Anna's Weekly Report
August 12, 2022
I just left the floor of the House after casting my vote for the Inflation Reduction Act, historic legislation that passed with a vote of 220-207. The legislation:
- Lowers the cost of prescription drugs
- Lowers the cost of health insurance
- Makes the biggest investment in U.S. history to combat the climate crisis
- Lowers the deficit by $300 billion
|Rep. Eshoo speaks on the House floor in favor of the Inflation Reduction Act|
Lowering drug costs
For seniors, the Inflation Reduction Act allows Medicare to directly negotiate lower prescription drug prices. The bill also ensures Medicare beneficiaries won’t pay more than $2,000 in out-of-pocket costs annually for prescription drugs, and no more than $35 for insulin every month.
Lowering health insurance costs
The legislation lowers health care premiums by strengthening the Affordable Care Act to save an average of $800 per year for 13 million people.
The legislation honors our commitments under the Paris Agreement by investing $369 billion in clean energy, electric vehicles, and other efforts that will reduce greenhouse gas emissions by 40 percent by 2030. These investments in clean energy will decrease energy bills for households nationwide.
Reduces the deficit
The Inflation Reduction Act is fully paid for by a 15 percent corporate minimum income tax on the 150 companies making more than $1 billion in revenue; investment in the IRS to improve taxpayer services, expedite refunds, and recover more than $200 billion in taxes that are owed but not collected; and a one percent tax on stock buybacks. These improvements to the tax system will lower the deficit by more than $300 billion, without raising taxes on small businesses or households making $400,000 or less.
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Now that this essential legislation has passed both the House and the Senate, President Biden will sign the Inflation Reduction Act into law in the coming days.
These policies are needed and strongly supported by you, my constituents. Over the last year of debate and deliberation, over 2,500 constituents have written to me about the need to reduce drug prices, address climate change and other important policies.
In a recent survey I sent to constituents, over 3,000 responded in support of the provision in the Inflation Reduction Act that allows Medicare to directly negotiate drug prices, and over 2,000 constituents said they support extended Affordable Care Act subsidies, investments in clean energy, and the requirement that wealthy corporations pay their fair share in taxes by implementing a corporate minimum tax.
I will keep you updated on specifics as to how you can access tax credits and the many benefits included in this legislation. Information on the Inflation Reduction Act is also on my website here and will be updated regularly.
I’m thrilled Democrats have worked successfully to get this bold plan over the finish line to deliver transformational improvements for the American people.
Anna G. Eshoo
Member of Congress