Morning Wire XX
[0] Democrats in the Senate passed a bill Sunday that includes record -breaking spending on climate change.
[1] How did they convince moderate Democrats to get on board the nearly half -trillion dollar spending bill?
[2] And will its IRS provisions increase Americans' odds of being audited?
[3] I'm Daily Wire editor -in -chief John Bickley with Georgia Howl.
[4] It's Monday, August 8th, and this is Morning Wire.
[5] As the Biden administration and congressional Democrats push for green energy in the U .S., Europe appears to be reversing course on some of its energy policies.
[6] We discussed Germany's shifting position on nuclear power.
[7] And despite the country largely moving on from pandemic policies, Los Angeles has again extended its eviction moratorium.
[8] What does this mean for renters and how is it affecting landlords?
[9] Thanks for waking up with Morning Wire.
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[15] After months of intense debate, Democrats in the Senate successfully passed a record -setting spending package that will pour hundreds of billions of dollars into new climate change and health care initiatives.
[16] Here with the details on how the bill got over the finish line and how it could impact the average family is DailyWire senior editor Cabot Phillips.
[17] Cabot, let's start with the basics.
[18] What's in this legislation and why is it so important?
[19] Well, Democrats are touting the measure as the largest single investment ever made in what they call the fight against climate change.
[20] The packets will include about $400 billion over the next 10 years for transforming the energy sector with massive funding going towards electric vehicles and green energy investments, including $60 billion for, quote, disadvantaged areas that are disproportionately affected by climate change.
[21] It'll also include new provisions that will punish energy companies, that fail to implement more renewable sources like wind and solar power.
[22] It's all part of the Biden administration's goal to cut U .S. greenhouse emissions by 50 % over the next eight years.
[23] Right.
[24] Pretty aggressive goal.
[25] And what about on the economic and health care front?
[26] What does this bill include?
[27] Yeah.
[28] For years, Democrats have been calling for Medicare reforms.
[29] Specifically, they've wanted the federal government to be able to negotiate with drug makers to hopefully lower prices on existing drugs.
[30] And this bill will give them that ability, starting in 2026.
[31] Now, opponents of the provisions say it'll stifle innovation in the market by cutting profits for drug makers and making them less likely to invest in new medicines.
[32] The bill will also include the largest expansion in federal health care funding since the passage of Obamacare.
[33] So significant increases in spending as inflation has hit records.
[34] How did this bill pass now?
[35] Well, the how is more of a who.
[36] It's moderate Democrat senators, Joe Manchin, and Kirsten Sinema.
[37] The two had refused to go along with the initial version of this package, which would have been, included trillions more in spending.
[38] Over the last few months, they made clear that they would only get on board if the package was trimmed down to a number they were more comfortable with, which ended up being around the half trillion dollar mark.
[39] Now, once Mansion and Sinai got on board, there was really nothing Republicans could do to hold it up.
[40] The vote was in a 50 -50 deadlock on Sunday afternoon until Vice President Kamala Harris stepped in to break the tie in favor of Democrats.
[41] It'll now head to the House where it is expected to pass the Democrat control chamber.
[42] Where did the main disagreements come from?
[43] How is each side reacting?
[44] Yeah, it's definitely worth noting just how little bipartisan agreement there was on this package.
[45] It was a straight party -line vote.
[46] No members crossed over.
[47] And the main issue came on where exactly those hundreds of billions of dollars are going to come from.
[48] And the answer is taxes.
[49] The bill will, to varying degrees, raise taxes on the majority of Americans.
[50] Now, Democrats say climate change is an existential threat that must be addressed and that we've all got to pitch in to help the fight.
[51] They also claim that the bill will pay for itself because they say it'll prevent us from having to spend more money on climate change initiatives down the road.
[52] But Republicans obviously have a very different view of it.
[53] Definitely.
[54] They have consistently said that with inflation at record highs, that this is the worst possible time to pass a nearly half trillion dollar spending package.
[55] They've also opposed the rapid transition towards green energy and have pointed out how European countries are now facing an energy crisis after passing similar climate measures.
[56] They say that we just cannot afford to risk a similar situation here in the U .S., especially with the global energy crisis that we've talked about on the show.
[57] And obviously, they've also pointed to the fact that this will result in tax increases from most Americans at a time when they're already strapped for cash.
[58] Now, finally, there was some controversy over the part of this bill that funds the IRS.
[59] What can you tell us there?
[60] So the package includes an additional $80 billion of funding for the IRS, with the money being used to, quote, recover additional tax revenue, which in practice means expanding their auditing capabilities to ensure people are paying their fair share.
[61] Now, Democrats claim that the expanded audits will mainly focus on the wealthy and corporations, but Republicans are not buying it.
[62] They pointed to a recent study out of Syracuse University that found low -income households are five times more likely to be audited than any other group.
[63] So in response, they proposed an amendment to the bill that would ensure the new funding goes only towards audits of households making over 400 ,000 a year or large corporations.
[64] But the amendment ended up failing, again, along party lines with no Democrats willing to vote yes.
[65] And that left some angry Republicans, and it's likely going to be something that we're going to hear about with some of these Senate midterm races coming up.
[66] Yeah, I'm sure we will.
[67] Kabbitt, thanks for breaking that all down for us.
[68] Anytime.
[69] That's Daily Wire senior editor, Cabot Phillips.
[70] Coming up, Germany rethinks its energy policies amid a fuel crisis.
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[74] Germany is having second thoughts on plans to close its last three operating nuclear reactors as Russia restricts fossil fuel sales to Europe.
[75] German Chancellor Olaf Schultz said for the first time last week that it might make sense for Germany to keep its reactors running as a looming energy shortage threatens Europe this winter.
[76] Here to talk about Germany's potential reversal and what that could mean for Europe's energy crisis is daily wires Tim Pearce.
[77] So Tim, what's driving German leaders to take a second look at nuclear power?
[78] Hey, Georgia.
[79] So after dozens of countries responded to Russia's invasion of Ukraine with heavy sanctions, Moscow appeared to retaliate what the biggest lever it has against Europe, its oil exports.
[80] Russia provides a significant chunk of Europe's energy supplies, mostly through its Nord Stream pipeline that runs directly through Germany.
[81] Since sanctions hit, Russia has cut back oil sales through the pipeline to about 20 % of its capacity, and European leaders are starting to wonder where they are going to source their energy from if the spigot isn't turned back on by winter.
[82] Right, so the situation could get more dire from there then.
[83] Right.
[84] Among other options, Germany is considering keeping on its three remaining nuclear reactors, which together make up about 6 % of the country's energy mix.
[85] To even consider keeping the reactors running is a pretty significant shift in policy, Germany has been taking reactors offline for over two decades now as part of the country's shift to renewables, and these last three were scheduled to be decommissioned at the end of the year.
[86] Now, we've reported that Europe is already rationing energy ahead of the winter.
[87] What does that look like and how severe could that rationing get?
[88] It could get pretty bad.
[89] Germany's energy grid was strained before Russia invaded Ukraine.
[90] Germans have faced rising energy prices for much of the last decade to pay for the government's push to transition to renewables.
[91] Officials are already warning that the current energy.
[92] shortage could cause Germans' energy cost to double or even triple.
[93] Cities and municipalities across the country have already implemented energy rationing ahead of the winter.
[94] In Berlin, the presidential palace is no longer lit at night.
[95] The city of Hanover has banned warm showers at its pools and gyms, and cities and towns across the country are prepping special heating zones for people to warm up in and winter.
[96] Now, energy also fuels the economy, so what are the projections economically?
[97] Yeah, the energy crisis is also pushing Germany and the rest of Europe toward an economic crisis.
[98] Germany's main exports are an energy -intensive industries, such as automotive manufacturing and mechanical engineering.
[99] Germany's economic minister warned weeks ago that the energy shortage could mean widespread shutdowns of industry to conserve resources.
[100] Also, Germany is typically a net exporter of electricity to other EU countries, so a shortage there is going to have ripple effects across Europe.
[101] Russia has already cut off or restricted oil sales to at least a dozen countries in Europe, so European officials are already reckoning with the possibility that Russia cuts off all oil exports.
[102] The European Union estimates that if Russia were to take that step and cut off Europe from its oil entirely, the block would suffer a collective one and a half percent drop in GDP.
[103] So potentially a continent -wide recession.
[104] Tim, thanks so much for reporting.
[105] Thanks for having me. That was Daily Wires, Tim Pierce.
[106] Among the series of sweeping policies enacted at the height of the COVID pandemic were eviction moratoriums that prevented landlords from evicting renters who stopped paying rent.
[107] While those policies have expired in most of the country, Los Angeles recently voted to renew its moratorium, causing widespread frustration and extreme hardship for some property owners.
[108] Here to tell us more is Daily Wire's Charlotte Pence Bond.
[109] Charlotte First, what is an eviction moratorium and what's the status of it in California?
[110] An eviction moratorium basically ensures that landlords can't evict tenants for not paying rent.
[111] California instituted an eviction moratorium during the pandemic and it ended on June 30th of this year.
[112] but the L .A. City Council voted to extend it for another year to the frustration of many small landlords.
[113] So will the landlords get paid back?
[114] Will they get back rent when the moratorium ends?
[115] Maybe, but maybe not.
[116] So theoretically, the tenants will owe the rent when the moratorium ends, but that will be difficult in a lot of cases.
[117] The main thing is that landlords will have the right to evict at that time.
[118] In the meantime, many of these landlords are unable to pay their mortgages.
[119] At a recent press conference at City Hall, landlords argued this moratorium on a event.
[120] evictions could bankrupt some of them and force them into foreclosure.
[121] They said that some tenants are taking advantage of the program.
[122] Here are some property owners discussing this problem.
[123] Our home has been stolen from us so that tenants, one of whom owns a DeLorean, can go to Burning Man and rent yachts for birthday parties and sail up in hot air balloons.
[124] Our home has been stolen from us, not by our tenants, but by the overly broad policies created under Mayor Garcetti and upheld by the majority of our city council.
[125] Tenants are our customers.
[126] We want to keep them happy, healthy, in a safe environment, but we expect to be paid.
[127] I have two mortgages, two insurances, two HOAs, and repairs for two houses.
[128] There is no way that I can do it.
[129] Those on the other side of the debate say the moratorium is needed because people are still struggling to make ends meet.
[130] Please keep the protections.
[131] Help the people.
[132] A lot of people still haven't been able to pay the rent, and they're going to end up homeless.
[133] Councilmember John Lee was the only council member to not vote for the extension.
[134] He has been working alongside landlords trying to find a solution.
[135] Set a date, a date is certain that they can look forward to and they can plan for in the future.
[136] This eviction moratorium has got to end.
[137] And rent might become an even worse issue in the state due to inflation and a law that was signed in 2019.
[138] Right.
[139] Tell us about that law.
[140] The Tenant Protection Act of 2019 doesn't allow landlords to raise the rent more than 5 % each year plus the percentage change in the cost of living, or in other words, inflation.
[141] They could also bump it up 10%, whichever amount is lower.
[142] In the past, the total increase has been between 5 .7 % and 9%.
[143] Since inflation is at record highs, all of the regions in the state are able to raise rents 10%.
[144] And that 10 % cap doesn't apply to all housing, though, so some landlords could technically raise rents more.
[145] But, of course, if there's an eviction moratorium like we're seeing in L .A., landlords' hands are tied.
[146] Even if they raise the rent, they can't necessarily collect it.
[147] Well, housing continues to be a major issue in California.
[148] Charlotte, thanks for reporting.
[149] That was Daily Wire's Charlotte Pence -Bahn.
[150] Other stories we're tracking this week.
[151] The Florida state attorney suspended by Governor Ron DeSantis is vowing to fight his suspension.
[152] DeSantis suspended the...
[153] the state attorney for allegedly refusing to enforce state laws.
[154] China ramped up its military drills over the weekend and sanctioned House Speaker Nancy Pelosi and her family after her high -profile visit to Taiwan last week.
[155] President Biden tested negative for COVID on Sunday after isolating with the virus for two weeks.
[156] A Texas jury ordered Alex Jones to pay over $49 million impunitive damages to parents of children killed in the Sandy Hook massacre.
[157] This trial was the first of three.
[158] severe flooding over the weekend stranded over 1 ,000 people at Death Valley National Park before they could be escorted out by park law enforcement.
[159] Israel Defense Forces reportedly killed a senior Islamic jihadist terrorist commander on Friday, preventing an attack he was suspected of leading against Israelis living near Gaza.
[160] The new president of Colombia, Gustavo Petro, was sworn in on Sunday after making headlines in June when he became the first leftist president -elect in the country's history.
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