Bipartisan Senate Infrastructure Bill in Sight
July 26, 2021
The bipartisan infrastructure bill continues to be negotiated by a group of 22 senators. Legislative text is (finally) expected this week once the Congressional Budget Office (CBO) “scores” the bill to calculate its cost and revenue. Negotiations continued over the weekend, although some senators left Washington. Politico reported that President Biden credited Senator Rob Portman, (R-OH) at a CNN town hall in Cincinnati, saying that the senator was a “…decent, honorable, man” and that he takes Republicans at their word and believes a deal with them would come together. The proposed deal nears $1.2 Trillion with $579 Billion in new spending.
After an earlier plan to pay for the spending through increased IRS enforcement fell apart, Senators found a new way to fund the missing revenue: delay a costly Trump-era Medicare regulation that reduces out-of-pocket costs for patients outside Medicare. Delaying the rule reduces expenditures by the Medicare program and produces a budgetary windfall the negotiators can use to help pay for roads, bridges, and other projects, according to Bloomberg.
Outstanding Issues
Democrats in the House and Senate are still pressing for further changes to the bipartisan bill. The biggest disagreement is over the ratio of transit funding in relation to highway funding down to 18% from 20%. Senators Sherrod Brown (D-OH) and Tom Carper (D-DE) say, “Robust funding for transit must be included in the legislation. We will not support any package that neglects this fundamental part of our nation’s infrastructure.” Other disputes, according to Punchbowl News involve broadband money, water funding, Davis-Bacon (labor union) requirements, and rescinding unspent COVID relief funds.
Republicans last week blocked a procedural vote on the bipartisan bill that had been forced by Senate Majority Leader Chuck Schumer (D-NY) to kick negotiations into higher gear. The gambit seems to have worked as the first vote failed, and enough Republicans are expected to support a similar vote this week to move forward after negotiations continued.
Plan B
Senate Majority Leader Chuck Schumer (D-NY) continues to talk openly about keeping the Senate in session into August to pass the bipartisan infrastructure bill and a budget that will allow Democrats to craft their reconciliation bill saying: