Biden Agenda Crumbles After Manchin Nukes Child Tax Credit; Will Try Again In 2022

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by Tyler Durden
Thursday, Dec 16, 2021 - 07:19 PM

Senate Democrats have given up on passing President Joe Biden's nearly $2 trillion economic agenda before the end of the year after moderate Sen. Joe Manchin (D-WV) voiced his opposition to a one-year extension of the child tax credit - a core component of the plan.

As Bloomberg notes, the delay risks slowing momentum and solidifying an intra-party divide on the legislation, "which many Democrats consider a key heading into the 2022 midterm elections."

"Every day that we delay is a bad day for the American people," said Senate Budget Chair Bernie Sanders (I-VT), who vowed that any changes to the bill would need to be more in line with progressive priorities.

Senate Majority Whip Dick Durbin (D-IL) was pissed over Manchin's opposition, telling reporters that he was 'stunned, frustrated and disappointed' at the move.

"We had more than ample opportunity to reach … a Democratic agreement — I never assumed any bipartisan support. We missed an opportunity but I’m not giving up," he said, adding that Democrats were counting on the one-year tax credit extension - and thought Manchin's position was settled.

Manchin recently told Biden team negotiators that he wants the BBB bill to include a 10-year extension of the child tax credit so that it's accurately reflected in the Congressional Budget Office score of the bill - which the White House has already told people to ignore.

The $1.9 trillion American Rescue Plan that Democrats passed in March expanded the child tax credit from $2,000 per child to $3,000 per child and $3,600 per child under the age of 6. That expansion is due to expire at the end of the month.

Durbin said he didn’t know the best way to save the bill at this point or whether it needs to be broken up into smaller pieces to make it easier to negotiate and pass. -The Hill

"Apparently, Manchin’s approach to this has changed a lot. I don’t know where he is today or where he’ll be tomorrow," said Durbin.

Sen. Lindsey Graham (R-SC) thinks it's DOA.

"I think Build Back Better is dead forever, and let me tell you why: because Joe Manchin has said he's not going to vote for a bill that will add to the deficit," he told Fox News host Sean Hannity.

Sen. Minority Leader Mitch McConnell (R-KY) agrees.

"We got indications the far left’s slapdash sprint may be hitting the pause button. That would be great news for the American people. The best Christmas gift Washington could give working families would be putting this bad bill on ice."