US Senate Passes $3.5 Trillion Budget Resolution – End of Reconciliation Process in September

The senate passed a $3.5 trillion blueprint which is the first step in the reconciliation process to pass a larger bill.

House leaders will return from summer recess Aug 23 to vote on the fiscal blueprint.

The legislation is will have paid family and medical leave, subsidized child care, an extension of an expanded child tax credit, universal prekindergarten for three- and four-year-olds and two years of tuition-free community college, green cards to millions of immigrants.

It would expand the Affordable Care Act subsidies. The plan would broaden Medicare benefits to cover dental, vision and hearing—and would aim to reduce the cost of prescription drugs by allowing Medicare to negotiate prices, among other steps.

Democrats are proposing a series of ideas, including tax credits for clean-energy investments and a “plan resembling a clean electricity standard,” aimed at reducing carbon emissions in the electricity sector by 80% and economywide by 50% by 2030.

That wide-ranging bill would include about $726 billion to provide universal preschool for 3- and 4-year olds as well as free community college, $332 billion for affordable housing and $198 billion for clean energy. $2.3 trillion for health care, child care, etc..

$198 billion for clean energy will mostly be about $10,000 in tax credits for each electric vehicle until two years EVs make up over half of all new US vehicles.

There are proposed polluter import fees. Such fees could help lower emissions globally while generating revenue for the U.S., effectively acting as an emissions-based tariff.

Committees will make detailed text for a bill with up to $3.5 trillion on climate initiatives, paid leave, child care, education and health care. Sept 15 target for the details. At least One Senate democrat says the $3.5 trillion is too much. Kyrsten Sinema of Arizona wants to trim the bill. Joe Manchin of West Virginia also is in favor of a smaller bill. Sanders and progressives want more.

SOURCES – MSNBC
Written by Brian Wang, Nextbigfuture.com