On Thursday, July 14, Senator Charles Manchin (D-WV) and his staff delivered a “crushing blow” to Senate Majority Leader Chuck Schumer (D-NY).
The former stated that he was only willing to support a reconciliation bill in August if it included a provision to lower prescription drug prices and a two-year extension of Affordable Care Act subsidies.
Midway through July, a Democrat who had been briefed on the conversations was the one who broke the news that Manchin did not support the candidate for governor.
The following was stated in a report that aired on Fox News at the time:
Manchin made it clear that he will not support a bill before the midterm elections that contains any provisions on energy and climate or closing tax loopholes exploited by the wealthy and biggest corporations, even though he supported those specific things during months of negotiations.
Manchin’s statement comes even though he supported those things during those months of negotiations.
A comprehensive tax and climate plan was something that the Democrats and the administration of former Vice President Joe Biden had hoped to get through the Senate and the House of Representatives before the midterm elections in November.
Then, on Wednesday, July 27, Manchin confirmed he would take swift action and endorsed the plan backed by Schumer, which was a stunning about-face from his previous statements.
On Capitol Hill, as well as among political junkies all over the country, this came as a surprise.
The Democrat from West Virginia, who is well-known for his moderate leanings, has been an especially notable holdout on the domestic agenda that his party has been pushing.
It has recently come to light that the Inflation Reduction Act of 2022 will have a significant effect on the Big Oil industry, in the form of import taxes amounting to billions and billions of dollars.
This is according to Barron’s:
Read more:-
- Manchin and Schumer’s Inflation Reduction Act, as Acknowledged by the White House, Will Have Little Effect on Inflation
- P-EBT Recipients May Be Eligible for Money to Cover Meal Replacement Costs During the Pandemic
- Alabama Football: Bryce Young Makes His Way Into The Transfer Portal
According to a summary of the measure that was released by the Senate’s finance committee, the bill proposes to reinstate a tax on crude oil and imported petroleum at a rate of 16.4 cents per gallon beginning in January of next year. This tax would apply to both domestically produced and imported petroleum.
The tax, which was originally referred to as the Hazardous Substance Superfund Financing Rate, or the Superfund Tax, was initially included in the version of the Build Back Better Act that was passed through the House of Representatives.
At the time, it was estimated that the tax could generate approximately $25 billion in revenue.
The original 9.7 cents per barrel rate of the Superfund tax was in place from 1980 until 1995, and its revenue was earmarked specifically to assist with the remediation of hazardous waste sites.
Barron, on the other hand, notes that there are some positives for the oil industry in the deal that Manchin and Schumer have worked out. For example, it “creates tax subsidies for traditional energy plants that capture carbon emissions.”
According to Bloomberg, the tax fees associated with the Superfund cleanup would be paid by “US refineries receiving crude oil and importers of petroleum products.”
In addition to this, the news organization stated that the Inflation Reduction Act of 2022 might be put to a vote in the Senate as soon as this coming week.
