Sen. Joe Manchin stated on Friday that Democrats should postpone President Joe Biden’s economic plan until later this summer. This would endanger the party’s environmental and tax goals and push out a congressional debate over the plan until just before the election in November.
The crucial West Virginia Democrat advised party leaders to limit the bill to provisions limiting pharmaceutical costs, extending soon-to-expire government health care subsidies, and decreasing federal deficits if they want to schedule votes on the still-emerging package this month.
By doing so, the party would have to abandon several of its main priorities under Biden. These include promoting the switch from dirty energy sources like fossil fuels to cleaner ones and funding its aims by taxing the richest individuals and businesses. In order to present these measures to voters before of elections in which Republicans may take control of Congress, party officials had intended to complete them in time.
According to a Democrat briefed on those discussions, Manchin spoke the day after telling Senate Majority Leader Chuck Schumer that he could not back a plan right away that would contain other party objectives like combating climate change and hiking taxes on the affluent and big businesses. The two congressmen have been haggling over a plan for months that is anticipated to cost nearly $1 trillion over ten years, with roughly half going toward lowering government deficits.
Manchin advised Democrats to hold off until August, when the inflation data for July will be released. Additionally, he wants Congress to evaluate the Federal Reserve’s next interest rate decisions as it fights to contain inflation while averting a recession.
On “Talkline,” a West Virginia talk radio program hosted by Hoppy Kercheval, Manchin said, “Let’s wait till it comes out so we know we’re heading down the path that won’t be incendiary to add more to inflation.”
Any Democratic bill in the evenly divided Senate will either pass or fail if Manchin, one of his party’s more conservative members of Congress, supports it. His most recent requests came days after the government announced that consumer costs increased last month at an annual rate of 9.1 percent, the highest increase since 1981. He has previously stated his reservations about pushing forward with a move that could exacerbate inflation.
Before Congress’s August recess, Democrats aim to come to an agreement on a package and pass it through the chamber. Republicans will undoubtedly oppose the bill in unison.
Democrats would be faced with a perilously ticking clock if they chose to wait until after the break. By using Vice President Kamala Harris’ tie-breaking vote, they might pass the law against strong GOP opposition in the 50-50 Senate before special budget powers expire on October 1.
That would increase the likelihood that they wouldn’t have enough votes if any Democrats missed the vote because to COVID-19 or for any other reason. Additionally, it would delay legislative action until a few short weeks prior to the November elections, when any votes might be easily turned into a divisive attack ad.