“Progress in Congress:” Congressman Troy Carter Celebrates Historic Legislation to Invest in Climate Solutions and to Lower Healthcare and Energy Costs

August 12, 2022

WASHINGTON, D.C. – Today, Congressman Troy A. Carter Sr. was proud to vote in support of the historic Inflation Reduction Act to lower healthcare costs for working Americans, bring down home energy costs, fight the climate crisis, and bring fairness back into our tax code. The measure passed the House of Representatives 220-207 and now heads to the President’s desk for his signature.

The Inflation Reduction Act is historic legislation that is fully paid for and will lower families’ kitchen table costs, create millions of good-paying jobs delivering the most significant action on climate in history, and dramatically reduce the deficit.

“Today we showed that Democrats are committed to putting people over politics and bringing progress to Congress,” said Congressman Carter. “Louisianians sent me to Washington to fight for a better America, and to help make their lives a little bit better. Today’s passage of the Inflation Reduction Act is a significant step toward that goal, and its investments in clean energy and provisions to lower healthcare and energy costs are undoubtedly historic victories for America’s families and for our entire planet. Today we showed the American people that Congress is listening, and Congress is working.”

During debate, Congressman Carterspoke on the Floorof the House, and hereleased this video statement following the final passage of the legislation.

More specifically for Louisiana and the entire nation, the bill:

Lowers the cost of health care by extending enhanced ACA subsidies.

This bill reduces the cost of health care for millions by extending these subsidies for three more years, locking in lower health care premiums that save 13 million Americans an average of $800 a year. Without these provisions, these enhanced ACA subsidies would expire in January, leading roughly 3 million Americans to lose their health coverage. Following the implementation of these subsidies the first time with the American Rescue Plan, over 99,000 Louisianians saw their health care costs lower through the Health Insurance Marketplace, 20% more than before the American Rescue Plan passed. This legislation will protect these cost savings for Louisianians and offer more opportunities for more residents to get coverage and save money.

Empowers Medicare to Negotiate Drug Prices.

For the first time, Medicare can negotiate lower prices for the highest cost single-source drugs in Medicare. This provision will save the public more than $100 billion over 10 years by allowing Medicare to negotiate lower prices for about 100 drugs over the next decade, with 10 high-cost drugs beginning in 2026.

Protects Drug Costs Against Inflation for Seniors on Medicare.

Over the past 20 years, price increases for brand-name drugs in Medicare Part D have risen at more than two times the rate of inflation. After the passage of the Inflation Reduction Act, beginning in October 2022 if drug companies raise prices in Medicare faster than the rate of inflation, they must pay rebates back to Medicare for the difference. Senate Republicans forced the removal of a provision that also applied inflation rebates to drug sales to families with private health insurance.

Caps Out-Of-Pocket Cap for Part D Drugs for Medicare Beneficiaries to $2,000.

Caps Part D out-of-pocket drug costs to $2,000 a year for seniors and individuals with disabilities on Medicare, starting in 2025.

Caps Insulin Costs at $35 A Month for Seniors and Individuals with Disabilities on Medicare.

Caps Medicare beneficiaries’ insulin costs at $35 a month. Republicans voted against capping insulin out-of-pockets costs for Americans with private health insurance keeping this vital protection out of the bill. Sadly, Louisiana consistently experiences higher rates of both adult and pediatric diabetes as compared to the rest of the country. In 2020, 14.1% (around 330,000 individuals) of Louisiana’s adults had some form of diabetes. An analysis of 2019 data by The Centers for Medicare & Medicaid Services’ (CMS) Chronic Conditions Data Warehouse indicates that around 27.5% of Medicare fee-for-service (FFS) beneficiaries had a diagnosis of diabetes, suggesting that about 91,000 Louisianians could have $35 monthly caps on their insulin costs following the passage of the Inflation Reduction Act.

Invests approximately $370 billion in investments to tackle climate change. By far the single biggest climate investment in U.S. history, this bill will combat the existential crisis of climate change and restore American global leadership on climate change by reducing carbon emissions by roughly 40 percent by 2030. Climate change which is threatening Louisiana’s coast, people, culture, and infrastructure. Louisiana’s infant offshore wind industry could take off in earnest if buoyed by investments and incentives from this legislation.

Jumpstarts American Energy Security and Domestic Manufacturing: over $60 billion for American clean energy manufacturing, helping to alleviate inflation by bringing down the cost of clean energy and clean vehicles and relieving supply chain bottlenecks.

The Inflation Reduction Act lowers costs for American consumers. Modeling by RFF finds that this bill’s effect on the U.S. power sector would help lower retail electricity costs about decline 5-7 percent over the next decade, compared to a scenario without the IRA, and would bring hundreds and savings to households, on average.

Black households spend more of their income on energy and experience a median energy burden 64 percent greater than white households – so this is also an environmental justice concern.

This legislation contains provisions to promote clean energy technologies, facilitate domestic energy production, and tackle climate change. This is achieved by extending and expanding tax credits for renewable energy and storage, and bolstering tax credits for clean energy projects located in energy communities

Low-Income Consumer Home Energy Rebate Programs
10 Years of Consumer Tax Credits to Make Homes Energy Efficient

Consumer Tax Credits to Buy Used or New Clean Vehicles
Energy Efficient Housing
Methane Emissions Reduction Program

Over $60 Billion in Investments for Environmental Justice Communities, including:

Environmental and Climate Justice Block Grants ($3 billion): Provides Environmental and Climate Justice Block Grants, funded at $3 billion, that invest in community-led projects in disadvantaged communities and community capacity building centers to address disproportionate environmental and public health harms caused by pollution and climate change.

Neighborhood Access and Equity Grants ($3 Billion): Grants that support neighborhood equity, safety, and affordable transportation access with competitive grants to reconnect communities divided by existing infrastructure barriers, mitigate negative impacts of transportation facilities or construction projects on disadvantaged or underserved communities, and support equitable transportation planning and community engagement activities.
Grants to Reduce Air Pollution at Ports ($3 billion): grants to reduce air pollution at ports that support the purchase and installation of zero-emission equipment and technology at ports.
$1 Billion for Clean Heavy-Duty Vehicles: Includes school and transit buses and garbage trucks.
Clean Energy Tax Credits: Many of the clean energy tax credits also include either a bonus or a set-aside structure to drive investments and economic development in disadvantaged communities

Grants to Conserve and Restore Coastal Habitats ($2.6 billion): To conserve and restore coastal habitats and protect communities that depend on those habitats.

The historic Inflation Reduction Act is fully paid for by requiring the biggest corporations and ultra-wealthy pay their fair share. This will be achieved by:

Strengthening IRS enforcement against wealthy tax cheats
Closing tax loopholes exploited by the wealthiest few
Implementing a 15 percent corporate minimum tax – which applies only to the 150 corporations making earning over $1 billion in profits that pay less than 15% in taxes.

The top 1% is estimated to avoid payments of around $160 billion in owed taxes each year. This bill will allow us to ensure the IRS has the resources to take on those wealthiest few using well-heeled armies of lawyers and accountants to break the law and cheat on their taxes.

This legislation includes no new taxes on families making $400,000 or less and no new taxes on small businesses, and Treasury Secretary Yellen has specifically directed the IRS Commissioner not to increase the audit rate for households making under $400,000 a year.

An overwhelming majority of the American public supports the Inflation Reduction Act’s key health care, climate and inflation-fighting measures. Data for Progress found that 73 percent of voters back the Inflation Reduction Act, including 95 percent of Democrats, nearly three-quarters of Independents, and more than half of Republicans. This legislation also enjoys broad support from a wide range of advocacy organizations, including the AFL-CIO, Natural Resources Defense Council, League of Conservation Voters, AARP, UnidosUS, Small Business Majority, Protect Our Care and U.S. Conference of Mayors.

The bill now goes to President Biden’s desk for his signature, which he is expected to sign.

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