Posted: July 31, 2022
Washington – Today, Rep. Mike Thompson (CA-05) released the following statement after Senate Majority Leader Chuck Schumer and Senator Joe Manchin announced the Inflation Reduction Act, a historic package to lower costs for families, address the climate crisis, and cut the deficit.
“The agreement announced by Leader Schumer and Senator Manchin is good news for our district as it will help lower the cost of health care and combat the climate crisis while also reducing the deficit and helping to fight inflation,” said Thompson. “The Inflation Reduction Act is a transformative investment in our country, and it is paid for by ensuring that the biggest corporations and wealthiest Americans pay their fair share of taxes. This package is a vital step forward and would be a victory for the American people.
“The climate crisis is the most significant challenge we face. The Inflation Reduction Act makes the necessary investments to continue to address climate change. This bill will substantially reduce greenhouse gas emissions, increase American energy security, and bring down consumer energy costs. It includes key provisions from my GREEN Act to provide tax credits for renewable energy sources, energy efficient homes, and clean vehicles.
“Allowing Medicare to negotiate the price of prescription drugs and capping Medicare patients’ out-of-pocket costs at $2,000 per year represents one of the most significant health care reforms in decades. These provisions help every American save money, save taxpayers billions of dollars, strengthen the long-term solvency of the Medicare program and ensure that seniors on Medicare don’t go broke seeking the care they need.
“The Inflation Reduction Act is a transformative investment in our country that is paid for by ensuring that the biggest corporations and wealthiest Americans pay their fair share of taxes.
“The Inflation Reduction Act is an historic agreement that will invest in every community across the country and help us secure a bright future for our children and grandchildren. I look forward to voting for this legislation in the House and seeing President Biden sign it into law.”
The Inflation Reduction Act would deliver on key House priorities, including:
- Reducing the cost of health care for millions by extending ACA subsidies for three more years;
- Allowing Medicare to negotiate the price of prescription drugs;
- Combating the climate crisis by reducing carbon pollution by roughly 40 percent by 2030; and
- Lowering energy costs and advancing energy security.
The Inflation Reduction Act would also reduce the deficit and help fight inflation by allocating an historic $300 billion for deficit reduction. It is also fully paid for by implementing a 15 percent corporate minimum tax and strengthening IRS enforcement.
A summary of the tax provisions can be found here.
A summary of the climate provisions can be found here.