$5 trillion national infrastructure bank bill introduced – again

Proponents of a national infrastructure bank are making a fresh push in what has become a tradition in every new congressional session.

A bill from Illinois Democrat Rep. Danny Davis introduced last week is the latest effort to pursue the financing tool. It’s the second such bill introduced this year. Lawmakers have floated similar measures repeatedly over the years and across several administrations hoping to gain traction for the idea of spurring private investment into the U.S. infrastructure space. Three such bills were introduced in 2023 alone.

Davis, a Chicago Democrat who has served 15 terms and announced in July he would retire at the end of his current one, has been a leading advocate of a national infrastructure bank and introduced similar bills several times.

His latest legislation, the National Infrastructure Bank Act of 2025, has earned 32 co-sponsors and was sent to several committees. The bill’s title notes it would “facilitate efficient investments and financing of infrastructure projects and new job creation.” The text is not yet available.

Proponents like the Coalition for a National Infrastructure Bank contend that private investment is needed in light of the massive needs in the U.S. In March, the American Society of Civil Engineers released its 2025 Report Card that said the funding gap has grown 40% in just four years and is now at $3.7 trillion.  

Several states have infrastructure banks but the push for a national one has not gained momentum and it’s not clear whether the current administration has the appetite. President Donald Trump has pitched the creation of a U.S. sovereign wealth fund to pay for infrastructure projects, and transportation secretary Sean Duffy has said he supports more private investment in U.S. infrastructure.

In July, Rep. Daniel Webster, R-Fla., and Rep. Salud Carbajal, D-Calif, introduced the National Infrastructure Investment Corporation Act. Webster introduced similar legislation in 2023. Their latest bill would create a bank funded by loans from municipal, state, and union pension funds.

“This bipartisan bill would leverage private financing to help local governments and municipalities have access to the capital needed for improving critical infrastructure,” said Webster, a member of the House Transportation and Infrastructure Committee.

The NIB coalition noted that 30 state legislatures have introduced support resolutions for a national infrastructure bank, with nearly a third passing the resolution in at least one chamber. The National Association of Counties this summer also passed a resolution supporting the creation of a bank, the NIB said.

The idea has its skeptics, including those in the tax-exempt municipal bond market, which functions as the chief infrastructure financing tool in the U.S. Some municipal market groups, like the Bond Dealers of America and the American Securities Association, have opposed the bank.