Transcript - Remarks: Joe Biden Holds a Roundtable With Leaders on the Inflation Reduction Act - August 4, 2022 | Factba.se

Joe Biden

00:00:00 - 00:00:17 ()

Good afternoon, folks. I'm here with leaders from some of the -- America's largest companies and labor organizations: Kaiser Permanente, General Motors, Cummins, Carrier, Ameren, you know, the United Auto Workers, the AFL-CIO.

Joe Biden

00:00:17 - 00:00:31 ()

They're all here because they believe that the Inflation Reduction Act meets the needs of working families now and what our economy needs now for stronger, sustained economic growth in the years ahead.

Joe Biden

00:00:31 - 00:00:34 ()

Let me tell you a few things about what this bill does.

Joe Biden

00:00:34 - 00:00:49 ()

First, it will lower healthcare costs for millions of Americans who buy coverage from the Affordable Care Act, locking in the healthcare premiums that save 13 million people an average of $800 a year.

Joe Biden

00:00:49 - 00:01:12 ()

This comes on top the news that we have the lowest percentage of Americans who are uninsured than ever before in our history thanks to the Affordable Care Act, as well as the American Rescue Plan that I signed into law last year that saved families an average of $240 [sic] -- $2,400 in premiums. $2,400 in premiums.

Joe Biden

00:01:12 - 00:01:21 ()

The Inflation Reduction Act is also going to deliver on a promise Washington has made for years: give Medicare the power to negotiate prescription drug prices.

Joe Biden

00:01:21 - 00:01:41 ()

This bill will save the American people and Medicare hundreds of billions of dollars. It's going to cap the amount of money seniors pay for prescription drugs at $2,000 a year -- period -- whether it's for cancer or for other diseases and the treatments they need. Maximum $2,000 a year.

Joe Biden

00:01:41 - 00:01:44 ()

That's a Godsend for so many families.

Joe Biden

00:01:44 - 00:02:09 ()

Second, we're going to invest $369 billion to address the climate crisis and bring down family energy bills by an average of $500 a year. We're going to do this providing -- by providing working families rebates to buy new and efficient appliances, weatherize their homes, and tax credits for everything from heat pumps to rooftop solar to wind energy.

Joe Biden

00:02:09 - 00:02:21 ()

It also provides tax credits to spur the construction of energy projects all across America -- projects that will deliver new, clean energy and strengthen our country's grid.

Joe Biden

00:02:21 - 00:02:37 ()

We also -- it's going to -- there are also manufacturing tax credits as well in this bi- -- in this bill to make products like solar panels, wind turbines, battery storage -- make it right here in the United States of America.

Joe Biden

00:02:37 - 00:02:53 ()

And this is going to create thousands of good-paying jobs, apprenticeship opportunities, and manufacturing jobs for clean energy construction projects, solar projects, wind projects, clean hydrogen projects, carbon capture projects, and so much more.

Joe Biden

00:02:53 - 00:03:14 ()

And along with the CHIPS and Science Act that I'll be signing into law next week, the Inflation Reduction Act will mean we are making the largest investment ever in clean energy and American energy security -- the largest in our history. It will be the largest investment in American manufacturing -- in American manufacturing as well.

Joe Biden

00:03:14 - 00:03:24 ()

Joining me today are the CEOs of some of the most iconic American manufacturing companies and the union leaders who represent America's manufacturing workers.

Joe Biden

00:03:24 - 00:03:45 ()

They see -- they see how, already, because of our work over the last 18 months, American manufacturing is coming back stronger than ever. Where is it written that America can't lead in manufacturing in the world? Six hundred and thirteen thousand manufacturing jobs created just since I took office -- the most created in three decades.

Joe Biden

00:03:45 - 00:03:59 ()

And with the investments in this bill, we are going to supercharge that recovery; make sure that the manufacturing, innovation, and jobs that come from this bill are made in America.

Joe Biden

00:03:59 - 00:04:15 ()

And third, this bill is going to reduce the deficit by another $300 billion. That's beyond the record $1.7 trillion we're on track to cut the deficit by just this year -- this fiscal year.

Joe Biden

00:04:15 - 00:04:33 ()

And we're going to help pay for those critical needs from working families and our economy by asking corporations earning more than $1 billion a year to pay a minimum tax of 15 percent. That's less than a school teacher and a -- and a autoworker pay.

Joe Biden

00:04:33 - 00:04:48 ()

Let me be clear: Despite what some folks are saying, the Inflation Reduction Act makes sure that no one earning less than $400,000 will pay a penny more in federal taxes, notwithstanding all these ads you see on television.

Joe Biden

00:04:48 - 00:05:21 ()

But don't take my word for it. Nearly 130 economists, 7 Nobel laureates in economics, former -- former Treasury Secretaries, the Federal Reserve Vice Chair, former director of the Congressional Budget Office wrote that this bill will, quote, "fight inflation and lower costs for American families while setting the stage for strong, stable, and broadly-shared long-term economic growth." End of quote.

Joe Biden

00:05:21 - 00:05:24 ()

So, you know, look at the facts.

Joe Biden

00:05:24 - 00:05:48 ()

So let me close with this: The Inflation Reduction Act lowers prescription drug prices, lowers health insurance premiums, invests in clean energy that will create jobs and economic opportunity for business and labor. It reduces the deficit and makes commonsense reforms to our corporate tax code. These are the facts.

Joe Biden

00:05:48 - 00:05:56 ()

One more thing. The Inflation Reduction Act has bipartisan support among the people of this country.

Joe Biden

00:05:56 - 00:06:03 ()

Look at the polling data: The vast majority of people in America support what's in the Inflation Reduction Act.

Joe Biden

00:06:03 - 00:06:09 ()

So my message to Congress is this: Listen to the American people.

Joe Biden

00:06:09 - 00:06:25 ()

This is the strongest bill you can pass to lower inflation, continue to cut the deficit, reduce healthcare costs, tackle the climate crisis, and promote America's energy security, all while reducing the burdens facing working-class and middle-class families.

Joe Biden

00:06:25 - 00:06:36 ()

Pass it. Pass it and get it to my desk. Pass it for the American people. Pass it for businesses and workers. Pass it for America.

Joe Biden

00:06:36 - 00:06:39 ()

I'm going to stop here and turn this over to Brian Deese to start the meeting.

Joe Biden

00:06:39 - 00:06:45 ()

But thank you. And thank you all for participating in this meeting. I really appreciate it.

Brian Deese

00:06:45 - 00:06:58 ()

Thank you, Mr. President. And let me echo my thanks to all of you for joining us and for offering your perspective today. I just want to -- we'll start right in and ask Jennifer, you, to start us off.

Brian Deese

00:06:58 - 00:07:25 ()

First of all, congratulations on the -- the new role, and would really appreciate your perspective on -- on the -- from the manufacturing lens. Cummins, obviously iconic and long-serving American manufacturing company. And I'm told -- you can confirm if this is true -- that half of the diesel trucks on U.S. highways today are powered by Cummins -- Cummins engines.

Brian Deese

00:07:25 - 00:07:41 ()

And so we'd really just love to start off with your perspective on how this legislation, as well as the other efforts that we're working on together, affects your thinking about how to grow American manufacturing and, importantly, stay on the cutting edge of manufacturing innovation here.

Jennifer Rumsey

00:07:41 - 00:07:55 ()

Great. Well, thank -- thank you, Brian. And thank you, Mr. President, for the opportunity to be here today and speak in support of the Inflation Reduction Act and, in particular, the clean technology focus within that -- that bill.

Jennifer Rumsey

00:07:55 - 00:08:12 ()

As you know, Cummins is a global power leader. We're headquartered in Columbus, Indiana, and we employ more than 26,000 employees across the United States. In fact, we increased that number by several thousand yesterday when we completed our acquisition of Meritor.

Jennifer Rumsey

00:08:12 - 00:08:25 ()

And we provide power solutions for a wide range of applications. As you said, Brian, we're best known for providing diesel engines and trucks. And almost every truck on the road has either a Cummins engine or a Cummins component on another engine.

Jennifer Rumsey

00:08:25 - 00:08:37 ()

We also provide a wide range of other power solutions, including construction, agricultural equipment; power generation, including backup power for hospitals, data centers, even the Statue of Liberty.

Jennifer Rumsey

00:08:37 - 00:08:46 ()

And, Mr. President, I thought you might be interested to know that we provide the locomotive engines for Amtrak's Northeast Corridor as well.

Jennifer Rumsey

00:08:46 - 00:09:09 ()

We have a long history of ensuring that everything we do leads to a cleaner, healthier, and safer environment. We've set an environmental sustainability goals that, by 2050, all of Cummins products, our operations, and facilities will achieve carbon neutrality. And that's aligned with the Paris Climate Agreement and the United States' own carbon reduction goals.

Jennifer Rumsey

00:09:09 - 00:09:18 ()

And we truly believe that we can do things that are good for the environment and for our customers and our business. Decarbonization is critical.

Jennifer Rumsey

00:09:18 - 00:09:38 ()

I read the news now almost every day that talks about record temperatures, fires in the west, flooding in Kentucky. Climate change is real, and we have a responsibility to deal with it. And we have an opportunity to leverage that for growth in our business and for strengthening -- strengthening America innovation and competitiveness.

Jennifer Rumsey

00:09:38 - 00:10:01 ()

To do that and to have the biggest impact and help our customers as we make this transition, create good-paying American jobs, we need the right policies and incentives for infrastructure development and deployment of new and improved technologies. And many of those market-based incentives that we think are needed are included in the Inflation Reduction Act.

Jennifer Rumsey

00:10:01 - 00:10:21 ()

We think that the comprehensive scope of energy provisions -- from power generation to transportation to hydrogen production -- are all important pieces of the decarbonization puzzle, and they're important to ensure we have wells-to-wheels decarbonization in hard-to-abate -- hard-to-abate sectors like those that we serve.

Jennifer Rumsey

00:10:21 - 00:10:35 ()

The tax credits for low-carbon fuel production, including renewable natural gas and renewable diesel fuel, are needed. These alternative fuels can lower NOx and carbon emissions in many vehicles that are already in use.

Jennifer Rumsey

00:10:35 - 00:11:01 ()

For new trucks, the 30 percent investment tax credit included for low- and no-carbon trucks and their respective charging and fueling infrastructure are critical to help fleets afford newer technologies, like hybrid and battery and fuel-cell powered vehicles, as we continue to advance and scale up these technologies and make them more cost competitive, and ensure our customers are successful in their businesses as well.

Jennifer Rumsey

00:11:01 - 00:11:11 ()

The clean hydrogen production credit is essential to creating a robust domestic hydrogen economy so we can compete with Europe and East Asia that are focused on doing that today.

Jennifer Rumsey

00:11:11 - 00:11:21 ()

And finally, we think that tax incentives for fuel cells, energy storage, and microgrids will help accelerate more efficient solutions for stationary power.

Jennifer Rumsey

00:11:21 - 00:11:38 ()

So we think these provisions make these new and low-carbon technologies more affordable, accelerating infrastructure development and deployment throughout the economy. And by reducing some of the cost gap between traditional power and these newer solutions, we can advance their viabl- -- viability and make them a reality.

Jennifer Rumsey

00:11:38 - 00:11:44 ()

So thank you again for the opportunity to be here and to support the Inflation Reduction Act, which is good for the economy and the environment.

Joe Biden

00:11:44 - 00:11:52 ()

Well, thank you. Is it all right if I ask a question, Brian? [Laughs]

Brian Deese

00:11:52 - 00:11:54 ()

Of course, Mr. President.

Joe Biden

00:11:54 - 00:12:04 ()

Yeah, first of all, you got me back and forth to Wilmington, Delaware, to Washington, D.C., for a long time on Amtrak. Thank you.

Jennifer Rumsey

00:12:04 - 00:12:05 ()

You're welcome.

Joe Biden

00:12:05 - 00:12:30 ()

Look, where we're going to make a big investment in clean technology manufacturing facilities, like the facilities that make electric vehicles -- how important will this investment be in building out the electric vehicle supply chains? Because it seems to me that's -- that's one of the -- I mean, everybody is looking at doing that. We seem to -- I think we have enormous opportunity here.

Jennifer Rumsey

00:12:30 - 00:12:54 ()

Yeah, I agree, Mr. -- Mr. President. There's a lot of work to build out those supply chains, to build out the infrastructure, to move to these new and a variety of different fuel and technology types. And we see a significant opportunity to increase U.S. manufacturing capacity and grow jobs here in all these different technologies that support our strategy -- Destination Zero -- to decarbonize our industry.

Jennifer Rumsey

00:12:54 - 00:13:05 ()

So we're excited for the opportunity to bring some of those solutions here to the U.S., export those technologies globally, increase America's economic competitiveness, as we -- as we focus on this.

Jennifer Rumsey

00:13:05 - 00:13:25 ()

And Cummins has done this before. We actually made diesel technology viable for commercial trucking applications. And we see the Inflation Reduction Act as one key piece of accelerating our journey and really transitioning our applications to technologies of the future like battery, fuel cell, electric, and green hydrogen.

Joe Biden

00:13:25 - 00:13:34 ()

Well, I think you can do it. I really do. And I hope this is as helpful as we think it is, because you've always been in the forefront here.

Joe Biden

00:13:34 - 00:13:55 ()

And, you know, the idea -- and it just -- we -- I keep trying to remind people, and I don't think I have to remind anybody on this -- on the Zoom -- that there's not a damn thing we can't do when we set our mind to it. We have never failed in trying to break through, no matter what -- I mean, over the last hundred years.

Joe Biden

00:13:55 - 00:14:05 ()

And I think this presents an enormous opportunity for a healthier environment, a cleaner environment, a cheaper environment for people to ha- -- get by on.

Joe Biden

00:14:05 - 00:14:18 ()

And -- at any rate, I -- I am really optimistic. And I want to thank you very much, Jennifer, for being willing to come and talk to us about it. Because we'll be talking --

Jennifer Rumsey

00:14:18 - 00:14:18 ()

Joe Biden

00:14:18 - 00:14:22 ()

If this passes, we'll be talking a lot more. [Laughs]

Jennifer Rumsey

00:14:22 - 00:14:24 ()

Yeah. Thank you, Mr. President.

Brian Deese

00:14:24 - 00:14:31 ()

So, Mr. President, I was going to ask -- we'll go from heavy-duty commercial to light-duty vehicles.

Brian Deese

00:14:31 - 00:14:51 ()

And, Mary, thank you for being here. And just wanted to get your perspective on, you know, broadly, the automotive sector and the manufacturing opportunity that you see here, and how this bill and the other things we're working on will -- will affect your perspective on where we can take the sector in this country.

Joe Biden

00:14:51 - 00:14:52 ()

Mary Barra

00:14:52 - 00:14:58 ()

Great. Well, Brian, thank you. And, Mr. President, thank you as well. I, today, am at one of --

Joe Biden

00:14:58 - 00:15:00 ()

Hey, Mary, by the way --

Mary Barra

00:15:00 - 00:15:01 ()

-- our manufacturing facil- --

Joe Biden

00:15:01 - 00:15:04 ()

-- we owe you big. You started all this. I remember our conversation.

Mary Barra

00:15:04 - 00:15:04 ()

Joe Biden

00:15:04 - 00:15:08 ()

No, I'm serious. I am serious.

Mary Barra

00:15:08 - 00:15:24 ()

Yeah, well -- well, we're working hard. And I'm actually at one of our manufacturing facilities in Ohio today. And I'm very pleased to participate on behalf of GM and to have the opportunity to add GM's voice in support of the Inflation Reduction Act as currently proposed.

Mary Barra

00:15:24 - 00:15:34 ()

And, Mr. President, I also want to thank you for your leadership. Your engagement with congressional leaders and a broad set of stakeholders over the last year, I believe, has really helped us get to this point.

Mary Barra

00:15:34 - 00:15:42 ()

At GM, we believe we are at an inflection point and one that, as we take these steps, we could create a much brighter future for America.

Mary Barra

00:15:42 - 00:16:00 ()

You know, as we talked about the transition to an all-electric future, Mr. President, you saw what General Motors saw and continues to see. And it's the opportunity to create and maintain good-paying American jobs and the opportunity for America to lead in electrification and innovation.

Mary Barra

00:16:00 - 00:16:23 ()

General Motors is [inaudible] -- we've already announced historic investments in the United States. This bill will help drive further investments in American manufacturing and sustainable, scalable, and secure supply chains. And all that -- all that comes with that is a stronger economy and job growth.

Mary Barra

00:16:23 - 00:16:45 ()

So we deeply appreciate also the inclusion of the EV provisions in the Inflation Reduction Act. While some of the goals cannot be achieved overnight, we are confident that the significant investments GM is making in manufacturing, in the workforce, in our infrastructure, in supply chains, and in clean energy will establish the U.S. as a global leader today and in the future.

Mary Barra

00:16:45 - 00:16:53 ()

So, once again, thank you for the opportunity to voice our support for the Inflation -- Inflation Reduction Act.

Brian Deese

00:16:53 - 00:16:55 ()

Thank you, Mary.

Brian Deese

00:16:55 - 00:17:20 ()

And I wanted to just bring Liz, you, in here too. You said recently that this bill was -- your -- your focus here was on real solutions for working families, and I'm hoping you could give us your perspective from the -- kind of, the ground-level view, from the families and workers that you're talking to and engaging with, how you see this piece of legislation intersecting with their needs and their priorities.

Liz Shuler

00:17:20 - 00:17:27 ()

Absolutely. Thank you, Brian.

Liz Shuler

00:17:27 - 00:17:42 ()

Hello, everyone. I, too, want to start by thanking President Biden and the administration for your commitment to American manufacturing and, of course, for inviting us to be a part of this conversation today.

Liz Shuler

00:17:42 - 00:17:52 ()

I think it's a great mix of labor and business leaders, and it shows how important and historic the Inflation Reduction Act is.

Liz Shuler

00:17:52 - 00:18:09 ()

And I'm bringing the voice of our 57 unions, 12.5 million members who believe this bill is going to help us reshape the future and deliver real help to working families by reducing rising energy and healthcare costs.

Liz Shuler

00:18:09 - 00:18:34 ()

And when I'm on the road talking to working people, they're worried about making ends meet. And so these steps to lower healthcare costs, you know, especially the high cost of prescription drugs; investing in our clean energy future; addressing our broken tax code -- this is going to deliver fundamental economic change across America.

Liz Shuler

00:18:34 - 00:18:44 ()

And, by the way, asking the top 150 or so companies to start paying their fair share of taxes is music to our ears.

Liz Shuler

00:18:44 - 00:19:08 ()

And let's just be clear: Asking 150 of the largest, most profitable companies to pay a minimum of 15 percent in taxes is not going to harm manufacturing investment in the U.S. In fact, much of the revenue created by this tax would be from companies who have historically dodged taxes by manufacturing overseas.

Liz Shuler

00:19:08 - 00:19:25 ()

So, our members are especially excited about the historic clean energy investment that this bill would make because, as was said, it's going to create millions of good jobs for working people and cut climate pollution by 40 percent.

Liz Shuler

00:19:25 - 00:19:47 ()

So this is what we need to jumpstart the clean energy transition, address the climate crisis, make clean energy more accessible and affordable. And these investments would actually decrease the cost of domestic clean energy by over one third. And so that's going to be a game changer for consumers.

Liz Shuler

00:19:47 - 00:20:16 ()

But we have to look at the other side of the coin too, and -- and this bill does that by keeping the working people, who are going to make that future possible, front and center. And not only will it direct investments to underserved communities, it will also make sure that high working standards and high environmental standards can go hand in hand, and it shows that. It's not a choice; we can do both.

Liz Shuler

00:20:16 - 00:20:29 ()

And so including the labor standards, domestic content requirements on the tax incentives, that's going to create good-paying jobs in construction, manufacturing, right here in America.

Liz Shuler

00:20:29 - 00:20:42 ()

Of course, the prevailing wage and apprenticeship provisions will make sure that these investments not only help strengthen the environment, but are strengthening our economy and that pathway to the middle class.

Liz Shuler

00:20:42 - 00:21:02 ()

And so that's how we create lasting change that working families need. So, I'd just say this is a -- we see this bill as a major step forward. It's going to improve the lives of working people. It's going to improve lives for seniors who are trying to pay for their prescriptions, kids who are going to have a healthier planet to live on.

Liz Shuler

00:21:02 - 00:21:12 ()

So we are united in support for this legislation. We urge Congress to move it quickly, get it passed, and signed into law. Get it to the President to sign.

Liz Shuler

00:21:12 - 00:21:13 ()

Joe Biden

00:21:13 - 00:21:31 ()

Hey, Liz, thanks. And Mary. You guys are a hell of a team -- what's going on.

Joe Biden

00:21:31 - 00:21:49 ()

You know, one of the things that -- and you heard me say this before: My dad used to have an expression. He'd say, "A job is about a lot more than a paycheck. It's about your dignity. It's being able to look your kid in the eye and say, 'It's going to be okay. It's going to be okay.'"

Joe Biden

00:21:49 - 00:22:07 ()

The only way we're going to be able to do that for American workers is to make sure that we continue to grow and create good-paying jobs. And that's what you're doing, and that's what the AFL-CIO is doing with Liz, making sure that we can talk about the impact this relief is going to have on American workers.

Joe Biden

00:22:07 - 00:22:38 ()

In addition to -- and, by the way, I'm looking at a card here, reminding myself that it's going to cut energy costs and unlock $500 on average annually for energy savings; 30 percent tax credit for home energy systems like rooftop and solar and efficient windows; $7,500 tax credit for new electric vehicles and $4,000 tax credit for used ones; $14,000 for consumer rebate for high-efficiency appliances, like electric heat pumps.

Joe Biden

00:22:38 - 00:22:44 ()

It's going to do an awful lot beyond what is the overall piece here about lowering inflation.

Joe Biden

00:22:44 - 00:23:02 ()

And, you know, in addition to the new jobs it's going to create in this bill, the Inflation Reduction Act is also going to bring down energy and healthcare costs for all Americans, and that's going to impact on -- on -- this relief it will have on the American workers is real.

Joe Biden

00:23:02 - 00:23:15 ()

Liz, do your folks talk about that? Do we talk about how it's going to actually, you know, reduce healthcare costs, prescription drug costs, et cetera?

Liz Shuler

00:23:15 - 00:23:28 ()

Absolutely, Mr. President. I would say that that is what's most on people's mind, is, you know, can they afford to pay their healthcare premiums; can they afford to put food on the table for their families.

Liz Shuler

00:23:28 - 00:23:36 ()

And so bringing down costs for workers is exactly what we need in this moment, and that's what this bill does.

Liz Shuler

00:23:36 - 00:24:05 ()

And so I know Ray Curry is on here with me. That's exactly what we're trying to do, is get the message out there. Because as you know, there's often a disconnect in what happens in Washington to what happens at the grassroots and community level. So that's our job as, you know, leaders in the labor movement and working with our members and working people every single day to make sure people recognize what this bill is going to do and -- so that they see the impact in their -- in their communities and in their wallets.

Joe Biden

00:24:05 - 00:24:25 ()

And, Mary, what General Motors is doing I find absolutely amazing. Your commitment to moving toward -- toward clean energy and commitment to electric vehicles, about being able to meet the 2050 international standard, et cetera. And you're going do it before then.

Joe Biden

00:24:25 - 00:24:37 ()

And I just think that General Motors is -- can play a gigantic role, and other companies around the world are going to follow, because you're going to be leading the world.

Joe Biden

00:24:37 - 00:24:58 ()

One of the things that I did, I must admit in total disclosure: I've spoken to the Chairwoman about the possibility of my being able to buy one of those Corvettes that are electric vehicles that -- you know, when they come out. And I'm not going to be able to do it because I can't drive a vehicle while I'm Vice President -- while I'm President any more than I could when I was Vice President.

Joe Biden

00:24:58 - 00:25:06 ()

But I think we can change the face of the country with this legislation and reduce inflation, not increase it.

Joe Biden

00:25:06 - 00:25:09 ()

Mary, do you have any closing comment you want to make?

Mary Barra

00:25:09 - 00:25:37 ()

Just that, Mr. President, I completely agree with you. I couldn't be more excited about the EV portfolio that General Motors is in the midst of launching. Our first battery plant is coming online in a matter of weeks in Ohio. We have another plant next year and the following year, both in the U.S. -- and we're about ready to announce our fourth -- as well as converting plants and making sure that we maintain and grow the jobs that we have in this country.

Mary Barra

00:25:37 - 00:25:48 ()

So, you know, it is happening. We're at this critical juncture right now. And I think this Inflation Reduct- -- Reduction Act will be part of the catalyst that helps us move forward.

Mary Barra

00:25:48 - 00:25:49 ()

Joe Biden

00:25:49 - 00:25:54 ()

Well, you guys are doing a heck of a job. I really mean it. I want to thank you very, very much.

Joe Biden

00:25:54 - 00:26:14 ()

I know there's -- more people that want to speak, and we're going to have more. But I -- I just can't tell you how much I think you have collectively moved -- this whole movement of getting to clean energy, creating jobs -- jobs that are increasing environmental protection, and reducing everything from drug prices on, matters.

Joe Biden

00:26:14 - 00:26:23 ()

This is one of those inflection points in history. And you all are at the -- at the forefront of it, all of you on the screen. We haven't gotten even to most of you yet.

Joe Biden

00:26:23 - 00:26:28 ()

But again, thank you both very, very much. Appreciate it.

Brian Deese

00:26:28 - 00:26:38 ()

And, Mr. President, on the topic of drug prices and healthcare prices as well, I wanted to bring Greg Adams in.

Brian Deese

00:26:38 - 00:26:59 ()

And you're serving, actively now, I think, 12 million patients and -- and close to 2 million Medicare beneficiaries. And so, we'd love your perspective on the healthcare elements of this, particularly in light of what both the President and Liz Shuler said about it being top of mind to people -- healthcare premiums, drug pricing. And -- and I want to get your perspective.

Greg Adams

00:26:59 - 00:27:19 ()

Thank you, Brian. And thank you, Mr. President. I join my colleagues in saying it's a pleasure to be here today, to have the opportunity to discuss the importance and the urgency of the Inflation Reduction Act.

Greg Adams

00:27:19 - 00:27:37 ()

We see this important piece of legislation as being critical to helping millions of Americans continue to have access to affordable healthcare coverage. And it begins to curb the unsustainable drug prices. And, of course, as you've heard, it addresses climate change.

Greg Adams

00:27:37 - 00:28:00 ()

At the heart of Kaiser Permanente's mission is a belief that all people deserve access to high-quality, affordable healthcare. Millions of Americans will benefit from the extension of the expanded Affordable Care Act's subsidies through 2025, which will continue to make healthcare and coverage more available and affordable for our people.

Greg Adams

00:28:00 - 00:28:25 ()

Since the enactment of the expanded subsidies, marketplace enrollment has reached an all-time high of 14.5 million people nationwide. And premiums became more affordable -- or as premiums became more affordable, millions of Americans saw increased access to zero-dollar plans and low-cost plans or premiums of less than $50 per month.

Greg Adams

00:28:25 - 00:28:36 ()

These expanded subsidies were set to expire, so this legislation is just in time for millions of Americans.

Greg Adams

00:28:36 - 00:28:51 ()

At Kaiser Permanente, we're deeply concerned about the burden high drug prices impose on our members, on whose behalf we buy over $10 billion of drugs every year and we prescribe more than 90 million prescriptions annually.

Greg Adams

00:28:51 - 00:29:08 ()

So while we believe it's essential to ensure that drug manufacturers are rewarded appropriately for providing real innovation, it has to be done at a -- in a sustainable manner and not just allowing the highest possible price.

Greg Adams

00:29:08 - 00:29:27 ()

The target approach here achieves an appropriate balance of those concerns. And the Medicare Part D changes protect seniors from the risk of very high drug costs and ensures that more seniors have the ability to access and are actually taking the drugs prescribed.

Greg Adams

00:29:27 - 00:29:42 ()

Finally, I, too, note that -- the tremendous impact on climate change. Climate change is real. It's here. And it is an issue for us, as healthcare providers, as it disproportionately affects socially disadvantaged communities.

Greg Adams

00:29:42 - 00:30:06 ()

So as one of the nation's largest not-for-profit health plans and care delivery systems, each of these issues have a direct impact on our members, our patients, and our communities, and are critical to our ability to carry out our mission to provide high-quality, affordable care, and to ensure that we're helping improve the health of the communities that we -- with which we're in and we serve.

Greg Adams

00:30:06 - 00:30:16 ()

So we join our colleagues in encouraging Congress to act without delay to bring the benefits of this important legislation to the American people.

Greg Adams

00:30:16 - 00:30:18 ()

Thank you, Mr. President.

Joe Biden

00:30:18 - 00:30:26 ()

Brian, you're going to --

Brian Deese

00:30:26 - 00:30:26 ()

Joe Biden

00:30:26 - 00:30:30 ()

I've got a question, unless you -- why don't you go ahead first?

Brian Deese

00:30:30 - 00:30:37 ()

Well, Mr. President, I was going to -- I was going to just turn briefly, before we get to our other speakers, to just ask Secretary Yellen to offer --

Joe Biden

00:30:37 - 00:30:40 ()

Before you do, can I ask a question?

Brian Deese

00:30:40 - 00:30:41 ()

Sure, of course.

Joe Biden

00:30:41 - 00:31:08 ()

I'd like to ask a question. First of all, Greg, thank you very much. You -- it's astounding the number of people you service every day. And one of the goals of this bill is to keep drug prices and -- while still allowing drug manufacturers to be rewarded appropriately and for providing real innovation.

Joe Biden

00:31:08 - 00:31:48 ()

Do you think it -- do you think this meets that balance of both? Because, look, the last thing I want to do is -- I don't want to see there be a disincentive by drug companies to not seek answers to some of the diseases that they're trying to deal with. And so they have to be compensated, but they're being incredibly well compensated now. And -- and from my perspective, I don't think that this upsets the balance of making significant profit, at the same time providing breakthroughs and innovation. What's your sense of it?

Greg Adams

00:31:48 - 00:32:13 ()

Yeah, thank you, Mr. President. I do -- I think it does maintain the balance. The bill looks at the high costs of specialty drugs. Specialty drugs are a key component of the high drug costs. They actually account for a small percentage of prescriptions, but they are now at a point where they make up over half of our pharmacy costs, impacting the whole population.

Greg Adams

00:32:13 - 00:32:25 ()

So the bill looks at a limited number of specialty drugs, actually calls for a negotiation of prices at a point after these drugs have been on the market.

Greg Adams

00:32:25 - 00:32:43 ()

I, as the CEO of Kaiser Permanente, will still be responsible and committed to using market forces to help keep the majority of other drugs affordable and accessible. So I don't see this as interfering. I think it carefully frames the balance that's needed.

Greg Adams

00:32:43 - 00:32:52 ()

So I think the answer to your question is: Yes, I think the balance is here, and I think there's plenty of room for innovation and for market forces to be at play.

Joe Biden

00:32:52 - 00:32:57 ()

Thank you very much. Brian, back to you.

Brian Deese

00:32:57 - 00:32:59 ()

Great. Thank you, Mr. President.

Brian Deese

00:32:59 - 00:33:12 ()

And before we get to Ray and David and Warner, I just wanted to ask Secretary Yellen to just zoom out for a minute and give us your -- your take of the overall economics, particularly at the moment we find ourselves in the -- in the recovery.

Janet Yellen

00:33:12 - 00:33:28 ()

Thank you, Brian. And thank you, Mr. President. I'm really excited to be here today to talk with leaders from both business and labor about how important it is for Congress to pass the Inflation Reduction Act.

Janet Yellen

00:33:28 - 00:33:50 ()

Actually, I convened business leaders myself yesterday to discuss this important legislation. It will address the cost of prescription drugs and healthcare for millions of Americans, lower energy costs, bolster our energy security so we don't have to rely on autocrats like Putin.

Janet Yellen

00:33:50 - 00:34:11 ()

This would be the biggest investment in fighting climate change in our country's history. And this isn't just going to protect us from global energy shocks, like we've seen from Russia's illegal invasion. It's also going to create good-paying jobs across our country to power that work.

Janet Yellen

00:34:11 - 00:34:28 ()

I also think it's important to talk about the revenue streams that make these investments possible. And that means adequately funding the Internal Revenue Service so they can enforce our existing tax laws.

Janet Yellen

00:34:28 - 00:35:11 ()

The vast majority of businesses and workers are play- -- are playing by the rules, but some aren't. And estimates show that the tax gap from the top 1 percent of earners alone is as much as $160 billion each year. Making sure we have the resources to ensure the wealthiest among us can't avoid paying the taxes they owe, that's about restoring basic fairness and ending a two-tiered system. It's about making sure we can invest in addressing those key household expenses and making our economy stronger.

Janet Yellen

00:35:11 - 00:35:41 ()

I think it's important to underscore that this legislation is fiscally responsible. It will actually reduce the deficit by hundreds of billions of dollars over time. And by reducing deficits, we'll be complementing the work the Federal Reserve and the administration is doing to combat inflation, even as we address these cost pressures like healthcare, prescription drugs, and energy.

Janet Yellen

00:35:41 - 00:35:59 ()

So that's why I hope Congress will pass this bill as soon as possible. And it's why you saw five of my predecessors of the Treasury Department -- Secretaries who served under Democrats and under Republicans -- call for the same this week.

Janet Yellen

00:35:59 - 00:36:01 ()

Thank you, Mr. President.

Joe Biden

00:36:01 - 00:36:02 ()

Thank you, Janet.

Brian Deese

00:36:02 - 00:36:05 ()

Thank you. Thank you, Janet.

Brian Deese

00:36:05 - 00:36:10 ()

And, Mr. President, we're going to conclude the open press portion of this event and shift into the next section here.

Brian Deese

00:36:10 - 00:36:12 ()

[Press departs]