Most of the spending and tax cuts in Wednesday’s proposal are aimed at families with provisions for a national paid family and sick leave program. Childcare allowances; and renewal of several tax credit extensions from the latest Covid-19 Facilitation Act.
Newly proposed educational spending includes the universal preschool garden for 3 and 4 year olds; two years of free community college; an increase in the maximum Pell Grant award; and investing in colleges and universities that serve minorities.
The plan also calls on Congress to adjust the unemployment insurance system so that the length and level of benefits are automatically linked to economic conditions.
The president intends to pay the infrastructure portion of the plan with 15 years higher taxes on businesses.
The proposal, announced on Wednesday, would be funded in part through tax hikes for the richest Americans. Part of that strategy is giving the Internal Revenue Service more money and enforcement powers to fight tax evasion.