I
104TH CONGRESS
2D SESSION
H. R. 3162
To facilitate efficient investments and financing of infrastructure projects
and new job creation through the establishment of a National Infrastruc-
ture Development Corporation, and for other purposes.
IN THE HOUSE OF REPRESENTATIVES
MARCH 26, 1996
Ms. DELAURO introduced the following bill; which was referred to the Com-
mittee on Transportation and Infrastructure, and in addition to the Com-
mittees on Banking and Financial Services, and Ways and Means, for a
period to be subsequently determined by the Speaker, in each case for
consideration of such provisions as fall within the jurisdiction of the com-
mittee concerned
A BILL
To facilitate efficient investments and financing of infrastruc-
ture projects and new job creation through the establish-
ment of a National Infrastructure Development Corpora-
tion, and for other purposes.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ‘‘National Infrastruc-
ture Development Act of 1996’’.
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SEC. 2. FINDINGS.
The Congress hereby finds the following:
(1) As expressed in Executive Order No. 12893
of January 26, 1994, which sets out guiding prin-
ciples for Federal infrastructure investments, a well
functioning infrastructure is vital to sustained eco-
nomic growth, to the quality of life of our commu-
nities, and to the protection of our environment and
natural resources.
(2) Although grant programs of the Federal
Government must continue to play a central role in
financing the infrastructure needs of the Nation,
current and foreseeable demands on existing Fed-
eral, State, and local funding for infrastructure ex-
pansion and replacement exceed the resources to
support these programs by margins wide enough to
prompt serious concerns about the Nation’s ability
to sustain long-term economic development, produc-
tivity, and international competitiveness.
(3) Increased investments by public and private
capital in infrastructure facilities the financing for
which can be based on the revenue generated by
such facilities and by other dedicated revenue
sources would assist the Nation in marshalling the
resources necessary to meet existing and projected
infrastructure funding demands.
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(4) The private capital markets, including the
more than $4,500,000,000,000 dollars in capital
held by institutional investors such as pension funds,
have a growing interest in public-private infrastruc-
ture investment opportunities that can produce com-
petitive risk-adjusted rates of return.
(5) Federal leadership is necessary to expedi-
tiously develop these new infrastructure investment
mechanisms.
(6) Such leadership can best be accomplished
by the establishment of a self-supporting national
entity designed to lead the way in promoting appro-
priate public-private infrastructure partnerships and
by the creation of a public benefit bond designed to
facilitate investment by pension plans in infrastruc-
ture development.
(7) Such a national entity will provide for sig-
nificant and sustained job growth in critical sectors
of the Nation’s economy as it helps address unmet
infrastructure needs by leveraging limited Federal
resources with private capital.
SEC. 3. PURPOSES.
The purposes of this Act are as follows:
(1) To establish the National Infrastructure
Development Corporation for the purpose of making
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new sources of financing available for the develop-
ment of infrastructure facilities, and to facilitate the
use and issuance of public benefit bonds.
(2) To establish a subsidiary of the Corpora-
tion, the National Infrastructure Insurance Corpora-
tion, to issue insurance, reinsurance and related un-
dertakings in respect of the issuance of obligations
related to the development of infrastructure facili-
ties.
(3) To establish a category of financial instru-
ment to be known as ‘‘public benefit bonds’’ de-
signed to help facilitate pension plan investment in
the development of infrastructure facilities.
SEC. 4. DEFINITIONS.
The following definitions shall apply for purposes of
this Act unless the context requires otherwise:
(1) CORPORATION.—The term ‘‘Corporation’’
means the National Infrastructure Development
Corporation established under section 5(a).
(2) DEVELOPMENT.—The terms ‘‘development’’
and ‘‘develop’’ mean, with respect to an infrastruc-
ture facility, any—
(A) preconstruction planning, feasibility re-
view, permitting and design work and other
preconstruction activities;
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(B) construction, reconstruction, rehabili-
tation, replacement, or expansion; and
(C) operation and maintenance.
(3) ENTITY.—The term ‘‘entity’’ means an in-
dividual, corporation, partnership, joint venture,
trust or governmental entity or instrumentality.
(4) INFRASTRUCTURE
FACILITY.—The term
‘‘infrastructure facility’’ means a road, highway,
bridge, tunnel, airport, mass transportation vehicle
or system, passenger rail vehicle or system, inter-
modal transportation facility, waterway, commercial
port, drinking or waste water treatment facility,
solid waste disposal facility, pollution control system,
hazardous waste facility, federally designated na-
tional information highway facility, school and any
ancillary facility which forms a part of any such fa-
cility or is reasonably related to such facility, wheth-
er owned, leased or operated by a public entity or a
private entity or by a combination of such entities,
and the financing or refinancing of the development
of which is, or will be, supported in whole or in part
by user fees or other dedicated revenue sources.
(5) INSURANCE CORPORATION.—The term ‘‘In-
surance Corporation’’ means the National Infra-