The two top congressional Republicans said Wednesday that tax hikes are a “red line” in negotiations after President Biden hosted them at the White House for the first time to try to forge “consensus” on massive infrastructure spending.
“We’re not interested in reopening the 2017 tax bill. We both made that clear to the president. That’s our red line,” Senate Minority Leader Mitch McConnell (R-Ky.) told reporters on the White House driveway.
House Minority Leader Kevin McCarthy (R-Calif.) told reporters that Republicans aren’t interested in “anything about tax increases” and that Biden has too expansively defined “infrastructure.”
Biden’s $2.3 trillion infrastructure plan includes $400 billion for home and community health care and nearly $200 billion in electric vehicle subsidies. Senate Republicans recently countered with a narrower $568 billion infrastructure counter-proposal.
Biden also proposed a $1.8 trillion “families” plan that would federally fund preschool and community colleges and create new subsidies for child care and paid family and sick leave. That plan would make permanent a boost in child tax credits.
President Joe Biden meets with congressional leaders in the Oval Office of the White House today. AP“We can find bipartisanship and it’s one thing I brought up to the president, we first have to start with a definition of, ‘What is infrastructure?'” McCarthy said. “That’s not home health — that’s roads, bridges, highways, airports, broadband. Those are the places we could find common ground and work together.”
The meeting lasted over an hour and a half in the Oval Office and also included the top Democrats in Congress, Senate Majority Leader Chuck Schumer (D-NY) and House Speaker Nancy Pelosi (D-Calif.).
Biden told reporters at the beginning of the meeting that “when I ran, I said I wasn’t going to be a Democratic president,” but one for “all Americans.” “The bottom line here is we’re going to see whether we can reach some consensus on a compromise,” Biden said.
House Minority Leader Kevin McCarthy told reporters that Republicans aren’t interested in “anything about tax increases.” APBiden told reporters after the discussion that he “came away encouraged” from what he called “a solid meeting.”
“Generically, I’m encouraged that there is room to have a compromise on a bipartisan bill that’s solid and significant and a means by which to pay for it without dropping all of the burden on middle class and working class people,” Biden said.
But Biden said that a “discussion we didn’t get into today is how to pay for it.”
McCarthy and McConnell went into the meeting after criticizing Biden’s massive infrastructure and “families” plans, which would be paid for by tax hikes on businesses, investments and higher-income people.
Biden has said the huge bills must be paid for through revenue increases. He said last week, “I’m willing to compromise. But I’m not willing to not pay for what we’re talking about. I’m not willing to deficit spend.”
Biden often claims he can broker bipartisanship on the bills — despite pushing his nearly $2 trillion COVID relief package through Congress in March without a single GOP vote.
Senate Minority Leader Mitch McConnell has previously criticized Biden’s massive infrastructure and “families” plans. APMcConnell has slammed the latest proposals as “daydreams of a sweeping socialist legacy that will never happen in the United States.”
If they maintain internal unity, Democrats will be able to ram through both massive packages without any Republican votes under special budget reconciliation rules, according to a recent ruling from the Senate parliamentarian.
In February, just four days after hosting 10 Republican senators to discuss COVID-19 relief, Biden said it was an “easy choice” to forge ahead without them.
The Republicans had countered his $1.9 trillion plan with a smaller, $600 billion package. But Democrats face internal divisions as they seek to pass the new packages, increasing the appeal of compromise. In the House, where Democrats hold a seven-seat advantage, a trio of New York-area legislators led by Rep. Tom Suozzi (D-NY) say they won’t agree to any changes in the tax code unless the $10,000 “SALT cap” is eliminated.
House Minority Leader Kevin McCarthy speaks to reporters outside the White House after a meeting with President Joe Biden. APThe cap since 2017 has limited the amount of money that residents of high-tax jurisdictions like New York can deduct before paying federal taxes, and its repeal wasn’t in Biden’s new proposals.
And in the Senate, Sen. Joe Manchin (D-W.Va.), whose vote alone could derail both bills, said he’s “very uncomfortable” with the amount of spending being proposed.






