The Biden administration is admitting that his Build, Back, Better bill is a total failure. The administration is removing some of the key proposals he ran on.
The president told lawmakers that he is going to drop the tuition free community college portion because it’s too expensive.
Democrats are also pulling back their proposal they claimed was going to crack down on wealthy tax cheats.
The Department of Treasury and Senate Democrats were planning on allowing forcing banks to provide the IRS with information on bank accounts with more than $600 in annual deposits or withdrawals. Democrats have now raised the proposal to $10,000 and will be excluding income to make sure it only accounts for larger account holders.
Biden is telling Democrats to lower their expectations if they want to get a bill done.
“Both of these bills spend out over 10 years, take the infrastructure, build all those investments and roads, bridges, highways, high-speed internet, water, clean water, everything represents less than one half of one percent of our economy each year,” Biden said. “If you add it all up, and the cost of the bill … in terms of adding to the deficit, is zero…we’re probably not going to get $3.5 trillion this year, we’re going to get something less than that…But I’m going to negotiate,” he said. “I’m going to get it done with the grace of God…big corporations and the very wealthy will start paying their fair share,” he said.
There’s no guarantee that the smaller bill is going to pass either because of all the infighting Biden created. Every week, the range of the bill gets smaller and smaller.
The social spending package, which Democrats are trying to pass without Republican support through a procedure known as reconciliation, started at $3.5 trillion. Last month, Biden told House Democrats that the range was likely to be $1.9 trillion to $2.2 trillion. He told progressives Tuesday night that the range he is working on is $1.75 trillion to $1.9 trillion, three sources familiar with the meeting said.
Republicans are refusing to take part in the process and are letting the Democrats cook their own goose.