President Biden hosted another bipartisan group of 10 lawmakers on Monday to discuss his infrastructure proposal, and once again everyone said the meeting was cordial and respectful, Biden and his guests expressed a willingness to compromise on the size and scope of the bill, and the Republicans said they won’t support raising the corporate tax rate to pay for the package.
Biden wants to raise the corporate tax rate to 28 percent, from 21 percent, to fund $2.25 trillion in spending. Sen. Joe Manchin (D-W.Va.) has suggested a 25 percent rate, and there’s speculation Democrats will settle around that number. “You could see a 2 or 3 percent increase — maybe not all the way to 28 but 25,” Rep. Charlie Crist (D-Fla.), who was at Monday’s meeting, told The Wall Street Journal. GOP lawmakers were “more in favor of user fees so that whoever was benefiting from that particular infrastructure project would be paying for it in the long run,” said Rep. Carlos Giménez (R-Fla.), another participant.
Sens. Mitt Romney (R-Utah) and John Hoeven (R-N.D.) both said after the meeting they favor paying for new infrastructure with gas taxes, user fees, and other mechanisms that don’t hit corporations. “There is broad support for infrastructure, and I believe a bipartisan bill is possible, but we need to find agreement to make these updates in a targeted way that doesn’t raise taxes,” Hoeven said.
Biden opposes user fees, gas taxes, or any other funding mechanism that hits the middle class, and the opposition from Romney and Hoeven suggests he’ll get no GOP support for raising corporate taxes, Axios says. Biden told Republicans he won’t wait forever for a counteroffer. “He’d like for the Republicans to, you know, for us to come back with some kind of proposal on infrastructure by about mid-May,” Giménez said.
Meanwhile, “progressives are warning the president not to get too attached to his GOP friends,” Politico reports. Biden “should approach the negotiations with an open mind and an open heart, but he should not delay,” Sen. Elizabeth Warren (D-Mass.) said. “We can’t end up months from now with no real progress and no real infrastructure bill.”
“I personally don’t think the Republicans are serious about addressing the major crises facing this country,” added Sen. Bernie Sanders (I-Vt.). “Maybe I’m wrong, but we’re certainly not going to wait for an indefinite period of time. … They have something to say? Now is the time to say it.”