The American Society of Civil Engineers has again given American infrastructure an average grade of D.
A new report from the ASCE, Failure to Act: Economic Impacts of Status Quo Investment Across Infrastructure Systems, examines the implications of low infrastructure grades for the U.S. economy.
The report indicates there has been a gradual decline of infrastructure systems like roads and bridges, and that they continue to decline.
The report suggests allocated and redirecting funds for infrastructure projects, especially with new technology, would spur economic growth.
"When we fail to act on infrastructure, we continue to pay the price," says Thomas Smith, executive director of ASCE.
"Drivers get stuck in traffic, our systems are unreliable and the cost to do business all over the country increases and those costs get passed on to Americans."
The report says by 2029, much needed infrastructure projects will be about 2 and a half trillion dollars short of government investments for what's needed for critical repairs, improvements, and upgrades.
The study indicates that goes up to $5.6 trillion in 2039. Analysts believe the deficit could have a direct and severe affect on business productivity, jobs, and public health.
“America’s infrastructure bill is overdue, and we have been ignoring it for years,” said Smith. “There’s no better way to jumpstart the economy, while also lessening the financial burden on businesses and families, than by making a down payment on our infrastructure now."
President-elect Joe Biden touted infrastructure during limited campaign events leading up to the election. The Biden transition team has indicated they are ready to move on infrastructure quickly.
Where funding will be pulled from and what types of projects will be initiated will receive plenty of scrutiny. It is likely the Biden Administration will begin migration away from the coal industry with a renewed emphasis on environmentally conscious projects.
Some analysts believe that approach will actually hurt the economy over the long run.
There's little debate, however, over the need for infrastructure improvements but where the money will come from and what projects will be funded remains the highly contentious on Capital Hill.
