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    Senate passes $739bn healthcare and climate bill after months of wrangling

    Senate passes $739bn healthcare and climate bill after months of wranglingInflation Reduction Act will reduce planet-heating emissions and lower prescription drug costs – and give Biden a crucial victory Senate Democrats passed their climate and healthcare spending package on Sunday, sending the legislation to the House and bringing Joe Biden one step closer to a significant legislative victory ahead of crucial midterm elections in November.If signed into law, the bill, formally known as the Inflation Reduction Act, would allocate $369bn to reducing greenhouse gas emissions and investing in renewable energy sources. Experts have estimated the climate provisions of the bill will reduce America’s planet-heating emissions by about 40% by 2030, compared with 2005 levels.Climate bill could slash US emissions by 40% – if Democrats can pass itRead moreDemocrats have promised the bill will lower healthcare costs for millions of Americans by allowing Medicare to negotiate prescription drug prices and capping Medicare recipients’ out-of-pocket prescription drug prices at $2,000 a year. Those who receive health insurance coverage through the Affordable Care Act marketplace are also expected to see lower premium costs.The legislation includes a number of tax provisions to cover the costs of these policies, bringing in $739bn for the government and resulting in an overall deficit reduction of roughly $300bn. The policy changes include a new corporate minimum tax, a 1% excise tax on stock buybacks and stricter enforcement by the Internal Revenue Service.“Today, Senate Democrats sided with American families over special interests, voting to lower the cost of prescription drugs, health insurance and everyday energy costs and reduce the deficit, while making the wealthiest corporations finally pay their fair share,” Biden said in a statement celebrating the bill’s passage. “I ran for president promising to make government work for working families again, and that is what this bill does – period.”The final Senate vote was 51-50, with every Democrat supporting the bill while all 50 of their Republican colleagues opposed the legislation. With the Senate evenly divided on the bill’s passage, Vice-President Kamala Harris cast the tie-breaking vote.Because Democrats used the reconciliation process to advance the bill, they needed only a simple majority to pass the proposal, allowing them to avoid a Republican filibuster.But the choice to use reconciliation also somewhat limited what Democrats could include in their bill. The Senate parliamentarian ruled on Saturday that a key healthcare provision, which would have placed inflation-related caps on companies’ ability to raise prescription drug prices for private insurance plans, ran afoul of reconciliation rules. Another proposal to cap the cost of insulin in the private insurance market at $35 a month was also stripped out of the bill after 43 Senate Republicans voted to block the policy on procedural grounds.Still, Democrats celebrated that the Senate parliamentarian allowed most of their healthcare and climate provisions to move forward.“While there was one unfortunate ruling in that the inflation rebate is more limited in scope, the overall program remains intact and we are one step closer to finally taking on big pharma and lowering Rx drug prices for millions of Americans,” the Senate majority leader, Chuck Schumer, said on Saturday.Democratic leaders previously had to alter the tax provisions of the bill to secure the vote of Kyrsten Sinema of Arizona, who announced her support for the proposal on Thursday.Sinema caused some last-minute hand-wringing among Democrats on Sunday, as she pushed for changes to the new corporate minimum tax that would exempt some businesses from the policy. Democratic senators ultimately reached an agreement with Sinema to approve the exemption, which was paid for by extending loss limitations for pass-through businesses.Sinema was considered the last Democratic holdout in the negotiations, after fellow centrist Joe Manchin said he would vote in favor of the bill. The Senate’s approval of the bill came nearly eight months after Manchin abruptly scuttled talks over the Build Back Better Act, which was viewed as Biden’s signature legislative proposal. After tanking that bill, Manchin spent months participating in quiet deliberations with Schumer over another spending package that was more focused on reducing the federal deficit and tackling record-high inflation.The resulting bill was able to win the support of the entire Senate Democratic caucus on Sunday, even though the legislation is much smaller in scope than the Build Back Better Act.The bill’s narrower focus frustrated the progressive senator Bernie Sanders, who criticized the compromise in a Saturday floor speech. Sanders complained that the legislation would do little to help working Americans struggling to keep up with rising prices, and he unsuccessfully pushed for expanding the bill to further lower healthcare costs.“This legislation does not address the reality that we have more income and wealth inequality today than at any time in the last hundred years,” Sanders said. “This bill does nothing to address the systemic dysfunctionality of the American healthcare system.”Despite that criticism, Sanders backed the final version of the bill. The Senate’s approval followed a marathon session that lasted overnight and into Sunday afternoon, as Republicans forced votes on dozens of proposed changes to the spending package. Democrats remained mostly unified in opposing Republicans’ amendments, keeping the bill unchanged and ensuring the legislation’s passage.“It’s been a long, tough and winding road. But at last, at last we have arrived,” Schumer said on Sunday. “I know it’s been a long day and a long night, but we’ve gotten it done. Today, after more than a year of hard work, the Senate is making history.”Republicans fiercely criticized the bill, rejecting Democrats’ arguments that the legislation will help tackle rising prices. According to a report issued by Moody’s Analytics, the bill will “modestly reduce inflation over the 10-year budget horizon”.“Democrats want to ram through hundreds of billions of dollars in tax hikes and hundreds of billions of dollars in reckless spending – and for what?” the Senate Republican leader, Mitch McConnell, said in a Saturday floor speech. “For a so-called inflation bill that will not meaningfully reduce inflation at all.”House Democrats have dismissed Republicans’ criticism of the bill, insisting they will swiftly pass the legislation and send it to Biden’s desk. The majority leader, Steny Hoyer, has said the House will return on Friday to take up the legislation, and Democrats do not need any Republican votes to pass the bill.The House speaker, Nancy Pelosi, has promised that the chamber would move quickly as soon as the Senate gave the bill its stamp of approval. She told reporters at a press conference last week, “When they send it to us, we’ll pass it.”TopicsUS SenateClimate crisisDemocratsUS politicsUS domestic policynewsReuse this content More

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    Climate bill could slash US emissions by 40% after historic Senate vote

    Climate bill could slash US emissions by 40% after historic Senate voteInflation Reduction Act could put US within striking distance of Biden’s goal of halving emissions by 2030, analysis suggests The US is, following decades of political rancor and fossil fuel industry obfuscation, almost certain to make its first significant attempt to tackle the climate crisis. Experts say it will help rewire the American economy and act as an important step in averting disastrous global heating.Independent analysis of the proposed legislation, known as the Inflation Reduction Act, shows it should slash America’s planet-heating emissions by about 40% by the end of the decade, compared with 2005 levels.This cut would bring the US within striking distance of a goal set by Joe Biden to cut emissions in half by 2030, a target that scientists say must be achieved by the whole world if catastrophic global heating, triggering escalating heatwaves, droughts and floods, is to be avoided.On Sunday, the US Senate passed the legislation and though it still has to be approved by the House, its passage is now virtually assured.Line chart showing the ranges of projected emissions reductions for current policy and the Inflation Reduction Act“This is a massive turning point,” said Leah Stokes, a climate policy expert at the University of California, Santa Barbara. “This bill includes so much, it comprises nearly $370bn in climate and clean energy investments. That’s truly historic. Overall, the IRA is a huge opportunity to tackle the climate crisis.”The climate provisions in the legislation – totaling $369bn, to be exact – are pared back from what Biden initially wanted. Excruciating negotiations with Joe Manchin, the coal company-owning West Virginia senator and a swing vote for the bill, ended up in a reduced compromise.But its heft can still, argued Brian Schatz, another Democratic senator, be considered “by far, the biggest climate action in human history”. Biden said the bill was a “huge step forward”.Democrats mustered all 50 of their Senate votes to pass the bill – and Vice-President Kamala Harris’s casting vote – to overcome uniform Republican resistance to acting on the climate emergency. Billions of dollars will go towards investments in renewable energy such as wind and solar, rebates for people wishing to buy electric cars and support for households to make them run on clean electricity and become more energy efficient.In sum, the bill will cut US emissions by between 31% and 44% below 2005 levels by 2030, according to Rhodium Group, a non-partisan research firm. A separate analysis by Energy Innovation, another research house, has found a similar reduction, of between 37% and 41% this decade. In total, around 1bn tons of greenhouse gases, which is more than double the total annual emissions of the UK, would be eliminated in this timeframe.The range of estimates depends on factors such as future economic conditions, but experts say the bill will set off a cascade of positive impacts, pushing fossil fuels out of the energy grid, dampening America’s thirst for oil and making wind and solar, which have already plummeted in cost in recent years, even cheaper.“This bill will really turbocharge that transition to clean energy, it will transform markets where already solar PV, wind and batteries are in many cases cheaper than incumbent fossil fuels,” said Anand Gopal, executive director of policy at Energy Innovation.“This is a dramatically large climate bill, the biggest in US history if it passes. It doesn’t mean the US won’t need to do more to achieve its emissions goals but it will make a meaningful difference.”The bulk of the bill is composed of tax credits aimed at unleashing a boom in clean energy deployment, along with payments to keep ageing nuclear facilities and other sources of low-carbon energy online. A new system of fees will be imposed to stem leaks of methane, a potent greenhouse gas, from oil and gas drilling operations. The vast fleet of trucks used by the US Postal Service would go electric.Consumers will be able to access a rebate of up to $7,500 for a new electric vehicle, or up to $4,000 for a used car, along with up to $8,000 to install a modern electric heat pump that can both heat and cool buildings. Further rebates are also on offer, such as $1,600 to insulate and seal a house to make it more energy efficient.Table showing the projected effects of the Inflation Reduction act through 2030These actions would cut emissions while having other significant benefits. As many as 1.5m jobs would be created in new clean energy roles, according to Energy Innovations, while Rewiring America, another research firm, has forecast that households that install a heat pump, rooftop solar and use an electric car would save $1,800 a year on energy bills.Meanwhile, thousands of deaths would be avoided, predominantly among people of color who have to suffer air pollution from nearby fossil fuel infrastructure. “If you live next to a power plant that is pumping out toxins, that is the primary concern for you here, not climate change,” said Gopal.The legislation is also an attempt to wrest momentum back from China, which has become the world’s leading manufacturer of solar panels, batteries and other clean energy materials. There are billions of dollars in incentives for the US domestic production of wind turbines, solar panels, batteries, carbon capture and storage and other technologies.This, in turn, would help proliferate these technologies in the US and make it easier for federal agencies to issue stricter pollution rules for cars, trucks and power plants. Meanwhile, the international effort to prevent the world warming by more than 1.5C (2.7F) beyond pre-industrial levels, hampered so far by a patchy American response to the climate crisis, would receive a major boost.“You’ll have a lot of mutually beneficial impacts,” said Gopal. “This should change the way the US is viewed on the global stage and will encourage better pledges from other large emitters such as China and India. Increasingly I’m more optimistic that keeping the temperature rise under 2C (3.6F) is more reachable. 1.5C is a stretch goal at this point.”Climate advocates have criticized elements of the bill, such as Manchin’s successful insistence that oil and gas drilling leases in Alaska and the Gulf of Mexico are included, along with a stipulation that millions of acres of federal land and water are opened up for fossil fuels if they are to be also accessed by solar and wind developers. Such a deal is a “climate suicide pact”, according to Brett Hartl, a campaigner at the Center for Biological Diversity.But the Energy Innovation researchers insist the clean energy benefits of the bill easily outweigh any extra emissions from new drilling, with every ton of new emissions offset by at least 24 tons of emissions avoided by other provisions. The US would, much later than most other large economies, finally have a long-term climate roadmap.“I wouldn’t have put those leases in the bill but the climate side comes out way ahead,” said Gopal.“Is this legislation the size of what we need for the climate? No. Is it extraordinary given the politics and the Senate we have? Yes, it’s incredible. We can’t make up for the lost time of US inaction – we can see the price the world is paying for that right now – but it’s not too late. This can make a massive difference.”TopicsClimate crisisUS domestic policyUS politicsJoe BidenanalysisReuse this content More

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    Senate Democrats begin vote on landmark $430bn climate bill

    Senate Democrats begin vote on landmark $430bn climate billSenate kicks off ‘vote-a-rama’ that could drag on as Republicans have promised to try to stall the process US Senate Democrats on Saturday began a vote on a bill that would address key elements of President Joe Biden’s agenda, tackling climate change, lowering the cost of energy and senior citizens’ drugs and forcing the wealthy to pay more taxes.Indiana becomes first US state post-Roe to ban most abortionsRead moreEarlier, a Senate rulemaker determined that the lion’s share of the $430bn bill could be passed with only a simple majority, bypassing a filibuster rule requiring 60 votes in the 100-seat chamber to advance most legislation and enabling Democrats to pass it over Republican objections, majority leader Chuck Schumer said in a statement.Democrats hope that the legislation will give a boost to their candidates in the 8 November midterm elections in which Biden’s party is in an uphill battle to retain its narrow control of the Senate and House of Representatives.“Democrats have received extremely good news,” Schumer said in the statement. “Medicare will finally be allowed to negotiate drug prices … This is a major victory for the American people.“Medicare is the government health insurance program for people age 65 and older.There are three main parts to the bill: a 15% minimum tax on corporations, tougher IRS enforcement and a new excise tax on stock buybacks. The legislation has $430 billion in new spending along with raising more than $740 billion in new revenues.Beside billions of dollars to encourage the production and purchase of more electric vehicles and foster clean energy, the bill would set $4 billion in new federal drought relief funds. The latter is a move that could help the re-election campaigns of Democratic Senators Catherine Cortez Masto in Nevada and Mark Kelly in Arizona.Republicans have promised to do everything they can to stall or block the bill, with Senator Lindsey Graham on Friday calling the legislation “this jihad they’re on to tax and spend.”Democrats aim to push the bill through the Senate using an arcane and complicated “reconciliation” procedure allowing passage without any Republican support in the chamber divided 50-50 between the parties, with the Democrats in control because Kamala Harris, the vice-president, can cast a tie-breaking vote.One provision cut from the bill would have forced drug companies to refund money to both government and private health plans if drug prices rise more quickly than inflation. The Senate arbiter, known as the parliamentarian, ruled that measure could not apply to private industry.The beginning of the vote kicks off an arduous process that could extend into Sunday or early next week, with senators offering amendment after amendment in a time-consuming “vote-a-rama”.Senators on the left such as Bernie Sanders are likely to try to expand the scope of the bill to include new programs such as federal subsidies for childcare or home healthcare for the elderly. Republicans have signaled that they will offer plenty of amendments touching on another issue: immigrants coming across the US border with Mexico.TopicsUS SenateUS CongressHouse of RepresentativesDemocratsUS politicsUS domestic policynewsReuse this content More

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    Democrats secure breakthrough with Kyrsten Sinema on climate bill

    Democrats secure breakthrough with Kyrsten Sinema on climate billThe Arizona senator said she had agreed to last-minute changes on the measure’s tax and energy provisions Senate Democratic leaders say they have reached an agreement on the party’s major $739bn climate and economic bill with Kyrsten Sinema – the centrist Democrat whose opposition remained a major hurdle to passing the most ambitious US climate legislation yet. Democrat apologises for saying Biden won’t run in 2024 – then says it againRead moreThe support of Sinema, a former member of the Green party who has evolved into one of Congress’s most conservative Democrats, was crucial to the passage of the bill, which tackles energy, environment, health and tax measures. Its success is seen as the Democratic party’s most substantive chance to deliver domestic policy progress before the midterm elections.Backing from all 50 Democratic senators will be needed to pass any legislation in the evenly divided Senate given the party’s narrow majority and Republican resistance to acting on the climate crisis.The Senate majority leader, Chuck Schumer, said lawmakers had achieved a compromise “that I believe will receive the support” of all Democrats in the chamber. His party needs unanimity to move the measure through the 50-50 Senate, along with Vice-President Kamala Harris’s tie-breaking vote.Sinema, the Arizona senator seen as the pivotal vote, said in a statement that she had agreed to 11th-hour changes in the measure’s tax and energy provisions and was ready to “move forward” on the bill.She said Democrats had agreed to remove a provision raising taxes on “carried interest”, or profits that go to executives of private equity firms. That’s been a proposal she has long opposed, though it is a favorite of other Democrats, including the conservative West Virginia Democratic senator Joe Manchin, an architect of the overall bill.The carried interest provision was estimated to produce $13bn for the government over the coming decade, a small portion of the measure’s $739bn in total revenue.Securing Sinema’s support was the next challenge for Democrats after Manchin, the centrist Democrat famed for thwarting his own party’s climate goals, surprised Washington last week by backing the plan.Manchin, who has made millions of dollars from his ownership of a coal-trading firm, made an abrupt U-turn last week and announced support for $369bn in spending to support renewable energy and reduce emissions.Schumer has said he hopes the Senate can begin voting on the bill – known as the Inflation Reduction Act – on Saturday. Passage by the House, which Democrats control narrowly, could come next week.Final congressional approval of the election-year measure would be a marquee achievement for Joe Biden and his party, notching an accomplishment they could tout to voters as November approaches.The Senate and the House of Representatives are not in session on Friday but Schumer has indicated that he intends to move the bill forward this weekend and warned his Capitol Hill colleagues of some long days and nights of debate and votes ahead.Sinema agreed to the legislation in principle on Thursday night but added that before she can confirm, she needs it signed off by the Senate parliamentarian, the official who will check whether the spending bill complies with the rules to allow it to be passed using the reconciliation process that allows a simple majority vote, rather than being subject to the 60-vote majority filibuster rule.Schumer said that the deal first with Manchin and now with Sinema produced a bill that was now one step closer to becoming law.“The agreement preserves the major components of the Inflation Reduction Act, including reducing prescription drug costs, fighting climate change, closing tax loopholes exploited by big corporations and the wealthy, and reducing the deficit,” he said.Joe Biden urged the Senate to pass the bill swiftly. It must then return to the House for another vote before it can make its way to the US president’s desk.Bernie Sanders had been a big backer of the original $3.5tn Build Back Better bill, which was wide-ranging but has now shrunk down, after being blocked repeatedly by Manchin and Sinema, to the Inflation Reduction Act. The Vermont senator called the shrunken $739bn bill “better than nothing”, the Washington Post reported on Friday.Oliver Milman contributed reportingTopicsUS politicsDemocratsArizonaUS SenateUS domestic policyClimate crisisnewsReuse this content More

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    Hungary’s far-right PM Viktor Orbán speaks at CPAC summit – as it happened

    Orban has opened his speech in Texas by saying that “Hungary is the Lone Star state of Europe”.He described Hungary as “under the siege of progressives, liberals day by day”, and noted that he was “the only anti-migration political leader on our continent”, which was greeted with applause.The Senate will meet this weekend to begin considering Democrats’ marquee spending plan to fight climate change and lower healthcare costs, which is the culmination of more than a year of fitful negotiations. Meanwhile in Texas, Hungarian prime minister Viktor Orban pitched his far-right vision of America and Europe’s future to an audience of conservatives.Here’s a rundown of what else happened today:
    The justice department has filed charges against four current and former Louisville police officers over the death of Breonna Taylor.
    A court in Russia sentenced American women’s basketball star Brittney Griner to nine years in prison after finding her guilty of drug smuggling. President Joe Biden said Griner is “wrongfully detained”.
    Alex Jones’s defamation trial continued after yesterday’s shock revelation that his attorneys shared Jones’ phone data with lawyers for the people suing him.
    The White House declared monkeypox a public health emergency as the virus spread across the United States.
    House speaker Nancy Pelosi visited South Korea, as China expressed its rage at her stop in Taiwan by launching military exercises.
    New York Democratic House representative Carolyn Maloney continues to do damage control after suggesting Biden won’t stand for a second term, although she apparently hasn’t completely backed down from the comment.
    It looks like the Senate will convene this weekend to vote on Democrats’ plan to fight climate change, lower healthcare costs and tweak the tax code, CNN reports:Schumer says the Senate will vote on the motion to proceed to the reconciliation bill on Saturday afternoon— Manu Raju (@mkraju) August 4, 2022
    After that, 20 hours of debate. After debate time or if time is yielded back, it’s vote-a-rama time. Then final passage. All at simple majority— Manu Raju (@mkraju) August 4, 2022
    The bill, known as the Inflation Reduction Act, has no support from Republicans, and will require the votes of every Democrat to pass the evenly divided Senate. The House of Representatives, where the party has a slim majority, will then need to approve it before it goes to Joe Biden for his signature.Orban wrapped up his speech to the Conservative Political Action Conference by declaring, “We must take back the institutions in Washington and in Brussels”, and saying the two capitals “will define the two fronts in the battle being fought for Western civilization”.After defeating Nazi Germany and the Soviet Union, “Now the West is at war with itself,” Orban said. “We have seen what kind of future the globalist ruling class has to offer. But we have a different future in mind. The globalists can all go to hell, I have come to Texas.”A who’s who of American conservatives will appear at CPAC over the next two days, before Donald Trump makes the event’s closing remarks on Saturday evening.Orban didn’t mention Joe Biden directly, but appealed to the audience of conservatives for “strong leaders” – by which he presumably was not referring to the Democrats in control of the White House and Congress.He cited the impacts of the war in Ukraine on Hungary, which he notes has received one million refugees.“In my view, the globalist leaders’ strategy escalates and prolongs war and decreases the chance of peace. Without American-Russian talks there will never be peace in Ukraine. More and more people will die and suffer and our economies will come to the brink of collapse,” Orban said.“We in the neighborhood of Ukraine are desperately in need of strong leaders who are capable of negotiating a peace deal. Mayday, mayday, please help us. We need a strong America, with a strong leader.”Texas is a major crossing point for undocumented immigrants entering the United States, which Republicans have said is a “crisis” that president Joe Biden deserves blame for.Orban must realize this. He’s giving examples of “how to fight back by our own rules” and detailing to the conservative audience his own hardline policies against migrants, particularly from Syria.“We were the first ones in Europe who said no illegal migration and stop the invasion of illegal migrants,” he said. “We believe that stopping illegal migration is necessary to protect our nation.”Orban went on to attack American liberals, saying they tried to stop his speech and calling for unity between conservatives in the United States and in Hungary.“They hate me and slandered me and my country as they hate you and slander you and America’s transformation. We all know how this works. Progressive liberals didn’t want me to be here because they knew what I will tell you,” Orban said. “I’m here to tell you that we should unite our forces… because we Hungarians know how to defeat the enemies of freedom on the political battlefield.”Orban appears to be responding to the recent news of a top adviser resigning and accusing him of using “pure Nazi” rhetoric by arguing that his administration is misunderstood.Hungary “introduced a zero-tolerance policy on racism and antisemitism. So accusing us is fake news, and those who make these claims are certainly idiots. They are the industrial fake news corporation,” Orban said. Orban has opened his speech in Texas by saying that “Hungary is the Lone Star state of Europe”.He described Hungary as “under the siege of progressives, liberals day by day”, and noted that he was “the only anti-migration political leader on our continent”, which was greeted with applause.Hungarian prime minister Viktor Orbán is minutes away from starting his speech to the annual Conservative Political Action Conference, held this year in Texas.According to its agenda, Orbán will give a talk titled “How We Fight”. The leader has faced intensifying criticism for his far-right rhetoric, and last month, one of his longtime advisers resigned in protest over what she called his “pure Nazi” speech. Alarm grows as Orban prepares to take ‘pure Nazi’ rhetoric to USRead moreArizona Republican Rusty Bowers has lost his primary and won’t return to his post as speaker of Arizona’s House of Representatives after defying Donald Trump’s efforts to meddle in the state’s election results. As Martin Pengelly reports, Bowers has no regrets about how it ended:Rusty Bowers, the Arizona Republican who defied Donald Trump’s attempt to overturn his defeat in the state then testified to the House January 6 committee, has no regrets despite losing his bid for a state senate seat.“I would do it again in a heartbeat,” he told the Associated Press. “I’d do it 50 times in a row.”Term limits meant Bowers could not mount another house run. On Tuesday he was trounced in a primary by David Farnsworth, a Trump-endorsed former state senator.Trump was the first Republican to lose a presidential race in Arizona since Bill Clinton won there in 1996. Clinton was re-elected anyway. Trump wasn’t.Arizona Republican who defied Trump and lost primary: ‘I’d do it again in a heartbeat’Read moreAfter departing Taiwan following a visit that enraged China, House speaker Nancy Pelosi went to South Korea, where she visited the demilitarized zone separating it from North Korea.It was a special honor to engage with General LaCamera and other @USForcesKorea servicemembers on the ground at the DMZ/JSA and Osan Air Base. pic.twitter.com/Yi2u8YMXyS— Nancy Pelosi (@SpeakerPelosi) August 4, 2022
    We conveyed the gratitude of the Congress and the Country for the patriotic service of our servicemembers, who stand as sentinels of Democracy on the Korean Peninsula. pic.twitter.com/SIz284fSWh— Nancy Pelosi (@SpeakerPelosi) August 4, 2022
    Beijing has meanwhile started a series of live-fire drills in the waters around Taiwan, underscoring its fury over Pelosi’s trip to an island it considers a breakaway province. The Guardian has is keeping a live blog covering the ongoing spike in tensions:US watching Chinese military drills ‘very closely’ as ballistic missiles fired into Taiwan strait – liveRead more More

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    Biden hails ‘most significant legislation to tackle climate crisis’ after Manchin says yes – as it happened

    Joe Biden hailed the Inflation Reduction Act as “the most significant legislation in history to tackle the climate crisis” in a White House address welcoming the wide-ranging legislative package.The president outlined the benefits to Americans during his remarks, which followed the surprise announcement of a deal last night between Democratic Senate majority leader Chuck Schumer and holdout West Virginia senator Joe Manchin..css-knbk2a{height:1em;width:1.5em;margin-right:3px;vertical-align:baseline;fill:#C70000;}This bill will be the most significant legislation in history to tackle the climate crisis and improve our energy security right away, and give us a tool to meet the climate goals… we’ve agreed to by cutting emissions and accelerating clean energy. It’s a huge step forward.
    This bill will reduce inflationary pressures on the economy. It will cut your cost of living and reduce inflation, it lowers the deficit and strengthens our economy for the long run as well.
    This bill has won the support of climate leaders like former vice-president Al Gore, who said the bill is, quote, long overdue and a necessary step to ensure the United States takes decisive action on the climate crisis that helps our economy and provides leadership for the world.Climate activists have broadly welcomed the bill which, if passed by Congress, would give Biden a massive victory ahead of November’s midterms. Inflation at 40-year highs and soaring prices in supermarkets and at gas pumps have contributed to the president’s low approval ratings.It also follows months of stalling on Biden’s agenda, specifically by Manchin, who didn’t like the cost of $1.8tn Build Back Better spending package featuring measures like extended child tax credit.Biden acknowledged: .css-knbk2a{height:1em;width:1.5em;margin-right:3px;vertical-align:baseline;fill:#C70000;}This bill is far from perfect. I know the bill doesn’t include everything that I’ve been pushing for since I got to office. For example, I’m going to keep fighting to bring down the cost of things for working families and middle class families by providing for things like affordable childcare, affordable elder care, the cost of preschool, housing, helping students with the cost of college, closing the health care coverage gap…
    My message to Congress is this. This is the strongest bill you can pass to lower inflation, cut the deficit, reduce health care costs, tackle the climate crisis and promote energy security, all the time while reducing the burdens facing working class and middle class families.
    So pass it. Pass it for the American people. Pass it for America. We’re closing the politics blog now on a rollercoaster Thursday for President Joe Biden. The day began with depressing economic news that the US was technically in a recession, but was brightened considerably by a bipartisan vote in the House that sends the $280bn Chips Act to his desk.And then there was the unexpected development that Democratic West Virginia senator Joe Manchin, blamed for single handedly blocking the majority of Biden’s first term agenda on the climate emergency and the economy, had reversed his position.The Inflation Reduction Act Manchin negotiated with Democratic Senate majority leader Chuck Schumer is, Biden said, “the most significant legislation in history to tackle the climate crisis.”Thanks for joining us today. Before you go, please have a read of my colleague David Smith’s report on the reconciliation bill here. Here’s what else we followed today:
    Former treasury secretary Steven Mnuchin has spoken with the House panel investigating Donald Trump’s January 6 insurrection, and the committee is negotiating to obtain testimony from other members of the former president’s cabinet, the Associated Press reported.
    Politico reported that the House panel and the justice department’s criminal inquiry had struck an testimony-sharing deal on witness transcripts and other evidence. The report came as Trump’s former chief of staff Mick Mulvaney spoke with the panel virtually.
    Biden and Chinese president Xi Jinping spoke for more than two hours by phone, in what was reported to have been a sometimes testy conversation including a discussion of Nancy Pelosi’s controversial upcoming trip to Taiwan.
    At least 43 abortion clinics in 11 states have closed since the supreme court eliminated federal protections for the procedure last month, and seven states no longer have any providers, a study published Thursday by the Guttmacher Institute revealed. Prior to the ruling ending Roe v Wade protections, the 11 states had a total of 71 clinics providing abortion care, the report says.
    The Miami Herald reported that a state operation touted last month by Republican governor Ron DeSantis as a successful law enforcement action to “keep illegals out of Florida” ended up arresting mostly legal residents. Of 22 arrests in a three-day sweep from 7 to 9 June, the “vast majority” were not related to immigration, the Herald said.
    While chief of staff to Donald Trump, the retired general John Kelly “shoved” Ivanka Trump in a White House hallway, Jared Kushner writes in his forthcoming memoir. The detail from Breaking History, which will be published in August, was reported by the Washington Post.Kushner, the Post said, writes that he and his wife saw Kelly as “consistently duplicitous”.“One day he had just marched out of a contentious meeting in the Oval Office. Ivanka was walking down the main hallway in the West Wing when she passed him. Unaware of his heated state of mind, she said, ‘Hello, chief.’ Kelly shoved her out of the way and stormed by. She wasn’t hurt, and didn’t make a big deal about the altercation, but in his rage Kelly had shown his true character.”Kushner writes that Kelly offered a “meek” apology about an hour later.Kelly told the Post: “I don’t recall anything like you describe. It is inconceivable that I would EVER shove a woman. Inconceivable. Never happen. Would never intentionally do something like that. Also, don’t remember ever apologising to her for something I didn’t do. I’d remember that.”A spokesperson for Ivanka Trump said her husband’s description was accurate, the Post said.The Post also said Kushner writes that Kelly gave his wife “compliments to her face that she knew were insincere.“Then the four-star general would call her staff to his office and berate and intimidate them over trivial procedural issues that his rigid system often created. He would frequently refer to her initiatives like paid family leave and the child tax credit as ‘Ivanka’s pet projects.’”Read the full story:Trump chief of staff ‘shoved’ Ivanka at White House, Kushner book saysRead moreBarack Obama’s presidential portrait will be unveiled at the White House in a September ceremony hosted by his former vice-president Joe Biden, the Associated Press reports.Portraits of the former president and first lady Michelle Obama will be presented in the East Room on 7 September, according to Obama’s office.It will mark the first time the former first lady has returned to the White House since her husband left office in January 2017. Barack Obama went back in April to mark the 12th anniversary of his signature health care law.The House of Representative has delivered a big win for Joe Biden, passing the $280bn Chips and Science Act that includes $52bn to boost the production of semiconductors.The bill cleared the Senate 64-33 in a bipartisan vote yesterday, the president urging the House to get the bill to his desk as soon as possible to help ease a shortage in semiconductors he said is holding back US defense, healthcare and vehicle manufacturing industries.Biden received the news of the bill’s House passage, 243-187 in a strong bipartisan vote, during a virtual round table with business leaders at the White House this afternoon.The moment @POTUS gets word that the CHIPS Act has enough votes to pass the House pic.twitter.com/2CqAnr8oVc— Andrew Feinberg (@AndrewFeinberg) July 28, 2022
    Biden earlier highlighted the Chips Act as a central plank of his agenda to boost American industry, as he also hailed the newly announced $739bn Inflation Reduction Act.In a statement, the president said the Chips Act “will make cars cheaper, appliances cheaper, and computers cheaper. It will lower the costs of every day goods. And, it will create high-paying manufacturing jobs across the country and strengthen US leadership in the industries of the future at the same time.”Republicans had threatened to whip members against voting for the Chips Act after they were angered by last night’s announcement of the reconciliation bill, brokered in a deal between Senate majority leader Chuck Schumer and previously reluctant West Virginia senator Joe Manchin.Read my colleague David Smith’s report on the proposed new legislation here:Joe Biden hails Senate deal as ‘most significant’ US climate legislation everRead moreIt’s a double helping of Joe Biden today, the president just delivering remarks on the economy at an afternoon White House roundtable of business leaders.Once again, the president is downplaying the suggestion, bolstered by this morning’s dismal GDP figures, that the US is in a recession:.css-knbk2a{height:1em;width:1.5em;margin-right:3px;vertical-align:baseline;fill:#C70000;}There’ll be a lot of chatter today on Wall Street and among pundits about whether we are in a recession. But if you’re looking at our job market, consumer spending business investment, we see signs of economic progress in the second quarter as well.
    And yesterday, Fed chairman [Jerome] Powell made it clear that he doesn’t think the US economy is currently in a recession. He said, quote, there are too many areas of economics where the economy is performing too well.For the second time today, following his address earlier this afternoon on the Inflation Reduction Act, Biden listed positive factors, including job creation, low unemployment and foreign investment in US industry..css-knbk2a{height:1em;width:1.5em;margin-right:3px;vertical-align:baseline;fill:#C70000;}I applaud by the bipartisan effort to get the Chips Act to my desk, which would advance our nation’s competitiveness and technological edge by boosting our domestic semiconductor production and manufacturing.
    Another thing Congress should do is to pass the Inflation Reduction Act to lower prescription drug costs, reduce the deficit, help ease inflationary pressures and ensure 13m Americans can continue to save an average of $800 per year on health care premiums.
    Both of these bills are going to help the economy continue to grow, bring down inflation and make sure we aren’t giving up on all the significant progress we made in the last year. Former treasury secretary Steven Mnuchin has spoken with the House panel investigating Donald Trump’s January 6 insurrection, and the committee is negotiating to obtain testimony from other members of the former president’s cabinet, the Associated Press reports.The panel is looking into the days following the deadly Capitol riot and discussions between senior officials over whether to try to remove the then-president from office.The negotiations come as the committee was interviewing Trump’s former chief of staff, Mick Mulvaney, on Thursday. The former South Carolina congressman was special envoy for Northern Ireland on January 6 2022, a post he resigned immediately after the riot.The AP says Mnuchin’s interview, and the negotiations with others, were confirmed by three people familiar with the committee’s work, who spoke on condition of anonymity.The agency says the committee asked Mnuchin about discussions among cabinet secretaries to possibly invoke the constitutional process in the 25th Amendment to remove Trump after the attack on the Capitol, according to one of the people, and is in talks to interview former secretary of state Mike Pompeo. The panel has already interviewed former acting attorney general Jeffrey Rosen, former labor secretary Eugene Scalia and former acting defense secretary Christopher Miller as it focuses on Trump and what he was doing in the days before, during and after the riot. We’ve written plenty about the Inflation Reduction Act today, and heard that Joe Biden believes it’s “the most significant bill to tackle the climate crisis in history”. So what’s actually in it?My colleague Oliver Milman has this handy explainer to what made it into the package. And what didn’t:What’s in the climate bill that Joe Manchin supports – and what isn’t Read moreWe now have the White House readout of Joe Biden’s two hour conversation with China’s President Xi Jinping this morning:.css-knbk2a{height:1em;width:1.5em;margin-right:3px;vertical-align:baseline;fill:#C70000;}The call was a part of the Biden administration’s efforts to maintain and deepen lines of communication between the US and PRC [People’s Republic of China] and responsibly manage our differences and work together where our interests align.
    The two presidents discussed a range of issues important to the bilateral relationship and other regional and global issues, and tasked their teams to continue following up on today’s conversation, in particular to address climate change and health security. It seems they also touched on Nancy Pelosi’s controversial upcoming trip to Taiwan, which has angered Chinese leaders. The White House readout said:.css-knbk2a{height:1em;width:1.5em;margin-right:3px;vertical-align:baseline;fill:#C70000;}On Taiwan, President Biden underscored that the United States policy has not changed and that the United States strongly opposes unilateral efforts to change the status quo or undermine peace and stability across the Taiwan Strait. The Chinese take, according to the Associated Press, was equally defiant.The news agency quoted an account of the call by China’s ministry of foreign affairs.“Those who play with fire will perish by it. It is hoped that the US will be clear-eyed about this,” it said.“President Xi underscored that to approach and define China-US relations in terms of strategic competition and view China as the primary rival and the most serious long-term challenge would be misperceiving China-US relations and misreading China’s development, and would mislead the people of the two countries and the international community.” At least 43 abortion clinics in 11 states have closed since the supreme court eliminated federal protections for the procedure last month, and seven states no longer have any providers, a study published Thursday by the Guttmacher Institute has found.Prior to the ruling ending Roe v Wade protections on 24 June, the 11 states had a total of 71 clinics providing abortion care, the report says. 🚨 As of July 24, these 7 US states 👇 had banned abortion completely following the SCOTUS decision to overturn #RoeVWade:❌ Alabama❌ Arkansas❌ Mississippi❌ Missouri❌ Oklahoma❌ South Dakota❌ Texas#BansOffOurBodies https://t.co/6r9oaGNzqJ— Guttmacher Institute (@Guttmacher) July 28, 2022
    As of 24 July, there were only 28 clinics still offering abortions, all located in the four states with six-week bans. Across these 11 states, the number of clinics offering abortions dropped by 43 in just one month. The seven states no longer offering any abortion provision are Alabama (previously 5 clinics), Arkansas (2), Mississippi (1), Missouri (1), Oklahoma (5), South Dakota (1) and Texas (23 ).“Obtaining an abortion was already difficult in many states even before the supreme court overturned Roe,” Rachel Jones, Guttmacher’s principal research scientist, said.“These clinic closures resulting from state-level bans will further deepen inequities in access to care based on race, gender, income, age or immigration status since long travel distances to reach a clinic in another state will be a barrier for many people.”Joe Biden thanked Democratic senators Joe Manchin and Chuck Schumer, the Senate majority leader, for their “extraordinary effort” in negotiating the reconciliation bill.It had looked like Manchin had killed hope of any of the president’s signature policy goals on the climate emergency or the economy passing when he withdrew from talks on Build Back Better earlier this year.The West Virginia senator, however, insisted earlier today he “never walked away” and was always open to renewed discussions, on parts of the package at least, which were finally concluded on Wednesday after weeks of secret meetings with Schumer and his staff.Biden said: .css-knbk2a{height:1em;width:1.5em;margin-right:3px;vertical-align:baseline;fill:#C70000;}I know can sometimes seem like nothing gets done in Washington. I know it never crossed any of your minds. But the work of the government can be slow and frustrating and sometimes even infuriating.
    Then the hard work of hours and days and months from people who refuse to give up pays off.
    History has been made. Lives have changed with this legislation. We’re facing up to some of our biggest problems. And we’re taking a giant step forward as a nation. Biden closed his address with remarks on data that came out this morning showing the economy had shrunk for a second successive quarter, and that the US was technically in a recession.He listed low unemployment, overseas investment in US manufacturing and yesterday’s passing by the Senate of the Chips Act boosting semiconductor production among a number of reasons why he believes the US economy is strong.“That doesn’t sound like a recession to me,” Biden said.Joe Biden hailed the Inflation Reduction Act as “the most significant legislation in history to tackle the climate crisis” in a White House address welcoming the wide-ranging legislative package.The president outlined the benefits to Americans during his remarks, which followed the surprise announcement of a deal last night between Democratic Senate majority leader Chuck Schumer and holdout West Virginia senator Joe Manchin..css-knbk2a{height:1em;width:1.5em;margin-right:3px;vertical-align:baseline;fill:#C70000;}This bill will be the most significant legislation in history to tackle the climate crisis and improve our energy security right away, and give us a tool to meet the climate goals… we’ve agreed to by cutting emissions and accelerating clean energy. It’s a huge step forward.
    This bill will reduce inflationary pressures on the economy. It will cut your cost of living and reduce inflation, it lowers the deficit and strengthens our economy for the long run as well.
    This bill has won the support of climate leaders like former vice-president Al Gore, who said the bill is, quote, long overdue and a necessary step to ensure the United States takes decisive action on the climate crisis that helps our economy and provides leadership for the world.Climate activists have broadly welcomed the bill which, if passed by Congress, would give Biden a massive victory ahead of November’s midterms. Inflation at 40-year highs and soaring prices in supermarkets and at gas pumps have contributed to the president’s low approval ratings.It also follows months of stalling on Biden’s agenda, specifically by Manchin, who didn’t like the cost of $1.8tn Build Back Better spending package featuring measures like extended child tax credit.Biden acknowledged: .css-knbk2a{height:1em;width:1.5em;margin-right:3px;vertical-align:baseline;fill:#C70000;}This bill is far from perfect. I know the bill doesn’t include everything that I’ve been pushing for since I got to office. For example, I’m going to keep fighting to bring down the cost of things for working families and middle class families by providing for things like affordable childcare, affordable elder care, the cost of preschool, housing, helping students with the cost of college, closing the health care coverage gap…
    My message to Congress is this. This is the strongest bill you can pass to lower inflation, cut the deficit, reduce health care costs, tackle the climate crisis and promote energy security, all the time while reducing the burdens facing working class and middle class families.
    So pass it. Pass it for the American people. Pass it for America. Joe Biden is about to deliver a hastily arranged address about the Inflation Reduction Act, the White House says.You can watch the president’s remarks here. More

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    Joe Biden hails Senate deal as ‘most significant’ US climate legislation ever

    Joe Biden hails Senate deal as ‘most significant’ US climate legislation everProposal backed by centrist senator Joe Manchin also addresses healthcare, tax rises for high earners and cutting federal debt Joe Biden has hailed a congressional deal that represents the biggest single climate investment in US history – and hands him a badly needed political victory.In a stunning reversal, Senate Democrats on Wednesday announced an expansive $739bn package that had eluded them for months addressing healthcare and the climate crisis, raising taxes on high earners and corporations and reducing federal debt.What’s in the climate bill that Joe Manchin supports – and what isn’t Read moreThe president said on Thursday: “This bill would be the most signification legislation in history to tackle the climate crisis and improve our energy security right away.”Biden, who has faced soaring gas prices that have helped drive inflation to 40-year highs, said experts agreed that the bill would help address the problem and urged Congress to pass it.“With this legislation, we’re facing up to some of our biggest problems and we’re taking a giant step forward as a nation … This bill is far from perfect, it’s a compromise, but that’s often how progress is made: by compromises.”The deal, struck between the majority leader, Chuck Schumer, and longtime holdout Senator Joe Manchin of West Virginia, would invest $369bn over the decade in climate change-fighting strategies including investments in renewable energy production and tax rebates for consumers to buy new or used electric vehicles.It includes $60bn for a clean energy manufacturing tax credit and $30bn for a production tax credit for wind and solar, seen as ways to boost and support the industries that can help curb the country’s dependence on fossil fuels. At Manchin’s insistence, $306bn is earmarked for debt reduction.The package, called the Inflation Reduction Act, would cut US emissions 40% by 2030, a summary released by Schumer’s office said, and earned praise from clean-energy advocates and Democratic party elders.Barack Obama, the former president, tweeted: “I’m grateful to President Biden and those in Congress – Democrat or Republican – who are working to deliver for the American people. Progress doesn’t always happen all at once, but it does happen – and this is what it looks like.”Al Gore, an ex-vice-president whose 2006 documentary film An Inconvenient Truth helped raise awareness of the climate crisis, wrote on Twitter: “The Inflation Reduction Act has the potential to be a historic turning point. It represents the single largest investment in climate solutions & environmental justice in US history. Decades of tireless work by climate advocates across the country led to this moment.”Another component of the package would allow Medicare, the government-run healthcare programme for the elderly and disabled, to negotiate prescription drug prices with pharmaceutical companies, saving the federal government $288bn over the 10-year budget window.The Manchin-Schumer measure is substantially smaller than the $3.5tn Build Back Better spending bill that Biden asked Democrats to push through Congress last year.But it gave him a political win when he most needed it. His administration has been assailed by a cascade of setbacks including the war in Ukraine, a series of conservative supreme court rulings, soaring inflation and, on Thursday, a GDP report that showed gross domestic product shrank for the second consecutive quarter this year.This backdrop has left the president struggling with low job approval ratings and ebbing support from his own party. A CNN poll this week found that 75% of Democratic and Democratic-leaning voters want the party to nominate someone other than him in the 2024 election.But the surprise Senate deal, coming on the same day that the Senate passed legislation boosting domestic production of computer chips and Biden completed his recovery from a coronavirus infection, gave a glimpse of light at the end of the tunnel.John Zogby, an author and pollster, said there had already been signs that the president’s approval rating was improving. “This could very well be the critical win. First of all, it’s coming in the context of a few other wins: the manufacturing bill is another and, at the same time, there’s a sense the gas prices are going down. It’s an important piece of Build Back Better and it looks like it can happen. This could lift expectations.”The deal is a boost for Democrats ahead of midterm elections on 8 November that will determine control of Congress. Zogby added: “Democrats can go back to voters and say, ‘Look, we accomplished something. It may not have been what you wanted but here’s our first real accomplishment on climate change.’”Jonathan Kott, a former communications director for Manchin, told the MSNBC network: “Democrats really need to seize on this moment and tell this story, scream it at the top of their lungs. If this was Donald Trump, he’d be out there having press conferences in the Rose Garden all over the country. We should be doing the same thing.”The deal marked a dramatic U-turn by Manchin, a conservative Democrat and the swing vote in the evenly divided Senate, who has received more donations from oil and gas companies than any other legislator in recent years. Earlier this month he drew fierce condemnation from climate activists for apparently scuttling Biden’s spending plans, claiming that he was concerned about inflation.On Wednesday Manchin, who aimed to preserve federal oil and gas leasing projects and natural gas pipelines during months of talks, said the bill will invest in hydrogen, nuclear power, renewables, fossil fuels and energy storage. “This bill does not arbitrarily shut off our abundant fossil fuels.”Democrats hope to pass the bill by a simple majority in the Senate. Schumer told colleagues on Thursday that they now have an opportunity to achieve two “hugely important” priorities on healthcare and climate change, the Associated Press reported, but warned that final passage will be hard.It remains unclear whether Kyrsten Sinema of Arizona, who like Manchin has been a perennial thorn in Biden’s side, will vote in favour. There is also sure to be staunch opposition from Republicans.Senator John Cornyn, a Texas Republican, said in a statement the legislation would be “devastating to American families and small businesses. Raising taxes on job creators, crushing energy producers with new regulations, and stifling innovators looking for new cures will only make this recession worse, not better.”The bill must also pass the House of Representatives, where Democrats have a razor-thin majority, and be signed by Biden.TopicsUS domestic policyUS politicsJoe BidenJoe ManchinUS SenateClimate crisisUS healthcarenewsReuse this content More

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    Manchin announces deal with Democrats on major tax and climate bill

    Manchin announces deal with Democrats on major tax and climate billNews of agreement breaks deadlock two weeks after conservative Democrat had appeared to kill off Biden’s climate agenda Democrat Joe Manchin announced on Wednesday afternoon that he has reached a deal with the Senate majority leader, Chuck Schumer, on a domestic policy bill that would pay down national debt, cut energy costs and lower the cost of health insurance and prescription drugs, while supporting a “realistic” climate policy.The development came almost two weeks after the West Virginia conservative senator had appeared essentially to kill off flagship climate action legislation when he came out against raising taxes on wealth Americans and refused to support more funding for climate action.Manchin has repeatedly thwarted his own party while making millions in the coal industry and his opposition to a massive reconciliation bill that included policies to boost green power generation and electric cars infuriated the White House as well as climate action advocates.The White House tells me they have a deal with Manchin. This is real. Build Back Manchin is back. Reconciliation has expanded. More details soon. https://t.co/IG9EeX7AjU— Jake Sherman (@JakeSherman) July 27, 2022
    Biden and Democrats had hoped to include environmental measures in a $1tn version of the $2tn Build Back Better spending bill that Manchin killed last year in dramatic fashion, and negotiations had been under way for months before Manchin appeared ready to kill the deal, citing runaway inflation.But on Wednesday afternoon, Manchin suddenly announced a new agreement, with details and reactions from his colleagues still to emerge.More to come …TopicsJoe ManchinDemocratsUS CongressUS SenateUS politicsUS domestic policynewsReuse this content More