Senator Joe Manchin (DW.V.) has privately warned the White House and congressional leaders that he has specific political problems with President Biden’s $ 3.5 trillion social spending dream, and that he will give support up to $ 1 trillion, Hans de Axios. Nichols Awards.
- At most, it is open to supporting $ 1.5 trillion, according to sources familiar with the discussions.
Why it’s important: In a 50- to 50-year-old Senate, this could mean the roof of Biden’s “Build Back Better” agenda, and that many progressive priorities, from universal preschool to free community college, are in danger of die this Congress.
- Manchin has also promised to pay any new expenses with new revenue, which will limit the final size of any final package.
- That amount would add to a $ 1.2 trillion bipartisan infrastructure deal approved by the Senate that awaited House action.
Between lines: Manchin’s underlying concerns with the Democrats ’$ 3.5 trillion budget proposal, which originated in Sen. Bernie Sanders’ budget committee, are profound and substantial differences over the size and scope of specific programs.
- Manchin has expressed concern over Biden’s plan to spend $ 400 billion on home caregivers.
- He also talks about media testing on other key proposals, including expanding the improved child tax credit, which provides up to an additional $ 300 per child per month, free community colleges, universal preschools, and child care tax credits.
- And it’s skeptical that the so-called dynamic score (which Democrats adopted as a way to offset some hard infrastructure spending costs) could be applied to “human” or “soft” infrastructure proposals.
- For years, Republicans have relied on dynamic scoring to argue that tax cuts can pay for themselves in the long run, growing the economy and therefore increasing revenue.
The big picture: House and Senate committees have until Sept. 15 to draft specific legislation on how to spend up to $ 3.5 trillion, while finding $ 1.5 trillion in new corporate and corporate revenue. richer Americans, to enact the Biden agenda.
- Manchin threw cold water on the process last week with a Wall Street Journal published, advocating a “strategic break,” citing inflation and the need to preserve some fiscal space to respond to COVID-19 if the virus he continues furious.
- House Speaker Nancy Pelosi has promised House centrists to vote on the $ 1.2 trillion bipartisan infrastructure package for Sept. 27.
- Biden, who spoke Tuesday night at the White House, said, “Joe in the end has always been there.”
- “He’s always been with me. I think we can solve something. I hope to talk to him.”
Flashback: During negotiations for the $ 1.9 trillion U.S. bailout plan, Manchin helped force Biden to reduce the amount of unemployment benefits and raise income limits over who would receive $ 1,400 in direct pay. .
What we are hearing: The White House still seems optimistic that an agreement can be reached.
- Manchin was careful in his WSJ work not to close the door on future negotiations.
- “Sanders wanted a large number and Manchin wanted a smaller number and we will work this process to try to reach common ground,” said a source familiar with White House thinking. “There is a wide spectrum of views in democratic groups and a lot of negotiations will take place. But we will continue to do that, finding common ground.”
Editor’s Note: This post has been updated to include comments from President Biden.