Infrastructure investment will be slow to ramp up - Moody's

Moody's Investors Service in a recent report, titled "US Infrastructure: Large Increase in US Infrastructure Spending Will Be Slow to Develop.", argues that while federal government proposals calling for $1 trillion in infrastructure spending would be credit positive for state and local economies, several constraints suggest that investment will be slow to ramp up.

Key quotes (via Moody's)

"Budget pressure at all levels of U.S. government in recent years has limited the ability to adequately reinvest in the nation's critical infrastructure."

"In addition to political disagreement, regulatory approval issues like environmental reviews and litigation can slow the rate at which new infrastructure projects can materialize. Practical considerations regarding the pace at which new projects can proceed are also likely to hamper near-term investment."

"Such a rapid increase would pose significant challenges to large engineering and construction firms, which would need to hire and train new project managers and locate skilled laborers."