The White House has announced an agreement on Biden’s Build Back Better bill that the White House expects Democrats to support.
Here’s What’s In Build Back Better
The White House provided the framework to PoliticusUSA:
Investments in children, families and care that grow the economy’s capacity
- Universal Preschool for all 3- and 4-year-olds: Expand access to high-quality free nursery school for more than 6 million children. It is a long-term program, with funding for six years.
- Affordable high quality childcare: Limit childcare costs for families to no more than 7% of income, for families earning up to 250% of state media income. It enables states to expand access to some 20 million children. Parents need to work, look for work, be in training or care for a serious health issue. It is a long-term program, with funding for six years.
- Affordable, high-quality care for hundreds of thousands of elderly Americans and people with disabilities in their homes and communities: Strengthening an existing program by Medicaid and ending the existing backlog and improving working conditions for home carers
- Extensive child tax credit: Extend the current extended one-year child tax credit for more than 35 million U.S. households, with monthly payments for households earning up to $ 150,000 per year. Make the repayment of the Child Tax Credit permanent.
Investing in clean energy and combating climate change
- Clean Energy Tax Credits ($ 320 billion): Extensive ten-year tax credits for utility and residential clean energy, transmission and storage, clean passenger and commercial vehicles, and clean energy manufacturing.
- Resilience Investments ($ 105 billion): Investments and incentives to address extreme weather (wildfires, droughts and hurricanes, including in forestry, wetlands and agriculture), heritage pollution in communities, and a Civil Climate Corps.
- Investments and incentives for clean energy technology, manufacturing and supply chains ($ 110 billion): Targeted incentives to encourage new domestic supply chains and technologies, such as solar, batteries and advanced materials, while promoting the competitiveness of existing industries, such as steel, cement and aluminum.
- Clean Energy Acquisition ($ 20 billion): Provide incentives for the government to be a buyer of next-generation technology, including long-term storage, small modular reactors and clean construction materials.
Affordable care for millions of hardworking Americans
- Affordable Care Act Premium tax credits: Extend the extended premium tax credits of the Affordable Care Act by 2025. Experts predict that more than 3 million people who would otherwise be uninsured will receive health insurance. Also make Affordable Care Act premium tax credits available through 2025 to 4 million uninsured people in uncovered states.
- Allow Medicare to cover the cost of hearing. Establish an audience benefit in Medicare, a crucial benefit for our seniors at a reasonable cost.
To reduce costs, reduce inflationary pressures and strengthen the middle class
- Housing: $ 150 billion investment in housing affordability and price pressure reduction, including in rural areas. Funds go towards building more than 1 million new affordable rental and single homes, rental and installment assistance and public housing.
- Education beyond High School and Workforce Development: Reduce costs and expand access to high school education by increasing the maximum Pell grant, providing support to historically black colleges and universities (“HBCUs”), Spanish ministries (HSIs), minority ministries (“MSIs”) and tribal colleges and Universities (“TCUs”), and investment in workforce development, including community college workforce programs, sector-based training, and apprenticeships.
- Earned income tax credit for 17 million low-wage workers: Extend the current extended earnings income tax credit for childless workers for one year.
- Shares and other investments: Other targeted investments include maternal health, community violence initiatives, indigenous communities, disadvantaged farmers, nutrition, pandemic preparedness, supply chain resilience and other areas.
Improve our immigration system in accordance with Senate Reconciliation Rules.
|Childcare and Preschool||400|
|Child tax and earnings income tax credits||200|
|Clean Energy and Climate Investments||555|
|ACA credits, including in uncovered statements||130|
|Higher Education and Workforce||40|
|Shares and other investments||90|
Remuneration: Ask the largest corporations and Americans with the highest incomes to pay a fair share and reduce the cost of prescription drugs
The plan is more than fully paid for by asking the richest Americans and most profitable corporations to pay their fair share. It does not raise taxes on small businesses and anyone earning less than $ 400,000 a year. It will also generate economic growth that will increase tax revenue and contribute to reducing deficits.
Stop profitable corporations from paying zero in taxes and stop rewarding corporations that buy back shares rather than invest in the company
- 15% corporate minimum tax on large corporations
- 1% surcharge on repurchases of corporate shares
Stop rewarding corporations for sending jobs and profits overseas
- Global minimum tax: in accordance with OECD and with applicable effective date for 15%, country-by-country
- Penalty rate for foreign corporations based in non-compliant countries (ie base erosion and anti-abuse tax)
Ask highest-income Americans to pay their fair share
- New additional tax on multimillionaires and billionaires
- Close Medicare Self-Employment Tax Hole by Boosting Net Investment Income Tax for Those Earning More Than $ 400,000
- Continue limiting excess business losses
- Invest in IRS Enforcement.
Repeal of Trump administration rebate rule, which would have increased seniors’ drug premiums
|Settlements – Estimates, subject to confirmation||$ billion|
|15% corporate minimum tax on large corporations||325|
|Share buyback tax||125|
|Corporate international reform to stop rewarding companies that send jobs and profits overseas||350|
|AGI surcharge on top 0.02%||230|
|Close Medicare tax haven for the rich||250|
|Limit business losses to the rich||170|
|IRS investments to close the tax gap||400|
|Prescription medicine: Revoked discount rule||145|
|Up to a total of:||1995|
Building back better will change lives
Children will get universal pre-K. Parents will get help to afford childcare. The bill expands Obamacare and the child tax credit. The Medicare extension is not as large as originally sought, but it expands to include hearing coverage.
The biggest line item in the bill is money to combat climate change. There is money for extensive Pell grants, affordable housing and home care for the elderly and people with disabilities.
It is paid for by making the rich and big corporations pay more in taxes.
The bill meets the criteria of moderates, and it’s not as much as progressives and President Biden wanted, but it’s an installment on America’s future.
Bid delivered. Now it’s up to Congress to do its part and pass the bill.
Mr. Easley is the managing editor. He is also a White House Press Pool and a congressional correspondent for PoliticusUSA. Jason holds a bachelor’s degree in political science. His graduate work focused on public policy, specializing in social reform movements.
Awards and professional membership
Member of the Association of Professional Journalists and The American Political Science Association