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Senate passes jobs bill that includes infrastructure investment

Closing off debate on Monday, Feb. 22, Senate Majority Leader Harry Reid managed to get a passing vote of 62-30 on a proposal aimed at creating jobs. The proposal contains bonds for infrastructure spending and calls for highway programs to be funded through Dec. 31.

The Reid bill, in the form of a Senate amendment to House bill HR2847, was scaled down from a larger jobs bill offered by Sens. Max Baucus, D-MT, and Charles Grassley, R-IA.

The U.S. House passed HR2847 back in December 2009. Because the Reid amendment alters some of the bill language and deadlines, the two chambers must agree on final language before sending the jobs bill to President Obama’s desk for signature.

An example of the language difference is that HR2847 calls for an extension of current highway spending through Sept. 30 of this year, while Reid’s amendment in the Senate version calls for the extension to last through Dec. 31.

The Highway Trust Fund, as it is currently funded, has been operating on a series of temporary extensions since September 2009.

The Reid amendment calls for the federal government to issue Build America Bonds to pay for large-scale infrastructure projects. The amendment also contains provisions for small businesses to expense equipment as a tax write-off and calls for a payroll tax holiday to help employers retain workers.

As the House and Senate prepare to tackle the final language, both chambers continue to work on a long-term highway bill that will eventually cover the next five or six years of transportation policy and funding.

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