Full transcript of "Face the Nation" on July 31, 2022 – WSGW

On this Face the Nation broadcast moderated by John Dickerson:

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JOHN DICKERSON: Im John Dickerson in Washington.

And this week on Face the Nation: With 100 days to go ahead of the midterm elections, Democrats revive a tax and spending package and hope voters will reward them if it passes.

Last week saw a surprise development in the protracted Build Back Better saga. West Virginia Senator Joe Manchin, who seemed opposed to a sweeping package, reversed course and joined his fellow Democrats to support an economic bill including hundreds of billions of dollars in tax increases for some corporations and the wealthy aimed at fighting inflation, cutting health care costs, and combating climate change.

We will talk with him and get the GOP perspective on the bill from Pennsylvania Republican Senator Pat Toomey.

All this as we had more dreary economic news. The Fed raised interest rates again, and the economy shrank for the second straight quarter. Inflation is at a 40-year high. But the job market remains strong and gas prices have dropped.

The presidents take?

(Begin VT)

JOE BIDEN (President of the United States): That doesnt sound like a recession to me. Thank you very much.

(End VT)

JOHN DICKERSON: We will see what Minneapolis Federal Reserve President Neel Kashkari has to say.

Finally, the Face the Nation political panel and the CBS News Battleground Tracker poll are back. We will have an estimate on where the race for control of the House stands, plus political analysis.

Its all just ahead on Face the Nation.

Good morning, and welcome to Face the Nation. Margaret is off this week.

We have got a lot to get to today.

And we begin with the news that President Biden is experiencing a rebound case of COVID, most likely due to his taking the drug Paxlovid. He has returned to isolation, but took to Twitter yesterday.

(Begin VT)

PRESIDENT JOE BIDEN: Hey, folks, Joe Biden here.

Tested positive this morning. Going to be working from home for the next couple of days. And Im feeling fine. Everything is good.

(End VT)

JOHN DICKERSON: Although the president said that the rebound cases do happen with a small minority of folks, the actual number is difficult to track, and estimates vary on just how many Paxlovid users are affected.

Another Democrat who is recovering from COVID is West Virginia Senator Joe Manchin. Hes been negotiating with Senate Majority Leader Chuck Schumer on the Inflation Reduction Act. And the final agreement was made in a Zoom call.

Democrats say the bill would reduce the deficit by $300 billion. Revenue would come from a minimum corporate tax rate, expanded IRS tax enforcement, and by tightening the so-called carried interest loophole that benefits some investment managers.

The bill would also make the largest investment in fighting climate change in U.S. history. Nearly $370 billion will go to new tax credits for renewable forms of electricity, electric vehicles and grants to automakers to increase efficiency.

On health care, the bill would keep the Affordable Care Acts premiums from increasing and cap out-of-pocket prescription drug costs for Medicare recipients at $2,000 per year. Medicare will also be able to directly negotiate prices with drug companies, reducing costs.

We go now to West Virginia Democrat Joe Manchin.

Senator, welcome. I hope youre feeling better from the COVID.

Let me start with a with a

SENATOR JOE MANCHIN (D-West Virginia): I have, John. Thanks for having me. I appreciate it.

JOHN DICKERSON: Let me start with something you said back in 2010 in a debate when you were running for Senate. Heres what you said.

(Begin VT)

SENATOR JOE MANCHIN: I dont think, during the time of recession, you mess with any of the taxes or increase any taxes.

(End VT)

JOHN DICKERSON: So thats become the your Republican colleagues favorite quote to roll out now that youve made this agreement with Chuck Schumer that has a tax piece to it.

Why did you change your mind?

SENATOR JOE MANCHIN: John, I didnt change my mind. I have never changed at all. This is fighting inflation.

This is all about the absolute horrible position that people are in now because of the inflation costs, whether it be gasoline, whether it be food pricing, whether it be energy pricing. And its around energy mostly thats driving this high inflation.

This is going to do take care of that, because this is aggressively producing more energy to get more supply to get the prices down. Thats what were doing. But we didnt raise taxes, John. The taxes were the corporate tax in America in 2017, before the Republican tax cut, was 35 percent.

They cut it to 21 percent, 14 percent reduction. All the people that I know are paying 21 percent or more. All the even larger corporations, but some of the largest corporations of a billion dollars of value or more dont even want to pay the minimum of 15 percent.

JOHN DICKERSON: So, this is an issue of fairness?

SENATOR JOE MANCHIN: All were doing is changing is basically closing- this is a fairness in closing a loophole.

JOHN DICKERSON: Yes.

SENATOR JOE MANCHIN: So, Im not raising any taxes. I never thought that people werent paying at least 21.

JOHN DICKERSON: Let me ask you about

SENATOR JOE MANCHIN: And I dont know why. I mean, we went yes, go ahead. Im sorry.

JOHN DICKERSON: Let me ask you, though, on the raising OK, so I understand what youre saying about closing loopholes.

But the Republican criticism, which attaches to what you said in 2010, is, when you increase taxes by closing loopholes, you hurt supply, and during inflation, you want a lot of supply. And so even though this might not be a tax increase relative to previous rates, the taxes for certain companies will go up, which will make them produce more, so the theory goes, and that will hurt inflation.

SENATOR JOE MANCHIN: Let me just say this, John.

In the last two years, there have been massive record profits across the board by these largest corporations, massive record profits. And its been the lowest capital expenditure in the last two years, so that didnt drive it.

What theyve all told me was, we want security. We want to have some type of pathway forward in permitting and regulations. Theyre strangling us.

And this is what were doing. Were streamlining the regulations that people have to live with in, basically accelerating how we get things to market, how quick we can produce things, how quick we can basically produce more energy, and how we can develop more technology, and using that for our benefit.

Were talking about also batteries for electric cars. If you want to get a discount on an electric car by buying an E.V., the battery better be made in America, it better be sourced in North America, it better be processed.

JOHN DICKERSON: Your Republican colleagues think you and Chuck Schumer did something underhanded by, essentially, it looked like there wasnt going to be anything big passed, and then and then you changed course, worked out something with Schumer.

Senator Cornyn, the Republican from Texas, said that that unveiling this agreement between you and Senator Schumer was a declaration of political warfare.

SENATOR JOE MANCHIN: Its such a shame. John Cornyn is a good friend of mine. Hes such a good man.

And for the politics to be so toxic right now, first of all, I never thought this would come to fruition. I never spoke with anybody about it, any of my colleagues, because they were frustrated that nothing happened for so long on the other. I never could get the Build Back Better, which was a $3.5 trillion spending bill.

This is a $400 billion investment bill. And everything my Republicans talked about, reducing the amount of debt that we have, were paying down $300 billion, first time in 25 years. They have got to like that.

And, next of all, they wanted more energy. I want more energy. Were going to be producing more energy. Theres an agreement that were going to be drilling and doing more than we can to bring more energy to the market that reduces prices. They like that.

JOHN DICKERSON: Let me ask you

SENATOR JOE MANCHIN: And theres going to be a streamlining of permitting, John. They got to like that so.

JOHN DICKERSON: Well

SENATOR JOE MANCHIN: So, Im hoping they just take cool off, take a good look at the bill.

JOHN DICKERSON: Their argument is and this matters, because you are working with Republicans on other pieces of legislation.

And Susan Collins, one of those Republicans youre working with, says that this this break of trust, which is what theyre calling it you made certain representations, they would say, to Republicans, then broke your trust.

She said Susan Collins said: Its a very unfortunate move that destroys the many bipartisan efforts that are under way, in other words, whether its on election reform or same-sex marriage, that the well has been poisoned.

SENATOR JOE MANCHIN: Well, heres the thing. I think Susan Collins is my very dear friend, and we work almost on everything together.

But the thing of it, I never told anybody that I wasnt going to do something. If I had a chance to fix the energy policy of the United States of America, and I didnt do it, shame on me. If I had the chance to reduce the amount of inflation that people in West Virginia and across the country are enduring right now, shame on me.

And I never thought they would come to an agreement and use a dual path, and basically recognizing with this administration, working with President Bidens administration and working with Chuck Schumer and all of them who basically were going a different direction and were very upset with me for so long, that they would ever sit down.

But I guess with this thing has become truly horrible for the for families all across America. So, now to have a piece of legislation that we have energy and we have investments for new energy.

But, basically, thats a responsibility. You can walk and chew gum. You have a balanced approach. These are solutions Americans want.

JOHN DICKERSON: Let me ask

SENATOR JOE MANCHIN: And we were able to provide these solutions. Lets not make them political, John.

JOHN DICKERSON: You and Senator Schumer have a deal. A lot of Democrats who used to be very angry at you are suddenly now saying nice things about you.

Senator Kyrsten Sinema have you talked to Senator Sinema, whose vote is still unknown on these bills? And where do you think shell go? Because, if she doesnt vote for it, it doesnt happen.

SENATOR JOE MANCHIN: Yes, Senator Sinema is a dear friend of mine. And weve worked very close together on so many pieces of legislation.

And shes shes so involved in this legislation. When you think about it, shes the one that really negotiated and worked very hard on getting Medicare, allowing them to negotiate for lower drug prices, saving $288 billion. Thats tremendous, which I support her completely on that.

Shes always been adamant about were not going to be raising taxes. And I agree with her wholeheartedly. I made very very, very carefully evaluations that we wouldnt raise any taxes. And that was the last scrub that was done.

JOHN DICKERSON: Have you tried to lobby her?

SENATOR JOE MANCHIN: No, you dont we dont I have never lobbied my colleagues on that. I just basically put the facts out, try to answer questions.

Im always trying to negotiate with them, if if they want. And I try to. And, sometimes, we dont get there, they get frustrated. But were always looking at the next opportunity to improve the quality of life in America. And thats what were doing.

JOHN DICKERSON: Finally, Senator, there was a vote on a bill this week that would provide health care to millions of veterans exposed to toxic fumes in burn pits during their deployments.

Republicans who had previously voted for it voted against it. Pat Toomey, Republican from Pennsylvania, who will be on, who youve worked with extensively in your career, is worried that it adds to the deficit. Thats something you care about. Does Pat Toomey have a point here?

SENATOR JOE MANCHIN: Sure.

Well, Pat Toomey is going to get a hes going to get an amendment. He hell have a vote on that. So, Pat, come on, lets go. Lets put put it out there, put the facts out there. Pats a good man and good friend of mine. Im sorry hes not going to be running again and hes leaving the Senate, because hes been a quality, valued member of the Senate, and he represented Pennsylvania extremely well.

So hes been a friend. Were going to work through this. I havent seen the amendment. Im I will be briefed tomorrow morning on it and everything. But Pat is going to get his amendment, and lets see where it goes.

JOHN DICKERSON: OK.

So, on that note, Senator Joe Manchin, thanks for being with us.

Face the Nation will be back in one minute. Stay with us.

(ANNOUNCEMENTS)

JOHN DICKERSON: We go now to Republican Senator Pat Toomey of Pennsylvania. Hes in Zionsville this morning.

Good morning, Senator.

SENATOR PAT TOOMEY (R-Pennsylvania): Good morning, John.

JOHN DICKERSON: Lets start with what the Democrats are calling the Inflation Reduction Act.

You you and other Republicans are not a fan. What is your principal critique?

SENATOR PAT TOOMEY: Well, its going to make inflation worse, actually.

So, theyve got a big corporate tax increase thats going to probably make this recession that were in worse. All of this spending is unnecessary. Its going to exacerbate inflation. It is not going to reduce the deficit.

And what did Senator Manchin get for us? Look, Im a big fan of Joe Manchin. We are friends, as he said, and I like Joe very much, but I think he got taken to the cleaners. Hes agreeing to all this bad policy, in return for which hes been promised that theres going to be some kind of pro-energy infrastructure bill sometime in the future.

Well, first of all, I thought we did that in the infrastructure bill. Secondly, what is the text? But, most importantly, why isnt that in this bill? And the answer is because Democrats dont support it.

And so this is going to do a lot of harm and theres not going to be a corresponding benefit.

Originally posted here:
Full transcript of "Face the Nation" on July 31, 2022 - WSGW