Democratic opposition rises in response to Republicans’ new $928 billion infrastructure proposal on Thursday morning.
What We Know:
- The new GOP proposal allocates $506 billion for roads and bridges. Additionally, it will also send $98 billion for public transit systems and $21 billion for safety. The counteroffer will most likely prolong discussions in the White House because of the Biden Administration’s plan. Biden’s plan still faces roadblocks including total cost, the definition of infrastructure, and how to pay for it.
- Biden has expressed that he hoped to meet again with Republican negotiators in the coming weeks. Bernie Sanders has said the “proposal goes nowhere near far enough” in regards to Biden’s plan. Republicans defend their proposal arguing that their offer isn’t as far apart as Democrats are suggesting when it comes to the definition of physical infrastructure.
- Debate on how to pay for the bill remains at large. House Press Secretary Jen Psaki has said Republicans “substantially increased the funding level”. She expressed that the group had “several constructive additions” but reiterates it’s unknown how they will pay for it. Being on the same page on how the bill will be paid for remains a substantial obstacle to getting a bipartisan agreement.
- The White House has suggested paying for the package by increasing the corporate tax rate. This action is a non-starter for the GOP. Republicans have instead suggested user fees and using unused money allocated for coronavirus relief. Democrats have rejected those suggestions but Republicans argue that there is precedent for doing so.
Members of both parties anticipate that Democrats will end up using the reconciliation process that would allow them to pass their package along party lines.
