House Democrats clear path toward passing $3.5 trillion budget bill and infrastructure plan after breaking stalemate

U.S. House Speaker Nancy Pelosi (D-CA) arrives for a House Democratic caucus meeting amidst ongoing negotiations over budget and infrastructure legislation at the U.S. Capitol in Washington, U.S. August 24, 2021.

Jonathan Ernst | Reuters

House Democrats forged ahead with President Joe Biden‘s economic plans Tuesday after they broke a stalemate that threatened to unravel the party’s sprawling agenda.

The chamber approved a measure that passed a $3.5 trillion budget resolution and advanced a $1 trillion bipartisan infrastructure bill. The vote allows Democrats to write and approve a massive spending package without Republicans and puts the Senate-passed infrastructure plan on a path to a final House vote.

The measure includes a nonbinding commitment to vote on the infrastructure bill by Sept. 27, which aims to appease nine centrist Democrats who pushed the House to consider the bipartisan plan before it took up the Democratic budget resolution. The vote also advances a sweeping voting rights bill, which Democrats aim to pass as soon as Tuesday.

The opposition from the nine holdout Democrats threatened an agenda that supporters say will boost the economy and provide a lifeline to working-class households. Democratic leaders have cast the budget plan as the biggest expansion of the American social safety net in decades.

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House Speaker Nancy Pelosi, D-Calif., has pushed to pass the bipartisan and Democratic plans at the same time in order to ensure centrists and progressives back both measures. The nine Democrats withheld their support, leaving Pelosi and her top deputies scrambling to find a path forward to salvage the party’s economic plans.

The vote to advance the measures preserves the party’s hopes to push through massive economic proposals this year. Democrats still need to overcome several hurdles — and write a budget bill that can win support from spending-wary centrists and progressives alike — to get the proposals through a narrowly divided Congress.

Democrats in the Senate and House hope to write their bill to strengthen the social safety net and invest in climate policy in the coming weeks. The budget measure calls to expand Medicare, child care and paid leave, extend strengthened household tax credits passed last year, create universal pre-K and make incentives for green energy adoption.

While the resolution allows for up to $3.5 trillion in spending, centrists will likely try to trim the price tag.

Many Republicans have supported the bipartisan infrastructure bill, saying it will jolt the economy. But they have opposed the trillions more in spending proposed by Democrats — and the tax hikes on businesses and wealthy individuals they hope to use to pay for it.

The GOP has also argued the Democratic plan would increase inflation, which White House officials have disputed.

This story is developing. Please check back for updates.

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