📝 The Readback: The Big Breakup

IN THIS EDITION

Washington’s big breakup

Kennedy puts Lutnick on the hot seat

Vought’s mostly cold reception on the Hill

My first week on the Hill as a Punchbowl News intern

THE TOP

Washington’s big breakup

Welcome to The Readback, our weekend digest featuring the best of Punchbowl News this week. Here, we feature a quick roundup of our scoops, analysis and Capitol Hill insight you won’t find anywhere else. We’ve also included a few of our favorite outside reads from the week.

Breaking up is hard. But it’s especially tough when you’re trying to kickstart your entire legislative agenda and your feud is public consumption for everyone from Hollywood celebrities to world leaders.

That’s exactly what happened this week between President Donald Trump and his… well, now former… top ally Elon Musk. Musk appeared to dump Trump in a post on X this week, calling the reconciliation bill passed by the House last month “a disgusting abomination.”

The very public and ugly fallout was the center of attention in Washington this week.

Musk went on an online tirade complaining about Trump’s bill and didn’t shy away from making things personal either. Musk said Trump’s name was in the infamous Epstein files and accused the president of being “ungrateful” for his help with the electoral victory in November.

Musk also attacked Speaker Mike Johnson for leading the effort on the bill. Johnson, known for his polite and quiet personality, then uncharacteristically responded in a critical missive on X.

Trump fired back by threatening to cutting off Musk’s government subsidies and contracts that fuel the billionaire’s business ventures. Trump defended the reconciliation package as “one of the greatest bills ever presented to Congress.”

But as we all know, things, including emotions, quickly shift on Capitol Hill.

By Friday, Johnson had toned down his rhetoric and called for reconciliation (no pun intended) between Trump and Musk. Trump and Musk’s allies are also seeking meetings with each other already.

“I hope they reconcile,” Johnson told reporters on Friday. “I believe in redemption.”

If things don’t improve between the two larger-than-life personalities, the billionaire could dump a hefty load of money next year into targeting Republicans who voted for the bill, possibly hurting the party’s chances of holding the majority.

That will also bode well for Democrats, who have had a ball watching the GOP infighting.

Rep. Ro Khanna (D-Calif.), who represents Silicon Valley, even said Democrats should start a dialogue with Musk. We’ll note, however, that Khanna is an outlier right now in this view.

What I’m watching: I just watched the movie “We Live in Time.” I’ll warn you that you may need tissues if you watch it.

– Mica Soellner

You can find The Readback in your inbox every Saturday at 8 a.m. And don’t hesitate to reach out to readback@punchbowl.news with feedback. Enjoy The Readback.

Kennedy puts Lutnick on the hot seat

Commerce Secretary Howard Lutnick got the Sen. John Kennedy (R-La.) treatment this week.

The Louisiana Republican is known for putting witnesses through a bruising.

On the Judiciary Committee, he often asks judicial picks arcane legal questions and tries to expose an eventual lack of knowledge of the law. Bloomberg Law wrote a great piece last year about how then-President Joe Biden’s nominees would practice specifically for Kennedy’s questions.

With Lutnick, Kennedy looked like he was trying to draw some holes in the logic driving the administration’s tariff agenda.

The exchange started with the Louisianian asking Lutnick if he’d advise the president to accept an offer from Vietnam for full removal of trade barriers between them and the U.S.

President Donald Trump has always urged reciprocity. “Liberation Day” was about “reciprocal tariffs.” So what would happen if both nations dropped all tariffs and other trade restrictions, Kennedy asked.

Lutnick said he would “absolutely not” take that deal.

“What’s the purpose of reciprocity, then?” Kennedy hit back.

Lutnick said he wants to be reciprocal on some things and not on others.

Let’s move on, Kennedy said.

He then went into one of his typical legal quizzes.

“Tell me your understanding of the Trade Expansion Act,” Kennedy said with his glasses now on.

Lutnick couldn’t tell what law Kennedy was referring to, which surprised the senator since many of the tariffs the administration had imposed were through that law.

Kennedy explained that this is the law that gives the president broad tariff powers as long as he conducts investigations.

“Oh, my 232’s,” Lutnick said, referring to the section of the 1962 law that authorizes the commerce secretary to conduct investigations into goods coming into the country. “Sorry, I just didn’t know the title.”

What Kennedy was getting at here was trying to understand why the administration imposed tariffs on nearly every country under a different statute that only allows such duties on an emergency basis. The 1962 law has firmer legal grounding.

The U.S. Court of International Trade ruled against Trump’s levies exactly because it found the president couldn’t impose global tariffs under the International Emergency Economic Powers Act.

“Have you read that case, Mr. Secretary?” Kennedy asked.

“I have,” Lutnick responded.

“What role does the major questions doctrine play in that decision?” Kennedy asked (This is classic Kennedy).

“I’m not a lawyer,” Lutnick acknowledged.

Kennedy went on to explain that the doctrine was the whole basis of the court’s opinion in the case.

We won’t get into it here because we’re not lawyers either.

But a word of advice to Cabinet secretaries and other nominees planning to testify in front of Kennedy. Despite his folksy demeanor, Kennedy is a trained lawyer and Oxford University graduate. Study some legalese before heading to the Hill.

What I’m reading: I am almost done with reading “A Walk in the Woods” by Bill Bryson. It’s such a great read, and I often caught myself laughing out loud. It’s also timely as the weather warms up and Washingtonians swarm Shenandoah National Park.

– Diego Areas Munhoz

Vought’s mostly cold reception on the Hill

The director of the Office of Management and Budget doesn’t typically draw much attention. That hasn’t been the case for Russ Vought.

Vought is at the center of some of the Trump administration’s most controversial moves thus far: The dismantling of USAID; Massive spending cuts; Laying off thousands of federal workers.

That all came to a head when Vought faced a House Appropriations subcommittee on Wednesday. What was surprising, though, was the tough questioning from several Republicans on the panel.

The most stunning was two rounds of questioning from Rep. Mark Alford (R-Mo.), a new GOP appropriator.

Alford grilled Vought on why OMB won’t give Congress a complete budget request, crucial information appropriators need as they begin markups of spending bills and race to meet the Sept. 30 government funding deadline.

Alford warned that the government could be barreling toward a shutdown.

“That will not be good for the president. It will not be good for Congress. It will not be good for America,” Alford said.

It wasn’t just Alford. Rep. Steve Womack (R-Ark.) also urged Vought to give appropriators more budget information. Rep. Dave Joyce (R-Ohio) tried to figure out who actually runs the Department of Government Efficiency these days.

To be clear, much of the hearing went as expected.

Democrats like House Appropriations Chair Rosa DeLauro (D-Conn.) had fiery exchanges with Vought over the impact of his spending cuts and the lack of transparency at his agency. Rep. Mark Pocan (D-Wis.) said one of Vought’s responses on DOGE was “an answer only a mother could love.”

Republicans used their time to bash the Congressional Budget Office’s estimates of their reconciliation package and praise Vought’s efforts to reduce the deficit.

Protestors, likely former or current federal workers, in the audience wore t-shirts that said “Tenacious Not Traumatized” – a callback to when Vought said he wanted to traumatize federal workers. During the hearing, Vought said that comment was “taken out of context.”

Vought has had a whirlwind first few months of this administration. We’re only going to see more of him over the next few weeks, now, as the House takes up his marquee rescissions package and the fight over spending cuts intensifies in the appropriations process.

What I’m reading: “Salt: A World History,” by Mark Kurlansky. No, it’s not about that SALT. This is a fascinating read about how the condiment was once one of the most sought after commodities.

– Samantha Handler

My first week on the Hill as a Punchbowl News intern

While most of my friends in my hometown of Miami are enjoying their summer at the beach or by the pool, I’ve opted to spend mine inside an over 200-year-old building, and it’s a dream come true.

I had been to Washington through my school once before — shoutout FIU — but this is my first internship here. I’ve been told the summers here get as hot as Florida, which is a disappointment, as I was hoping to dodge the days of 90-plus degrees weather for a change.

Nonetheless, my first day on Capitol Hill Tuesday was nothing short of surreal. I followed some of the intrepid Punchbowl News reporters as they chased down lawmakers and immediately loved the energy up here.

It felt like whenever I looked over my shoulder, I’d see people I only ever saw on TV. I also saw three of the top four congressional leaders at their respective press conferences that day. I only missed House Speaker Mike Johnson, but I’m sure I’ll get my chance.

The rest of the week was mostly me getting used to the flow of things and trying not to get lost as I started working on my own stories.

I always thought D.C. was where I wanted to work and my first week has only confirmed that. Here’s to a good and busy summer in the nation’s capital!

What I’m watching: The best team in the NHL, the Florida Panthers, as they try to bring the Stanley Cup home for the second year in a row. Game 1 was heartbreaking but it’s still Cats in 6. ¡Vamos Gatos!

– Anthony Cruz