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THE TOP
The NDAA-CR endgame moves
Happy Wednesday morning.
The House will vote this afternoon on the FY2025 defense authorization bill — aka the Senate amendment to H.R. 5009, the Servicemember Quality of Life Improvement and National Defense Authorization Act — setting in motion the final act for this must-pass measure.
But like everything in the 118th Congress, it’s not going to be simple.
The two parties and two chambers have clashed over topline defense spending and culture war provisions, complicating the final talks on the legislation that Congress has approved every year for more than six decades. A last-minute intervention by Speaker Mike Johnson barring gender-affirming care for the children of military families has upset Democrats — as well as some Republicans.
The compromise NDAA package comes in at nearly $884 billion, which is 1% above last year’s total. That’s in line with defense spending projections under the 2023 Fiscal Responsibility Act. There’s another $11 billion in defense funding outside the NDAA, bringing the overall cost to $895 billion.
The centerpiece of this massive 1,800-page-plus package is a 14.5% pay raise for junior enlisted service members and a 4.5% pay raise for all other service members. This is a huge deal. There are other key provisions covering health care, housing, childcare, military spousal support and more.
Sen. Roger Wicker (R-Miss.), who will take over the Senate Armed Services Committee in January, wanted $25 billion more for the Pentagon. So did Senate Minority Leader Mitch McConnell, who will take over the Defense subcommittee on the Senate Appropriations panel. But they’ll both end up backing the measure despite their grumbling.
It’s the transgender provision’s inclusion that is upsetting House Democrats. Johnson’s demand for keeping it in the bill has dismayed Rep. Adam Smith (Wash.), ranking Democrat on the House Armed Services Committee. The veteran Democrat is going to vote no on the NDAA. Smith, though, predicted the measure will pass the House.
“Members of Congress are denying health care to children based on what seems to me, a culture war, partisan attempt to divide people. A partisan wedge issue, if you will. And I think that’s wrong,” Smith said. “My objection is the policy sucks … You don’t jam partisan issues through on the NDAA as a general principle.”
House Armed Services Committee Chair Mike Rogers (R-Ala.) also said he was unhappy that Johnson did this on the NDAA, although he strongly supports the speaker’s position on this issue. Rogers said that since President-elect Donald Trump will bar such medical coverage soon after he’s sworn in on Jan. 20, there was no reason to do this via the NDAA.
“We’ll win tomorrow, but it will be close,” Rogers told reporters Tuesday night. “[Trump] is going to stop all these social, cultural issues from being embedded as policies. So my point is, I don’t know why this is going to be in the bill when on Jan. 20, it’s a moot point.”
“This stuff does not belong in our bill,” Rogers added. “[Johnson] didn’t talk to me about it. My preference would’ve been we just let [Trump] on Jan. 20 deal with these kinds of policies, which he’s already indicated he’s going to do. But nobody asked me.”
Once the House passes the measure, Senate Majority Leader Chuck Schumer will seek a time agreement to move the NDAA quickly in that chamber. If that doesn’t come together, Schumer could file cloture as early as Thursday, setting up a Monday cloture vote. That would mean final passage on the NDAA in the Senate on Wednesday.
We expect the CR to move quickly as well once the House votes on it next week. So possibly the Senate could wrap up for the year by Dec. 19 — a week from tomorrow — if everything goes right.
But as we noted, it’s the 118th Congress, where everything is dumber and takes longer than expected.
The CR. Johnson told us that he’ll have final decisions on the contours of the government funding bill at some point today. To be fair, Johnson has been off on his timeline on the CR for a week now.
But the federal government runs out of spending authority on Dec. 20, so Hill leaders have to get moving.
There are a bunch of add-ons that have been thrown into the negotiations, including a one-year extension of the farm bill. House Agriculture Committee Chair GT Thompson (R-Pa.) said the two sides were still negotiating on that Tuesday night. The issue here is whether Congress simply extends the law by a year or tries to enact a new policy.
Negotiators have also discussed legislative items including extending the Coast Guard’s authority, permitting reform, an overhaul of outbound investment rules and an extension of a number of expiring health-care-related provisions. None of these items seem likely to make the final cut. House Minority Leader Hakeem Jeffries is driving a hard bargain. He has told negotiators he is opening to adding items, but for every additional policy, Democrats need a win, as well.
House Majority Leader Steve Scalise told us Tuesday evening that lawmakers are still trying to add a smattering of other legislative priorities into the legislation.
“There’s complications to anything you add in,” Scalise said.
As we reported in Tuesday’s Midday edition, the disaster aid portion of the CR — aimed at helping rebuild the storm-stricken Southeast — will cost between $90 billion and $100 billion.
Scalise said Republicans have pared down President Joe Biden’s request from $115 billion, but the disaster aid total is “still large.”
— John Bresnahan and Jake Sherman
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AG DRAMA
Is David Scott done? It sure seems like it
Where is House Agriculture Committee ranking member David Scott (D-Ga.)?
In the middle of a contested election for the top Democratic slot on the Ag Committee, Scott has been missing House votes and missing candidate forums, as his rivals actively circle around him to win the support of Democratic colleagues.
The 79-year-old will face a major test today. The Congressional Black Caucus — a 60-vote bloc of which he’s long been a member — is holding its candidate forum for contested committee spots. This, theoretically, includes Scott and his two challengers for the Agriculture Committee’s top slot: Reps. Angie Craig (D-Minn.) and Jim Costa (D-Calif.).
So far, Scott has made no commitment to attend, even as he struggles with CBC support.
Scott should have the CBC locked down. He’s the incumbent ranking member, he’s a veteran CBC lawmaker and he has seniority. The CBC zealously defends the seniority system that has ruled the House Democratic Caucus for years.
But Scott’s health concerns have kept the group quiet. And some Black lawmakers are undecided on whether they want to back the Georgia Democrat for another term.
CBC Chair Steven Horsford (D-Nev.) referred to the forum as the “first step” for the caucus to make a decision on who to support but brushed off Scott’s looming absence.
“I don’t keep track of attendance,” Horsford told us.
Scott missed several weeks of votes last month to get treatment for back issues. Scott also missed one vote series on Tuesday before he returned in the evening, being pushed in a wheelchair.
Scott made calls to CBC members before the Thanksgiving break to ask for their support, but some lawmakers withheld their endorsements. Several others are speculating that Scott could drop out of the race at any moment.
“I haven’t decided yet,” one CBC member who received a call from Scott told us. “He’s really struggling.”
Scott is, of course, the final ranking member who hasn’t yet succumbed to a challenge from more junior colleagues. Last week, Reps. Raúl Grijalva (D-Ariz.) and Jerry Nadler (D-N.Y.) both stepped aside from running to lead their respective panels and endorsed a more junior member.
And as recently as Friday, Scott told reporters he’s “most definitely” staying in his race to lead his committee another term.
Scott skipped three candidate forums in the past two weeks, while Craig and Costa have made several presentations to the Hispanic Caucus, the Progressive Caucus and the New Democrat Coalition.
The CHC endorsed Costa. The New Democrat Coalition isn’t expected to endorse due to all three candidates being members of the group. It’s unclear yet whether the Progressive Caucus will make an endorsement.
In addition to the CBC forum, the Democratic Women’s Caucus will also hold a candidate forum today.
Scott’s office also didn’t respond to a request for comment on his attendance and whether he plans to stay in the race.
Democrats on the Agriculture Committee will also meet around 11 a.m. today for an update on the farm bill extension talks.
Huffman dues news: Rep. Jared Huffman (D-Calif.), who is seeking the ranking member-post on the House Natural Resources Committee, will fully pay his 2025-26 DCCC dues of $190,000 today, making him the first Democrat to do so. It’s the second time Huffman has hit that milestone.
“I’ve made it a point over the years to pay my dues – both figuratively and literally. I’ve met or exceeded DCCC contributions, traveled coast to coast to campaign for colleagues, and donated to frontline members,” Huffman said in a statement.
Rep. Melanie Stansbury (D-N.M.) is running for the Natural Resources post. She has Grijalva’s backing, although Huffman — who is next in line — is pressing hard.
— Mica Soellner and John Bresnahan
Weekday mornings, The Daily Punch brings you inside Capitol Hill, the White House, and Washington.
Listen NowThe Vault: One last nomination fight
The Senate Banking Committee will convene this morning to advance two Biden administration nominees. It’s been quite the road to get here, and floor confirmation is far from assured.
But first things first: Welcome to the Senate Banking Committee, Sens. Adam Schiff (D-Calif.) and Andy Kim (D-N.J.)! Also, your votes are needed for today’s nomination vote. Strap in.
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Schiff and Kim were added temporarily to the banking panel Tuesday night after Schumer advanced a resolution via unanimous consent.
The Biden administration nominated four officials in June for posts across a handful of financial agencies, including a new chair to lead the Federal Deposit Insurance Corp.
The Banking panel has sat on those noms until this week, and now with Republicans returning to the White House, only two are getting a vote — Caroline Crenshaw to serve another term on the Securities and Exchange Commission and Gordon Ito to serve on the Financial Stability Oversight Council.
There’s not a lot of controversy around Ito’s nomination. But Crenshaw’s re-nomination is being fiercely contested by Republicans and the crypto industry, with some advocates claiming she’s more of a problem than bogeyman extraordinaire and outgoing SEC Chair Gary Gensler.
Sen. Tim Scott (R-S.C.), who will be the committee’s chair in a few weeks, blasted the decision by Chair Sherrod Brown (D-Ohio) to advance these nominations this late in the year.
Sen. Elizabeth Warren (D-Mass.) had a message for Republican grousers when we asked her about the timing this week. “Remind Republicans that we voted through Donald Trump’s nominees after he lost the presidency,” Warren said. “This is fairly standard practice around here, when votes get so delayed during the year.”
— Brendan Pedersen
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Chevron is advancing partnerships to help improve methane detection practices within the industry. Learn more about our partnerships.
NOMS, NOMS, NOMS
Another busy day for Trump nominees
Today is another critical day for Pete Hegseth, President-elect Donald Trump’s pick to lead the Defense Department. Hegseth is meeting with Sen. Susan Collins (R-Maine), one of the leading GOP centrists who has expressed alarm about the sexual assault allegations levied against Hegseth.
Hegseth, who has denied the allegations, is also meeting with Sens. Bill Cassidy (R-La.), Mike Crapo (R-Idaho), Josh Hawley (R-Mo.), Todd Young (R-Ind.) and Sen.-elect Tim Sheehy (R-Mont.) today.
Another leading Hegseth skeptic, Sen. Lisa Murkowski (R-Alaska), met with the nominee on Tuesday. Both were tight-lipped following the meeting, which Murkowski described as “a good exchange.”
Here’s where things stand apart from Hegseth:
Senate Majority Leader Chuck Schumer will meet with fellow New Yorker Howard Lutnick, who’s Trump’s choice to helm the Commerce Department. Schumer met with Sen. Marco Rubio (R-Fla.) on Tuesday and praised the secretary of state nominee.
Scott Bessent, the treasury secretary nominee, will meet today with Sens. Thom Tillis (R-N.C.), Steve Daines (R-Mont.), Ron Johnson (R-Wis.), Marsha Blackburn (R-Tenn.) and Cassidy.
Former Rep. Tulsi Gabbard (Hawaii), Trump’s national intelligence director nominee, will meet with incoming Senate Foreign Relations Committee Chair Jim Risch (R-Idaho), as well as Rubio, the current ranking member on the Senate Intelligence Committee.
Former Rep. John Ratcliffe (R-Texas) will meet with Sens. Mark Warner (D-Va.), Mike Rounds (R-S.D.), John Cornyn (R-Texas), James Lankford (R-Okla.) and Senate Minority Leader Mitch McConnell.
Also: The team leading the nomination process for all nominees: James Braid, Trump’s incoming Hill liaison; Joyce Meyer, a former aide to Speaker Paul Ryan who is now at ACLI; Drew Maloney, the CEO of the American Investment Council; Eric Ueland, a longtime Hill aide who is a public adviser for Paragon Health Institute; Jason Miller, a longtime Trump aide; and Brian Hughes, who worked on Trump’s campaign.
— Max Cohen, John Bresnahan and Jake Sherman
… AND THERE’S MORE
News: Rep. Ben Cline (R-Va.) will be the vice chair of the Republican Study Committee. Cline, who was first elected in 2018 to replace former Rep. Bob Goodlatte (R-Va.), will be the first vice chair of the RSC. Rep. August Pfluger (R-Texas) will chair the RSC next Congress.
Downtown Download. The Recording Industry Association of America has signed Continental Strategy to lobby.
— Jake Sherman
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MOMENTS
ALL TIMES EASTERN
11 a.m.
House Minority Leader Hakeem Jeffries will hold his weekly news conference.
11:30 a.m.
President Joe Biden and First Lady Jill Biden will deliver remarks and host the White House Conference on Women’s Health Research.
CLIPS
CNN
– Mick Krever
NYT
“White House Threatens Biden Veto of Bipartisan Bill to Add New Judges”
– Carl Hulse
NYT
“Eric Trump Promises the ‘Most Pro-Crypto President’ in History”
– Ismaeel Naar in Abu Dhabi, Eric Lipton in D.C. and David Yaffe-Bellany in San Francisco
WaPo
“Trump pick for DOJ civil rights draws blowback from advocacy leaders”
– David Nakamura and Maeve Reston
WaPo
“Judge rejects sale of Infowars to satirical news site the Onion”
– Kim Bellware and Niha Masih
Bloomberg
“Xi Readies Bargaining Chips for US Trade War”
– Bloomberg News
WSJ
“Trump Aims to Remake Federal Trade Commission With Two Picks”
– Dave Michaels
Politico
“Trump picks China hawk to be top State Department economic policy official”
– Eric Bazail-Eimil
PRESENTED BY CHEVRON
At Chevron, we’re working on our goal to keep methane in the pipe. Our efforts have allowed us to reduce our methane intensity by more than 50% since 2016. We are advancing partnerships to help improve methane detection practices within the industry. As a collaborator on Project Astra and as a founding member of Collaboratory to Advance Methane Science (CAMs), we’re advancing methane detection efforts with the goal of deploying best practices within the industry. That’s energy in progress. Learn more about our methane management.
Editorial photos provided by Getty Images. Political ads courtesy of AdImpact.
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