The White House will propose a $6 trillion budget for 2022 on Friday, a senior administration official told CNN. The budget proposal is President Joe Biden’s first formal request to Congress.
President Biden wants to rebuild the United States infrastructure and move the country towards greener energy.
“As we turn the pages on this dark chapter in America’s history, we stand at an inflection point about what kind of economy — and country — we want for ourselves and for future generations,” Mike Donilon, senior adviser to President Biden, said.
The federal budget deficit would hit $1.8 trillion in 2022 under Biden’s proposed budget. The deficits would drop slightly in the following years before rising again to nearly $1.6 trillion by 2031.
No new major initiatives are reflected in the budget numbers. The spending represents the original $2.25 trillion Biden’s infrastructure-focused American Jobs Plan, the $1.8 trillion American Families Plan and $1.5 trillion in discretionary spending.
“The American people understand that the economy we had before the pandemic left far too many people behind, and that more and more families were finding that their grip on a middle-class life — and the security it affords — was precarious. They know we can’t afford to simply turn the clock back to where we were,” Donilon said.
Biden has proposed raising taxes on corporations and earners making more than $400,000 a year to help pay for his spending plans. His budget request shows that the jobs and families plan would be paid for by tax increases during a 15-year period and that deficits would begin to shrink in the 2030s with the new tax revenue.
The budget “won’t propose other new initiatives but will put together the full picture of how these proposals would advance economic growth and shared prosperity while also putting our country on a sound fiscal course,” Rob Friedlander, spokesman for the White House budget office, said last week, according to the Post.
Congress determines the federal government’s annual budgets. The president traditionally recommends budget amounts, but Congress is not bound to follow the requests.