Blumenauer Applauds Passage of the Inflation Reduction Act, Calls it a “Historic Investment in Our Nation’s Health, Climate, and Economy”
WASHINGTON, D.C.—Today, Congressman Blumenauer (D-OR) released the following statement celebrating the passage of the Inflation Reduction Act:
“Today, Congress passed the Inflation Reduction Act, a historic investment in our nation’s health, climate, and economy. I came to Congress with a mission to make the federal government a better partner to local communities so they can be more livable, healthy, and economically secure. With the passage of this legislation, we have made unprecedented progress toward fulfilling the fundamental premise of this mission.
“The Inflation Reduction Act is the single largest investment in climate action in our nation’s history, and it could not come soon enough. Oregonians know all too well that the climate crisis is here and rapidly getting worse. This legislation will deliver $385 billion in energy and climate investments, including investments in solar and wind energy, electric vehicles, energy efficiency, clean manufacturing, and vulnerable communities most impacted by environmental degradation. In total, it will put the United States on a path toward a 40 percent reduction in emissions by 2030.
“I am proud that several climate-related provisions I advocated for were included in this package. These include the production tax credit and investment tax credit to incentivize wind and solar projects; direct pay and renewable energy credit transferability provisions to make project financing more efficient; legislation to reinstate the Superfund Tax which ensures that polluters are responsible for cleaning up after themselves; clean transportation incentives, including an expanded electric vehicle credit for new and used vehicles; an expanded credit to charge e-bikes and e-scooters; credits to electrify commercial fleets; and incentives to make commercial buildings more energy efficient and sustainable. Each of these provisions will help reduce carbon emissions and lessen our dependence on fossil fuels.
“The Inflation Reduction Act will also reduce health care spending by $288 billion over the next decade. It will bring down the price of prescription drugs, cap Medicare beneficiaries’ out-of-pocket costs at $2,000 a year, penalize drug companies for outrageous price hikes, and lower Affordable Care Act premiums for millions of Americans.
“Finally, the package enacts a 15% corporate book income minimum tax to ensure corporations pay what they owe. It bolsters funding for the Internal Revenue Service (IRS), providing $3.2 billion for taxpayer services and $45.6 billion for enforcement, which the Congressional Budget Office estimates will raise more than $200 billion in additional revenue for the federal government.
“I look forward to President Biden signing this historic bill into law. As we celebrate this win, there is more work to be done—protecting reproductive health care, addressing the housing crisis, strengthening our democracy, ending the failed war on drugs and much more.
“I will continue to work tirelessly on these issues, because as difficult as the challenges we face are, inaction is not an option. The federal government has to solve problems rather than create new ones. Today’s passage of the Inflation Reduction Act proves that we can still come together and do just that.”
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Below is a full list of provisions Congressman Blumenauer authored or advocated for that have been included in the final package:
Sec. 13601 – Reinstatement of Superfund Financing Rate (based on H.R. 2674, the Superfund Reinvestment Act)
- Reinstates the Hazardous Substance Superfund Financing Rate on crude oil and imported petroleum products and increases it from 9.7 cents/gallon to 16.4 cents/gallon beginning in 2023, adjusts the rate to inflation.
Sec. 13801(a) – Direct pay (based on H.R. 3180, the Renewable Energy Investment Act)
- Allows certain taxpayers to elect to be treated as having made a payment of tax equal to the value of the credit they would be eligible for, thereby receiving the credit as a direct payment.
Sec. 13801(b) – Transferability (based on H.R. 27014, the Renewable Energy Transferability Act (116th Congress))
- Allows for taxpayers to transfer tax credits received to project partners. Eligible tax credits include those for wind and solar projects, electric vehicle charging stations, carbon oxide sequestration, nuclear production, clean hydrogen, and advanced manufacturing.
Sec. 13303 – 179D Improvements (based on H.R. 5181, the Energy Efficient Commercial Buildings Act)
- Increases the maximum tax deduction, determined on a sliding scale that is based on building efficiency, removes the lifetime limitation for taxpayers taking the deduction, and expands the deduction to tax-exempt entities.
Sec. 13404 – Two- and three-wheeled electric vehicle charging stations
- Allows for the electric vehicle charging station credit to be used for two- and three-wheeled electric vehicles, like scooters and bikes.
Sec. 13102 – Small Wind Investment Tax Credit (based on H.R. 1484, the Rural Wind Energy Modernization and Extension Act)
- Extends the small wind investment tax credit at full value for 10 years, followed by a 2-year phase down, and sunsetting for projects commencing construction in 2034 and thereafter. Expands the wind ITC to include project sizes greater than the current 100 kw limitation.
Sec. 13102 – Energy Storage Investment Tax Credit (based on H.R. 1684, the Energy Storage Tax Incentive and Deployment Act)
- Expands the Investment Tax Credit to include energy storage technologies such as batteries, pumped hydropower, fuel cells, and more.