Biden wants Republican Capito to increase his counter-offer
US President Joe Biden delivers remarks on the Middle East at the Cross Hall of the White House in Washington, DC on May 20, 2021.
Nicolas Kamm | AFP | Getty Images
President Joe biden wants Republicans to increase spending on their infrastructure plan ahead of Friday’s talks that will determine whether Washington can pass a bipartisan bill to improve transportation, broadband and water systems.
During a Wednesday meeting, Biden told the GOP Sen. Shelley Moore Captain he wants the plan to include $ 1,000 billion in new spending – or above the baseline set under existing policy, NBC News reported. While Republicans recently sent Biden a $ 928 billion counter-offer, it only included about $ 250 billion in new money.
Biden also reiterated that he wanted to fund an infrastructure bill by raising the corporate tax rate, according to NBC. The GOP opposes any changes to its 2017 tax law, which reduced corporate tax from 35% to 21%.
Capito, a Republican from West Virginia, shared details of the meeting with the other five Republican senators on his infrastructure negotiating team, NBC reported. The GOP expects to send Biden another counter-offer as early as Friday, the day Biden and Capito plan to speak to each other again.
Biden’s priorities outlined on Wednesday underscore the hurdles negotiators face on the way to a bipartisan deal. Despite weeks of maneuvering, the parties have not agreed on what should go into an infrastructure bill or how to finance the plan.
The White House has indicated it could go ahead and try to pass legislation with only Democratic votes if talks don’t progress by next week. Energy Secretary Jennifer Granholm told CNBC on Wednesday that “there was a time limit” on the negotiations.
However, neither Democrats nor Republicans have shown that they want to be the ones to step out of the talks.
The GOP’s $ 928 billion plan came to about half of Biden’s latest $ 1.7 trillion proposal. Democrats want a bill to go beyond past notions of infrastructure, but Republicans have resisted the inclusion of policies beyond transportation, broadband and utilities.
The White House package includes major investments in care for elderly and disabled Americans, housing, schools, electric vehicles and clean energy. Democrats have stressed the need to stimulate the economy in the long term by making it easier for workers to find care for their dependent family members and preparing critical buildings and infrastructure for the effects of climate change.
Republicans aim to limit a plan to investments in areas such as roads, bridges, airports, ports, waterways, broadband and water supply systems.
Agreeing on how to offset expenses could be as tricky as deciding what to put in the bill. Republicans have said they will not agree to a corporate tax increase. Biden wants to raise the rate to at least 25%.
The White House opposes a GOP reconversion proposal coronavirus the relief money adopted by Democrats earlier this year.