’’ means

12 the Secretary of Transportation.

13 (2) SURFACE TRANSPORTATION PROGRAM.—

14 The term ‘‘surface transportation program’’ means

15 any program or project for which funds are made

16 available for fiscal year 1993 by or under the Inter17 modal Surface Transportation Efficiency Act of

18 1991 and any Act amended by the Intermodal Sur19 face Transportation Efficiency Act of 1991, includ20 ing title 23, United States Code, the Federal Transit

21 Act, and the Surface Transportation Assistance Act

22 of 1982. Such term shall not include—

23 (A) any project described in section 1103,

24 1104, 1105, 1106, 1107, or 1108 of the Inter-
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1 modal Surface Transportation Efficiency Act of

2 1991; and

3 (B) the national recreation trails funding

4 program under part B of title I of such Act.

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