Watertown, Wisconsin – President Joe Biden recently visited a small town in western Wisconsin to discuss his infrastructure and energy spending plans for the swing state at a local electrical supply company. This visit was part of official presidential business, unrelated to any campaign, but President Biden did mention former president Donald Trump several times during his 25-minute speech.
In addition to criticizing ex-president Trump, President Biden appeared to have many other past presidents on his mind. He announced a $7.3 billion grant for rural electric co-ops in Wisconsin and declared it “the most significant investment for rural electrification since FDR’s New Deal.” Later, he compared himself to another former president, Dwight D. Eisenhower, claiming he has done more to modernize transportation than anyone since the 1950s.
The Bipartisan Infrastructure Bill passed in 2021 allocated $3.1 billion for projects in Wisconsin, distributed through grants and formula payments to state and local governments. However, some strings attached to this spending have left Wisconsinites skeptical of the program’s benefits.
For instance, seven out of ten Wisconsin construction employees have chosen not to be part of a construction union, as union membership is voluntary in the state. However, critics argue that requiring contractors to pay prevailing wage – a standardized wage rate determined by the government based on labor market conditions, among other factors – artificially inflates the cost of projects and edges merit-based shops out of the competition for federal spending projects.
Cheryl Sment, President & CEO of Interstate Sealant & Concrete, suggests that removing such strings would make the infrastructure package more successful by promoting merit-based contractors. Moreover, Schulze notes that union construction employees cannot become the owner or be promoted to management positions in a company, unlike open shop construction employees who can and often do both.
Schulze also pointed out that prevailing wage is not always advantageous for construction workers themselves: “Union construction employees cannot buy into their employer and become the owner, or be promoted to management or other positions in a company. Open shop construction employees can and oftentimes do both.” He expressed frustration with President Biden’s stance on unions, noting that unions spent over $240 million on Biden and other Democrat politicians in 2020 and are likely to do even more for Harris in 2024.
Last week, Wisconsin Governor Tony Evers announced his state received $177 million of the $3.1 billion pledged by the Biden administration under the Bipartisan Infrastructure Law two years ago.
