Democratic leaders in the US Senate said Wednesday that they had reached a $670 billion deal which addresses the economy, prescription drugs, the environment and energy security.
Senator Joe Manchin, who became a major hurdle in agreeing to the budget reconciliation package, announced the deal with Senate Majority Leader Chuck Schumer.
The bill would reduce the national debt, invest in energy technologies and lower the cost of prescription drugs.
The amount of the new deal is less than one third of the original $3 trillion deal that was originally embraced by liberal Democrats, but passage of the bill itself could be a big win for President Joe Biden and the Democratic Party ahead of midterm elections in November.
"After many months of negotiations, we have finalized legislative text that will invest approximately $300 billion in deficit reduction and $369.75 billion in energy security and climate change programs over the next 10 years," Schumer and Manchin announced in a joint statement.
"The investments will be fully paid for by closing tax loopholes on wealthy individuals and corporations."
In addition to reducing the nation's deficit, the bill would lower carbon emissions by nearly 40% by 2030 and allow the federal government's Medicare health plan to negotiate prescription drug prices. It also includes measures that would adjust the nation's tax structure and lower the cost of health insurance.
"I have worked diligently to get input from all sides on the legislation my Democratic colleagues have proposed and listened to the views of my Republican friends to find a path forward that removes inflationary policies so that Congress can respond to Americans' suffering from high prices," said Manchin.
Schumer plans to pass the measure through a process called "reconciliation" that would allow him to proceed with just a 51-vote majority, with Manchin being that crucial 51st vote if Democrats vote along party lines.
The reconciliation procedure would bypass the rules that normally require 60 of the 100 senators to agree to most legislation.
Schumer said they will take up the bill on the Senate floor next week after it is reviewed by the nonpartisan Senate arbiter to ensure all measures in the agreement can be passed through reconciliation.
