National Infrastructure Bank Act of 2021
Bill: H.R.3339 | Sponsor: Rep. Davis, Danny K. (D-IL)
Policy area: Transportation and Public Works

Summary:
National Infrastructure Bank Act of 2021
This bill creates the National Infrastructure Bank to facilitate the long-term financing of infrastructure projects.
Specifically, the bank must provide loans to public and private entities for financing, developing, or operating eligible infrastructure projects. An eligible project must have a public sponsor as well as local, regional, or national significance.
The bill treats the bank as a government corporation exempt from tax and treats contributions to the bank as charitable contributions.
The bill also provides for criteria and preferences for deciding whether to provide a loan, such as whether a project promotes job creation or provides environmental benefits.
Projects that receive a loan must (1) pay all laborers and mechanics locally prevailing wages, and (2) use only certain U.S.-produced construction materials unless a waiver is secured from the bank.
The bank shall issue stock and may also issue bonds and maintain a discount line of credit with the Federal Reserve System.
The bank must apply for a national bank charter and, once chartered, accept deposits from individuals, corporations, and public entities and pay interest on those deposits.
The bill imposes requirements related to the bank's operation, such as minimum reserve requirements and requirements for handling loan losses.
In addition, the bank must facilitate the organization of at least seven regional economic accelerator planning groups to, among other activities, identify infrastructure needs and priorities.
Within five years, the Government Accountability Office must report on the bank's activities.

To facilitate efficient investments and financing of infrastructure 
 projects and new job creation through the establishment of a National 
              Infrastructure Bank, and for other purposes.

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

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) In General.--This Act may be cited as the ``National 
Infrastructure Bank Act of 2021''.
    (b) Table of Contents.--The table of contents of this Act is as 
follows:

Sec. 1. Short title; table of contents.
Sec. 2. Findings.
                      TITLE I--REVENUE PROVISIONS

Sec. 101. Treatment of National Infrastructure Bank as a Government 
                            corporation exempt from tax.
Sec. 102. Treatment of contributions to the National Infrastructure 
                            Bank as charitable contributions.
Sec. 103. Temporary rule to allow a deduction for cash contributions to 
                            the National Infrastructure Bank by certain 
                            taxpayers who do not elect to itemize 
                            deductions.
Sec. 104. Preferred dividends of National Infrastructure Bank 
                            excludible from gross income.
        TITLE II--ESTABLISHMENT OF NATIONAL INFRASTRUCTURE BANK

Sec. 201. Definitions.
Sec. 202. Establishment of National Infrastructure Bank.
Sec. 203. Purposes and authorizations.
Sec. 204. Formation of regional economic accelerator planning groups.
Sec. 205. Eligibility criteria for assistance from the bank.
Sec. 206. Board of Directors.
Sec. 207. Powers and limitations of the Board.
Sec. 208. Executive committee.
Sec. 209. Risk management committee.
Sec. 210. Audit committee.
Sec. 211. Personnel.
Sec. 212. Special Inspector General for the National Infrastructure 
                            Bank.
Sec. 213. Status and applicability of certain Federal and State laws.
Sec. 214. Exemption from certain laws.
Sec. 215. Audits; reports to President and Congress.
Sec. 216. Budgetary effects.
Sec. 217. Authorization of appropriations.

SEC. 2. FINDINGS.

    Congress finds the following:
            (1) Throughout our Nation's history, national banks have 
        played a crucial role in financing most of our Nation's public 
        infrastructure. The largest banks included: The First (1791-
        1811) and Second (1816-1836) Banks of the United States, 
        President Lincoln's national banking system, and President 
        Franklin Delano Roosevelt's Reconstruction Finance Corporation 
        (1932-1957).
            (2) These national banks were enacted with broad bi-
        partisan support, and financed the construction of: roads, 
        turnpikes, bridges, and canals; the Transcontinental Railroad; 
        the Hoover Dam; rural electrification; manufacturing start-ups; 
        and rail, school, and farm improvements in every corner of our 
        country. Investments created the conditions for improved 
        productivity, economic growth, and job creation; helped lift us 
        out of the Great Depression; and contributed to our victory in 
        World War II.
            (3) The American Society of Civil Engineers (hereinafter 
        referred to as ``ASCE''), in its 2021 Report Card and Failure 
        to Act Series, estimates that $6,109,000,000,000 is needed over 
        the next ten years (2020-2029) to meet all of our country's 
        infrastructure needs. Of that amount, $3,483,000,000,000 is 
        expected to be financed by: the Federal government through its 
        normal budget appropriations process; and by States, counties, 
        cities, utilities, and port and airport authorities through 
        their general revenues, special taxes, user fees, and 
        borrowing. Even with this spending, however, a financing gap of 
        $2,626,000,000,000 remains. To close this gap, our nation will 
        need to increase investment, by all levels of government, from 
        2.5 percent to 3.5 percent of GDP by 2025.
            (4) ASCE estimates that the added $2,626,000,000,000 needed 
        over a ten year period to bring systems up to a state of good 
        repair is as follows (amounts in parentheses):
                    (A) Roads, bridges, and transit 
                ($1,035,000,000,000).
                    (B) Drinking water, wastewater, and stormwater 
                systems ($801,000,000,000).
                    (C) Schools ($250,000,000,000).
                    (D) Electricity generation, transmission, 
                distribution ($197,000,000,000).
                    (E) Aviation ($111,000,000,000).
                    (F) Dams, levees, inland waterways, and ports 
                ($109,000,000,000).
                    (G) Passenger rail ($45,000,000,000).
                    (H) Public parks and recreation ($78,000,000,000).
            (5) Expanded investment of at least $2,374,000,000,000 is 
        needed for--
                    (A) new affordable housing; a 9,000 mile high speed 
                rail network;
                    (B) affordable and complete broadband access;
                    (C) major water projects;
                    (D) science and technology drivers;
                    (E) to accommodate population growth and save on 
                energy use; and
                    (F) improvements in rural, urban, and low-income 
                areas that the private sector is not currently serving.
            (6) Although Federal grant programs, along with matching 
        State and local funding, should continue to play a coordinating 
        role in financing infrastructure in the United States, current 
        and foreseeable demands on existing Federal, State, and local 
        budgets exceed the resources to support these programs by a 
        wide margin. In addition, a severe economic downturn in 2020, 
        resulting in significant unemployment, business losses, and 
        public budget deficits, has placed further limits on 
        infrastructure spending.
            (7) The establishment of a United States public deposit 
        money bank would provide direct loans and other financing of up 
        to $5,000,000,000,000 for qualifying infrastructure projects 
        without requiring additional Federal taxes or deficits. Such 
        funding would be adequate to finance all of the United States' 
        unfunded infrastructure needs, in all parts of the country, 
        according to well-developed strategic plans. At the same time, 
        it would return the United States to its most recent ``golden 
        age'' when a National Infrastructure Bank was in place (1933-
        1957), during which time total factor productivity advanced by 
        3.5 percent per year, the economy grew on average 5.5 percent 
        per year, income inequality fell by one-third, and Federal and 
        State tax receipts rose dramatically.

                      TITLE I--REVENUE PROVISIONS

SEC. 101. TREATMENT OF NATIONAL INFRASTRUCTURE BANK AS A GOVERNMENT 
              CORPORATION EXEMPT FROM TAX.

    (a) In General.--Section 501(l) of the Internal Revenue Code of 
1986 is amended by adding at the end the following new paragraph:
            ``(5) The National Infrastructure Bank established under 
        title II of the National Infrastructure Bank Act of 2021.''.
    (b) Effective Date.--The amendment made by this section shall apply 
to taxable years ending after the date of the enactment of this Act.

SEC. 102. TREATMENT OF CONTRIBUTIONS TO THE NATIONAL INFRASTRUCTURE 
              BANK AS CHARITABLE CONTRIBUTIONS.

    (a) In General.--Section 170(c) of the Internal Revenue Code of 
1986 is amended by inserting after paragraph (5) the following new 
paragraph:
            ``(6) The National Infrastructure Bank established under 
        title II of the National Infrastructure Bank Act of 2021.''.
    (b) Application of Percentage Limitation.--Section 170(b)(1)(A) of 
such Code is amended by striking ``or'' at the end of clause (viii), by 
inserting ``or'' at the end of clause (ix), and by inserting after 
clause (ix) the following new clause:
                            ``(x) the National Infrastructure Bank 
                        referred to in subsection (c)(6),''.
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years ending after the date of the enactment of this 
Act.

SEC. 103. TEMPORARY RULE TO ALLOW A DEDUCTION FOR CASH CONTRIBUTIONS TO 
              THE NATIONAL INFRASTRUCTURE BANK BY CERTAIN TAXPAYERS WHO 
              DO NOT ELECT TO ITEMIZE DEDUCTIONS.

    (a) In General.--Section 170(p) of the Internal Revenue Code of 
1986 is amended by adding at the end the following flush sentence:
``The $300 or $600 dollar limitation otherwise in effect under the 
preceding sentence with respect to any taxpayer for any taxable year 
shall be increased by the amount of contributions made in cash by such 
taxpayer during such taxable year (determined without regard to 
subsections (b)(1)(G)(ii) and (d)(1)) to the National Infrastructure 
Bank referred to in subsection (c)(6).''.
    (b) Effective Date.--The amendments made by this section shall 
apply to taxable years ending after the date of the enactment of this 
Act.

SEC. 104. PREFERRED DIVIDENDS OF NATIONAL INFRASTRUCTURE BANK 
              EXCLUDIBLE FROM GROSS INCOME.

    (a) In General.--Part III of subchapter B of chapter 1 of the 
Internal Revenue Code of 1986 is amended by inserting after section 
139I the following new section:

``SEC. 139J. PREFERRED DIVIDENDS OF NATIONAL INFRASTRUCTURE BANK.

    ``Gross income shall not include any amount received as a dividend 
on preferred stock of the National Infrastructure Bank pursuant to 
section 203(c) of the National Infrastructure Bank Act of 2021 (as in 
effect on the date of the enactment of this section).''.
    (b) Clerical Amedment.--The table of sections of such part is 
amended by inserting after the item relating to section 139I the 
following new item:

``Sec. 139J. Preferred dividends of National Infrastructure Bank.''.
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years ending after the date of the enactment of this 
Act.

        TITLE II--ESTABLISHMENT OF NATIONAL INFRASTRUCTURE BANK

SEC. 201. DEFINITIONS.

    For purposes of this title, the following definitions apply unless 
otherwise specified in this title:
            (1) Bank.--The term ``Bank'' means the National 
        Infrastructure Bank established under section 202(a).
            (2) Blended financing.--The term ``blended financing'' 
        means financing provided through any combination of loans or 
        bond financing, in cooperation with private lenders or State 
        revolving funds, that is integrated into a single agreement 
        with a single set of financial terms.
            (3) Board.--The term ``Board'' means the National 
        Infrastructure Bank Board.
            (4) Bond.--The terms ``Bond'' means any bond issued in 
        accordance with this Act if--
                    (A) the proceeds from the sale of the bond are to 
                be used for expenditures incurred after the date of 
                issuance with respect to any infrastructure project or 
                other purpose, subject to such rules as the Bank may 
                provide;
                    (B) the bond is issued in registered form;
                    (C) the bond has such terms, and carries interest 
                in such an amount, as determined by the Bank; and
                    (D) payments of interest and principal with respect 
                to the bond is the obligation of the Bank, and is 
                backed by the full faith and credit of the United 
                States.
            (5) Chief asset and liability management officer.--The term 
        ``chief asset and liability management officer'' means the 
        chief individual responsible for coordinating the management of 
        assets and liabilities of the Bank.
            (6) Chief compliance officer.--The terms ``chief compliance 
        officer'' and ``CCO'' mean the chief individual responsible for 
        overseeing and managing the compliance and regulatory affairs 
        of the Bank.
            (7) Chief executive officer.--The terms ``chief executive 
        officer'' and ``CEO'' mean the individual serving as the 
        executive director of the Bank.
            (8) Chief financial officer.--The terms ``chief financial 
        officer'' and ``CFO'' mean the chief individual responsible for 
        managing the financial risks, planning, and reporting of the 
        Bank.
            (9) Chief loan origination officer.--The term ``chief loan 
        origination officer'' means the chief individual responsible 
        for managing the processing of new loans provided by the Bank.
            (10) Chief operations officer.--The terms ``chief 
        operations officer'' and ``COO'' mean the chief individual 
        responsible for the retail operations of the Bank and its 
        branches, including its administrative, human resource, and 
        information technology systems.
            (11) Chief risk officer.--The terms ``chief risk officer'' 
        and ``CRO'' mean the chief individual responsible for managing 
        operational and compliance-related risks of the Bank.
            (12) Chief treasury officer.--The term ``chief treasury 
        officer'' means the chief individual responsible for managing 
        the Bank's treasury operations.
            (13) Community development infrastructure project.--The 
        term ``community development infrastructure project'' means any 
        project for the development of affordable housing, schools, 
        public parks and recreation, libraries, or public facilities 
        that train workers and build labor skills.
            (14) Connectivity.--The term ``connectivity'' means the 
        linkages in transportation, energy, communications, and 
        community development infrastructure, as well as manufacturing 
        and data centers, that tie geographic areas together into 
        economic units, including networks of commuter routes, 
        railways, shipping lanes, and internet cables, and are best 
        expressed in map form.
            (15) Cost benefit analysis.--The term ``cost benefit 
        analysis'' means the comparison of the stream of costs for a 
        potential project over its useful lifetime, to its public 
        benefits over that time, with cost and benefit flows expressed 
        on a common basis in terms of net present value.
            (16) Development.--The terms ``development'' and 
        ``develop'' mean, with respect to an infrastructure project, 
        any--
                    (A) preconstruction planning, feasibility review 
                for stand-alone projects or for bundled projects, 
                permitting, design work, life-cycle maintenance 
                planning, and other preconstruction activities; and
                    (B) construction, reconstruction, rehabilitation, 
                replacement, or expansion.
            (17) Direct loan.--The term ``direct loan'' has the meaning 
        given the term in section 502 of the Federal Credit Reform Act 
        of 1990 (2 U.S.C. 661a).
            (18) Disadvantaged community.--The term ``disadvantaged 
        community'' means a county, city, or partial census tract area, 
        with any of the following characteristics:
                    (A) A median household income below 80 percent of 
                the State nonmetropolitan median household income.
                    (B) Persistent rural poverty, in which 20 percent 
                or more of the population has been living below the 
                poverty line for the last 30 years.
            (19) Energy infrastructure project.--The term ``energy 
        infrastructure project'' means any project for energy 
        transmission and distribution, energy generation as needed, 
        energy efficiency enhancement for buildings, and energy 
        storage.
            (20) Entity.--The term ``entity'' means--
                    (A) a State, municipality, or other governmental 
                agency (including a political subdivision or any other 
                instrumentality of a State or a revolving fund);
                    (B) a publicly owned utility;
                    (C) a public authority, corporation, or Federal 
                agency;
                    (D) a partnership (including a public-private 
                partnership);
                    (E) a joint venture; or
                    (F) a trust.
            (21) Environmental infrastructure project.--The term 
        ``environmental infrastructure project'' means any project for 
        the establishment, deferred maintenance, or enhancement, 
        including security enhancement, of any drinking water and 
        wastewater treatment facility, storm water management system, 
        flood gate, dam, levee, dredging, wetland restoration or other 
        open space conservation, infill development, solid waste 
        disposal facility, hazardous waste facility, or industrial site 
        cleanup or remediation project.
            (22) General counsel.--The term ``general counsel'' means 
        the individual who serves as the chief lawyer for the Bank.
            (23) Greenhouse gases.--The term ``greenhouse gases'' means 
        any man-made gas designated as a greenhouse gas by the 
        Administrator of the Environmental Protection Agency.
            (24) Infrastructure project.--The term ``infrastructure 
        project'' means any transportation, energy, environmental, 
        telecommunications, community development, or other 
        infrastructure project for which a development plan is 
        presented to the Bank for financing. It shall exclude military 
        infrastructure.
            (25) Loan guarantee.--The term ``loan guarantee'' has the 
        same meaning as in section 502 of the Federal Credit Reform Act 
        of 1990 (2 U.S.C. 661a).
            (26) Productivity.--The term ``productivity'' means the 
        improved efficiency in the economy associated with investments 
        in public and private infrastructure. It is calculated as the 
        change in the value of total production, minus the change in 
        the value of inputs going into production.
            (27) Public benefit.--The term ``public benefit'' means the 
        clear and measurable benefit to society resulting from the 
        public's use of the infrastructure with respect to which a 
        project is carried out, or the improvement such infrastructure 
        provides in--
                    (A) economic growth and productivity;
                    (B) air and water quality;
                    (C) energy savings;
                    (D) high-wage jobs;
                    (E) poverty reduction; or
                    (F) increased Federal, State, and local revenues.
            (28) Public-private partnership.--The term ``public-private 
        partnership'' means any entity--
                    (A)(i) which is undertaking the development of all 
                or part of an infrastructure project, which will have a 
                public benefit, pursuant to requirements established in 
                one or more contracts between the entity and a State or 
                an instrumentality of a State; or
                    (ii) the activities of which, with respect to such 
                an infrastructure project, are subject to regulation by 
                a State or any instrumentality of a State; and
                    (B) which owns, leases, or operates, or will own, 
                lease, or operate, the project in whole or in part, and 
                at least one of the participants in the entity is a 
                nongovernmental entity.
            (29) Revolving fund.--The term ``revolving fund'' means a 
        fund or program established by a State or a political 
        subdivision or other instrumentality of a State, the principal 
        activity of which is to make loans, commitments, or other 
        financial accommodation available for the development of one or 
        more categories of infrastructure projects.
            (30) Secretary.--The term ``Secretary'' means the Secretary 
        of the Treasury.
            (31) Smart grid.--The term ``smart grid'' means a system 
        that provides for any of the smart grid functions set forth in 
        section 1306(d) of the Energy Independence and Security Act of 
        2007 (42 U.S.C. 17386(d)).
            (32) State.--The term ``State'' means any of the several 
        States, the District of Columbia, Puerto Rico, Guam, American 
        Samoa, the Virgin Islands, the Commonwealth of Northern Mariana 
        Islands, and any other territory of the United States.
            (33) Telecommunications infrastructure project.--The term 
        ``telecommunications infrastructure project'' means any project 
        involving infrastructure required to provide communications by 
        wire, fiber optic cable, satellite, or radio, including 
        broadband, or to enhance security for such infrastructure.
            (34) Transportation infrastructure project.--The term 
        ``transportation infrastructure project'' means any project for 
        the construction, deferred maintenance, or enhancement, 
        including security enhancement, of highways, roads, bridges, 
        transit and intermodal systems, inland waterways, commercial 
        ports, airports, high speed rail, and rail track systems.
            (35) Trust fund.--The term ``Trust Fund'' means a 
        delineated account in the books of the Bank, set up to receive 
        and disburse grant money to fully or partially subsidize 
        project loans to entities operating in disadvantaged 
        communities. Trust fund receipts shall include those left over 
        from net operations of the Bank, Federal grant disbursements, 
        and philanthropic and other gifts from individuals and 
        corporations as they become available.

SEC. 202. ESTABLISHMENT OF NATIONAL INFRASTRUCTURE BANK.

    (a) Establishment of National Infrastructure Bank.--The National 
Infrastructure Bank is established as a Government corporation subject 
to chapter 91 of title 31, United States Code (commonly known as the 
``Government Corporation Control Act''), except as otherwise provided 
in this Act.
    (b) Conforming Amendment.--Section 9101(3) of title 31, United 
States Code, is amended by adding at the end the following:
                    ``(Q) the National Infrastructure Bank.''.
    (c) Responsibility of the Secretary.--The Secretary shall take such 
action as may be necessary to assist in implementing the establishment 
of the Bank in accordance with this Act, including obtaining a national 
bank charter.

SEC. 203. PURPOSES AND AUTHORIZATIONS.

    (a) Purpose.--The purpose of National Infrastructure Bank shall be 
to facilitate efficient, long-term financing of infrastructure 
projects, business and economic growth, and new job creation in the 
United States.
    (b) Capitalization.--
            (1) In general.--The National Infrastructure Bank shall 
        raise capital stock, in an amount approved by the Board, but 
        not to exceed to $500,000,000,000, to be held in the form of 
        Treasury securities.
            (2) Subscription.--The capital stock shall be subscribed 
        by--
                    (A) public holders of outstanding Treasury 
                securities of 3 years or greater maturity, or 
                outstanding municipal bonds of States or municipalities 
                of 5 years or greater maturity, who transfer such 
                securities or bonds to the Bank in exchange for the 
                capital stock;
                    (B) paid-in share capital, paid in cash; and
                    (C) the United States Treasury, as ``on-call'' 
                subscriber to the Bank, in an amount up to 
                $100,000,000,000 in 30-year United States Treasury 
                Bonds.
            (3) Capital adequacy ratio.--The Bank shall maintain risk-
        based capital of no less than 10.0 percent.
            (4) Limitation.--The Bank shall not purchase public debt of 
        the United States, as newly issued, except for the purpose of 
        rolling over the existing Treasury holdings of the Bank or to 
        convert the proceeds of cash purchases of the Bank's preferred 
        stock into Treasury securities.
    (c) Preferred Stock.--
            (1) In general.--All subscribed capital shall be exchanged 
        for an equivalent in preferred stock, or shares, in the Bank, 
        callable only by the Bank at the current market value of the 
        shares during a period of 20 years following finalization of a 
        stock purchase agreement. Notwithstanding any other provision 
        of law, a guarantee of redemption at the then current market 
        price of the shares shall be included in the stock purchase 
        agreement along with a contractual obligation by the United 
        States Treasury to fund the redemption. Preferred shareholders 
        shall have no voting rights in the Bank.
            (2) Dividends on preferred stock.--The Bank shall pay 
        dividends on its preferred stock semiannually at the following 
        rates:
                    (A) For stock acquired in exchange for Treasury 
                securities by an individual, by an entity that is not 
                exempt from tax under section 501 of the Internal 
                Revenue Code of 1986, or by the United States Treasury, 
                the same annual rate as the Treasury security exchanged 
                for the stock.
                    (B) For stock acquired in exchange for securities 
                by an organization that is exempt from tax under 
                section 501 of the Internal Revenue Code of 1986, the 
                same annual rate as the Treasury security exchanged for 
                the stock plus one half of one percent (0.5%).
                    (C) For stock purchased in exchange for cash by an 
                individual or an entity that is not exempt from tax 
                under section 501 of the Internal Revenue Code of 1986, 
                the same annual rate payable on Treasury bonds with a 
                30-year maturity purchased from the Treasury on the day 
                the stock purchase agreement is finalized.
                    (D) For stock purchased in exchange for cash by an 
                organization that is exempt from tax under section 501 
                of the Internal Revenue Code of 1986, the same annual 
                rate payable on Treasury bonds with a 30-year maturity 
                on the day the stock purchase agreement is finalized 
                plus one half of one percent (0.5%).
            (3) Acquisitions for other than cash or treasury securities 
        treated as acquisitions for cash.--For stock acquired in 
        exchange for non-cash assets other than Treasury securities, 
        the assets shall be liquidated by the Bank and the proceeds 
        treated as a cash purchase of stock.
            (4) Authority to modify rates.--If the dividends provided 
        for in paragraph (2) generate either more or less investment in 
        the Bank's preferred stock than is needed to achieve and 
        maintain the Bank's desired capitalization, the Directors may 
        reduce or increase the dividends provided for new acquisitions 
        of preferred stock in one or more of subparagraphs (A) through 
        (D) of paragraph (2) for such periods of time as the Directors 
        determine appropriate.
            (5) Priority and guarantee of dividend payments.--Dividend 
        payments on the Bank's preferred stock shall have priority over 
        other uses of interest payments received by the Bank on its 
        capital stock holdings of Treasury securities, and any such 
        dividends owed in excess of the amount covered by these 
        interest payments shall be guaranteed by the United States in 
        the stock purchase agreement.
    (d) Borrowed Capital.--The Bank is further authorized to raise 
borrowed capital for projects needs, or to meet its cash flow 
(liquidity) needs, by--
            (1) issuing Bonds, with a fixed 5 to 10 year maturity; and
            (2) maintaining a permanent, revolving discount line of 
        credit account with the Board of Governors of the Federal 
        Reserve System.
    (e) Deposits.--Once chartered as a national bank, the Bank shall 
accept deposits from individuals, corporations, or public entities, 
into transaction deposit accounts on its books, and pay interest on 
those deposits, in an amount deemed appropriate by the Board.
    (f) Loans.--
            (1) In general.--The Bank shall provide loans, in 
        accordance with this Act, to entities, or enter into blended 
        financing credit, for the financing, development, or operation 
        of infrastructure projects.
            (2) Loan maturity.--The maturity of loans should match, to 
        the extent possible, the maturity periods of anticipated 
        profitability, economic stimulus, and projected useful life of 
        projects financed by such loans.
            (3) Loan limit.--Total loans contracted by the Bank shall 
        not exceed $5,000,000,000,000.
            (4) Interest charges on loans and other fees.--The Bank--
                    (A) shall charge fixed-rate-interest, fees, 
                premiums, or discounts based on the risk associated 
                with a loan made by the Bank, taking into 
                consideration--
                            (i) the price of Treasury obligations of a 
                        similar maturity or 1.6 percent per annum, 
                        whichever is greater;
                            (ii) the credit rating of the borrowing 
                        entity if expressly published, or an assessment 
                        of the overall finances of the borrowing entity 
                        indicating an ability to service the loan;
                            (iii) current and expected future economic 
                        conditions, including expected improvements in 
                        the economy and the borrowing entity's finances 
                        resulting from the Bank's overall lending 
                        operations; and
                            (iv) whether or not the borrowing entity 
                        qualifies as a disadvantaged community, and an 
                        interest rate subsidy, subject to availability 
                        of funds;
                    (B) may, in connection with a loan extended by the 
                Bank, issue guarantees, insurance, coinsurance, and 
                reinsurance to borrowing entities, insurance companies, 
                financial institutions, or others, or groups thereof, 
                and charge fees based on a similar risk analysis; and
                    (C) may charge for the review of any project 
                proposal in such amount as may be approved by the Board 
                to cover the costs of such review.
            (5) Refinancing.--Subject to a full audit of the project 
        and borrower, and subject to Board review, the Bank may extend 
        the time limit for repayment of a loan, through renewal, 
        substitution of new obligations, or otherwise, with the maximum 
        time for such renewal to be approved by the Board. The Bank may 
        make such further loans as necessary for project completion, or 
        to assure loan repayment.
            (6) Limitations on loans.--The Bank may not--
                    (A) provide loans to consumers or provide any other 
                loans not described under this Act; or
                    (B) engage in investment banking activities such as 
                underwriting securities or trust management for 
                customers.
    (g) Capital for Loan Disbursements.--Once chartered as a deposit-
taking bank, the Bank is authorized to create funds in a deposit 
account in a borrowers name, in accordance with the loan agreement, as 
each scheduled loan disbursement as it is made. The Bank shall draw up 
an Aggregate Loan Disbursement Plan, for the information of the 
Comptroller of the Currency and the Board of Governors of the Federal 
Reserve System.
    (h) Net Earnings.--After meeting current obligations, the Bank is 
authorized to use its earnings, and all moneys which have been or may 
hereafter be allocated to or borrowed by it, in the exercise of its 
functions. From those monies, the Bank shall set aside loan loss 
provisions equal to a proportion of loan book value, as determined 
appropriate by the Board. Net earnings of the Bank, after setting aside 
loan loss provisions and estimated forward cash flow needs, shall be 
used for the payment of dividends to the United States Treasury, in an 
annual amount to be determined by the Board. Any residual net earnings 
shall be deposited into a Trust Fund to subsidize loans for 
disadvantaged communities that are not able to repay infrastructure 
loans on normal loan terms, in a manner to be determined by the Board. 
Any direct Federal contributions from the budget for the purpose of 
subsidizing disadvantaged communities may also be added and utilized 
via the Trust Fund.
    (i) Guarantees and Loan Loss Provisions.--In the event of any 
losses, as determined by the Board, incurred on loans, guarantees, and 
insurance extended under this Act, they shall be borne by the Bank out 
of its loan loss provisions. Any losses in excess thereof shall be 
borne by the Secretary of the Treasury. That excess shall be considered 
a contingent obligation backed by the full faith and credit of the 
Government of the United States of America.
    (j) Reserves.--The Bank shall maintain reserves against the Bank's 
transaction accounts in such amount as the Board may determine 
appropriate, but not greater than 14 percent of the Bank's total 
transaction accounts in excess of $25,000,000.
    (k) Branches.--The Bank shall establish an office of lending and 
deposit in each city that has a Federal reserve bank, via the internet, 
and in any other location where the Board determines it appropriate.

SEC. 204. FORMATION OF REGIONAL ECONOMIC ACCELERATOR PLANNING GROUPS.

    (a) In General.--The Bank, through its branch offices, shall 
facilitate the organization of at least 7 Regional Economic Accelerator 
Planning Groups, to be defined by common economic, demographic, and 
infrastructure linkages.
    (b) Duties.--The Regional Economic Accelerator Planning Groups 
may--
            (1) organize themselves by, and be composed of, State and 
        local public sector officials, including through 
        multijurisdictional or multistate agreements among agencies;
            (2) identify economic mega-regions, defined as hub cities, 
        related towns and suburbs, manufacturing production corridors, 
        and rural areas woven together into the communities where 
        people of the United States live, work, and provide goods or 
        services for movement within the region, and to other regions;
            (3) identify infrastructure needs and priorities for mega-
        regions, with input from the American Society of Civil 
        Engineers, and other trade, business, and industrial 
        associations;
            (4) develop regional economic accelerator plans, and a 
        pipeline of infrastructure projects, and their strategic 
        placement, needed to improve supply chains, land use, and 
        productivity within each mega-region, while seeking to include 
        all communities;
            (5) define how such projects will create energy savings, 
        environment improvements, jobs and wage improvements, regional 
        economic growth, and growth in regional tax income;
            (6) identify where multijurisdictional agreements should be 
        enacted or strengthened to improve the development of 
        infrastructure projects that cross jurisdictional lines 
        (examples are transportation improvements along the northeast 
        corridor, flood mitigation in midwestern States along the 
        Missouri River, or development of a national high-speed rail 
        grid);
            (7) identify where Federal, State, or local laws and 
        regulations should be streamlined to reduce infrastructure 
        project approval times, while maintaining environmental and 
        safety objectives, and work towards streamlining those laws and 
        regulations;
            (8) seek public input on the broad outlines of each 
        regional infrastructure development plan;
            (9) provide such plans to the Bank, to inform the Bank on 
        its selection of infrastructure projects for financing; and
            (10) assist entities formulating and submitting projects 
        for consideration of Bank financing on the definition, scope, 
        selection criteria, and others factors under section 205 that 
        will be considered in the approval process.

SEC. 205. ELIGIBILITY CRITERIA FOR ASSISTANCE FROM THE BANK.

    (a) In General.--Financial assistance shall be available from the 
Bank when the entity applying for such assistance has demonstrated to 
the satisfaction of the Board that the project for which such 
assistance is being sought meets the requirements of this Act. Any 
entity proposing a project for which the use or purpose is private, and 
without public benefit, shall not be eligible for financial assistance 
from the Bank under this Act.
    (b) Applicants.--The Bank shall accept applications for 
infrastructure projects for the designation of those projects that may 
receive financial assistance under this section for any infrastructure 
project having--
            (1) a public sponsor; and
            (2) local, regional, or national significance.
    (c) Guidelines for Infrastructure Projects.--The Executive 
Committee and the Board shall establish standard operating procedures, 
and develop online application procedures, to assist applications of 
infrastructure projects under this section to develop applications for 
financial assistance under this section.
    (d) Criteria.--
            (1) In general.--In making a determination as to whether to 
        provide an infrastructure project with financial assistance, 
        the Board shall evaluate and rate each applicant based on the 
        factors appropriate for the type of the proposed infrastructure 
        project, including--
                    (A) consistency of the project with a regional 
                infrastructure development plan that builds economic 
                connectivity in the project area and beyond, so that 
                maximum growth is achieved while leaving no community 
                behind;
                    (B) a life cycle projection of the benefits, as 
                compared to costs, of the project, that incorporates 
                the factors in subparagraphs (C) through (N) of this 
                paragraph;
                    (C) promotion of economic growth, including private 
                sector-led growth associated with the project;
                    (D) job creation, including fair and responsible 
                employment practices, and a workforce development to 
                train workers in new skills, including by union 
                apprentice programs to train new hires;
                    (E) a preference for projects in areas of high 
                unemployment, or disadvantaged communities, including a 
                workforce development plan to train workers in new 
                skills;
                    (F) environmental and public health benefits 
                including the reduction in greenhouse gases, and water 
                and air pollution, and the removal of lead and other 
                hazardous materials;
                    (G) a demonstrated ability to contract for design, 
                construction, operation, and maintenance of the 
                infrastructure project throughout its estimated useful 
                life, including by defining project objectives and 
                utilizing performance-based monitoring;
                    (H) an understanding of the strategic importance of 
                bundling of projects, correctly sizing projects, and 
                adopting value design and procurement procedures, so as 
                to realize long-run cost savings from ``dig, build, 
                expand, or improve only once'';
                    (I) an understanding of the importance of 
                innovative and state-of-the-art technologies that 
                achieve project reliability, efficiency, resiliency, 
                sustainability, security, and public safety;
                    (J) in cases where infrastructure is publicly or 
                privately owned, a preference for projects that 
                leverage Federal, State, local, and private financing, 
                including public-private partnerships, or where 
                companies can show that the additional capital could 
                not be obtained from commercial sources;
                    (K) a consideration of the costs and benefits of 
                preserving and repurposing existing infrastructure, in 
                particular to mitigate against unemployment and bolster 
                manufacturing in the United States;
                    (L) integration of other qualified projects that 
                may or should be done concurrently;
                    (M) a categorical benefit; and
                    (N) any other criteria as determined by the Board, 
                with approval by the Board.
            (2) Categorical benefit.--In this subsection, the term 
        ``categorical benefit'' means the following:
                    (A) For any transportation infrastructure project:
                            (i) A reduction in surface and air traffic 
                        congestion, by road, transit, passenger rail, 
                        freight rail, port or inland water travel, or 
                        air travel, as measured by reductions in 
                        transit, boarding, and total trip times.
                            (ii) An anticipated increase in capacity 
                        for existing and expected new ridership or 
                        transport use, including by high-speed rail.
                            (iii) A reduction in risks from maintenance 
                        decline, or structural failure, over the 
                        service life of the project.
                            (iv) The coordination of improvements in 
                        commuter passenger operations, freight 
                        transport, and new community design, with the 
                        demographics of population, economic 
                        production, and trade hubs according to a 
                        regional infrastructure plan.
                            (v) An overall decline in greenhouse gas 
                        emissions from surface and air transportation 
                        projects financed by the Bank.
                            (vi) An increase in access to affordable 
                        transportation options, including by low-income 
                        populations and the disabled.
                            (vii) Improvements in safety for users, 
                        passengers, and operators, as measured by a 
                        reduction in fatalities and serious injuries.
                    (B) For any environmental infrastructure project:
                            (i) Increased coastal and inland flood 
                        mitigation and protection.
                            (ii) Improvements in drinking water, 
                        wastewater, or stormwater systems, through the 
                        repair, expansion or replacement of such 
                        systems.
                            (iii) A reduction in risk to any public 
                        infrastructure from structural failure, or 
                        damage, due to weather-related events or 
                        catastrophic wildfires.
                            (iv) Environmental improvements from the 
                        removal of hazardous wastes.
                    (C) For any energy infrastructure project:
                            (i) Development of a smart grid, with 
                        modern security and resiliency systems.
                            (ii) Expanded use of clean energy.
                            (iii) Energy efficient buildings, including 
                        clean energy designated retrofits.
                            (iv) Development of localized power 
                        generation, and its integration into the grid.
                    (D) For any telecommunications project:
                            (i) Completion or improvement in broadband 
                        and wireless access and affordability in rural 
                        and disadvantaged communities that private 
                        companies do not serve.
                            (ii) Improvement of the global 
                        telecommunication satellite network.
                    (E) For any community development infrastructure 
                project:
                            (i) Modernization of local land use 
                        policies, including those that promote transit-
                        oriented development and location efficiency.
                            (ii) Expansion in the provision of public 
                        housing, or publicly assisted affordable 
                        housing, to provide long-term affordability in 
                        targeted, disadvantaged communities, for 
                        families and persons with incomes equivalent to 
                        those currently assisted, and improvement in 
                        the physical condition of such housing.
                            (iii) Replacement of schools that have 
                        reached their service lifetime; or expansion of 
                        school facilities with growing populations, or 
                        to house new programs for workforce 
                        development.
                            (iv) Improvements in National, State, and 
                        local parks and recreation facilities and 
                        related open space land management.
    (e) Emergency Procedures.--During the Bank's first year of 
operation, or until the Bank has provided a total of $500,000,000,000 
in loans, the Board may relax its selection criteria and procedures in 
favor of lending quickly for projects--
            (1) that reduce unemployment;
            (2) that address the backlog of critical, shovel-ready 
        projects for which preliminary engineering or permitting is 
        already completed; or
            (3) where there is a critical safety or other public need.

SEC. 206. BOARD OF DIRECTORS.

    (a) In General.--The Bank shall have a Board of Directors 
consisting of 25 members appointed by the President by and with the 
advice and consent of the Senate.
    (b) Qualifications.--The directors of the Board shall include 
individuals representing different regions of the United States and--
            (1) 12 of the directors shall have at least 15 years of 
        industrial and engineering experience;
            (2) 1 director shall be from the AFL-CIO;
            (3) 2 of the directors shall be from North America's 
        Building Trades Unions;
            (4) 2 of the directors shall be from the United States Army 
        Corp of Engineers;
            (5) 2 of the directors shall have State and local public 
        sector experience;
            (6) 2 of the directors shall have finance experience;
            (7) 2 of the directors shall have economic development 
        experience; and
            (8) 2 director shall represent minority communities or 
        disadvantaged communities.
    (c) Chairperson and Vice Chairperson.--As designated at the time of 
appointment, one of the directors of the Board shall be designated 
chairperson of the Board by the President and one shall be designated 
as vice chairperson of the Board by the President.
    (d) Terms.--
            (1) In general.--Except as provided in paragraph (2), each 
        director shall be appointed for a term of 6 years.
            (2) Initial staggered terms.--Of the initial members of the 
        Board--
                    (A) the chairperson and vice chairperson shall each 
                be appointed for terms of 6 years;
                    (B) 12 directors shall be appointed for a term of 4 
                years; and
                    (C) 11 directors shall be appointed for a term of 2 
                years.
    (e) Congressional Recommendations.--Not later than 30 days after 
the date of enactment of this Act, the majority leader of the Senate, 
the minority leader of the Senate, the Speaker of the House of 
Representatives, and the minority leader of the House of 
Representatives shall each submit a recommendation to the President for 
appointment of a member of the Board of Directors, after consultation 
with the appropriate committees of Congress.
    (f) Date of Initial Nominations.--The initial nominations by the 
President for appointment of directors to the Board shall be made not 
later than 60 days after the date of enactment of this Act.
    (g) Vacancies.--
            (1) In general.--A vacancy on the Board shall be filled in 
        the manner in which the original appointment was made.
            (2) Appointment to replace during term.--Any director 
        appointed to fill a vacancy occurring before the expiration of 
        the term for which the director's predecessor was appointed 
        shall be appointed only for the remainder of the term.
            (3) Duration.--A director may serve after the expiration of 
        that director's term until a successor has taken office.
    (h) Quorum.--At the time of any Board meeting, 75 percent of the 
directors confirmed by Congress (rounded down to a whole number) shall 
constitute a quorum.
    (i) Reappointment.--A director of the Board appointed by the 
President may be reappointed by the President in accordance with this 
section.
    (j) Per Diem Reimbursement.--Directors of the Board shall serve on 
a part-time basis and shall receive a per diem when engaged in the 
actual performance of Bank business, plus reasonable reimbursement for 
travel, subsistence, and other necessary expenses incurred in the 
performance of their duties.
    (k) Limitations.--A director of the Board may not participate in 
any review or decision affecting a project under consideration for 
assistance under this Act if the director has or is affiliated with a 
person who has an interest in such project.
    (l) Responsibilities.--The Board shall--
            (1) as soon as is practicable after the date on which the 
        last director is appointed, establish an Executive Committee, 
        Risk Management Committee and Audit Committee as prescribed by 
        this Act;
            (2) not later than 180 days after the date on which the 
        last director is appointed develop and approve the bylaws of 
        the Bank, and publish such bylaws in the Federal Register, 
        including bylaws for the regulation of the affairs and conduct 
        of the business of the Bank, consistent with the purpose, 
        goals, objectives, and policies set forth in this Act;
            (3) ensure that the Bank is at all times operated in a 
        manner that is consistent with this Act, by--
                    (A) monitoring and assessing the effectiveness of 
                the Bank in achieving its strategic goals;
                    (B) periodically reviewing internal policies 
                submitted by the chief executive officer;
                    (C) reviewing and approving annual business plans, 
                annual budgets, and long-term strategies submitted by 
                the chief executive officer;
                    (D) reviewing and approving annual reports 
                submitted by the chief executive officer;
                    (E) reviewing risk management and audit practices 
                of the Bank; and
                    (F) reviewing and approving all changes to the 
                organization of the Bank; and
            (4) establishing such other criteria, requirements, or 
        procedures as the Board may consider to be appropriate in 
        carrying out this Act.
    (m) Meetings.--
            (1) Open to the public; notice.--All meetings of the Board 
        held to conduct the business of the Bank shall be open to the 
        public and shall be preceded by reasonable notice.
            (2) Initial meeting.--The Board shall meet not later than 
        90 days after the date on which the last director is appointed 
        and otherwise at the call of the Chairperson.
            (3) Exception for closed meetings.--Pursuant to such rules 
        as the Board may establish through their bylaws, the directors 
        may close a meeting of the Board if, at the meeting, there is 
        likely to be disclosed information which could adversely affect 
        or lead to speculation relating to an infrastructure project 
        under consideration for assistance under this Act or in 
        financial or securities or commodities markets or institutions, 
        utilities, or real estate. The determination to close any 
        meeting of the Board shall be made in a meeting of the Board, 
        open to the public, and preceded by reasonable notice. The 
        Board shall prepare minutes of any meeting which is closed to 
        the public and make such minutes available as soon as the 
        considerations necessitating closing such meeting no longer 
        apply.

SEC. 207. POWERS AND LIMITATIONS OF THE BOARD.

    (a) Powers.--In order to carry out the purposes of the Bank as set 
forth in this Act, the Board shall be responsible for the approval and 
monitoring of infrastructure projects, and have the following powers:
            (1) To make senior and subordinated direct loans on such 
        terms as the Board may determine, in the Board's discretion, to 
        be appropriate to assist in the financing or refinancing of an 
        infrastructure project.
            (2) Subject to the availability of funding, as determined 
        by the Board, to develop specialized loan programs, such as a 
        disadvantaged communities loan program, or a community 
        cooperative startup, that provide project financing on flexible 
        repayment terms.
            (3) To make loan guarantees on such terms as the Board may 
        determine, in the Board's discretion, to be appropriate to 
        assist in the financing or refinancing of an infrastructure 
        project.
            (4) To issue Bonds, to provide financing to infrastructure 
        projects from amounts made available from the issuance of such 
        bonds.
            (5) To make agreements and contracts with any entity in 
        furtherance of the business of the Bank.
            (6) To approve infrastructure loans financed in whole or in 
        part, by the Bank, after receiving recommendations from the 
        Executive Committee established in section 208.
            (7) To monitor infrastructure projects financed in whole or 
        in part, by the Bank, after receiving assessments from the 
        Executive Committee.
            (8) To sue and be sued in the Bank's corporate capacity in 
        any court of competent jurisdiction, except that no attachment, 
        injunction, or similar process, may be issued against the 
        property of the Bank or against the Bank with respect to such 
        property.
            (9) To indemnify the directors and officers of the Bank for 
        liabilities arising out of the actions of the directors and 
        officers in such capacity, in accordance with, and subject to 
        the limitations contained in, this Act.
            (10) To serve as the primary liaison between the Bank and 
        the Congress, the executive branch, and State and local 
        governments, and to represent the Bank's interests.
            (11) To exercise all other lawful powers which are 
        necessary or appropriate to carry out, and are consistent with, 
        the purposes of the Bank.
    (b) Employee Protections.--Prior to providing any financial 
assistance for an infrastructure project involving reconstruction, 
rehabilitation, replacement, or expansion that may impact current 
employees on the project site, the interests of employees affected by 
the financial assistance shall comply with applicable Federal law as 
set out in section 215.
    (c) Coordination With State and Local Regulatory Authority.--The 
provision of financial assistance by the Board pursuant to this Act 
shall not be construed as--
            (1) limiting the right of any State or political 
        subdivision or other instrumentality of a State to approve or 
        regulate rates of return on private equity invested in a 
        project; or
            (2) otherwise superseding any State law or regulation 
        applicable to a project.
    (d) Federal Personnel Requests.--The Board shall have the power to 
request the detail, on a reimbursable basis, of personnel from other 
Federal agencies with specific expertise not available from within the 
Bank or elsewhere. The head of any Federal agency may detail, on a 
reimbursable basis, any personnel of such agency requested by the Board 
and shall not withhold unreasonably the detail of any personnel 
requested by the Board.

SEC. 208. EXECUTIVE COMMITTEE.

    (a) In General.--The Board shall establish an Executive Committee 
consisting of 9 members, headed by the chief executive officer of the 
Bank.
    (b) CEO.--A majority of the Board shall have the authority to 
appoint and reappoint the chief executive officer with such executive 
functions, powers, and duties as may be prescribed by this Act, the 
bylaws of the Bank, or the Board.
    (c) CEO Responsibilities.--The CEO shall have responsibility for 
the development and implementation of the strategy of the Bank, 
including--
            (1) the development and submission to the Board of the 
        annual business plans and budget;
            (2) the development and submission to the Board of a long-
        term strategic infrastructure development plan that is 
        consistent with regional plans as presented to the Bank by 
        Regional Economic Accelerator Planning Groups; and
            (3) the development, revision, and submission to the Board 
        of Directors of the Bank's other internal policies.
    (d) Other Executive Officers.--The Board shall appoint, remove, fix 
the compensation, and define duties of 8 other executive officers to 
serve on the Executive Committee as the--
            (1) chief risk officer;
            (2) chief operations officer;
            (3) chief loan origination officer;
            (4) chief compliance officer;
            (5) chief financial officer;
            (6) chief treasury officer;
            (7) chief asset and liability management officer; and
            (8) general counsel.
    (e) Qualifications.--The CEO, as well as other executive officers, 
and all loan origination officers, shall have extensive experience and 
expertise in retail banking, and in one or more of the following:
            (1) Transportation infrastructure.
            (2) Environmental infrastructure.
            (3) Energy infrastructure.
            (4) Telecommunications infrastructure.
            (5) Public housing and urban or rural development.
            (6) Economic development.
            (7) Workforce development.
            (8) Public finance.
    (f) Duties.--In order to carry out the purposes of the Bank as set 
forth in this Act, the Executive Committee shall--
            (1) establish and submit to the Board disclosure and 
        application procedures for entities nominating projects for 
        assistance under this Act;
            (2) establish and submit to the Board standardized terms 
        and conditions, fee schedules, or legal requirements of a 
        contract or program to carry out this Act;
            (3) establish and submit to the Board guidelines for the 
        selection and approval of projects and specific criteria for 
        determining eligibility for project selection, subject to the 
        general criteria provided in section 205;
            (4) accept, for consideration, project proposals relating 
        to the development of infrastructure projects, which meet the 
        basic criteria established by this Act and by the Executive 
        Committee, and which are submitted by an entity;
            (5) provide recommendations to the Board and place project 
        proposals accepted by the Executive Committee on a list for 
        consideration for financial assistance from the Board; and
            (6) establish a plan, and build capacity within the Bank, 
        to provide technical assistance to State and local governments, 
        regional economic accelerator planning groups established under 
        section 204, joint ventures, regional economic accelerator 
        agencies, and other borrowing entities on--
                    (A) the Bank's borrowing procedures and selection 
                criteria;
                    (B) development of a pipeline of projects suitable 
                for financing, that meet the selection criteria 
                developed by the Bank;
                    (C) development of specialized institutional 
                structures, and cross-region planning, to help in the 
                planning of complex projects;
                    (D) best design, construction, and management 
                practices, including those identified in global 
                infrastructure databases;
                    (E) contract evaluation methods, including 
                procurement value-for-money options; and
                    (F) institution strengthening relating to the 
                management of projects and work contracts, including 
                through performance-based project delivery.
    (g) Vacancy.--A vacancy in the position of CEO and other executive 
officers of the Executive Committee shall be filled in the manner in 
which the original appointment was made.
    (h) Compensation.--The compensation of the CEO and other executive 
officers of the Executive Committee shall be determined by the Board.
    (i) Removal.--The CEO and other executive officers of the Executive 
Committee may be removed at the discretion of a majority of the Board.
    (j) Term.--The CEO and other executive officers of the Executive 
Committee shall serve a 6-year term and may be reappointed in 
accordance with this section.
    (k) Limitations.--The CEO and other executive officers of the 
Executive Committee shall not--
            (1) hold any other public office;
            (2) have any interest in an infrastructure project 
        considered by the Board;
            (3) have any interest in an investment institution, 
        commercial bank, or other entity seeking financial assistance 
        for any infrastructure project from or investing in the Bank; 
        and
            (4) have any such interest during the 2-year period 
        beginning on the date such officer ceases to serve in such 
        capacity.

SEC. 209. RISK MANAGEMENT COMMITTEE.

    (a) Establishment of Risk Management Committee.--The Board shall 
establish a risk management committee consisting of 5 members, headed 
by the chief risk officer, with participation from the chief loan 
origination officer.
    (b) Appointments.--A majority of the Board shall have the authority 
to appoint and reappoint the CRO of the Bank.
    (c) Functions; Duties.--
            (1) In general.--The CRO shall have such functions, powers, 
        and duties as may be prescribed by one or more of the 
        following: This Act, the bylaws of the Bank, and the Board. The 
        CRO shall report directly to the Board.
            (2) Risk management duties.--In order to carry out the 
        purposes of this Act, the risk management committee shall--
                    (A) create overarching financial, credit, and 
                operational risk management guidelines and policies to 
                be adhered to by the Bank;
                    (B) create conforming standards for loan agreements 
                to ensure diversification of lending activities by--
                            (i) geographic region, infrastructure 
                        project type, and inclusion of disadvantaged 
                        and rural communities; and
                            (ii) compliance with Federal and State laws 
                        referred to in section 213;
                    (C) create specific plans for all financial 
                assistance provided by the Bank, including subsidy 
                programs for disadvantaged communities and project 
                targeting for disadvantaged business enterprises 
                covered by section 47113 of title 49, United States 
                Code;
                    (D) monitor overall financial, credit, and 
                operational exposure of the Bank;
                    (E) create a standing subcommittee to perform 
                regular credit evaluations and report on large 
                infrastructure loans extended by the Bank that monitor 
                compliance with terms, and attainment of performance 
                targets contained in loan agreements; and
                    (F) provide financial recommendations to the Board 
                for Board approval.
    (d) Other Risk Management Officers.--The Board shall appoint, 
remove, fix the compensation, and define the duties of 4 other risk 
management officers to serve on the risk management committee.
    (e) Qualifications.--The CRO and other risk management officers 
shall have demonstrated experience and expertise in one or more of the 
following:
            (1) Treasury and asset and liability management.
            (2) Investment regulations.
            (3) Insurance.
            (4) Credit risk management and credit evaluations.
            (5) Infrastructure development projects.
    (f) Vacancy.--A vacancy in the position of CRO and other risk 
management officers of the risk management committee shall be filled in 
the manner in which the original appointment was made.
    (g) Compensation.--The compensation of the CRO and other risk 
management officers of the risk management committee shall be 
determined by the Board.
    (h) Removal.--The CRO and other risk management officers of the 
risk management committee may be removed at the discretion of a 
majority of the Board.
    (i) Term.--The CRO and other risk management officers of the risk 
management committee shall serve a 6-year term and may be reappointed 
in accordance with this section.
    (j) Limitations.--The CRO and other risk management officers of the 
risk management committee shall not--
            (1) hold any other public office;
            (2) have any interest in an infrastructure project 
        considered by the Board;
            (3) have any interest in an investment institution, 
        commercial bank, or other entity seeking financial assistance 
        for any infrastructure project from or investing in the Bank; 
        and
            (4) have any such interest during the 2-year period 
        beginning on the date such officer ceases to serve in such 
        capacity.

SEC. 210. AUDIT COMMITTEE.

    (a) In General.--The Bank shall establish an audit committee 
consisting of 5 members, headed by the chief compliance officer of the 
Bank.
    (b) Appointments.--A majority of the Board shall have the authority 
to appoint and reappoint the CCO of the Bank.
    (c) Functions; Duties.--The CCO shall have such functions, powers, 
and duties as may be prescribed by this Act, the bylaws of the Bank, 
and the Board. The CCO shall report directly to the Board.
    (d) Audit Duties.--In order to carry out the purposes of the Bank 
under this Act, the audit committee shall--
            (1) provide internal controls and internal auditing 
        activities for the Bank;
            (2) maintain responsibility for the accounting activities 
        of the Bank;
            (3) conduct internal investigations of the business 
        activities of the Bank;
            (4) issue financial reports of the Bank; and
            (5) complete reports with outside auditors and public 
        accountants appointed by the Board.
    (e) Other Audit Officers.--The Board shall appoint, remove, fix the 
compensation, and define the duties of 4 other audit officers to serve 
on the audit committee.
    (f) Qualifications.--The CCO and other audit officers shall have 
demonstrated experience and expertise in one or more of the following:
            (1) Internal auditing.
            (2) Internal investigations.
            (3) Accounting practices.
            (4) Financing practices.
    (g) Vacancy.--A vacancy in the position of CCO and other audit 
officers of the audit committee shall be filled in the manner in which 
the original appointment was made.
    (h) Compensation.--The compensation of the CCO and other audit 
officers of the audit committee shall be determined by the Board.
    (i) Removal.--The CCO and other audit officers of the audit 
committee may be removed at the discretion of a majority of the Board.
    (j) Term.--The CCO and other audit officers of the audit committee 
shall serve a 6-year term and may be reappointed in accordance with 
this section.
    (k) Limitations.--The CCO and other audit officers of the audit 
committee shall not--
            (1) hold any other public office;
            (2) have any interest in an infrastructure project 
        considered by the Board;
            (3) have any interest in an investment institution, 
        commercial bank, or other entity seeking financial assistance 
        for any infrastructure project from or investing in the Bank; 
        and
            (4) have any such interest during the 2-year period 
        beginning on the date such officer ceases to serve in such 
        capacity.

SEC. 211. PERSONNEL.

    (a) Compensation; Duties.--The chairperson of the Board, chief 
executive officer, chief risk officer, and chief compliance officer 
shall appoint, remove, fix the compensation of, and define the duties 
of such qualified personnel to serve under the Board, Executive 
Committee, risk management committee, or audit committee, as the case 
may be, as necessary and prescribed by this Act, the bylaws of the 
Bank, and the Board.
    (b) Participation by Other Agency Personnel.--Consideration of 
projects by the Executive Committee and the Board shall be conducted 
with personnel on detail to the Bank from United States Army Corps of 
Engineers, the Department of Transportation, the Department of Labor, 
the Department of Housing and Urban Development, the Environmental 
Protection Agency, the Department of the Treasury, the Department of 
Commerce, and other relevant departments and agencies from among 
individuals who are familiar with and experienced in the selection 
criteria for competitive projects. The Bank shall reimburse those 
departments and agencies for the staff who are on detail to the Bank.

SEC. 212. SPECIAL INSPECTOR GENERAL FOR THE NATIONAL INFRASTRUCTURE 
              BANK.

    (a) In General.--Beginning on the date on which the President 
appoints a Special Inspector General for the Bank (referred to in this 
Act as the ``Special Inspector General'') under subsection (b), there 
is established an Office of the Special Inspector General for the Bank.
    (b) Appointment of Inspector General; Removal.--
            (1) Appointment.--The Special Inspector General for the 
        Bank shall be appointed by the President, by and with the 
        advice and consent of the Senate.
            (2) Basis of appointment.--The appointment of the Special 
        Inspector General shall be made on the basis of integrity and 
        demonstrated ability in accounting, auditing, financial 
        analysis, law, management analysis, public administration, or 
        investigations.
            (3) Timing of nomination.--The nomination of an individual 
        as Special Inspector General shall be made as soon as 
        practicable after the date of enactment of this Act.
            (4) Removal.--The Special Inspector General shall be 
        removable from office in accordance with the provisions of 
        section 3(b) of the Inspector General Act of 1978 (5 U.S.C. 
        App.).
            (5) Rule of construction.--For purposes of section 7324 of 
        title 5, United States Code, the Special Inspector General 
        shall not be considered an employee who determines policies to 
        be pursued by the United States in the nationwide 
        administration of Federal law.
            (6) Rate of pay.--The annual rate of basic pay of the 
        Special Inspector General shall be the annual rate of basic pay 
        for an Inspector General under section 3(e) of the Inspector 
        General Act of 1978 (5 U.S.C. App.).
    (c) Duties.--The Special Inspector General shall--
            (1) conduct, supervise, and coordinate audits and 
        investigations of the business activities of the Bank;
            (2) establish, maintain, and oversee such systems, 
        procedures, and controls as the Special Inspector General 
        considers appropriate to discharge the duty under paragraph 
        (1); and
            (3) carry out any other duties and responsibilities of 
        inspectors general under the Inspector General Act of 1978 (5 
        U.S.C. App.).
    (d) Powers and Authorities.--
            (1) In general.--In carrying out the duties specified in 
        subsection (c), the Special Inspector General shall have the 
        authorities provided in section 6 of the Inspector General Act 
        of 1978 (5 U.S.C. App.).
            (2) Additional authority.--The Special Inspector General 
        shall carry out the duties specified in subsection (c)(1) in 
        accordance with section 4(b)(1) of the Inspector General Act of 
        1978 (5 U.S.C. App.).
    (e) Personnel, Facilities, and Other Resources.--
            (1) Additional officers.--
                    (A) In general.--The Special Inspector General may 
                select, appoint, and employ such officers and employees 
                as may be necessary for carrying out the duties of the 
                Special Inspector General, subject to the provisions of 
                title 5, United States Code, governing appointments in 
                the competitive service, and the provisions of chapter 
                51 and subchapter III of chapter 53 of such title, 
                relating to classification and General Schedule pay 
                rates.
                    (B) Employment and compensation.--The Special 
                Inspector General may exercise the authorities of 
                subsections (b) through (i) of section 3161 of title 5, 
                United States Code (without regard to subsection (a) of 
                that section).
            (2) Retention of services.--The Special Inspector General 
        may obtain services as authorized by section 3109 of title 5, 
        United States Code, at daily rates not to exceed the equivalent 
        rate prescribed for grade GS-15 of the General Schedule by 
        section 5332 of such title.
            (3) Ability to contract for audits, studies, and other 
        services.--The Special Inspector General may enter into 
        contracts and other arrangements for audits, studies, analyses, 
        and other services with public agencies and with private 
        persons, and make such payments as may be necessary to carry 
        out the duties of the Special Inspector General.
            (4) Request for information.--
                    (A) In general.--Upon request of the Special 
                Inspector General for information or assistance from 
                any department, agency, or other entity of the Federal 
                Government, the head of that entity shall, insofar as 
                is practicable and not in contravention of any existing 
                law, furnish the information or assistance to the 
                Special Inspector General or an authorized designee.
                    (B) Refusal to comply.--If information or 
                assistance requested by the Special Inspector General 
                is, in the judgment of the Special Inspector General, 
                unreasonably refused or not provided, the Special 
                Inspector General shall report the circumstances to the 
                Secretary, without delay.
    (f) Reports.--
            (1) Annual report.--Not later than 1 year after the date on 
        which the Special Inspector General is confirmed, and every 
        calendar year thereafter, the Special Inspector General shall 
        submit to the President and appropriate committees of Congress 
        a report summarizing the activities of the Special Inspector 
        General during the previous 1-year period ending on the date on 
        which such report is required.
            (2) Public disclosures.--Nothing in this subsection 
        authorizes the public disclosure of information that is--
                    (A) specifically prohibited from disclosure by any 
                other provision of law;
                    (B) specifically required by Executive order to be 
                protected from disclosure in the interest of national 
                defense or national security or in the conduct of 
                foreign affairs; or
                    (C) a part of an ongoing criminal investigation.

SEC. 213. STATUS AND APPLICABILITY OF CERTAIN FEDERAL AND STATE LAWS.

    (a) National Bank Charter.--As soon as practicable after being 
established, the Bank shall apply for a national bank charter.
    (b) Compliance With Davis-Bacon Act.--All laborers and mechanics 
employed by contractors and subcontractors on infrastructure projects 
funded directly by or assisted in whole or in part by and through the 
Bank pursuant to this Act shall be paid wages at rates not less than 
those prevailing on projects of a character similar in the locality as 
determined by the Secretary of Labor in accordance with subchapter IV 
of chapter 31 of part A of title 40, United States Code. With respect 
to the labor standards specified in this section, the Secretary of 
Labor shall have the authority and functions set forth in 
Reorganization Plan Numbered 14 of 1950 (64 Stat. 1267; 5 U.S.C. App.) 
and section 3145 of title 40, United States Code.
    (c) Compliance With Project Labor Agreements.--In States in which 
project labor agreements are authorized or encouraged (in which 
contractors enter into binding, pre-hire agreements with labor unions 
in the construction industry), recipients of financial assistance made 
available under this Act must comply with such agreements (in 
accordance with subsections (e) and (f) of section 8 of the National 
Labor Relations Act (29 U.S.C. 158) and Executive Order 13502). In 
States in which project labor agreements are prohibited by law to be 
required for a project, projects financed by the Bank pursuant to the 
Act shall permit voluntary collective bargaining of such agreements.
    (d) Compliance With Civil Rights Act of 1964.--The Bank, along with 
contractors and subcontractors on infrastructure projects funded 
directly by, or assisted in whole or in part by the Bank, shall comply 
with title VI of the Civil Rights Act of 1964 as to hiring and awarding 
contracts to build projects.
    (e) Buy America.--None of the financing provided by the Bank may be 
used for an infrastructure project unless all of the iron, steel, 
cement, and manufactured goods used in construction, alteration, 
maintenance, repair, or equipping of the project are produced within 
the United States. During the application process for a loan under this 
Act, a request for a waiver to the requirements of the preceding 
sentence by reason of the public interest, or on account of 
unavailability or unsatisfactory quality of domestically produced 
goods, can be considered only if there is clear demonstration that jobs 
in the United States would not be lost due to the waiver.
    (f) Compliance With Applicable Federal Law.--Projects receiving 
financial assistance from the Bank shall comply with applicable 
provisions of Federal law and regulation, including--
            (1) for transit, requirements that would apply to a project 
        receiving funding under section 5307 or 47113 of title 49, 
        United States Code;
            (2) for public housing, requirements that would apply to a 
        project receiving funding from a grant under section 24 of the 
        United States Housing Act of 1937 (42 U.S.C. 1437v);
            (3) for publicly assisted affordable housing, requirements 
        that would apply to the preservation of such housing under 
        other provisions of law governing such housing;
            (4) for roads and bridges, requirements that would apply to 
        a project that receives funds under section 104(b)(3) of title 
        23, United States Code, or section 47113 of title 49, United 
        States Code, and meets the goals under section 150(b) of title 
        23, United States Code;
            (5) for freight and passenger rail projects, requirements 
        that would apply to a project that receives funds under 
        subtitle V of title 49, United States Code;
            (6) for airport and air traffic control projects, 
        requirements that would apply to a project that receives funds 
        under chapters 471 and 501 of title 49, United States Code, or 
        section 47113 of such title;
            (7) for water, requirements that would apply to a project 
        grant or loan under--
                    (A) section 103 of the Housing and Community 
                Development Act of 1974 (42 U.S.C. 5303);
                    (B) section 1452 of the Public Health Service Act 
                (42 U.S.C. 300j-12); or
                    (C) section 601 of the Federal Water Pollution 
                Control Act (33 U.S.C. 1381), as that section applied 
                before the beginning of fiscal year 1995; and
            (8) for rural development projects, requirements that would 
        apply to a project financed by any of the following programs of 
        the Department of Agriculture:
                    (A) Rural Economic Development Loans & Grants.
                    (B) Community Facilities Direct Loans & Grants.
                    (C) Single- and Multi-Family Housing Repair and 
                Rental Assistance Loans & Grants.
                    (D) Electric Infrastructure Loans & Loan 
                Guarantees.
                    (E) Rural Broadband Access, and Telecommunications 
                Infrastructure Loans & Guarantees.
                    (F) Water & Waste Disposal Loans & Grants.
    (g) Authority to Determine Funding.--Notwithstanding any other 
provision of law, the Bank shall determine the appropriate Federal 
share of funds, subject to loan approval by the Bank, and the 
availability of such Federal funding, for each project described in 
subsection (f) for purposes of this title.
    (h) State and Local Permit Requirements.--The provision of 
assistance by the Board in accordance with this Act shall not be deemed 
to relieve any recipient of assistance or the related infrastructure 
project of any obligation to obtain required State and local permits 
and approvals.

SEC. 214. EXEMPTION FROM CERTAIN LAWS.

    (a) No Budget Authority for Contracts or Loans.--Section 504(b) of 
the Federal Credit Reform Act of 1990 (2 U.S.C. 661c(b)) requiring 
prior budget authority shall not apply to any contract or loan under 
this Act.
    (b) No Priority as a Federal Claim.--The priority established in 
favor of the United States by section 3713 of title 31, United States 
Code, shall not apply with respect to any indebtedness of the Bank.

SEC. 215. AUDITS; REPORTS TO PRESIDENT AND CONGRESS.

    (a) Accounting.--The books of account of the Bank shall be 
maintained in accordance with generally accepted accounting principles 
as used in the United States, and shall be subject to an annual audit 
by independent public accountants appointed by the Board and of 
nationally recognized standing.
    (b) Reports.--
            (1) Board.--The Board shall submit to the President and 
        Congress, within 90 days after the last day of each fiscal 
        year, a complete and detailed report with respect to the 
        preceding fiscal year, setting forth--
                    (A) a summary of the Bank's operations, for such 
                preceding fiscal year;
                    (B) a schedule of the Bank's obligations 
                outstanding at the end of such preceding fiscal year, 
                with a statement of the amounts issued and redeemed or 
                paid during such preceding fiscal year; and
                    (C) the status of infrastructure projects receiving 
                funding or other assistance pursuant to this Act, 
                including disclosure of all entities with a 
                development, ownership, or operational interest in such 
                projects.
            (2) GAO.--Not later than 5 years after the date of 
        enactment of this Act, the Comptroller General of the United 
        States shall submit to Congress a report evaluating activities 
        of the Bank for the fiscal years covered by the report that 
        includes an assessment of the impact and benefits of each 
        funded infrastructure project, including a review of how 
        effectively each project accomplished the goals prioritized by 
        the Bank's project criteria.
    (c) Books and Records.--
            (1) In general.--The Bank shall maintain adequate books and 
        records to support the financial transactions of the Bank with 
        a description of financial transactions and infrastructure 
        projects receiving funding, and the amount of funding for each 
        project maintained on a publicly accessible database.
            (2) Public comment period.--The Bank shall post 
        infrastructure financing agreements on the database providing 
        30 days for public comments before providing final financing 
        for the infrastructure project.
            (3) Audits by the secretary and gao.--The books and records 
        of the Bank shall be open to inspection by the Secretary and 
        the Comptroller General of the United States.

SEC. 216. BUDGETARY EFFECTS.

    The budgetary effects of this Act, for the purpose of complying 
with the Statutory Pay-As-You-Go Act of 2010, shall be determined by 
reference to the latest statement titled ``Budgetary Effects of PAYGO 
Legislation'' for this Act, submitted for printing in the Congressional 
Record by the Chairman of the House Budget Committee, provided that 
such statement has been submitted prior to the vote on passage.

SEC. 217. AUTHORIZATION OF APPROPRIATIONS.

    There is authorized to be appropriated $50,000,000 for each of 
fiscal years 2021 and 2022 for the initial organization of the Bank, 
and its Directors and staff.
                                 <all>