West Virginia Senator Joe Manchin could get back on board President Joe Biden’s Build Back Better bill if Democrats cut or severely curtail the spending bill’s expanded child tax credit extension, a report released Monday suggests.
Manchin stands ready to talk about the $ 1.75 trillion package provisions on climate change and childcare policies, suggesting Biden’s agenda may not be dead ahead of the November mid-term elections, sources told Axios .
But the extended tax credit for children, an extension of a measure in Biden’s American Rescue Plan, should either be abolished entirely or the income ceiling for eligible families significantly increased.
The hike, which increased the child tax break from $ 2,000 per child to $ 3,600 for children under the age of 6, expired last week in late 2021.
The moderate Democrat dealt a death blow to Senate Majority Leader Chuck Schumer’s goal of getting the president’s agenda off the ground before the end of the year when he announced on Fox News on Sunday that he would not be able to vote for the social and climate reform bill.
In the days that followed, it was revealed that Manchin had tabled its own alternative Build Back Better proposal to the White House, which included climate and health measures but specifically excluded the child tax credit, the Washington Post reported first.
Key centrist Biden also reportedly said he would be open to some kind of billionaire tax to pay the progressive spending bills.
Manchin reportedly signaled that he would be open to negotiations on climate change and childcare regulations, and rekindled Democrats’ hopes of getting Biden’s agenda passed before the November midterm elections
According to sources quoted in Monday’s report, Manchin still expresses reservations about the scope of the extensive legislation, despite the fact that Senator Krysten Sinema and Senator Krysten Sinema managed to bring the price down from an initial $ 3.5 trillion.
He has reportedly raised concerns with colleagues about the law’s potential impact on inflation.
Last month, the Bureau of Labor Statistics released data showing inflation rose to a 40-year high of 6.8 percent in November. The numbers for December will be released next week.
Manchin told Fox presenter Bret Baier on December 19, “Inflation is real, it’s not going to go away anytime soon … for” before you pass the bill.
Senate majority leader Chuck Schumer had hoped to get Build Back Better off the ground by the end of 2021
Progressive Democrats immediately pounced on the central center’s refusal. In a burning statement from White House press secretary Jen Psaki, Manchin was accused of “a sudden and inexplicable reversal” of his position and “in breach of his obligations to the President and the Senator’s colleagues in the House and Senate.”
The consequences were so severe that there was speculation as to whether Manchin would leave the Democratic Party or be kicked out of it.
Manchin said in a radio interview the following day that the “inexcusable” behavior of White House staff in their talks with him about the law was why he put his foot on the table.
Later reports suggest that the moderate Democrat felt attacked by statements from the White House attributed to employees that identified him as an obstacle to Biden’s agenda.
“I’m always ready to work and listen to try. I have just reached the end of my wisdom and you know the real reasons for what happened, ”said Manchin, trying hard to say that the problem wasn’t Biden himself.
In the days following his announcement, the Huffington Post also reported that he privately told his Democrats he feared parents who claimed the child tax credit increase would use it on drugs.
Manchin communications director Sam Runyon told DailyMail.com at the time that the senator supports the child tax credit.
The Democrats wanted Joe Biden’s temporary child tax credit increase under the American Rescue Plan to be permanent. Under current U.S. tax laws, the normal maximum tax credit for children outside of the pandemic is $ 2,000
“Senator Manchin has made it clear that he supports tax breaks for children and believes that the money should go to those who need it most. He has also expressed his support for a paid vacation program that has a dedicated, sustainable funding mechanism, ”said Runyon.
It did not address the allegations in the Huffington Post report.
When Biden signed the US bailout plan to help the country through the COVID-19 pandemic, he added a $ 2,000 increase to the existing child tax credit.
It was doubled from $ 1,000 by Donald Trump’s Tax Cuts and Jobs Act.
The increase allowed parents to receive a maximum child tax break of $ 3,000 per child ages 6-17 and $ 3,600 for children under 6. In addition, the requirement to state an annual earned income of at least US $ 2,500 has been temporarily removed.
Families with incomes up to $ 400,000 were eligible for at least part of the loan, and the checks were made out to approximately 35 million families during the pandemic.
The White House said the program had the potential to cut child poverty in half.