Once again the federal government of the formerly known as, The “United” States of America, is about to pass a massive spending bill, this time focusing on Climate Change, with zero agreement in the US Congress.
Instead of going through the regular legislative process, Senate Majority Leader Chuck Schumer (D-NY) and Sen. Joe Manchin (D-WV) announced on Wednesday that they had struck a deal on a spending package that they say will combat climate change, extend Obamacare subsidies, and lower the deficit (not happening).
With zero support from the Republicans, Schumer is using the abused reconciliation process, an accounting mechanism that has become the favorite tool for those with the majority. It allows those in power to ignore half the country, and ram through massive spending, as long as they show the Parliamentarian it balances.
The deal on a reconciliation package titled, the Inflation Reduction Act of 2022, would according to them, “address record inflation by paying down our national debt, lowering energy costs, and lowering healthcare costs.”
The two Democrats said that the bill would magically lower deficits by $300 billion over ten years, spend $369.8 billion on climate change programs, and extend enhanced Affordable Care Act (ACA) subsidies for three years.
The measures would also include a provision to allow Medicare to negotiate the price of drugs, which would save money for the climate change and Obamacare portions of the bill.
This would allow Medicare to negotiate the price of drugs and would reportedly save taxpayers an unrealistic $288 billion.
The legislation would also “close tax loopholes on wealthy individuals and corporations.”
To cover most of the costs, the legislation has a 15 percent minimum corporate tax that is estimated to raise $313 billion. The legislation would also raise $124 billion from enhanced tax enforcement by the IRS.
Sen. Ron Wyden (D-OR) floated increasing IRS audits to pay for the enhanced Obamacare subsidies contained in a potential reconciliation package.
The enhanced Obamacare subsidies, first created under President Joe Biden’s $1.9 trillion American Rescue Plan, or his coronavirus aid bill, would expire this year.
Senate Democrats hope to bring the reconciliation package to the Senate floor next week. Since the bill uses budgetary reconciliation, it would require only 50 votes, or the Democrat majority, to pass the bill.
It remains unclear whether Sen. Kyrsten Sinema (D-AZ) would support the bill.
If Sen. Kyrsten Sinema rolls over too, We The People will spend another $369.8 billion, primarily on New Green Deal spending.
Our national debt will increase, inflation will increase and corporate dividends will most likely be lower.
Another step towards the Great Reset, right in front of our open eyes.
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