Biden intensifies talks, with big overhaul plans at stake

Sen. Joe Manchin, D-W.Va., a centrist Democrat vital to the fate of President Joe Biden's $3.5 trillion domestic agenda, is surrounded by reporters outside the Capitol in Washington, Wednesday, Sept. 29, 2021. Manchin and other senators were boarding a bus to attend a memorial service for the late Susan Bayh, the wife of former Senator Evan Bayh of Indiana, who died earlier in the year. (AP Photo/J. Scott Applewhite)
Sen. Joe Manchin, D-W.Va., a centrist Democrat vital to the fate of President Joe Biden's $3.5 trillion domestic agenda, is surrounded by reporters outside the Capitol in Washington, Wednesday, Sept. 29, 2021. Manchin and other senators were boarding a bus to attend a memorial service for the late Susan Bayh, the wife of former Senator Evan Bayh of Indiana, who died earlier in the year. (AP Photo/J. Scott Applewhite)

WASHINGTON (AP) - His government overhaul plans at stake, President Joe Biden appeared determined Wednesday to strike agreement with two wavering Democratic senators, likely trimming back the size of his potentially historic $3.5 trillion measure that will collapse without their support.

With Republicans solidly opposed and no Democratic votes to spare, Biden canceled a trip to Chicago that was to focus on COVID-19 vaccinations so he could dig in for another day of intense negotiations ahead of crucial votes. Aides made their way to Capitol Hill for talks, and late in the day House Speaker Nancy Pelosi and Senate Majority Leader Chuck Schumer were headed to the White House to meet with Biden.

The risks are clear, but so is the potential reward as Biden and his party reach for a giant legislative accomplishment - promising a vast rewrite of the nation's balance sheet with an ever-slim majority in Congress. His idea is to essentially raise taxes on corporations and the wealthy and use that money to expand government health care, education and other programs - an impact that would be felt in countless American lives.

"We take it one step at a time," Pelosi, told reporters at the Capitol.

Attention is focused on Sens. Joe Manchin, of West Virginia, and Kyrsten Sinema, of Arizona, centrist Democrats. They share a concern the overall size of Biden's plan is too big, but part ways on specifics, according to a person familiar with the private talks and granted anonymity to discuss them.

Manchin appears to have fewer question about the revenue side of the equation - the higher taxes on corporations and the wealthy - than the spending plans and particular policies, especially those related to climate change that are important to his coal-centric state.

Though Sinema is less publicly open in her views, she focuses her questions on the menu of tax options, including the increased corporate rate that some in the business community argue could make the U.S. less competitive overseas and the individual rate that others warn could snare small business owners.

Together, the two senators hold the keys to unlocking the stalemate over Biden's sweeping vision, the heart of his campaign pledges. While neither has said no to a deal, they have yet to signal yes, leaving talks in a grind of complicated negotiations.

In one sign of trouble ahead, Pelosi suggested she might postpone today's vote on a related $1 trillion public works measure that the centrist senators want but that progressives are threatening to defeat unless there's movement on Biden's broader package.

It's a pressure point on the senators and other centrist lawmakers to strike an agreement with Biden. But Manchin told reporters late Wednesday he did not believe a deal could be reached by today.

"The bottom line is, I've been very, very straightforward and open," Manchin said. "They know exactly where I am."

At the same time, Congress is starting to resolve a more immediate crisis that arose after Republicans refused to approve legislation to keep the government funded past today's fiscal yearend and raise the nation's debt limit to avoid a dangerous default on borrowing.

Democrats are separating the government funding and debt ceiling vote into two bills, stripping out the more-heated debate over the debt limit for another day, closer to a separate October deadline.

The Senate is poised to vote today to provide government funding to avoid a federal shutdown, keeping operations going temporarily to Dec. 3. The House is expected to quickly follow.

With Biden and his party stretching to achieve what would be a signature policy achievement, there is a strong sense that progress is being made on the big bill said an administration official who requested anonymity to discuss the private talks.

The president is highly engaged, meeting separately with Manchin and Sinema at the White House this week and talking by phone with lawmakers shaping the package. Democrats are poised to trim the huge Biden measure's tax proposals and spending goals to reach an overall size Manchin and Sinema are demanding.

"I think it's pretty clear we're in the middle of a negotiation and that everybody's going to have to give a little," White House press secretary Jen Psaki said.

Psaki said members of Congress "are not wallflowers" but have a range of views. "We listen, we engage, we negotiate. But ultimately, there are strong viewpoints and what we're working to do is get to an agreement."

Biden's problems with fellow Democrats aren't just in the Senate. A small number of centrist House Democrats also are bristling at the far-reaching scope of his domestic agenda, which would expand health care, education and climate change programs, all paid for by the higher tax rates.