Kyrsten Sinema agrees with the Democratic Climate and Tax Act – Mother Jones

Rod Lamkey / CNP / Zuma

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Senator Kyrsten Sinema (D-Ariz.), A crucial vote in an evenly divided Senate, announced last night that it would support a key piece of Biden’s legislative agenda, with some caveats.

Last week, Senator Joe Manchin (DW.Va.), a longtime resistance, stunned his colleagues when he announced he had reached an agreement with Senate Majority Leader Chuck Schumer (DN.Y.) on the “2022 Inflation Reduction Act”, which “includes approximately $ 370 billion in energy and climate spending, $ 300 billion in deficit reduction, three years of subsidies for the Affordable Care Act premiums , prescription drug reform and significant tax changes ”, according to politic.

But the bill would not have gone ahead without the support of Sinema, who asked Democrats to drop a provision that would have put new limits on the carried interest loophole – which many of its donors take advantage of – and would have raised about $ 14 billion in loans. Instead, the bill will reportedly include a 1% excise tax on share buybacks – the practice of companies repurchasing their own shares to raise stock prices – which is set to raise $ 73 billion in revenue. federal. Sinema also reportedly managed to win $ 5 billion in drought resilience funding, a boon to Arizona.

Even in its modified form, the bill is big business, promising to direct billions towards fighting climate change, extend Obamacare subsidies through Biden’s term, and cut prescription drug costs. The Senate MP has yet to ensure that all provisions of the bill qualify for the reconciliation process that would allow legislation to circumvent a GOP filibuster. But for now, things are moving. Schumer plans to present the final bill tomorrow.