Senate Majority Leader Chuck Schumer and West Virginia Sen. Joe Manchin said Wednesday they have reached a deal on a spending bill that includes health care and climate, with a goal of passage by next week, before the August recess.
While Manchin, one of the Democratic caucus’ most moderate members and a key vote in the 50-50 chamber, had balked at previous climate provisions in the face of historic inflation, he said Wednesday he supported clean energy tax credits and other as-yet-to-be-unveiled climate provisions that Democrats argue will reduce carbon emissions by roughly 40% by 2030.
The bill would spend $433 billion and raise $739 billion in revenue from tax reforms, with Democrats paying down the deficit some $300 billion — the latter at the insistence of Manchin.
The proposal is a slimmed-down version of a more expansive goal of trillion-dollar social spending under a Biden-approved “Build Back Better” plan. Congressional Democrats have worked largely unsuccessfully to pass such legislation since last year.
The eventual text of the new agreement, which is still wending its way through the Senate, will be considered under the fast-track process known as reconciliation, requiring a simple majority (and Vice President Kamala Harris’ tie-breaking vote) for passage in the upper chamber.
This is a developing story. Please return for updates.