Manchin says he has reached deal with Schumer on major climate and health care bill

Senator Joe Manchin of West Virginia said he has reached an agreement with Senate Majority Leader Chuck Schumer on a legislation to lower prescription drug prices, raise taxes, combat climate change and invest in renewable energy.

Mr Manchin, who is currently self-isolating after he tested positive for Covid-19, released a statement on Wednesday afternoon outlining the agreement he made with the Senate Majority Leader.

Mr Manchin had previously expressed reservations about additional spending given the high rate of inflation and had previously told Mr Schumer he wanted to pause negotiations after inflation jumped 9.1 per cent between June 2021 and June 2022.

But the West Virginia Democrat billed the legislation as The Inflation Reduction Act of 2022.

“Rather than risking more inflation with trillions in new spending, this bill will cut the inflation taxes Americans are paying, lower the cost of health insurance and prescription drugs, and ensure our country invests in the energy security and climate change solutions we need to remain a global superpower through innovation rather than elimination”, he said in a statment.

Mr Manchin said that the proposed raising taxes on the largest corporations as a means to pay for the spending.

“ It is wrong that some of America’s largest companies pay nothing in taxes while freely enjoying the benefits of our nation’s military security, infrastructure and rule of law”, he said. “It is commonsense that a domestic corporate minimum tax of 15 percent be applied only to billion-dollar companies or larger ensuring that America’s largest businesses are no longer able to operate for free in our economy.”