Sen. Joe Manchin cools on spending negotiations, citing fears of an ‘inflation fire’
parts of President Joe Biden’s stalled domestic agenda, Sen. Joe Manchin pumped the brakes Wednesday.
The West Virginia Democrat – whose vote is critical for a bill the White House is waiting on – issued a blistering statement on soaring inflation, casting doubt about how far he’s willing to go in a spending package. Without Manchin, the Biden administration’s plans to address climate change, overhaul taxes and lower prescription drug prices hang in the balance.
What Manchin said
- Manchin said it’s time to get “unnecessary spending under control,” calling inflation a “clear and present danger to our economy.”
- “No matter what spending aspirations some in Congress may have, it is clear to anyone who visits a grocery store or a gas station that we cannot add any more fuel to this inflation fire,” Manchin said.
- Manchin said he’s going to make sure he scrubs any item that could be considered inflationary: “We can’t afford mistakes in the highest inflation we’ve seen in 40 years.”
Inflation hits another 40-year high: What does that mean for shoppers and the next Fed rate hike?
Why it matters
New consumer price index data showed inflation jumped 9.1% in June over last year, notching another 40-year high. Manchin has been negotiating with Senate Majority Leader Chuck Schumer, D-N.Y., to find common ground on prescription drug prices, taxing the wealthiest Americans, extending Medicare’s solvency and provisions to address climate change. Schumer and Manchin reached an agreement only on prescription drug provisions. That might be as far as Manchin is willing to go. His opposition doomed the president’s $2.2 trillion “Build Back Better” bill last year.
Takeaways
- Manchin has repeatedly cited inflation as a hang-up keeping him from getting behind a budget bill. The timing of the June inflation report, just as talks were heating up, was less than ideal for Democrats.
- Time is running out for Biden and Democrats to pass major legislation before the midterm elections in November. Schumer is working to get something done before the August recess.
Contributing: Dylan Wells
Reach Joey Garrison on Twitter @joeygarrison.