Amid failed last-minute negotiations between the ruling and opposition parties over the supplementary budget proposal by Lee Jae-myung's government, the ruling party warned on the 4th that it would proceed with the final approval in the National Assembly if no agreement was reached.
Kim Byeong-ki, the acting leader of the Democratic Party of Korea and the floor leader, said at a Supreme Council meeting held that morning at the National Assembly, “The agreement on the livelihood supplementary budget between the ruling and opposition parties has collapsed,” adding, “We will not pass the supplementary budget to the July Assembly. We will pass the supplementary budget today in the National Assembly as a stepping stone for the recovery of the livelihood economy.”
He also requested cooperation from the People Power Party. Kim the floor leader said, “There is still time until the afternoon meeting. I urge the People Power Party to awaken and make a decision for the last time.”
Earlier, on the previous day, Lee So-young, a Democratic Party member and the opposition representative of the National Assembly's Special Committee on Budget & Accounts, and Park Hyung-soo from the People Power Party held a 'small committee' meeting and began final negotiations on the examination of the supplementary budget proposal, but it ultimately fell through around 1:30 a.m. that day. It is reported that key issues included the increase of special operation expenses for the Presidential Office and the ratio of government support for local love gift certificates (local currency).
A key official in the Democratic Party’s National Assembly said, “The distribution ratio for the consumption coupons is set such that the central government bears 80% and local governments 20%, but the Democratic Party proposed lowering the local government's burden, while the People Power Party took a position to pursue policy projects instead of lowering the local government ratio, but negotiations didn’t go well.” It is said that the People Power Party requested increased amounts for veteran allowances, youth leap accounts, employment stability, and support projects for victims of forest fires.
Additionally, the Democratic Party, which had sought to completely cut the special operation expenses for key institutions such as the Presidential Office, the prosecution, the Board of Audit and Inspection, and the police under Yoon Suk-yeol's government, requested an increase in the current supplementary budget proposal, to which the People Power Party responded with “double standard” objections, leading to the failure of the agreement.