Already, Democrats had the ability to do two budget reconciliation bills: one focused on fiscal year 2021 and one focused on fiscal year 2022. Unlike most other bills, budget measures can pass with just 51 votes, instead of 60, which means Democrats are able to usher through the legislation they want if all 50 members of their caucus are onboard. (With the American Rescue Plan, for instance, 50 Democrats were able to approve the $1.9 trillion package as part of the FY2021 budget bill, even though no Republicans backed it.)
“The Parliamentarian has advised that a revised budget resolution may contain budget reconciliation instructions,” said a spokesperson for Senate Majority Leader Chuck Schumer in a statement. “This confirms the Leader’s interpretation of the Budget Act and allows Democrats additional tools to improve the lives of Americans if Republican obstruction continues.”
With the new decision from the parliamentarian, Elizabeth MacDonough, Democrats can now do a third budget reconciliation bill, which means they can push through more ambitious measures as long as they are related to taxing and spending. The decision is based on MacDonough’s interpretation of Section 304 of the Congressional Budget Act of 1974, which allows lawmakers to revise a budget resolution before the end of the fiscal year that it covers. Given her decision, Democrats can now edit the 2021 budget resolution they already passed, and include instructions for another bill.
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