UPDATED 2:05 PM PT – Monday, March 29, 2021
The Biden administration confirmed their massive $3 trillion infrastructure bill will be divided into two parts. In an interview Sunday, Press Secretary Jen Psaki explained the first bill would likely address roads, bridges and rural broadband access while the second would cover health and childcare.
Biden will split his infrastructure plan into two proposals.
Jen Psaki tells Fox that, this week, he’ll unveil an effort to improve roads, bridges and water systems.
Next month, a second package will include spending on social welfare programs, healthcare, and child care.
— Kyle Griffin (@kylegriffin1) March 28, 2021
The decision to divide the proposal was an apparent move to get Republicans on board with at least the first part of the bill as the second could possibly receive pushback from the GOP. Senate Republicans had already been uneasy about the overall price tag as tax hikes and national debt were key factors amid the legislation.
“They’re talking about massive spending increases, high tax increases. This is a recipe that’s going to take us to a bad place in the economy. This is the fight right now,” says Senator @SteveDaines. “I can’t support these massive spending increases.” pic.twitter.com/J10dSCRm96
— Squawk Box (@SquawkCNBC) March 29, 2021
“It’s a spending problem there and we pushed nearly $6 trillion of COVID-related spending in the last 12 months, now add another what? $3 trillion or more?” questioned Sen. Steve Daines (R-Mont.). “They’re talking about massive spending increases, high tax increases. This is a recipe that’s going to take us to a bad place in our economy. So, this is the fight right now. It’s 50/50 Senate right now [with] narrow margins in the House. This will be an interesting battle, but I can’t support these massive spending increases and…massive tax increases as well.”
On Monday, the press secretary said Joe Biden would unveil his infrastructure plan, including the details on how to pay for it, on Wednesday. Along with Republican opposition, Senate Democrats also must contend with the moderates in their own party who hold sway over the divided upper chamber.