The Senate voted 64-36 on Wednesday to pass a bipartisan budget deal crafted by Reps. Paul Ryan (R-Wis.) and Patty Murray (D-Wash.).
The 2014 budget will replace sequestration cuts that took effect earlier this year with $1.85 trillion in new deficit reduction measures. The budget will also address deficits in infrastructure, education, job training and innovation to help bolster the economy, and it includes $975 billion in spending cuts across the federal budget.
Additionally, the budget includes a $100 billion jobs and infrastructure package designed to encourage job growth through the repair of crumbling infrastructure and training. It is also designed to protect tax cuts for middle-class and low-income families.
The budget deal will also cut the deficit by another $975 billion through tax code reform that will eliminate loopholes and wasteful spending.
“All told, it’s a good first step away from the shortsighted, crisis-driven decision-making that has only served to act as a drag on our economy,” President Obama said after the vote. “It helps chart our economic course for the next two years, which means that the American people won’t be exposed to another painful and unwise government shutdown.”
The budget deal was approved by the U.S. House of Representatives last week, and will head to President Obama for signature.