Why Thune is going to Trump early

IN THIS EDITION

Thune’s big Trump card

The race to succeed Connolly is on

Vought wants OMB funding boost

Mike Johnson has a new general counsel

The Vault: Are X’s ‘blue checks’ evading terror sanctions?

THE TOP

Thune’s big Trump card

Happy Wednesday morning.

Senate Majority Leader John Thune is already playing his biggest card — President Donald Trump.

With the fate of Trump’s legislative agenda at stake — especially extending the 2017 tax cuts — Thune is using the president to help push the GOP reconciliation package through the Senate in ways that his predecessor, Sen. Mitch McConnell (R-Ky.), wouldn’t have.

Thune is enlisting Trump to help wrangle the various factions in the Senate GOP Conference, knowing that at the end of the day, the president will have to help close any deal to get 51 votes. And the end product isn’t predetermined by the Republican leadership.

Unlike McConnell, Thune is making Trump a day-to-day part of the process and letting his GOP senators hash it out to find consensus.

Thune and Trump huddled at the White House on Monday. And Thune is a big reason why Trump began calling individual GOP senators soon afterward to discuss their concerns over the House-passed reconciliation package.

There’s another benefit for Thune here: By not allowing any space between himself and Trump, Thune can’t be blamed if things go south. This is always a good idea with Trump. All credit goes to Trump if things go well, of course, while blame goes somewhere else if they don’t.

This Trump-Thune dynamic, and the way it’s playing out during reconciliation, is a big change for the Senate GOP Conference.

Case in point: There are two critical reconciliation meetings happening today. First, Senate Republicans are holding an afternoon meeting to talk about plans for the “One Big, Beautiful Bill.” Then Senate Finance Committee Republicans are heading to the White House for a 4 p.m. meeting with Trump.

The Finance panel, chaired by Sen. Mike Crapo (R-Idaho), faces some of the most difficult questions in reconciliation including what, if anything, to change from the House tax-cut language. Trump has some key campaign promises in there, including no tax on tips or overtime pay, as well as tax cuts for seniors.

Senate Republicans also aren’t sure how to handle SALT, an existential political matter for several blue-state House Republicans. Thune said the SALT deal needs to change.

Plus, Finance has jurisdiction over Medicaid cuts, an enormous concern for moderate Republicans and senators with large numbers of Medicaid recipients in their home states.

Thune’s approach during this high-stakes phase of the reconciliation process is a sharp departure from what most Senate Republicans have grown accustomed to.

McConnell’s top-down approach got old with many Republicans after 18 years in power, fueling promises for change during last year’s Republican leadership race. Thune ran for GOP leader by promising to empower the conference to work its own will, rather than dictate the outcome of each debate.

The South Dakota Republican did the same with Trump’s Cabinet nominees. Thune didn’t promise a particular outcome to Trump, instead letting the president exert his sway with GOP senators when needed.

There’s one more Trump-centric issue for Thune – what to do about Elon Musk. Musk panned the GOP reconciliation bill on Tuesday, which was immediately seized on by some Republican critics of the measure. Trump is the only one who can counter that, as Thune knows.

The WH factor. The Finance Committee’s session with Trump today is meant to focus on plans for the tax portion of Republicans’ bill. But it’s Trump, so this conversation can go anywhere, of course.

The panel’s roster doesn’t only include Thune and Senate Majority Whip John Barrasso. It also has Republicans such as Sen. Ron Johnson (R-Wis.), who insists he can’t vote for the House-passed reconciliation bill because it doesn’t cut enough federal spending. Johnson said he’ll continue to drill down on those concerns at today’s Trump meeting:

Sen. Roger Marshall (R-Kan.), another Finance member who’s pushing to hit $2 trillion in spending cuts, said tax writers need Trump to focus the debate.

“We need his leadership to say of all the things we could do, here’s my priorities,” Marshall said.

Finance’s ranks also include Sen. Thom Tillis (R-N.C.), who’s in-cycle and is raising concerns about the House bill’s repeal of IRA clean-energy tax credits. Tillis said he expects a big-picture discussion at the White House and more guidance on “where the president feels comfortable with us finding additional savings.”

And there’s lots of interest from Senate Republicans in making a few more tax cuts permanent from the House bill.

Sen. Steve Daines (R-Mont.) spoke up during Tuesday’s lunch meeting to push for making key business tax breaks — the full research and development deduction, bonus depreciation and interest expensing — permanent. The House bill restores them for 2025 through 2029.

“That is a red line for me,” Daines told us. “If that’s not in the bill, I’ll vote against it.”

Daines has been vocal about his demands for making pieces of the 2017 tax bill permanent this time around.

Ad news: The American Action Network is running a $4.2 million ad buy across 28 congressional districts touting the tax benefits of the GOP reconciliation bill.

Here’s an example of an AAN ad running to boost Rep. Juan Ciscomani (R-Ariz.). The ad thanks Ciscomani for “putting more money back in your pocket,” singling out the elimination of taxes on overtime and tips, in addition to cutting taxes for seniors.

AAN — the Congressional Leadership Fund’s sister organization — is also running attack ads against vulnerable House Democrats. Here’s a spot targeting Rep. Derek Tran (D-Calif.) that criticizes the incumbent for “supporting the largest tax hike in American history.”

— Andrew Desiderio, Laura Weiss, John Bresnahan and Max Cohen

Join us next Wednesday, June 11 at 9 a.m. ET for a conversation with Sen. Ted Cruz (R-Texas). Punchbowl News Founder Jake Sherman will sit down with Cruz to discuss news of the day, 5G and spectrum policy. This event is the first in our two-part series, “America’s 5G Leadership.” RSVP to reserve your spot now!

PRIMARY WATCH

The race to succeed Connolly is on

The special election for the late Rep. Gerry Connolly’s (D-Va.) seat will be House Democrats’ first true temperature check of their base in the second Trump era.

And it will take place in a district that borders the Beltway with a constituency of federal workers who are perhaps most affected by President Donald Trump’s efforts to dismantle huge chunks of the federal government.

Republican Gov. Glenn Youngkin set the special election for Sept. 9. The timing of the primary process will be set by Virginia’s 11th Congressional District Democratic Committee — most Democrats expect it to be in late June or early July. Connolly passed away on May 21.

The field is getting larger by the day. But an early primary date benefits the elected officials running who already have name ID and an existing fundraising base.

The candidates. Fairfax County Supervisor James Walkinshaw has the most establishment support with endorsements from the late Connolly, Rep. Don Beyer (D-Va.) and former Rep. Jennifer Wexton (D-Va.). He already represents a huge swath of the 11th District, which includes much of Fairfax County and Fairfax City.

“I spent 11 years as Gerry Connolly’s chief of staff, including during the first Trump administration,” Walkinshaw said. “I have an experience that’s unique in the race, and gives me the ability to do the job effectively on day one.”

State Sen. Stella Pekarsky also represents a chunk of the district and has nabbed endorsements from leaders in the Virginia Senate.

Then there’s state Del. Irene Shin, who entered the race Tuesday with a splashy launch video, a call for generational change and a pledge not to be “bullied by party bosses.”

Shin is 37. Walkinshaw is 42. Pekarsky is 46.

“Generational change refers to more than just age,” Shin said. “It’s also about a mentality and a cultural shift and a willingness to disrupt the way that we’ve always done things.”

Democrats in Congress, she said, have failed to meet the moment in their response to Trump.

This district has more federal workers than any other except those with military bases, making it generally more establishment-friendly.

Every candidate in the race will vow to take on Trump, but their styles differ. It’s a fascinating test of whether Democratic primary voters want someone more disruptive of the status quo or someone who adopts a more traditional approach.

Remember, these candidates have a very short time period to fundraise and air ads in the pricey Washington media market.

– Ally Mutnick

FUNDING FIGHT

Vought wants OMB funding boost

OMB Director Russ Vought is leading the Trump administration’s effort to slash federal spending, acting as President Donald Trump’s hatchet man in seeking to cut down the “deep state.”

But when Vought testifies before a House Appropriations subcommittee this afternoon, he’ll come armed with a budget that’s pushing a funding boost for at least one agency – his own.

The Trump administration’s FY2026 budget calls for a 13% funding increase for OMB to $146 million. This comes even as the White House wants to cut more than $160 billion from non-defense discretionary spending across other departments and agencies.

OMB says the request for more funds is needed as it’s working on a major deregulatory effort.

The spending boost for the White House budget office will be one small part of what’s expected to be a tense hearing. Vought is at the center of the Trump administration’s controversial overhaul of the federal workforce, spearheading mass firings and total eliminations of some agencies.

This is also the first time Vought will publicly face both GOP and Democratic appropriators since the onslaught of his whirlwind spending freezes. Vought will appear before the Financial Services and General Government subcommittee starting at 2 p.m. today.

The White House released a $9.4 billion rescissions package on Tuesday as well. Vought is seeking to slash U.S. foreign aid by billions of dollars. The White House also wants to cut more than $1 billion from the Corporation for Public Broadcasting, which helps fund PBS and NPR.

Even Republicans believe that the White House is pushing hard on this issue, with more rescissions packages expected in the coming months.

“This is a very aggressive rescissions package,” acknowledged Rep. Mario Diaz-Balart (R-Fla.), who oversees funding for the State Department and foreign aid.

Dems on attack: Democrats plan to aggressively question Vought about his proposed budget cuts. Democrats also argue that spending freezes already instituted by the White House violate a 1974 law that requires agencies to spend funds appropriated by Congress.

Here’s some of what House Appropriations Committee ranking member Rosa DeLauro (D-Conn.) plans to say to Vought:

For years, Vought has been making the argument that the 1974 Impoundment Control Act is unconstitutional and should be overturned by the Supreme Court, which is where a lot of these issues are likely to be ultimately decided.

Cardinal’s focus: Rep. David Joyce (R-Ohio), the chair of the Appropriations subcommittee holding the hearing, plans to note how OMB is in a unique position as an agency created by Congress yet is responsible for fulfilling the president’s priorities.

“But as appropriators of the federal government, we need to work with OMB to ensure that funds are being used as Congress intended,” Joyce says in his planned opening statement.

– Samantha Handler and John Bresnahan

… AND THERE’S MORE

Mike Johnson has a new general counsel

News: Speaker Mike Johnson has hired the general counsel for the Senate Banking Committee as his top lawyer.

Rachel Kaldahl, who was also the deputy staff director on Senate Banking, will take over for Ashley Callen, who recently left the Hill for Jenner & Block.

Kaldahl, a graduate of Temple University’s law school, has ample House experience. She was the chief oversight counsel for the House Financial Services and House Ways and Means committees. She also worked on the House Oversight Committee.

Stefanik’s new PAC. Rep. Elise Stefanik (R-N.Y.) is launching a new PAC in New York “to support Republican candidates across New York in 2025, and laying the groundwork to save New York by firing Kathy Hochul in 2026.”

Stefanik is considering a bid for NY governor in 2026. This move will only heighten the speculation around Stefanik.

Silencer poll: The gun control group GIFFORDS has a new poll from Senate battleground states showing that GOP efforts to make gun silencers more easily available is deeply unpopular.

The House Republican version of reconciliation eliminates a $200 federal tax on silencers. But according to the GIFFORDS’ poll, large majorities of voters — including voters for President Donald Trump — don’t want to see that happen and are opposed to the proposed changes (which may not get through the Senate anyway.) Here’s the poll.

Maine Senate news: Jordan Wood, a former Hill aide, is staffing up for his run against Sen. Susan Collins (R-Maine). Among the hires: Alex Obolensky, an alum of Rep. Lizzie Pannill Fletcher (D-Texas), will be the campaign manager; Dan Jenkins, a former campaign manager for Rep. Jared Golden (D-Maine), will be the political director; and former DCCC executive director Tim Persico will be a digital advertising consultant.

Reed Adamson and Valerie Martin will be the media consultants.

The money game: The Equality PAC raised $650,000 for its annual Pride gala tonight held at the Andrew W. Mellon Auditorium.

Senate Minority Leader Chuck Schumer, House Minority Leader Hakeem Jeffries, House Democratic Whip Katherine Clark and Equality PAC Co-Chairs Reps. Ritchie Torres (D-N.Y.) and Mark Takano (D-Calif.) are planning to attend. Actor Eugene Levy will be presented with the Nancy Pelosi Equality Ally Award.

Endorsements: The Blue Dog PAC’s first endorsement of the cycle is to back Rebecca Cooke in Wisconsin’s 3rd District.

– Jake Sherman, Ally Mutnick, Mica Soellner and John Bresnahan

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