New Leftist Budget on the Way

Liberals are getting closer to reaching an agreement on President Biden’s social spending package; yet, it won’t happen until next week. On Friday, Biden had brunch with House Speaker Nancy Pelosi, as liberals work toward a consensus on Biden’s welfare spending package.

Nonetheless, some individuals familiar with the escalating conversations said they believed an agreement could be reached this week, given the current state of affairs between Biden and Democrat Senators Joe Manchin and Kyrsten Sinema.

They are More Optimistic This Time

Liberals, on the other hand, head into the last week of October with significantly more certainty from that pair than they had at the start of the month, enhancing their optimism a bill design can be reached this month.

Both houses will be closed until Monday, extending the debate into the weekend. As she emerged from the White House, Nancy Pelosi looked cheerful, telling reporters she thought a compromise was possible.

She did not indicate if the House would vote on the welfare spending measure or the state legislature infrastructure bill next week, just saying, “I’m really hopeful.”

“There are several choices to be made,” Pelosi said, following the House’s last votes of the week on Friday. “We’re an energetic party with a lot of different points of view, and we’ll work together to reach an agreement and get this done.”

As per a person familiar with the conversation, Senate Majority Leader Chuck Schumer also phoned into the Pelosi-Biden meal from New York.

Though Manchin said Democrats still had homework to do as he left the Capitol on Thursday (and has hinted to allies he is not in a hurry to reach an agreement), negotiations between Sinema and prominent Democrats have been heating up.

As per Democrat insiders, those conversations between the White House, Manchin, and Sinema are essentially the remaining hurdles to a deal.

Only Time Will Tell

“Discussions are ongoing,” said House Ways and Means Chairman Richard Neal, who has been in contact with Sinema and the White House for quite some time.

“On the national policies, we’re in agreement. Now we just have to figure out how to generate revenue,” Neal remarked. “We’ve reached the ninth inning.”

Liberals hope to persuade Manchin and Sinema to support a $2 trillion measure that addresses climate change, paid family leave, schooling, and childcare. This measure is funded in part by raising taxes on companies and the rich.

Because of Sinema’s resistance, Democrats are considering remedies, such as establishing a corporate minimum tax and taxing billionaires’ wealth. Manchin suggested a $1.5 trillion measure with some wiggle room; Democrat politicians in both chambers praised Biden’s active involvement in the talks.

Democrat leaders have been expecting there would be a settlement for the last three months, though.