House Sends Chips Package to Biden’s Desk With 243-187 Vote
The House passed chips legislation Thursday in a 243-187-1 vote, sending the long-awaited science and technology package to President Joe Biden’s desk (see 2207270061). Twenty-four Republicans voted in favor, and zero Democrats voted against.
Sign up for a free preview to unlock the rest of this article
Export Compliance Daily combines U.S. export control news, foreign border import regulation and policy developments into a single daily information service that reliably informs its trade professional readers about important current issues affecting their operations.
Biden applauded passage, saying the Chips and Science Act will lower costs of everyday goods, “create high-paying manufacturing jobs” and “strengthen U.S. leadership in the industries of the future.” The past 24 hours have been a “legislative, one-two punch that Americans rarely see and will benefit them immensely,” said Senate Majority Leader Chuck Schumer, D-N.Y., during a news conference after House passage.
House Science Committee ranking member Frank Lucas, R-Okla., spoke against the bill on the floor, saying Republicans are “disgusted” by developments over the past 24 hours and Democrats’ pursuit of a “massive tax hike and spending spree” through reconciliation. Citing an “exemplary, bipartisan process” in crafting chips legislation over the past two years with House Science Committee Chair Eddie Bernice Johnson, D-Texas, Lucas said Democratic leadership shut House members out of bill discussions. He “regrettably” voted against the “transformational” research policies included in the bill. Asked about the bill’s approval process before the vote, Lucas told us: “Everything that didn’t involve the House Science Committee has been very frustrating.”
“This final product is the result of months of bipartisan negotiations,” Johnson said from the floor Thursday. She applauded bipartisan provisions included in Division B of the bill, which originated from her committee and work with Lucas: “I know that this package does not have everything that everyone wanted -- it doesn’t have everything that I wanted -- but that is the nature of compromise and a result of the urgency of the situation.”
House Foreign Affairs Committee ranking member Michael McCaul, R-Texas, was one of the key Republicans voting for the package. He told reporters Commerce Secretary Gina Raimondo was “instrumental” in paring down the earlier House version, the America Competes Act, into the chips portion. Through talking with her about what was “passable,” McCaul said the Chips Act was the most “popular” element and most important for national security. “I’m going to vote for what’s right for the country and national security,” he said, noting semiconductor efforts originated with the Trump administration.
House Homeland Security Committee ranking member John Katko, R-N.Y., was another key Republican voting in favor, along with Reps. Fred Upton of Michigan, Adam Kinzinger of Illinois and Anthony Gonzalez of Ohio. California Democrat Sara Jacobs was the lone member voting present, bringing the official tally to 243-187-1.
House Commerce Committee Chairman Frank Pallone, D-N.J., applauded $52 billion in appropriations for domestic semiconductor manufacturing and $1.5 billion in the Public Wireless Supply Chain Innovation Fund for the deployment and promotion of Open Radio Access, or Open RAN Networks. “This investment will help bring more diversity and innovation to wireless supply chains while also countering the spread of harmful network equipment, like Huawei, here and around the globe,” he said. House Commerce Committee ranking member Cathy McMorris Rodgers, R-Wash., urged colleagues to vote no on the package, which she said will “unlock massive subsidies and spending that will make inflation worse.” Congress should lift regulatory barriers instead of approving radical spending, she said.
Raimondo called the bill a “historic investment” in U.S. chipmaking that will boost American competitiveness and national security: “I’m grateful to Speaker Pelosi and House members from both sides of the aisle who worked diligently to craft legislation that protects our scientific leadership and creates high-quality, good-paying jobs for hundreds of thousands of Americans.”
TechNet CEO Linda Moore applauded provisions that will increase domestic semiconductor production, investment in regional tech hubs and the enhancement of science, technology, engineering and math education and high-tech workforce training. The legislation “will help combat inflation, foster high-paying jobs and the United States’ global competitiveness, all of which should contribute to future economic growth,” said Computer and Communications Industry Association President Matt Schruers.