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THE TOP
Happy Monday morning.
The House is in session today, the Senate returns tomorrow. President Joe Biden will host British Prime Minister Rishi Sunak at the White House on Thursday. On Friday, Biden heads to the newly renamed Fort Liberty (it was Fort Bragg) in North Carolina.
On Capitol Hill, the end of the months-long debt-limit fight means a potentially catastrophic default isn’t in the cards until mid-2025 at the earliest.
Yet that doesn’t mean the budget drama is over for Washington, or that the bipartisanship of last week is something that will last. It isn’t, and it won’t.
Congressional leaders have pledged to finish the 12 annual spending bills in regular order this year for the first time in decades. That will take some cooperation, especially in the Senate. With only six weeks in session before the August break, it’s going to be a busy couple months.
Speaker Kevin McCarthy — undeniably stronger now than he was before the debt-limit showdown — will have to deal with serious unhappiness on his right flank. McCarthy and his allies are confident that they can beat any attempt by the House Freedom Caucus or conservative critics to use a motion to vacate to unseat him.
Yet conservatives can cause real problems for McCarthy over a budget resolution or appropriations bills. They’re fundraising against their own leadership’s failure to cut spending back to FY2022 levels. They’re angry that McCarthy relied on Democrats to pass the rule for the Fiscal Responsibility Act. And they’ll seek to blow something up soon.
House Republicans also will continue to press their investigations into Biden, his family and the broader administration (more on this below). Look for pressure to impeach Homeland Security Secretary Alejandro Mayorkas to pick up. Attorney General Merrick Garland could also come under more scrutiny. McCarthy and the GOP leadership may see this as a safety valve of sorts — let rank-and-file House Republicans press ahead on this front in order to deflect some of the anger aimed at the speaker.
House GOP leaders will continue to push “culture war” issues, too, as Biden gears up for his 2024 reelection run.
Just this week, the House will vote on H.R. 1640, the Save Our Gas Stoves Act, as well as H.R. 1615, the Gas Stove Protection and Freedom Act. Other Republican-drafted bills up for a vote include the REINS Act — to cut down on federal regulations — and the Separation of Powers Restoration Act, which is designed to change how much weight federal judges give to executive-branch actions during lawsuits.
While none of these bills will go anywhere in a Democratic-run Senate, they’re all touchstones for the GOP base. Conservative activists are challenging the influence of federal regulators as they try to overturn the 1984 Chevron case via the Supreme Court. This would be a major blow to Biden’s climate agenda.
But the expected struggle over a Ukraine-focused Pentagon supplemental package — we previewed this on Friday — will likely be the biggest clash of the fall.
There’s a sizable group of GOP lawmakers who want to scale back or end such funding — including the leading Republican presidential candidates — so this will be a major flashpoint. Ukrainian forces are expected to launch a counteroffensive soon, and Ukrainian President Volodymyr Zelensky is already expressing concern about what will happen after the 2024 election.
With non-defense discretionary spending essentially frozen — and conservatives looking for a pound of flesh after McCarthy turned to Democrats to win a key procedural vote on the Fiscal Responsibility Act — there’ll be numerous sharp policy disputes as appropriators try to put together the FY2024 bills. Abortion, climate change, diversity and critical race theory, guns, border security, Covid, the FBI and “weaponizing government” will all be controversies that lawmakers have to wade through.
But the fate of Julie Su, Biden’s nominee for Labor secretary, will be a more immediate concern for the White House and Senate Democrats.
Su’s nomination has been hung up in the Senate for weeks in the face of united Republican opposition. Three moderates — Democrats Joe Manchin (W.Va.) and Jon Tester (Mont.), as well as Sen. Kyrsten Sinema (I-Ariz.) — are undecided. Su’s fate rests with these three.
Sinema, in particular, is seen as the key vote by union insiders. The AFL-CIO and other labor unions will restart a TV ad campaign in Arizona and nationally supporting Su.
However, there isn’t expected to be any action on Su’s nomination this week on the Senate floor. The delay will undoubtedly again raise questions about whether Su can be confirmed.
In the meantime, Su is continuing to run the Labor Department in an acting role. And the Senate will be focused on other nominations — both judicial and executive — during this abbreviated Tuesday-to-Thursday week.
One nomination to watch — Dilawar Syed for deputy administrator of the Small Business Administration. Syed was blocked in committee by Sen. Rand Paul (R-Ky.) and other Republicans during the last Congress over his ties to an anti-Israel group, as well as other unrelated issues. Biden renominated him this year, and the Small Business Committee approved his nomination. Senate Majority Leader Chuck Schumer has filed cloture on the nomination, although the New York Democrat hasn’t scheduled a vote yet.
Also: Sunak is scheduled to be at the Capitol on Thursday, where he’ll meet with Schumer and Minority Leader Mitch McConnell. This will be another opportunity for defense hawks to make their case for more Ukraine funding.
— John Bresnahan and Andrew Desiderio
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📅
What we’re watching
Tuesday: House Transportation and Infrastructure will have a hearing on Amtrak, featuring its CEO. House Energy and Commerce will have a hearing on AM radio. House Agriculture will have a hearing on digital assets. House Oversight will have a hearing on ESG.
Wednesday: The House Administration and Oversight and Accountability committees will have a joint hearing on election integrity in the District of Columbia. House Financial Services will have a hearing on the U.S. dollar.
Thursday: Senate Commerce will have a hearing on “junk fees.”
— Jake Sherman
Comer’s Wray spat ratchets up in intensity
House Oversight and Accountability Committee Chair James Comer (R-Ky.) will finally view an FBI document today that he’s been battling the bureau over for weeks.
But even with the new access, Comer is amplifying his feud with the FBI, vowing to move ahead with a contempt vote against Director Christopher Wray later this week.
To review: In May, Comer requested access to an FBI document that provides a summary of an informant tip about an alleged bribery scandal involving then-Vice President Joe Biden. Today, Comer will review that FD-1023 form, which isn’t evidence of any wrongdoing.
But that has far from satisfied Comer, who is demanding the FBI go further and hand over the document to the Oversight Committee. Currently, the bureau is only allowing Comer and the panel’s top Democrat, Rep. Jamie Raskin (D-Md.), to view the document in camera at a secure facility on the House side.
Comer is pledging to mark up a resolution this week holding Wray in contempt of Congress for refusing to fully comply with his subpoena. Democrats are very unhappy at the decision, claiming Comer is playing politics despite Wray making good-faith efforts to accommodate the Oversight request.
Sen. Chuck Grassley (R-Iowa), Comer’s partner in the quest for the FD-1023, didn’t help matters much when he told Fox News late last week that “we aren’t interested in whether or not the accusations against Vice President Biden are accurate or not.”
Grassley’s point was that the congressional investigators are focused more on how the FBI dealt with the tip when it was submitted in mid-2020. But Democrats jumped on the comment as evidence the Wray flap was partisan in nature.
So what exactly does the document in question pertain to? Raskin told CNN on Sunday he believes it has to do with Ukraine and Rudy Giuliani. This allegation was deemed by former President Donald Trump’s DOJ as insufficient to move ahead with any action against Biden.
— Max Cohen
PRESENTED BY CITI
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THE CAMPAIGN
Progressive Caucus PAC launches executive board
News: The Congressional Progressive Caucus PAC is creating an executive board of lawmakers for the first time as the liberal organization seeks to flex its muscles in congressional primaries.
Six members — Reps. Greg Casar (D-Texas), Lloyd Doggett (D-Texas), Maxwell Frost (D-Fla.), Chuy García (D-Ill.), Delia Ramirez (D-Ill.) and Jill Tokuda (D-Hawaii) — will comprise the executive board.
Casar, Frost, Ramirez and Tokuda are all freshmen. It’s a sign the CPC PAC is prioritizing the input of younger, dynamic members who emerged victorious during open primaries in 2022. Read more here.
— Max Cohen
McCarthy exceeds K Street leaders’ expectations
One of Speaker Kevin McCarthy’s favorite lines since winning the gavel during January’s grueling floor fight is that he’s been underestimated by the media, congressional Democrats and the Washington establishment.
Fresh off his debt-limit bill victory, the latest results from our survey of K Street leaders provide a validation of sorts for McCarthy.
Around 76% of downtown leaders said McCarthy has been more effective than they initially believed he’d be after winning the speakership. The Canvass K Street survey was conducted May 8-26 in partnership with Locust Street Group.
The passage of the Fiscal Responsibility Act last week also proved the majority — 57% — of our respondents were correct to have confidence about our political leaders’ ability to negotiate a solution to raise the debt limit.
The deal was a significant win for McCarthy. The speaker won some of the key policy priorities Republicans had sought, including expediting permitting for energy projects, cutting government spending, implementing two years of spending caps and new work requirements for social welfare programs.
President Joe Biden, though, protected his legislative achievements from the last Congress intact, so he won, too.
— Max Cohen
PRESENTED BY CITI
How local trends can drive global opportunities.
MOMENTS
10 a.m.: President Joe Biden will get his daily intelligence briefing.
1:30 p.m.: Biden will meet with Mette Frederiksen, the prime minister of Denmark.
1:45 p.m.: Karine Jean-Pierre will brief.
4:30 p.m.: Biden will host the Super Bowl champion Kansas City Chiefs at the White House.
Biden’s week ahead: Tuesday: Biden will host a Cabinet meeting. Thursday: Biden will meet with British Prime Minister Rishi Sunak. The pair will hold a news conference. Biden is also hosting a Pride Celebration on the South Lawn featuring Betty Who.
Friday: Biden will travel to Rocky Mount, N.C., to discuss “how career-connected learning and workforce training programs are preparing students for good-paying jobs.” The Bidens will also visit Fort Liberty, N.C., to meet with service families. They’ll then return to Washington and spend the weekend at Camp David.
Sunday: The Bidens will return to the White House and will host a reception for the Ford’s Theater Gala at the White House.
CLIP FILE
NYT
→ | “Sonic Boom Heard Across D.C. Area Was From Military Jets, Officials Say,” by Julian E. Barnes, Livia Albeck-Ripka and Amanda Holpuch |
→ | “In Israel, Tough Questions Follow Fatal Attack on the Egyptian Border,” by Isabel Kershner in Jerusalem |
Bloomberg
→ | “Oil Rises After Saudis Pledge Million-Barrel Cut at OPEC+ Meet,” by Yongchang Chin |
→ | “Biden Debt-Bill Signing Set to Unleash Tsunami of US Debt Sales,” by Alex Harris and Christopher Condon |
WSJ
→ | “Wall Street Backs Off Bets on Fed Rate Cuts,” by Matt Grossman |
AP
→ | “Russia says it thwarted attack in Donetsk; unclear if this was start of Ukrainian counteroffensive,” by Susie Blann in Kyiv, Ukraine |
Politico
→ | “The slow-motion trainwreck everyone sees coming,” by Katy O’Donnell |
Editorial photos provided by Getty Images. Political ads courtesy of AdImpact.
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