On Wednesday, the U.S. Senate passed the Creating Helpful Incentives to Produce Semiconductors (CHIPS) and Science act in a bipartisan vote of 64-33.
If support in the House moves it into law, the legislation will subsidize semiconductor and microchip manufacturing in the U.S. It would dedicate $52 billion for computer chip-making companies and give $24 billion in tax credits while adding $170 billion in scientific research over the next five years.
Sen. Ron Johnson (R-WI) called the bill a waste of taxpayer money.
“It makes no sense whatsoever,” Johnson said in a Fox News interview. “We’re just throwing more money at the problem, which is what Washington does.”
Senator Mike Lee (R-UT) slammed the legislation suggesting the $75 billion could be used outside of the U.S.
Next time you file your taxes remember the Senate just voted to give $75 billion to huge chip manufacturers—regardless of whether they use that money in the USA.
— Mike Lee (@SenMikeLee) July 27, 2022
President Joe Biden was pleased the bill passed and encouraged the House to pass the legislation ASAP.
I took a moment today to watch the Senate pass the CHIPS and Science Act, a bipartisan bill that will accelerate semiconductor manufacturing in the U.S.
It will lower prices, create jobs, and – critically – decrease our reliance on imported chips.
The House should pass it ASAP. pic.twitter.com/dnsa3xVdDr
— President Biden (@POTUS) July 27, 2022
Majority House Leader Chuck Schumer also praised the bill passing and the “good jobs” it will create “down the road.”
Sen. Bernie Sanders of Vermont was the only Democrat to vote against the bill.
The longest-serving Independent in Congress blasted the bill as “corporate welfare.” He hammered the $76 billion as a “blank check” to corporations that were already “enormously profitable.”
So, apparently, when corporate America needs a blank check of $76 billion, we do what other countries are doing. When other countries protect the needs of their workers, their children, their elderly somehow that is not a club we join. https://t.co/7IZNibgb0p
— Bernie Sanders (@SenSanders) July 25, 2022
Rep. Thomas Massie (R-KY) agreed with Sanders on the bill being a “bribe” for semiconductor companies to stay in the U.S.
Senator @BernieSanders said the senate CHIPS Act is “a $53 billion bribe” that semiconductor companies demanded in exchange for staying in the United States.
Taking money from working Americans and giving it to profitable corporations is immoral and won’t even work.
— Thomas Massie (@RepThomasMassie) July 28, 2022
The House is expected to vote on the legislation sometime this week.