The U.S. Democrats have earmarked a massive $3. 5 trillion for social spending. They have now presented their package to the Senate. But the Republicans can still argue. The Democrats in the U.S. Senate have presented the spending plan for a social package worth billions. The budget resolution provides for social spending of around 3. 5 trillion dollars (the equivalent of three trillion euros) over ten years. The chairman of the Budget Committee, Bernie Sanders, spoke of the most important legislative project “for workers, the elderly, the sick and the poor since FDR (President Franklin Delano Roosevelt, ed.) and the New Deal of the 1930s”. Congress is thus tackling another of U.S. President Joe Biden’s ambitious projects. Earlier, Democrats had already launched a massive $1. 2 trillion infrastructure package. The Senate is expected to vote on it on Tuesday.
Tuition to be adopted
The Democrats’ budget resolution presents only the broad outlines of the social package. Among other things, it provides for a takeover of tuition at public universities for two years and investments in additional infrastructure projects. In addition, “millions of migrant workers” are to be given residence status. Investments are also to be made in climate protection. The bill will also “put the United States in a global leadership position to combat climate change and make our planet a healthy and habitable place for future generations,” Sanders said. The massive sum is nearly equivalent to Germany’s entire gross domestic product in 2020. Senators now have until Sept. 15 to propose amendments. Democrats want to push the bill through the Senate in the so-called reconciliation process. This would allow them to pass the final text, probably in the fall, with a simple majority in the Senate without the votes of Republicans, who strongly oppose the plan.
Debt ceiling could become a problem
In turn, however, Republicans could cross the line elsewhere. Not included in the decision is raising the federal debt limit. Congress had suspended the debt limit for two years in 2019, but that decision had expired July 31, putting the $28 trillion cap back in place. The Treasury now has just a few weeks before it runs out of money. Treasury Secretary Janet Yellen urged lawmakers to act Monday, saying “most of the debt subject to the debt ceiling was accumulated before this administration took office. ” Democrats and Republicans have come together in recent years “to do their duty,” Yellen explained. Congress should now do so again by raising or suspending the debt ceiling, she said.