© Reuters. File photo: On July 31, 2021, the morning when the Senate reconvened in Washington, DC, the vehicle was parked outside the U.S. Capitol. REUTERS/Elizabeth Frantz
Washington (Reuters)-The U.S. Congressional Budget Office issued a long-awaited judgment on Thursday that the $1 trillion infrastructure bill being debated in the U.S. Senate is far from being fully paid, which will increase the U.S. budget deficit within a decade 256 billion US dollars.
But the non-partisan budget adjudication agency did not calculate everything the supporters of the bill wanted, leaving a budget gap of more than $300 billion for supporters of the bill.
The following are some of the main differences between the “pay” clauses listed in the bill summary distributed by the Senate Office and the CBO’s cost estimates based on 10-year results.
-$53 billion of unused federal unemployment funds will be returned by the states. The CBO does not consider them as part of the offsetting of infrastructure spending, saying they have been included in previous estimates.
——Infrastructure investment promotes economic growth in the United States and will bring in new revenue of 57 billion U.S. dollars. The CBO report is a “static” score and does not include estimates of the impact of macroeconomic growth.
– US$50 billion in cancelled 2020 COVID-19 aid allocations. The CBO stated that its scoring rules only allow it to account for $13.7 billion in savings.
– Based on previous CBO predictions, COVID-19 paid and family leave tax credits could save $105 billion. The agency did not include it in its cost estimate.
——US$87 billion from telecom spectrum auctions. The CBO did not calculate the $67 billion auctioned in February 2021, and estimated future auction proceeds of $10.175 billion.
-By expanding the available interest rate “smoothing” option for fixed-income pension plans, $2.9 billion was saved. This will allow companies to postpone tax-free pension contributions, thereby increasing federal income. During the 10-year budget window, the CBO counted it as $404 million.
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