(Bloomberg) -- Fractious congressional Democrats are nearing consensus on scaling back President Joe Biden’s economic plan, including dropping two years of free community college from the bill.
Congressional Progressive Caucus Chairwoman Pramila Jayapal and Representative Ro Khanna, a California Democrat, confirmed that the community college provision would fall by the wayside as Democrats struggled to reduce the size and scope of the measure to satisfy party moderates.
Democrats are also considering extending the more expansive child tax credit for only one year instead of until 2025, according to someone familiar with the negotiations.
A single-year renewal of the child tax credit, rather than an extension through 2025 that Democrats had previously contemplated, would trim hundreds of billions of dollars of spending from the legislation. A one-year extension costs $106.5 billion, compared to $556 billion for four years, according to estimates from the Joint Committee on Taxation.
Home health care expenditures, meanwhile, would be under $250 billion in the bill.
Jayapal emerged from a Tuesday evening meeting, saying that the bill’s final cost would be $1.9 trillion to $2.2 trillion, down from the $3.5 trillion the House had previously endorsed.
Senator Jon Tester of Montana, a moderate Democrat, likewise said that was the range now under consideration.
(Updates with Jayapal and Khanna in second paragraph, Tester in last paragraph.)
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