On September 13, Senators Sherrod Brown (D-OH) and Jack Reed (D-RI) introduced legislation to establish a National Infrastructure Bank. The bill, S. 1550, would allow the executive director and board of a newly created National Infrastructure Bank to provide loans or guarantees of non-Federal loans to a variety of public investment projects, including public housing and the modernization of local land use policies for community development projects, including those that promote transit-oriented development.
Under the bill, the provision of loans and loan guarantees for public housing would be based on how well the public housing applicant sought to improve the physical condition and layout of the housing, increase the energy efficiency and mitigating any health, safety or other hazardous conditions of such housing, exceed minimum requirements for targeting of persons and families with incomes below 50% of area median and with incomes below 30% of area median, and the community’s need for affordable housing.
Any loans or loan guarantees made would be capped at 50% of the total project cost. The bill would authorize $5 billion for each fiscal year through 2015.
The bill was referred to the Senate Committee on Banking, Housing and Urban Affairs.