President Joe Biden is actively safeguarding a substantial portion of federal funds dedicated to climate initiatives and infrastructure development.
Breitbart News reported that the President is striving to lock in hundreds of billions in allocated funds to prevent potential repurposing or cancellation under a future administration, particularly if Donald Trump returns to office.
Amidst the political backdrop of shifting administrations, Biden focuses on preserving the critical financial backbone of his first-term legislative victories. This includes major laws such as the American Rescue Plan, the bipartisan infrastructure law, the CHIPS and Science Act, and the Inflation Reduction Act.
These pieces of legislation collectively channel approximately $1.6 trillion into bolstering the U.S. economy, enhancing infrastructure, and boosting technological advancements.
A vast majority of the funds earmarked for climate, energy, and infrastructure from these four significant bills are yet to be disbursed. As of April, less than 17% of the $1.1 trillion allocated for these specific purposes has been spent, illustrating a slow pace of fund utilization. This slow disbursement rate is seen as a strategic cushion, ensuring that the allocated funds continue to serve their intended purposes and are shielded from future policy reversals.
Only about $125 billion of the $884 billion approved under the infrastructure law and the American Rescue Plan alone has been effectively spent. Furthermore, approximately $300 billion from these funds is scheduled for release over the next two fiscal years, adding another layer of complexity in fund management and security.
In the sector of technology and science, the CHIPS and Science Act has seen less than $700 million of the $54 billion allocated funds awarded thus far. However, the Commerce Department recently made headlines by announcing $29 billion in preliminary awards to semiconductor manufacturers, signaling a significant ramp-up in the utilization of these strategic funds.
The senior clean energy adviser to the White House, John Podesta, noted that the administration is "acting with deliberation, with haste" to ensure that these funds are protected and effectively used to meet their legislative goals.
Former President Donald Trump has been vocal about his discretionary approach to federal spending, stating that he believes he should have the authority to refuse to spend congressionally appropriated money he deems wasteful. This statement underscores the ideological differences between the current and former administrations concerning fiscal policy and governance.
Mandy Gunasekara, Trump's former EPA chief of staff, hinted at a policy of pausing, reviewing, and then deciding on the action for funds not yet disbursed if Trump were to take office again. This potential policy shift directly threatens the continuity of Biden’s climate and infrastructure agenda.
Karoline Leavitt, a spokesperson for the Trump campaign, also articulated a clear stance against Biden’s policies, specifically targeting the President's electric vehicle (EV) mandates. Leavitt stated, “President Trump will repeal Joe Biden’s radical EV mandates to save America’s auto industry and cut costs to reduce inflation and get our economy booming again.”
The dichotomy between securing a lasting legacy and preparing for potential administrative shifts encapsulates President Biden’s current strategy. As he works to ensure that the $1.6 trillion allocated during his tenure is spent wisely and safeguarded from future political shifts, the narrative of his presidency continues to unfold amidst a backdrop of political contention and fiscal scrutiny.
This strategy reflects a cautious approach to governance and a deep-seated commitment to the foundational changes he has set in motion. As the clock ticks towards the next presidential election, the battle over Biden’s financial and legislative legacy continues to heat up, setting the stage for a complex interplay of politics, policy, and presidential ambitions.
