Progressives Slam Senate Passage of $76 Billion ‘Corporate Giveaway’

The U.S. Senate on Wednesday passed sweeping bipartisan legislation that Sen. Bernie Sanders and progressive advocacy groups decried as a massive giveaway to corporations such as Intel, whose CEO has been lobbying aggressively in support of the bill’s subsidies for the profitable microchip industry.

Known as the Creating Helpful Incentives to Produce Semiconductors (CHIPS) Act, the $280 billion legislation is purportedly an attempt to bolster domestic manufacturing and alleviate the U.S. shortage of microchips, which are used in cars, phones, medical equipment, and other everyday electronic devices.

Sanders (I-Vt.) has repeatedly warned that the bill’s $52 billion in subsidies for the microchip industry—as well as its $24 billion in tax credits for semiconductor plants—lack safeguards to prevent companies from using the taxpayer money to buy back their own stock, offshore U.S. jobs, or fight unionization efforts.

Sanders was the only member of the Senate Democratic caucus to vote against the bill, which passed by an overwhelming margin of 64-33. The House is likely to follow suit later this week.

“Whenever it comes to protecting the needs of low-income or working families, I hear over and over again, ‘We just cannot afford to do that because of the deficit,'” Sanders said. “All of that profound and serious concern about the deficit fades away when it comes to providing a $76 billion blank check to the highly profitable microchip industry with no protections at all for the American taxpayer.”

In a statement following the bill’s passage, Morris Pearl, the chair of the Patriotic Millionaires, said that “after months of paralysis on Build Back Better, today the Senate finally took action.”

“But rather than give aid to needy American families… the Senate decided to rise to the occasion to cut taxes for already-profitable technology companies like Intel,” said Pearl.

Originally published at Commondreams.org.