Senate Democratic leaders failed to break a deadlock over President Joe Biden’s $2 trillion economic agenda, punting action on the tax and spending bill to January in a political blow to the White House.
The delay, confirmed by two people familiar with the matter, risks solidifying the intra-party divide on the legislation, which many Democrats consider key heading into the 2022 mid-term elections.
A spokesman for Senate Majority Leader Chuck Schumer didn’t respond to requests for comment. And Schumer, after a lunch meeting with Democrats, said only that the party had “good discussions” on the tax and spending bill and separate voting rights legislation.
But several Democrats signaled the delay was a near certainty as West Virginia Democrat Joe Manchin, the key holdout in the 50-50 Senate, continued to withhold his support.
“We’ve got to get it done in the first couple of months” of 2022, Senator Chris Van Hollen, a Maryland Democrat, said when asked about retroactive tax issues in the bill.
Senator Mark Kelly, whose Arizona seat is competitive in the upcoming election, said Democrats should see much of the bill text by Thursday. But he likewise signaled Democrats no longer hoped to pass it by year-end.
“I don’t think it’s going to be before Christmas,” Kelly said. “It shouldn’t be, right? It should be when we’re ready.”
Other senators, including those involved in the months-long negotiations, could barely hide their frustration.
“Every day that we delay is a bad day for the American people” Senate Budget Chair Bernie Sanders said. The Vermont independent vowed any changes to the bill would be to make it more in line with progressive priorities.
Progressives and moderates have disagreed publicly on the size and scope of the package for months, although House Democrats were able to pass its version of the bill last month. But talks this week between Biden and Manchin have gone poorly, people familiar with the negotiations have said.
Manchin, however, attributed the delay to the Senate parliamentarian’s ongoing scrub of the bill to ensure it complies with strict rules for the process Democrats are using to avert a Republican filibuster.
“They’re getting their job done,” Manchin said of the parliamentarian’s ongoing review. “When the parliamentarian gets their work done we’ll see what they have.”