- President Donald Trump focused, in part, on his massive infrastructure plan during the State of the Union.
- The plan will attempt to goose $1.5 trillion in investments from state and local governments and private investors, with $200 billion in federal grants.
- There are many questions about the plan that remain unanswered, including how it will be funded.
President Donald Trump used part of his State of the Union speech on Tuesday to detail parts of a forthcoming $1.5 trillion infrastructure plan , but key questions and caveats remain in regards to the package.
"I am calling on the Congress to produce a bill that generates at least $1.5 trillion for the new infrastructure investment we need, " Trump said in the speech. "Every Federal dollar should be leveraged by partnering with State and local governments and, where appropriate, tapping into private sector investment -- to permanently fix the infrastructure deficit."
Despite the headline investment number, the infrastructure package will include only $200 billion in direct federal investment. Trump expects the other $1.3 trillion to come from a combination of local, state, and private investment, incentivized by the federal seed money.
Here's how that $200 billion will be split up, according to a leaked draft of the plan from Axios:
Another key question is how the Trump administration will come up with the $200 billion. Many Republicans would likely balk at adding more to the federal deficit, so administration officials suggested previously that the investment would be financed through cuts to other programs.
Trump's 2018 budget proposal included cuts to Amtrak, infrastructure investment grants, and