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THE TOP
The House GOP’s committee scramble
Happy Thursday morning.
Recently, we examined the landscape for committee chairs if Democrats take the House on Nov. 5. This morning, we’re going to dig into the GOP outlook.
House Republicans have six-year term limits for their committee chairs, which includes time spent as ranking member in the minority. There are advantages and disadvantages to this approach. One perceived advantage is that Republicans don’t have lawmakers like Rep. Nydia Velázquez (N.Y.), who has been the top Democrat on the Small Business Committee for 26 years. But a disadvantage is that committee chairs only have six years to get things done.
We’re going to focus today on the committees that are — or could — turn over next year. If we somehow missed you and you want to be a committee chair or ranking member, please shoot us a note and we’ll write about it.
Rules. The Rules Committee, like the House Intelligence Committee, is a speaker-appointed panel. That includes who gets to serve as chair. Rep. Michael Burgess (R-Texas) stepped in for Rep. Tom Cole (R-Okla.), who ran the panel before taking the Appropriations gavel after Rep. Kay Granger (R-Texas) stepped down from that post.
Burgess is retiring, which presents Speaker Mike Johnson with an interesting opportunity. Rep. Guy Reschenthaler (R-Pa.) wants the Rules gavel, but he’s also chief deputy whip. There’s some scuttlebutt that Reschenthaler can take both jobs. Yet that doesn’t seem terribly feasible unless Republicans are in the minority.
Johnson may want to blow up the Rules Committee given the huge problems that House GOP leaders have had with hardline conservatives on the panel, although that would depend on Johnson’s margin of control in the next Congress. Johnson has also shown a willingness to install hardliners in critical positions. See his recent choices for the Intelligence Committee, for instance.
Possible picks to lead the panel include Rep. Nick Langworthy (R-N.Y.) or Rep. Michelle Fischbach (R-Minn.), both of whom currently have seats on it. But again, this all depends on how much Johnson wants to overhaul Rules.
Energy and Commerce. With Rep. Cathy McMorris Rodgers (R-Wash.) retiring, the top E&C spot will be open. This is a hugely important gavel. As the late Rep. John Dingell (D-Mich.) was known to say about his committee’s authority: “If it moves it’s energy, and if it doesn’t, it’s commerce.”
The main candidates here are Reps. Bob Latta (R-Ohio) and Brett Guthrie (R-Ky.). Both are well-liked members who have been in the House for more than a decade; Guthrie since 2009 and Latta since 2007. Guthrie probably has a slight edge in financial contributions to the NRCC and other Republicans. Latta has seniority.
But consider this — If Republicans keep the majority, could the Steering Committee look down the dais and tap Rep. Richard Hudson (R-N.C.)? Hudson is the NRCC chair this cycle, will be top five in seniority and could make a play if it’s a good outcome for Republicans on Election Day.
Financial Services. Our Vault team has covered this race like no one else. So subscribe now! But we’ll dive in here briefly. Reps. Frank Lucas (R-Okla.), French Hill (R-Ark.), Bill Huizenga (R-Mich.) and Andy Barr (R-Ky.) are all vying for the gavel. Who has an edge? It’s truly impossible to know. We don’t know what the Steering Committee will look like next Congress.
What we do know is that House GOP rules forbid a committee chair from running for higher office, and many Republicans think Barr is eyeing a statewide race. Huizenga just had a visit from Rep. Jim Jordan (R-Ohio), which may signal that he has support from conservatives. Lucas has already chaired two committees — Agriculture and Science, Space and Technology.
In the meantime, this crew will send millions to the NRCC to curry favor.
Education and the Workforce. Rep. Virginia Foxx (R-N.C.) got a waiver to continue serving as chair of the Education and the Workforce Committee this Congress. Foxx has already told us she won’t seek another one, so there will be a new top Republican next year. Rep. Tim Walberg (R-Mich.) ran against Foxx in 2023 and he is running again. Walberg is No. 4 in seniority on the panel.
Foreign Affairs. Rep. Michael McCaul (R-Texas) has chaired the panel since the beginning of this Congress, having served as ranking member for the previous two terms. McCaul — who’s also chaired the Homeland Security Committee — will need a waiver to stay in place.
Rep. Ann Wagner (R-Mo.), the panel’s current vice chair, is seriously considering a run. Wagner was U.S. ambassador to Luxembourg under former President George W. Bush. Several Republicans on the panel have more seniority than Wagner, including Reps. Chris Smith (R-N.J.), Joe Wilson (R-S.C.), Scott Perry (R-Pa.) and Darrell Issa (R-Calif.).
Science, Space and Technology. As we scooped last week, Rep. Brian Babin (R-Texas) is seeking this chairmanship. Babin, as of now, is the only one doing so.
Transportation and Infrastructure. Rep. Sam Graves (R-Mo.) is on a quest to get a waiver. But, again, we don’t expect that will happen. Rep. Rick Crawford (R-Ark.) is No. 2 on the committee and is already running for chair. Crawford looks like a lock if Graves doesn’t get a waiver.
— Jake Sherman
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PRESENTED BY GOLDMAN SACHS 10,000 SMALL BUSINESSES VOICES
Child care is a small business issue.
Whether it’s finding care for their own children or supporting employees with families, the lack of affordable child care options is hurting American small businesses, and 77% of small business owners would support increasing federal funding for child care. Learn more.
Why Latimer could be the first successful anti-Squad challenger
NEW ROCHELLE, N.Y. — For years, moderate Democrats alarmed at the party’s progressive drift have plotted primary challenges to unseat members of the far-left Squad. All have failed.
But next week, Westchester County Executive George Latimer has the best opportunity yet to become the first primary challenger to break up the progressive group when he takes on embattled Rep. Jamaal Bowman (D-N.Y.).
The main headline in the race is the massive amount of spending from anti-Bowman forces that have made New York’s 16th District primary the most expensive of the year. Bowman’s outspoken anti-Israel stances have attracted the attention of AIPAC’s super PAC, United Democracy Project. The group alone has spent over $14 million on ads.
But beyond the money advantage, Latimer’s candidacy is benefiting from a perfect storm that combines his own deep local ties and Bowman’s numerous controversies.
Unlike previous Democrats recruited to beat the anti-establishment left, Latimer has served in state government for years and boasts numerous Westchester-based allies.
“As a challenger to a Squad member, I’m not a wealthy guy coming from left field. I am not somebody who has no footprint in the community,” Latimer told us.
Israel: The animating issue of the race has been Israel’s deadly war in Gaza against Hamas. A substantial portion of the 16th District’s significant Jewish community is aligned behind Latimer, exacerbated by reports that Bowman appeared to tokenize Jewish support.
Bowman insisted that Israel is committing genocide in Gaza, opposed the Abraham Accords, said he is against funding for Israel’s Iron Dome missile defense system and lost the support of progressive Jewish group J Street.
While Bowman told us he regretted claiming that reports of sexual assault during Hamas’ Oct. 7 terror attacks on Israel were “propaganda,” he stood by his other anti-Israel positions.
“Everything else has been not just in alignment with my values and beliefs, but in alignment with what Americans are saying and seeing right now,” Bowman told us. “The people in this district support a permanent ceasefire.”
Bowman told us he’s frustrated that the media coverage on Israel has overshadowed his record on reducing gun violence, supporting affordable housing and uplifting marginalized groups.
Latimer argued that Bowman is a “radical” who has ignored large swaths of the district and lets “ideology talk instead of practicality.”
The run-in: Bowman is energizing his progressive base by hosting events with Sen. Bernie Sanders (I-Vt.) and Rep. Alexandria Ocasio-Cortez (D-N.Y.).
Bowman told us fellow Squad member Rep. Cori Bush (D-Mo.), who’s also facing an AIPAC-backed challenger, is likely to stump for him too.
The Democratic Party’s left flank is portraying the primary as a battle between the billionaire class and ordinary Americans. Usamah Andrabi, a spokesperson for Justice Democrats, said this race would determine whether the party “will let right-wing interests dictate Democratic primaries.”
“Thankfully, most of the people in the district know that the ads are crap, and know that this is all part of big money in politics, which is also crap,” Bowman said.
Latimer, referencing recent polling, said he’s confident he can beat Bowman.
“Is [Bowman] going to get at least 40% of the vote? Yes. Does he have an obvious ethnic benefit? Yes,” Latimer said. “Will he get the people who are furthest to the left? Yes. But once you get beyond a couple of constituencies that he has strength in, he’s weak everywhere else.”
In the race’s final stretch, fellow New York Democratic Rep. Ritchie Torres has forcefully spoken out against Bowman. While Torres said he wasn’t endorsing Latimer, he had plenty of scorn for Bowman’s complaints about outside spending.
“Jamaal Bowman’s greatest problem is Jamaal Bowman,” Torres told us. “AIPAC did not illegally pull a fire alarm, Jamaal Bowman did. AIPAC did not vote against infrastructure, Jamaal Bowman did. AIPAC did not deny the Hamas rapes against Israeli women, Jamaal Bowman did.”
— Max Cohen
Weekday mornings, The Daily Punch brings you inside Capitol Hill, the White House, and Washington.
Listen NowTHE MONEY GAME
News: NRCC outraises DCCC in May
The NRCC outraised the DCCC in the month of May, bringing in $12.6 million during a stretch bolstered by small-dollar donors energized by former President Donald Trump’s criminal conviction.
The DCCC’s $11.9 million May haul lagged the NRCC by $732,000. It’s the first time this year that the House Republican campaign arm has outraised their Democratic counterparts in a monthly fundraising period.
According to the NRCC, the group raised $1 million from small-dollar donors in the days after Trump was found guilty on 34 felony counts in his New York City hush-money case. Of these donors, 32% were first-time givers to the NRCC.
The NRCC still trails the DCCC in the cash-on-hand race, $64.6 million to $78.8 million. But Republicans point out this is a smaller difference than their party has faced in the past.
Overall, the DCCC has brought in $191 million this cycle and the NRCC has raised $147 million.
— Max Cohen
PRESENTED BY GOLDMAN SACHS 10,000 SMALL BUSINESSES VOICES
84% of small business owners believe it is difficult for working parents to afford high-quality child care programs for their children. Learn more.
The Vault: Former House candidate launches crypto think tank
A prominent D.C. crypto advocate and one-time Republican House candidate in New York is launching a think tank focused on crypto policy.
Michelle Bond, who lost a Republican primary to Rep. Nick LaLota (N.Y.) in 2022, will lead Digital Future. The think tank will focus on “promoting the development of the next generation of the financial services industry,” per a news release.
Prior to this launch, Bond led a crypto advocacy organization called the Association for Digital Asset Markets.
According to the Wall Street Journal, Bond’s 2022 campaign was reportedly investigated by federal prosecutors in Manhattan for alleged campaign finance violations connected to Ryan Salame, a former FTX executive who was sentenced to about 7 years in prison back in May.
Bond said she looked forward to helping the crypto and AI sectors acquire “a favorable regulatory regime,” per the news release, and dinged Congress for not passing laws to that effect. “Lawmakers have yet to pass significant and impactful legislation on crypto and AI,” Bond said.
The House passed an industry-backed bill to significantly restructure security and commodities regulations in May with significant bipartisan support.
Here’s a fun fact: LaLota was one of just three Republicans to vote against the FIT for the 21st Century Act.
Love this Vault AM content? Keep an eye out for our special quarterly edition, which will be published later this morning.
Our Premium Policy: The Vault community gets Washington x Wall Street intel every day with deep analysis integrated into their Midday & PM newsletters, the Sunday Vault, exclusive interviews and breaking news alerts. Join The Vault community to stay in the know.
— Brendan Pedersen
THE SENATE
Wacky Thursday in the Senate
The Senate is back today for two votes on nominations, and leaders in both parties are bracing for potentially dozens of absences ahead of a scheduled two-week recess.
Wednesday’s Juneteenth holiday prompted several senators to skip town for the week, even though Senate Majority Leader Chuck Schumer teed up votes for today’s session.
The Senate will vote at 11:30 a.m. on confirming Stephanie Sullivan to be the U.S. representative to the African Union. Sullivan got some GOP support on a cloture vote earlier this month, so the confirmation vote might not cause a lot of worry among Democratic leaders.
But that vote should serve as an attendance check for Democratic leadership ahead of the final vote of the day at 1:45 p.m. — a cloture vote on Nancy Maldonado’s nomination to serve as a circuit court judge for the Seventh Circuit Court of Appeals.
Maldonado got a few GOP votes when she was confirmed as a district court judge in 2022, although it’s possible that Schumer may need to cancel the vote if more Republicans are present than Democrats.
Schumer already had to do this on Tuesday with Mustafa Kasubhai’s District Court nomination, which has no Republican support. Overall attendance was fine, but there were more Democratic absences than GOP no-shows. So Schumer will need to bring up Kasubhai’s nomination another time.
Looking ahead: After the two-week recess, the Senate will return on July 8 for just one week because the following week is the GOP convention in Milwaukee.
So there’s precious little floor time left this summer, with the August recess looming.
We already know that Schumer is planning to hold a vote on legislation codifying a federal right to abortion during the first week back in July. This is a continuation of Schumer’s effort to put Republicans in a difficult political spot on issues related to reproductive rights.
There’s also the annual National Defense Authorization Act, which Senate Minority Leader Mitch McConnell is pressing for floor time on. The Senate Armed Services Committee approved the bill last week by a vote of 22-3, although there are lingering questions about whether appropriators will be able to heed the $25 billion Pentagon increase that’s included in the bill.
— Andrew Desiderio
PRESENTED BY GOLDMAN SACHS 10,000 SMALL BUSINESSES VOICES
MOMENTS
ALL TIMES EASTERN
10 a.m.
President Joe Biden will get his daily intelligence briefing.
8 p.m.
Biden will depart Rehoboth Beach, Del., en route to Camp David, arriving at 9:20 p.m.
CLIPS
CNN
“CNN debate stage set with Trump and Biden going head-to-head”
– CNN Staff
NYT
“Trump Tries to Set Expectations, and Floats Excuses, for His Debate With Biden”
– Shawn McCreesh in Racine, Wis.
NYT
“Louisiana Requires All Public Classrooms to Display Ten Commandments”
– Rick Rojas in Atlanta
Bloomberg
“What Putin and Kim’s Military Pact Means for the Rest of the World”
– Soo-Hyang Choi and Jon Herskovitz
WSJ
“This Judge Made Houston the Top Bankruptcy Court. Then He Helped His Girlfriend Cash In”
– Alexander Gladstone, Andrew Scurria and Akiko Matsuda
AP
– Lori Hinnant in Paris, Vasilisa Stepanenko in Kharkiv, Ukraine and Hanna Arhirova in Kyiv
PRESENTED BY GOLDMAN SACHS 10,000 SMALL BUSINESSES VOICES
Some fast facts:
→ | 80% of small business owners who are hiring are finding it difficult to recruit qualified candidates |
→ | 62% of small business owners think being able to offer a child care benefit to their employees would have a positive impact on talent recruitment and retention |
→ | 55% of small business owners say candidates for office have insufficiently addressed affordable child care |
→ | 20% of small business owners are undecided in the Presidential election |
Small business owners’ votes are up for grabs — 96% of them plan to vote in November, but they are more likely to be undecided than the general population. They want to hear about candidates’ plans to make child care affordable and accessible. Learn more.
Editorial photos provided by Getty Images. Political ads courtesy of AdImpact.
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