President Biden hands a pen to Senator Joe Manchin during the signing ceremony of the Inflation Reduction Act. Manchin was a key player in the negotiations, insisting on a smaller spending bill.
Mandel Ngan / AFP via Getty Images
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Mandel Ngan / AFP via Getty Images
President Biden hands a pen to Senator Joe Manchin during the signing ceremony of the Inflation Reduction Act. Manchin was a key player in the negotiations, insisting on a smaller spending bill.
Mandel Ngan / AFP via Getty Images
President Biden signed the prominent Democratic spending bill into law on Tuesday, a major legislative victory that marks a string of bipartisan legislative achievements that Democrats hope to capitalize on ahead of the election. upcoming midterm.
“The American people have won, and special rights have been lost,” Biden said, noting that drug companies have lobbied against measures to reduce prescription drug costs for people on Medicare.
“Every Republican in Congress sided with special interests on this vote,” Biden said. “It’s the choice we face: we can protect those who are already powerful, or show the courage to build a future where everyone has a shot.”
This law has been implemented for a year. After West Virginia Democratic Senator Joe Manchin previous conversations happened, Citing concerns about approving more spending during a period of record inflation, Democrats have struggled to find a way forward.
But fortunes changed in July, when Manchin and Senator Chuck Schumer, DN.Y., reach an agreement. After a marathon voting session, the Senate passed the law through budget adjustment process, with every Democrat voting in favor and one vote in favor of Vice President Harris. No Republicans voted for the bill.
Manchin took a spot at the bill’s signing and received a round of applause during Biden’s remarks when the president quipped, slurring his tongue: “Joe – I never doubted it.”
Biden interrupted his vacation to sign the legislation, although the signing ceremony was small, given that Congress is not in session and most members are out of town. The White House plans to hold a larger celebration on September 6 – part of a plan to push the bill ahead of the November election.
This is what the law on climate
To scan receipt allocates more than $300 billion to invest in energy and climate reform. That is biggest federal clean energy investment in U.S. history, though it fell short of what Democrats and progressive climate activists initially called for.
“This bill is the biggest climate step forward yet – and will allow us to boldly take additional steps to meet our climate goals,” Biden said.
It includes $60 billion to boost renewable energy infrastructure in manufacturing, like solar panels and wind turbines, and includes tax credits for electric vehicles and measures to make The house is more energy efficient.
Democrats say the bill would reduce greenhouse gas emissions by 40%, based on 2005 levels, by the end of the decade, lower than Biden’s levels. initial goal.
There is a limit on prescription drug costs for Medicare
Regarding health care, the bill allows the federal health minister negotiate prices of some drugs for Medicare. It also charges out-of-pocket prescription drug costs for people on Medicare at $2,000, effective in 2025.
The bill also provides a three-year extension to health care subsidies in the Affordable Care Act that was originally passed in last year’s pandemic relief bill.
Regarding taxes, the law stipulates a minimum tax rate of 15% for companies with income of $1 billion or more, estimated to bring in more than $300 billion in revenue.
Democrats initially wanted to include funding for childcare, pre-K and paid leave – all categories that were dropped during the negotiations.
And despite the bill’s name, the nonpartisan Congressional Budget Office said the Inflation Reduction Act would have a negligible impact on inflation in 2022 and 2023.
Now Biden and Democrats want to get the credit
With three months to go before the midterm elections, Democrats want to advance the benefits of the legislation. Some will take effect immediately, including energy-saving tax credits. But other benefits, such as lower costs for prescription drugs, will not be felt before voters go to the polls.
Democrats will need to weather the barrage of negative headlines about the anniversary of America’s tumultuous withdrawal from Afghanistan – as well as voters’ continued concerns about inflation.
The White House said members of the administration will travel around the country to showcase the impact of the law. Cabinet members will visit 23 states on more than 35 trips in August, the White House said.
The White House said other events would showcase how Biden worked to get a series of bipartisan measures passed, including gun safety laws and a bill for promote domestic semiconductor chip production to compete with China.
As part of the digital campaign, the White House plans to publish an interactive website on climate incentives, to allow families and small businesses to easily access information about credits. tax.
Plans for a media attack include using various online and social media to spread the Democratic Party’s message. The White House plans to hold briefings with influencers and content creators to “amplify our messages on their own online social media channels,” according to a release. remember the plan.
