Key Dates
August 5, 2022 (Senate Begins Summer Recess): 7 days
October 1, 2022 (Fiscal Year 2023 Begins): 64 days
November 8, 2022 (Election Day): 102 days
November 9, 2022 (Senate Returns for “Lame Duck” Session): 103 days
November 14, 2022 (House Returns for “Lame Duck” Session): 108 days
December 15, 2022 (Target Adjournment of 117th Congress): 137 days
This week in Washington was one for the record books, with what was expected to be a sleepy week turning into a one of the most consequential this year yet. Between reconciliation, FY23 appropriations, and the “CHIPS and Science Act,” there was no shortage of items to keep an eye on. Here’s what you might have missed:
Reconciliation Revived. Immediately following a successful vote on the “CHIPS and Science Act” in the Senate (more on that below), Senate Majority Leader Chuck Schumer (D-NY) and Sen. Joe Manchin (D-WV) announced that they had struck a deal on reconciliation. The bill, entitled the “Inflation Reduction Act of 2022,” aims to raise $739 billion while spending $433 billion. The one-pager can be found here. In terms of raising revenue, the legislation increases funding for IRS enforcement, places a 15% corporate minimum tax, allows for the federal government to negotiate the cost of prescription drugs for the first time, and closes the carried interest loophole. In terms of spending, the bill extends the Affordable Care Act for three years, and provides for several climate provisions. Some of these provisions include funding for consumer home energy rebate programs, tax credits for electric vehicles, facilitates domestic manufacturing of solar panels and batteries, and funding for environmental justice provisions.
Now, the process really kicks off. Majority Leader Schumer submitted the legislation to the parliamentarian for her review, and hopes to hold a vote as soon as next week – though observers consider that timeline somewhat ambitious. We still have yet to hear whether Sen. Kyrsten Sinema (D-AZ) supports the legislation, which could impact the bill’s passage. This is a live ball and something we will continue to monitor on behalf of your organization.
Senate Releases FY23 Appropriations Bills. As you may have heard directly from your WSW team, the Senate Appropriations Committee forewent the subcommittee process and instead posted all 12 bills. You can find them here. It is likely, however, that a continuing resolution (CR) will need to be instituted by September 30 to keep the government open, as it is unlikely Congress will pass spending bills before the election.
House & Senate Pass Newly-Renamed “CHIPS and Science Act.” This week, both the House and Senate passed the China competition legislation, now known as the “CHIPS and Science Act.” Full details can be found here. The bill passed along bipartisan lines in both houses, though many House Republicans who intended to vote for the bill changed their votes after Senate Democrats introduced a reconciliation measure. The $280 billion bill authorizes $52.7 billion for domestic chips manufacturing and about $200 billion for scientific research. This is a major win for Senate Majority Leader Schumer.
House Minority Leader McCarthy Previews GOP Agenda. Speaking on a panel with former Speaker Newt Gingrich, House Minority Leader Kevin McCarthy (R-CA) said his conference would start to unveil its agenda before November in a move reminiscent of Gingrich’s “Contract with America.” It will focus on energy prices, inflation, and crime. In an interesting note, the House Freedom Caucus released a list of proposals to change rules in the GOP conference and in the House as a whole in the event that Republicans take back the House.
