WASHINGTON – Two new government reports on rising inflation and the cost of the Biden administration’s legislative agenda has political observers looking squarely at U.S. Senator Joe Manchin.
On December 10, the Congressional Budget Office said temporary spending increases and tax cuts in Biden’s Build Back Better plan would add $3 trillion to make the 10-year estimate ab out $5 trillion.
Manchin (D-W.Va.) has been trying to convince fellow Democrats the legislation is too expensive. He’s mentioned rising inflation as a reason to take a closer look at the package.
Capito
Also on December 10, a new Labor Department report said consumer prices grew 0.8 percent in November and that the 12-month period ending in October rose 6.8 percent. That’s the highest such increase since 1982.
Manchin’s office did not reply to messages seeking comment. But on December 9, Manchin said he wanted to know “where we are in inflation and where we are on the true price” of the bill, saying he was “very concerned.”
During a press conference, President Joe Biden was asked if he thinks Manchin will support the legislation.
“I don’t know the answer now,” Biden said, adding that he plans to talk to Manchin soon.
Manchin’s vote is the one that mostly likely could make the bill sink or swim. If he supports it, the vote likely would be 50-50, and Vice President Kamala Harris would cast the deciding vote.
Republicans argue the cost of the legislation would add fuel to the inflation fire.
“There’s nothing temporary about an inflation crisis that surpasses record highs month after month,” Senator Shelley Moore Capito (R-W.Va.) said in press release. “But, here we are again seeing more record inflation numbers. Thanks to inflation, costs are rapidly rising on everything from a gallon of gas to a gallon of milk. It’s hurting West Virginians, and it’s hurting families across this country.
“Yet, even with these big red flags, the Biden administration and my Democrat colleagues would rather spend trillions more on liberal wish list items with money we don’t have instead of getting the problem under control.”
Capito tied inflation to the Biden legislative package.
“And, they want to enact the largest tax hike in decades,” she said. “These efforts will hit American families with higher prices and greater tax burdens when they can least afford it. There would never be a good time to pass the Democrats’ reckless tax-and-spending spree, but these inflation numbers indicate that now is the absolute worst time for Democrats to do just that.”
Capito also addressed the CBO announcement.
“Despite the absurd claims by President Biden and Democrats that the bill costs nothing, CBO’s projection today confirms what Republicans have been saying for months,” Capito said in another press release. “The Build Back Better Act would cost Americans trillions of dollars. No one believes that Democrats intent the policies in their partisan legislation to be temporary. Today’s analysis by CBO cuts through Democrats’ budget gimmicks to give the American people a real look at the cost of these policies.
“With record inflation announced just this morning, spending this outrageous amount of taxpayer money – on controversial, partisan agenda items – is dangerously irresponsible. This bill is the perfect storm of bad policies, a bad price tag and bad timing. With the Build Back Better Act, Americans can expect more heartburn with higher inflation, higher taxes and a higher national debt.”
The House passed its version of the legislation last month. Senate Majority Leader Chuck Schumer (D-N.Y.) has said he wants to reach final compromises with Manchin and other Democrats on unresolved issues and push the package through the Senate by Christmas. But Manchin still wants to remove a paid family leave program and cut some tax breaks to help a shift toward cleaner energy.
