WASHINGTON — Sen. Kyrsten Sinema, D-Ariz., said she would “move forward” with a sizable package of initiatives to fight climate change, lower drug prices and reduce deficits, leading the Senate to Democrats the votes they need to succeed the law on the reduction of inflation.
Sinema, the last Democratic sticking to the bill, said she will move forward after negotiations to remove the provision for deferred interest tax.
“We have agreed to cut the provision of the deferred interest tax, protect advanced manufacturing and boost our clean energy economy in the Senate budget alignment legislation,” Sinema said in a statement Thursday evening.
“Subject to the MP’s assessment, I will continue.”
“I am pleased to report that we have reached an agreement on the Inflation Reduction Act that I believe will have the support of the entire Democratic Senate conference,” Majority Leader Chuck Schumer, DN.Y., announced minutes later.
Her support is drafting a final draft of the bill to be tabled on Saturday, and the likelihood of a major legislative victory for President Joe Biden.
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Sinema, a thorn in the side of the White House over several policy proposals, had refused to talk publicly about the legislation for more than a week since Senator Joe Manchin, DW.Va. and Schumer announced a deal on the Inflation Reduction Act.
The legislation would allow Medicare to negotiate prescription drug prices — long opposed by the pharmaceutical industry — and extend the Affordable Care Act grants to 2205.
To tackle climate change, the bill would provide billions in tax credits to develop and expand clean energy transmission infrastructure including programs to help Americans buy electric vehicles that would help Biden’s goal to significantly reduce interior carbon emissions over the decade. To pay for the measures, the bill would set a minimum corporate tax rate of 15% and strengthen enforcement of the Internal Revenue Service.
The bill would generate an estimated $739 billion in new tax revenue, more than negating the $433 billion in proposed new spending. the law would reduce the federal deficit according to the Congressional Budget Office by $102 billion over the next decade.
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Democrats hope to pass this bill through a process known as fiscal reconciliation, which would allow simple majority approval and avoid the 60-vote threshold of overcoming a Republican filibuster.
Manchin and Sinema opposed several measures in Biden’s more extensive Build Back Better legislation last year that sought to overhaul the social safety net, causing the bill to stall. They have also opposed the president’s drive to exonerate the Senate filibuster from enacting voting reforms and protecting abortion rights.
Reach Joey Garrison on Twitter @joeygarrison
This article originally appeared on USA TODAY: sen. Krysten Sinema Announces Deal On Inflation Reduction Act