Senate Democrats have reached a deal with Sen. Krysten Sinema (D-AZ) to “move forward” with the Democrats’ $740 billion reconciliation bill, according to a statement Sinema released on Thursday evening.
Sinema held out on supporting the Inflation Reduction Act until today, after facing pressure from Democrats who will need every vote to pass the bill given the evenly split Senate.
Sinema previously killed President Joe Biden’s plan to revive his Build Back Better agenda earlier in the year.
Senate Democrats made several changes to the bill to secure Sinema’s support. However, the Arizona Senator said her vote is contingent on approval from the Senate Parliamentarian, who ensures the bill’s text meets the reconciliation requirements.
“We have agreed to remove the carried interest tax provision, protect advanced manufacturing, and boost our clean energy economy in the Senate’s budget reconciliation legislation. Subject to the Parliamentarian’s review, I’ll move forward,” Sinema said.
🚨SINEMA says she’s a *yes* on Democrats reconciliation bill. pic.twitter.com/lXSEVT3SYF
— Ari Natter (@AriNatter) August 5, 2022
Although the reconciliation bill is titled the Inflation Reduction Act, the Penn Wharton Budget Model found the bill’s impact on inflation “is statistically indistinguishable from zero.”
The Democrat reconciliation bill aims to combat climate change, reduce the budget deficit by close to $300 billion, and extend enhanced Obamacare subsidies.
Senate Democrat Leader Chuck Schumer (D-NY) said the Senate would vote on a motion to proceed with the bill on Saturday, bringing the bill up for debate on the Senate floor.