1) MOST SURPRISING: LITTLE LOVE FOR THE CHILD TAX CREDIT — It was one of the crowning achievements of Biden’s first legislative victory in the pandemic relief bill. But Biden told lawmakers they may extend the enhanced CTC for only one year.
Problems afoot: House sources tell us this could be a big problem for Democrats who wanted to make the enhancements permanent, particularly the 100-member New Democrat Coalition. Even front-liners in tough districts wanted to extend this as long as possible.
The thinking: Of all the policy changes in BBB, this is one that some Democrats believe the GOP will actually extend since the party has endorsed versions of the credit before. And therefore, some think it could be a safer bet to fund for only a short time. Democrats are also at odds over how to means-test it.
2) LEAST SURPRISING: FREE COMMUNITY COLLEGE IS OUT — The president said tuition-free community college is unlikely to make the final cut. But sources tell us there was a discussion about doubling Pell Grants and boosting funding for workforce development and apprenticeships.