Inside the Greenhouse is a monthly update on FCNL’s environmental advocacy and the climate crisis.
House Bill Includes Major Cuts to the Inflation Reduction Act
On May 21, the House of Representatives passed a budget reconciliation bill which includes major cuts to clean energy investments in the Inflation Reduction Act (IRA, P.L. 117-169). This was part of the reconciliation process which fast tracks legislation related to federal spending and bypasses the filibuster in the Senate. When Congress passed the budget resolution at the end of February, it provided a blueprint for spending cuts to the relevant committees.
Passed in 2022, the historic IRA expanded and provided new clean energy tax credits. It also created loan and grant programs to support clean energy production, clean air, and environmental justice. Now lawmakers are targeting these programs for cuts to extend tax breaks for the wealthy.
Both the House Energy and Commerce Committee and Ways and Means Committee have jurisdiction over parts of the IRA. On May 11, the Energy and Commerce Committee released legislative text proposing sweeping cuts to IRA and energy programs totaling nearly $6.5 billion. This includes cuts to the Loan Programs Office at the Department of Energy, $75 million in cuts to the Tribal Energy Loan Guarantee Program, $25 million to clean air grants for low-income communities, and many more. These programs are essential to building resilient clean energy systems and stewarding our environment.
The House Ways and Means Committee released its legislative text on May 12, taking aim at the IRA’s clean energy tax credits which have spurred the creation of more than 400,000 new jobs. The legislation would end tax credits that lower the cost of home clean energy and home weatherization projects, and credits for electric vehicle purchases. It would also phase out tax credits that incentivize clean energy manufacturing. These proposed cuts and phase outs threaten energy affordability for working families across the U.S.
After passing out of the House, the bill now makes its way to the Senate for consideration.
News and Updates
Trump Administration Dismisses Scientists Working on National Climate Report
At the end of April, the Trump administration fired nearly all of the 400 scientists that work on the National Climate Assessment. Released every four years, the National Climate Assessment addresses the impacts of climate change on the United States. The report is congressionally mandated under the Global Change Research Act of 1990 (P.L. 101-606). This report helps federal and state policy officials, business leaders, public health officials, and community planners integrate the risks of climate change into the work that they do. Ahead of the sixth edition, set to be published in 2027, the administration says it will be evaluating the “scope” of the next report.
What We’re Reading:
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5 Charts to Help Make Sense of Trump’s First 100 Days | Heatmap
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There is No ‘Energy Emergency’, a New Lawsuit Claims | The New York Times
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Trump Administration Plans to Limit ‘Forever Chemicals’ Discharge | The Hill
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US Judge Halts Land Exchange for Rio Tinto Copper Mine Opposed by Native Americans | Reuters
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The House GOP Tax Proposal Would Effectively Kill the IRA | Heatmap