Here comes the taxes

0

President Joe Biden last week finally reached a deal on infrastructure with a group of 11 bipartisan lawmakers.

The proposal allocates $1.2 trillion for traditional infrastructure including roads and bridges. However, it does not include the “human infrastructure” elements backed by progressives.  

“The infrastructure train leaves the station and child care gets left on the platform, green energy gets left on the platform, [and] the billionaires don’t have to pay,” argues Senator Elizabeth Warren (D-MA).

To increase social spending, Democrats are moving forward with a separate proposal they hope to pass using the budget reconciliation process. Because the Senate is split 50-50, moderate Democrats like Senator Joe Manchin (D-WV) will play a pivotal role. 

“We have two tracks and that’s exactly what I believe is going to happen,” said Manchin, a lead negotiator in the infrastructure deal reached with Biden.“We’ve worked on the one track, we’re going to work on the second track, there’s an awful lot of need.” 

To attract support for the bipartisan proposal from progressives like Warren, Manchin favors a smaller reconciliation package focused on child care and workforce development. He also said that reversing Trump-era tax cuts could pay it.

“I want to make sure we pay for it, I do not want to add more debt,” Manchin told reporters, adding, “I didn’t vote for the 2017 tax cuts under President Trump…I thought they were weighed in too much towards the high end, if you will, I think we need to make some adjustments.” 

Vermont Senator Bernie Sanders (I-VT) told Manchin he would not support the bipartisan deal without “a reconciliation bill that substantially improves the lives of working families and combats the existential threat of climate change.”

Biden made a similar comment. He warned lawmakers he would not sign the infrastructure deal if they sent it to his desk without his Families Plan and “other priorities, including clean energy.”

Republicans immediately objected.

“If he’s gonna tie them together, he can forget it!” said Senator Lindsey Graham (R-SC). “That’s extortion! I’m not going to do that. The Dems are being told you can’t get your bipartisan work product passed unless you sign on to what the Left wants, and I”m not playing that game.” 

Further complicating matters is House Speaker Nancy Pelosi (D-CA). She promised not to advance the bipartisan infrastructure deal until Senate Democrats pass a reconciliation package. “There ain’t going to be an infrastructure bill unless we have a reconciliation bill passed by the Senate,” said Pelosi. Keep in mind Pelosi singlehandedly controls which bills reach the House floor.

Author’s Note: Manchin is the only one willing to buck the Democrats and he is likely to get his way. This means there is a good chance the Dems will repeal Trump’s tax cuts. This will result is a slowdown of the economy while Democrats pursue expanded welfare programs, pushing us closer to socialism. This is massively bad, but still better than the $6 trillion proposal backed by Sanders.

Sources:

Manchin pitches repeal of Trump tax cuts, $1.5T in social spending to secure Biden’s infrastructure deal 

Joe Manchin indicated he would cut a Democratic-only infrastructure plan to $2 trillion so it doesn’t grow the national debt 

Manchin: Bipartisan Infrastructure Deal ‘Should Not Be Conditional’ 

Leave A Reply

Your email address will not be published.