December 7, 2022


More than a year after beginning negotiations on the legislation, Democratic senators have all 50 members on board for a budget settlement bill that would fund many of President Joe Biden’s key priorities and give them political victories on climate and health care ahead of the midterm elections.

Thursday, Senator Kirsten Senema (D-AZ) She indicated she would support the latest iteration of the legislation, known as the Inflation Reduction Act, paving the way for its passage this weekend. Cinema, a longtime opponent of the bill, was the latest Democrat wanted to join the Senate after Senator Joe Manchin (D-WV) said he was ready to move forward.

The bill also mostly authorized its review by the Senator, a nonpartisan rules expert who determines whether the policies in the bill qualify for the reconciliation process Democrats want to use. She signed most of the provisions in it, which means that a reconciliation process that allows the legislation to pass by just 51 votes can go ahead — so no Republican support is needed.

The next step toward Senate passage is a lengthy debate and amendment process known as the rama vote, when any senator can propose additions to a bill, forcing others to cast uncomfortable votes. It could go on for a while, but the law is still on track to be passed this weekend.

What’s on the bill

Although this legislation is only a fraction of what Democrats initially proposed when they began the process, it still includes significant climate investments as well as major healthcare and tax proposals. Finally, spending is expected to include more than $400 billion.

Sinema’s support for the bill came with some conditions. She said in her statement of support that the legislation would no longer close the carry-on interest tax loophole, a change she has long opposed that would tax money managers’ income at the same rate as other incomes. This provision was replaced by a 1 percent selective tax on share buybacks, which is expected to offset revenue brought in by the allowance for transferred interest.

The bill now contains provisions on the following:

  • Health Care, Including allowing Medicare to negotiate prescription drug prices and extending ACA benefits for another three years.
  • taxes, Including a new 15 percent corporate tax, funding for IRS enforcement, and a new 1 percent share repurchase tax.
  • climate, Including clean energy tax credits, environmental justice grants, and drought-resistance funding.

Vox employees took a comprehensive look at how each of them works here.

What’s Next

Now that they have Parliament’s guidance, lawmakers are updating the bill to bring out policies that haven’t worked.

After Democrats have settled on a final version with the parliament’s approval, they can then begin the voting process. They will first hold a procedural vote late on Saturday that begins 20 hours of debate on the bill, after which they will hold a process known as rama sound, when any Senator can propose amendments to legislation. Republicans are widely expected to use these amendments to put Democrats on the spot: Last year, for example, they forced Democrats to vote on issues where the party is divided, such as Mobilization of the Supreme Court.

Once the voting is done, lawmakers can move on to final ratification of the bill, which could come as soon as Sunday. After the Senate approves the legislation, it heads to the House of Representatives, which is expected to come out of August recess for a vote later this month.

Democrats also need most of their members in the House of Representatives, where they could soon be down to four votes. this dimension, Some moderate members Those who previously opposed the bill if it did not include local and state income tax (SALT) re-deductions indicated that they were still willing to support the legislation, indicating that they would likely have the support needed to pass it. In addition, progressive members, who have opposed relaxed policies in the past, have also expressed broad support.

“When they send it to us, we’re going to pass it,” House Speaker Nancy Pelosi said. Press conference last week.

Update August 6 at 3:00 PM: This story has been updated to reflect the Senator’s decision.



Source link

Leave a Reply

Your email address will not be published. Required fields are marked *