“Just as Social Security improved the lives of retired Americans, Build Back Better will improve the lives and lower costs for American kids and families,” Phillips said. “And WE will become a better prepared, more self-sufficient, and more competitive nation for generations to come.”
Independent reports, such as the one provided by the non-partisan Moody’s analytics, have concluded that the BBB and the recently passed bipartisan infrastructure package would lift the nation’s overall economy while ensuring the economic gains were felt by working American families and not a wealthy few individuals.
This bill is fully paid for by ensuring that large corporations and the highest income Americans pay their fair share of taxes. The bill includes a 15% corporate minimum tax on large corporations, a 1% surcharge on corporate stock buybacks, a surtax on multi-millionaires and billionaires, and funding for IRS enforcement. The bill does not raise taxes on small businesses or anyone making less than $400,000 per year. It will grow the economy and reduce the deficit.
In addition to an historic investment in the fight against climate change, BBB will also help Minnesota in critical policy areas:
Key ways the BBB helps Minnesotans:
- Provides access to affordable child care.
- Minnesota is one of the most expensive places in America to raise a child.
- The average annual cost of a child care center for a toddler is $14,062, meaning that a Minnesota family with two young children would on average spend 26% of their income on child care for one year.
- The Build Back Better framework will enable Minnesota to provide access to child care for 383,561 young children, boosting local economies by allowing more working parents to reenter the work force.
- Expands health care coverage and lower costs.
- The Build Back Better framework will close the Medicaid coverage gap to help millions of Americans gain health insurance, extend through 2025 the American Rescue Plan’s health insurance premium.
reductions for those who buy coverage on their own, and help older Americans access affordable hearing care by expanding Medicare.
- In Minnesota, that means 39,000 uninsured people will gain coverage and 47,700 will on average save hundreds of dollars per year. In addition, the Build Back Better framework will support maternal health and invest in national preparedness for future pandemics.
- Cuts taxes for families and workers.
- Prior to the pandemic, 5% of children under the age of 18 in Minnesota lived in poverty. The Build Back Better framework will bolster financial security and spur economic growth in Minnesota by reducing taxes on the middle class and those striving to break into it. The framework will extend Child Tax Credit (CTC) increases of $300/month per child under 6 or $250/month per child ages 6 to 17.
- This will continue the largest one-year reduction in child poverty in history. And critically, the agreement includes permanent refundability for the Child Tax
Credit, meaning that the neediest families will continue to receive the full Child Tax Credit over the long-run.
- The framework will also provide a tax cut of up to $1,500 in tax cuts for 276,000 low-wage workers in Minnesota by extending the American Rescue Plan’s Earned Income Tax Credit (EITC) expansion.
- Raises the SALT cap
- The bill will also provide tax relief to many Minnesotans by raising the cap on the State and Local Tax (SALT) deduction.
- Former President Donald Trump’s destructive 2017 tax law, which added hundreds of billions to the national debt, installed a cap on SALT that punished states like Minnesota, whose citizens consistently pay out more in federal taxes than the state receives in federal investments, subsidizing other states that don’t pay their fair share.
- Provides universal, high-quality, free preschool for every 3- and 4-year old in America.
- The BBB will enable Minnesota to expand access to free, high-quality preschool to more than 162,376 additional 3- and 4-year-olds per year and increase the quality of preschool for children who are already enrolled.
- Parents will be able to send their children to the preschool setting of their choice—from public schools to child care providers to Head Start leading to lifelong educational benefits, allowing more parents to go back to work, and building a stronger foundation for Minnesota’s future economic competitiveness.
- Make education beyond high school more affordable and accessible.
- The average cost of a 2-year degree in Minnesota is $5,822 per year, and $14,339 per year for a 4-year degree, straining many student budgets.
- To help unlock the opportunities of an education beyond high school, the Build Back Better framework will increase maximum Pell Grant awards by $550 for students at public and private non-profit institutions, supporting the 73,898 students in Minnesota who rely on Pell.
- Reduce housing costs and expand housing options.
- 282,000 renters in Minnesota are rent burdened, meaning they spend more than 30% of their income on rent, while homeownership remains out of reach for many families.
- The Build Back Better framework will expand rental assistance for Minnesota renters, while also increasing the supply of high-quality housing through the construction and rehabilitation of over 1 million affordable housing units nationwide.
- It will address the capital needs of the entire public housing stock in America and it includes one of the largest investments in down payment assistance in history, enabling more first-generation homebuyers to purchase their first home.
SOURCE: The White House