As a second child, I know what it’s like to live in the shadows of an older sibling. I have plenty of friends and neighbors with three kids and I can only assume the level of attention drops off even more for number three.
President Trump’s $1 trillion infrastructure package seems more and more like that third kid. He or she keeps jumping up and down for attention, but the first two children, in this case, health care and tax legislation keep getting all the love. The question is, if health care and tax legislation keep misbehaving, how quickly will the third child become the center of attention? It’s possible it may be sooner than you think.
The ultimate backdrop is this: President Trump needs a big legislative victory in 2017 and, despite what he says, he hasn’t landed one yet. If all three of these big-ticket items get pushed to 2018, an election year, it’s going to be extremely difficult to get anything done.
Democrats already have a disincentive to work with Trump. Their base despises him and generally doesn’t want to see their party leaders giving him any “wins.” This problem will only get worse with every passing day as we get closer to November 2018 and the mid-term elections.
With only a two-seat majority, the Senate is generally the biggest impediment to moving any party-line legislation. We should know shortly whether tax cuts will have a chance of getting through the Senate.
This week, the Senate will be taking up the FY18 budget resolution. The centerpiece of the resolution is a broad outline for $1.5 trillion in tax cuts – and a secret parliamentary passageway to approve the tax cuts with only a simple majority.
Passage of the resolution doesn’t ensure that a tax package will be passed later in the year, but if the budget resolution is defeated, tax reform is basically dead. Then where does that leave us? Oh yeah, our new industrious, job creating and hardworking favorite child, Infrastructure Package.
The Trump administration could quickly turn its attention to a broad bipartisan deal that is supported by most Democrats and moderate Republicans. Infrastructure projects for roads, bridges, transit, housing, water infrastructure and veteran’s facilities are all politically popular and could quickly come together in the final months of 2017. It may be the first Christmas in years that the third child gets a bigger present than his two siblings.
As Vice President, Federal Affairs, Joel brings to CFM broad public policy experience as a senior Congressional aide and successful private sector lobbyist.