Senate Democrats Pass Budget Resolution

On August 9, 2021, Senate Democrats released the text of a budget resolution establishing President Biden's $3.5 trillion economic agenda. The resolution was passed on August 11, 2021 along party lines.

The budget resolution allows about half of the $3.5 trillion to be debt-financed, which would require Congress to raise the federal debt limit by the end of the government's fiscal year on September 30.

The resolution gives the Senate Finance Committee broad authority to craft legislation that would increase taxes on corporations and on households earning more than $400,000 per year, and instructs Congress to reduce the tax burden on other taxpayers. The resolution directs the Committee to generate additional revenue from health care savings and fees on carbon polluters.