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Scoop: Heritage to back CR deal

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Sep 18, 2023 View in browser
 

By Bethany Irvine

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Even as a slew of conservative lawmakers have shot down the short-term Spending deal brokered by the GOP’s moderate and conservative wings, Speaker Kevin McCarthy hasn’t yet given up hope. | AP

SCOOP: HERITAGE BACKS CR DEAL — The agreement brokered by leaders of the House GOP’s Main Street Caucus and House Freedom Caucus got a substantial backer today when the Heritage Foundation, a leading conservative think tank, announced its support for the CR deal.

“The proposal cuts spending and seeks to end a worsening, self-inflicted border crisis,” reads the statement, shared first with Playbook. “On the spending front, the proposal temporarily reduces non-defense, non-veterans, and non-disaster relief spending by more than 8% from fiscal year (FY) 2023 levels. By maintaining current FY 2023 funding levels for defense and veterans, it marks a nearly 1% cut from FY 2023 spending levels overall. More needs to be done to rein in out-of-control government spending, but this is a start. …

“The conservatives in the House of Representatives who crafted this deal are to be commended for taking seriously the two crises facing our nation. The House must continue to fight to secure the border and for more, permanent spending cuts to reduce our ruinous deficit and debt, curb inflation that is hurting American families, and rein in the woke and weaponized government.” (More on the deal — and its long odds of passing — below.) 

WEXTON PASSES ON REELECTION — Rep. JENNIFER WEXTON (D-Va.) announced this morning that she will not seek reelection in 2024 after finishing her term in Congress due to worsening health concerns. The 55-year-old, who flipped her competitive northern Virginia district in 2018, disclosed in April that she was diagnosed with Parkinson’s Disease. Today, she announced that further testing modified that diagnosis to “Progressive Supra-nuclear Palsy — a kind of ‘Parkinson’s on steroids.’”

“The rare neurological disorder — often mistaken for Parkinson’s because the early symptoms are similar — typically progresses more rapidly, does not respond as well to treatment and has no cure,” WaPo’s Jenna Portnoy writes.

In a moving 90-minute sit-down with Wexton in her Leesburg home, Portnoy writes the congresswoman “spoke with difficulty, her words garbled and running together, about her career and plans with help from two staffers, often letting the tears flow. …

“Last week she asked [Rep. ABIGAIL] SPANBERGER [D-Va.] and freshman Rep. JENNIFER McCLELLAN (D-Va.) to enter that office through a side door, a sign the meeting would be serious. ‘I’m running for governor in 2025,’ Wexton deadpanned. Both on the shortlist for governor, the women didn’t make a sound. Then Wexton laughed, and they all cried.”

A closing gut punch: “She tries to focus on what’s working. Fixing her gaze on her chief of staff and longtime confidante, ABIGAIL CARTER, their eyes red, Wexton said she is determined to tell her story on her own terms. ‘It’s okay,’ Wexton assured Carter, before allowing herself to say how it really is. ‘It’s not okay. It’s not okay at all … I’m going to die, which isn’t fair.’”

BIDEN SUES IRS — In a twist worthy of the midseason finale of a prestige legal drama, HUNTER BIDEN filed suit today against the federal government helmed by his father, President JOE BIDEN, alleging that the IRS violated his privacy rights by improperly disclosing facts of his federal tax investigation to Congress and media outlets.

Hunter Biden’s legal team focused their 27-page lawsuit on two agents, GARY SHAPLEY and JOSEPH ZIEGLER, claiming that "while Mr. Biden has previously been the victim of various leaks regarding the IRS investigation," the two agents and their attorneys recently "raised the stakes" with recent public appearances, and engaged "in a campaign to publicly smear Mr. Biden."

Although Hunter is the president’s son, “[h]e has all the same responsibilities as any other American citizen, and the IRS can and should make certain that he abides by those responsibilities,” Biden’s lawyers wrote. “Similarly, Mr. Biden has no fewer or lesser rights than any other American citizen, and no government agency or government agent has free reign to violate his rights simply because of who he is.”

The filing comes less than a week after the younger Biden was indicted on federal firearms charges in Delaware, and just days after House Speaker KEVIN McCARTHY formally opened an impeachment investigation into President Biden that is focused on his family’s financial dealings.

THE McCARTHY REBELLION GROWS — Even as a slew of conservative lawmakers have shot down the short-term spending deal brokered by the GOP’s moderate and conservative wings, McCarthy hasn’t yet given up hope on the effort to avoid the government shutdown looming just 13 days from now.

"Let’s let them understand what it is and see where they are,” McCarthy told CNN’s Morgan Rimmer on the GOP hardliners opposing the bill.

It’s all pretty personal for McCarthy, whose leadership has continuously been called into question by some in his party as the spending debate rages on.

In a scalding statement on X this morning, Rep. VICTORIA SPARTZ (R-Ind.) called McCarthy “a weak speaker.” “Unfortunately, real leadership takes courage and willingness to fight for the country, not for power and a picture on the wall,” she wrote.

And just as a measure of how much some members are pushing back against the latest proposal, Rep. ANNA PAULINA LUNA (R-Fla.), who is still recovering after giving birth — and is currently on the mend from a fever and infection — has said she would still come to D.C. to vote no on the bill, The Hills’ Emily Brooks reports. “If I'm needed, I’m coming,” she said, vowing to “fly to vote no because I know how important this is.’”

Even if McCarthy can salvage enough support for the continuing resolution, a highly partisan bill is almost guaranteed to be blocked by the Senate. Yet when asked about the bill’s obstacles in the upper chamber, McCarthy struck an optimistic note: “It’s a good thing I love a challenge, because every day will be a challenge.”

Good Monday afternoon. Thanks for reading Playbook PM. Drop me a line: [email protected].

 

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2024 WATCH

POISON IVY — “On the Campaign Trail, It’s DeSantis and Ramaswamy vs. Harvard and Yale,” by WSJ’s Julie Bykowicz and Ted Mann: “The two presidential candidates are among a growing class of Republican Ivy Leaguers who are bashing their alma maters to appeal to populist voters. What they don’t mention is how much those degrees paved the way for their ascent into the highest levels of politics and business.”

AN ISSUE THAT SHOULD GET MORE ATTENTION — “Americans Can Barely Afford Homes — and That’s a Problem for Biden,” by Bloomberg’s Mark Niquette

MORE POLITICS 

HE’S RUNNING — Former Rep. GIL CISNEROS is jumping into the race to replace retiring Rep. GRACE NAPOLITANO (D-Calif.), Melanie Mason scoops: “Cisneros was a philanthropist and political outsider when he won his first campaign in 2018 as part of the anti-Trump wave … This time, he is running as a Washington veteran whose work has put him squarely at the center of national culture war battles. The race will test the resonance of the partisan culture clashes with voters in a solidly Democratic district.”

HE’S NOT — Despite the urging of several congressional Republicans, former Trump national security adviser ROBERT O’BRIEN has decided not to run for Sen. MITT ROMNEY’s Utah Senate seat, Daniel Lippman scoops.

EYEBROW RAISE — “Democratic ‘dark money’ critic Sheldon Whitehouse has deep ties to secret donor world,” by The Washington Examiners’ Gabe Kaminksy

 

GROWING IN THE GOLDEN STATE: POLITICO California is growing, reinforcing our role as the indispensable insider source for reporting on politics, policy and power. From the corridors of power in Sacramento and Los Angeles to the players and innovation hubs in Silicon Valley, we're your go-to for navigating the political landscape across the state. Exclusive scoops, essential daily newsletters, unmatched policy reporting and insights — POLITICO California is your key to unlocking Golden State politics. LEARN MORE.

 
 

THE ECONOMY 

HAPPENING THIS WEEK — Just as officials began to embrace the idea they may have quelled inflation, the Federal Reserve's upcoming meeting on Wednesday comes amidst "an autoworkers strike, a possible federal government shutdown, and a student loan squeeze on consumers posing new risks to that best-case outcome,” Reuters’ Howard Schneider reports:

“[W]ith the economy already expected to slow over the final months of the year, prolonged disruptions in the auto industry and at federal agencies could have unpredictable results: Sapping consumer spending, possibly pushing up car prices in a blow to the Fed's inflation fight, and producing the sort of knock to business and consumer confidence that could spell the difference between a ‘soft landing’ and a downturn.”

YELLEN ON UAW STRIKE — Treasury Secretary JANET YELLEN says it’s too soon to gauge the economic impact of the UAW strike. “It would depend very much on how long the strike lasts and exactly who's affected by it," Yellen said in an interview with CNBC’s Sarah Eisen this morning. “I don’t see any signs that the economy is at risk of a downturn. This is the best of both worlds to see continued strength in the economy, a good strong labor market and inflation moving down.”

CONGRESS 

MISTER CELLOPHANE — WaPo’s Rachel Roubein is up with a look at how legislation aimed at increasing health-care transparency and critical aid programs has divided key House Democrats. Set for a vote tonight, the bill would need a two-thirds majority to pass, but Democratic Reps. RICHARD NEAL (Mass.) and BOBBY SCOTT (Va.) “believe there are some policies missing from the legislation, and thus, didn’t sign on.”

The bigger picture: “Efforts to boost transparency into the health system’s opaque pricing schemes have been one of the major health issues both the House and the Senate are aiming to tackle this year. What happens in the House this week will determine how much momentum there is to get something done that both chambers could feasibly pass this Congress.”

LIGHTS, CAMERA, ACTION — “House Democrats press for cameras in federal courts, as Trump trials and Supreme Court session loom,” by CBS’ Scott MacFarlane

 

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BEYOND THE BELTWAY

STATE OF PLAY — “How Florida became the center of the Republican universe,” by Vox’s Nicole Narea: “[V]ictories [in the 2022 midterm elections] — along with Trump’s residency and DeSantis’s hardline policies — cemented Florida’s transition from a swing state to the center of the Republican universe. It was the seemingly inevitable conclusion of years-long Republican efforts to consolidate power, Democratic underinvestment, and shifting attitudes among once reliably blue voting blocs.”

AMERICA AND THE WORLD 

GOOD NEWS — “US prisoners fly out of Iran in swap deal after $6 billion unfrozen,” by Reuters’ Andrew Mills: “Five U.S. detainees flew out of Iran on Monday in a swap for five Iranians held in the U.S. under a rare deal brokered by Qatar between the arch enemies that also unfroze $6 billion of Tehran's funds. A Qatari plane took off from Tehran carrying the five with two of their relatives, shortly after the U.S. and Iran received confirmation that the funds had been transferred to accounts in Doha.”

The White House responds: “SIAMAK NAMAZI, MORAD TAHBAZ, EMAD SHARGHI, and two citizens who wish to remain private will soon be reunited with their loved ones—after enduring years of agony, uncertainty, and suffering. … Today, we are sanctioning former President MAHMOUD AHMADINEJAD and the Iranian Ministry of Intelligence under the Levinson Act for their involvement in wrongful detentions. And, we will continue to impose costs on Iran for their provocative actions in the region.’

DANCE OF THE SUPERPOWERS — “China’s Top Diplomat Due in Moscow After Surprise U.S. Talks,” by WSJ’s Sha Hua

 

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PLAYBOOKERS

HOT JOB  — Federal government affairs director for General Motors, via Daybook.

SPOTTED on Saturday at Adas Israel Congregation in Cleveland Park celebrating the first day of Rosh Hashanah: VP Kamala Harris, Second Gentleman Doug Emhoff and Justice Elana Kagan.

TRANSITIONS — Nu Wexler and Caitlin Legacki are launching Four Corner Public Affairs, a new comms firm. Wexler previously was a partner at Seven Letter and is a Google, Facebook, and Twitter alum. Legacki previously was a senior adviser to Commerce Secretary Gina Raimondo. (h/t Rebecca Kern). … Advaith Thampi is now strategic adviser and VSO liaison for the Chairman of the Board of Veterans’ Appeals at the VA. He most recently was director of government affairs and legislative counsel at Veterans Education Success. …  Joshua Goodman is now a partner resident at Morgan Lewis. He most recently was deputy assistant director of the Mergers II Division of the Federal Trade Commission.

WEDDING — Andre Barnett, head of global tax policy at Accenture and a Senate Finance Committee alum, and April Jones, senior government affairs counsel at Apple and an Amy Klobuchar alum, got married last weekend in Dallas, Texas. The couple met as new Senate staffers on the Hill. Pic … Another pic 

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