This past Wednesday, Chuck Schumer, the Senate Majority Leader, issued a statement announcing that he is calling together a meeting of members of the Senate Democratic caucus for the purpose of starting the “reconciliation process” for Uncle Joe’s bloated infrastructure plan.
In a statement to the media, Schumer stated that he is “meeting with all 11 Democratic members of the Senate Budget Committee on Wednesday to begin the process for passing a budget resolution, paving the way for Democrats to pass a major infrastructure bill on a party-line vote,” all hinging on if a select group of key moderate Senators, including Sen. Joe Manchin (D-WV) and Sen. Kyrsten Sinema (D-AZ), agree to go along with the key points of the plan.
“Tomorrow I’m convening a meeting with all 11 Democratic members of the Senate Budget Committee regarding a fiscal year ‘22 budget resolution,” Schumer stated, as reported by The Hill. “Now that President Biden’s fiscal ‘22 budget request has been received by Congress, the Budget Committee can begin the important work of producing a budget resolution.”
Uncle Joe’s proposed budget sports a shocking $6 TRILLION package that includes the $2.3 trillion American Jobs Plan along with the $1.8 trillion American Families Plan and the standard administration $1.1 trillion budget plan. As reported by Fox News, Biden’s administration seeks “roughly $4 trillion in new spending,” which will be offset by increased taxes.
“To fund the various proposals, Biden has pushed for a slew of tax hikes, including raising the corporate tax rate to 28% from 21%, nearly doubling the capital gains tax rate paid by wealthy Americans to 39.6% from 20%, restoring the top individual income tax rate to 39.6%, closing the stepped-up basis at death and imposing a global minimum of 15% on U.S. companies foreign profits,” reported the news source.
Biden’s White House had been hoping to go into negotiations with Republicans about certain elements of the large infrastructure bill but ran into rough terrain earlier this year when Republicans suggested that any “infrastructure bill” should focus its scope on fixing and replacing the physical infrastructure instead of throwing money at a massive expansion in government welfare programs. A “bipartisan group” of senators has written their own $1 trillion budget for infrastructure plans, reported The Washington Post, but has failed to “sell” the new plan to the White House as another plan instead of the current official proposal.
Schumer also stated to reporters that he still plans to send a scaled-down infrastructure package to the Senate once everyone returns from the August recess, but his plan to force reconciliation sends the signal that both head Democrats and Uncle Joe’s administration seek to pursue the full bills instead of the toned-down variant.