Senate Democrats Split on Size, Scope of Key Tax, Spending Bill

(Bloomberg) -- Senate Democrats remain divided on the size and scope of a fast-track budget reconciliation bill that would carry most of President Joe Biden’s $4 trillion longer-term economic agenda, according to a person familiar with the process.

The continued disagreement could complicate plans to pass a budget resolution in the House and Senate this month to set up the tax and social-spending bill later in the year.

Senate Budget Committee Democrats, returning to Washington Monday after a recess, plan to meet soon to try to iron out their differences. Bernie Sanders, who chairs the panel, has outlined a $6 trillion proposal covering Biden’s agenda as well as an expansion of Medicare, additional climate change items, immigration reform and a permanent extension of the child care tax credit.

But the Vermont independent must get agreement from moderates in the caucus to pass both the budget resolution and a follow-up reconciliation bill, which requires 50 votes for passage along with Vice President Kamala Harris’s tie-breaking vote.

First up is persuading moderate Democrats on Sanders’s own committee, including Virginia Senators Mark Warner and Tim Kaine. Warner has indicated he’s more comfortable with a budget resolution that totals $3 trillion to $4 trillion.

“Senator Sanders looks forward to passing the most consequential legislation for working people since the 1930s. A lot of work has gone into the effort and much more work needs to be done,” said Mike Casca, a spokesman for Sanders.

Separately, a bipartisan group of senators is putting the finishing touches on a $579 billion infrastructure bill and plans to meet Tuesday to approve changes, according to a person familiar with the matter.

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