Pres. Obama’s 2017 Budget Could Boost Construction Spending 14%

Most of the increase depends on a Clean Transportation Plan funded by a new $10-per-barrel tax on oil that Congressional Republicans say is ‘dead on arrival’

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President Barack Obama's last budget, for fiscal-year 2017, arrived in Congress Tuesday. The proposal would boost total spending by 4.9%, mostly on mandatory programs such as Social Security and interest payments on the national debt, to more than $4.1 trillion in spending. In keeping with the two-year budget deal struck with Congress in December, the president requested only a slight increase, less than 1%, in discretionary spending programs overall, though Republicans still accused him profligate spending.

Washington Post: Obama’s final budget proposal calls for $4.15 trillion in spending

 

President Obama’s budget proposal is filled with minus signs for federal construction programs in fiscal year 2017, including General Services Administration new buildings, Army Corps of Engineers civil works and Environmental Protection Agency water infrastructure.

Offsetting increases include highway and transit programs tracking the 2017 provisions of the recently approved FAST Act.

The Associated General Contractors of America calculates the Obama FY17 budget includes a total of $141 billion for construction programs, up about 14% from the $123.9 billion in enacted fiscal 2016.

But all of that year-to-year increase would be accounted for by programs under an Obama-proposed 21st Century Clean Transportation Plan. The plan would total $17.9 billion in 2017, including about $8 billion for the Federal Transit Administration.

The administration would fund the clean transportation plan through a new $10-per-barrel tax on oil. But leading congressional Republicans have bluntly rejected the idea.

Without the clean transportation plan, the budget’s 2017 construction total would be about flat with 2016. Moreover, notes Sean O’Neill, AGC congressional relations director for infrastructure advancement, “The major accounts that we do follow did see a decrease almost across the board.”

ENR.com: Obama FY 2017 Budget Cuts Many, but Not All, Construction Programs

 

President Barrack Obama wants to boost federal spending next year for a state drinking water infrastructure fund by $157 million, an 18% increase over last year, to assist with projects in communities affected by water contamination such as Flint.

The Detroit News: Obama seeks 18% hike in water infrastructure spending

 

The administration’s budget includes:

  • $759 million for the Federal Bureau of Investigation’s Headquarters consolidation project
  • $267 million to deliver new headquarters for the Federal Emergency Management Agency, the next phase of the Enhanced Plan for consolidation of the Department of Homeland Security at St. Elizabeth’s in Washington
  • $248 million to complete the modernization of the Calexico, Calif. U.S. Land Port of Entry, meeting one of Custom and Border Protection’s highest priority needs and improving safety.

GSA.gov: President Obama’s Fiscal Year 2017 Budget Proposes Major Investments in Infrastructure

 

Fiscal 2017 U.S. Federal Budget Proposal, Office of Management and Budget

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