Biden advisor cites 'some concern' with Taiwan security bill amid 'distinct threat' from China

White House National Security Adviser Jake Sullivan said the Biden administration has “some concern” with a Taiwan security bill moving through congress, as he said China continues to pose a “distinct threat” bill for the self-governing island nation.

In an interview with David Rubenstein on Bloomberg’s “The David Rubenstein Show: Peer-to-Peer Conversations,” which will air in entirety on Sept. 21, Sullivan said he planned to meet with lawmakers on Wednesday to discuss the Taiwan Policy Act of 2022.

The bill would authorize $4.5 billion in funding to Taiwan through 2026, designate the island nation as a “major Non-NATO ally” and impose other measure to counter China’s “aggressive influence campaigns.”

“There are elements of that legislation with respect to how we can strengthen our security assistance for Taiwan that are quite effective and robust,” Sullivan said. “There are other elements that give us some concern.”

The bipartisan legislation is sponsored by Sen. Bob Menendez (D-N.J.) and Sen. Lindsey Graham (R-S.C.).

Sullivan added in the interview that China has made clear that an invasion of Taiwan is still on the table.

“It remains a distinct threat that there could be a military contingency around Taiwan,” Sullivan told Rubenstein. “That remains one of the potential options for the reunification of Taiwan.”

The Biden administration last week requested Congress approve more than $1 billion in arm sales to Taiwan.

Sullivan said the U.S. remains firm in supporting the status quo toward the contested island, which is a policy of “strategic ambiguity” that acknowledges Taiwan is a part of China but affirms that the People’s Republic of China (PRC) does not have sovereign control over the island nation.

“There should be no unilateral changes to the status quo across the Taiwan strait,” Sullivan said Wednesday. “We continue to believe that and we will continue to push back against any effort to change the status quo.”

The Hill has reached out to the National Security Agency and the White House for more information on the concerns cited by Sullivan.

A PRC invasion of Taiwan has been a rising concern as Chinese officials have ramped up rhetoric on reclaiming Taiwan, which has governed independently of China since 1949.

Beijing has also escalated military drills in the Taiwan Strait and around the island, which is just off the Chinese mainland.

Last month, U.S. House Speaker Nancy Pelosi (D-Calif.) led a delegation to Taiwan, drawing the ire of the PRC, which launched missiles over the island and executed unprecedented military drills.

Source: TEST FEED1

New poll shows Biden with six-point lead on Trump

President Biden is leading former President Trump by six points in a hypothetical 2024 presidential matchup, new polling shows.

In a Yahoo News-YouGov poll released Wednesday, 48 percent of registered voters said they’d cast their ballot for Biden “if the 2024 election were held today” — while 42 percent said they’d vote for Trump.

Biden held a 3-point lead in the hypothetical 2020 rematch in a similar August poll. Trump’s support was steady across both surveys.

The president’s widening lead over his predecessor comes in the wake of Biden’s “Soul of the Nation” speech last week. During the rare primetime political address, Biden lambasted Trump and his “Make America Great Again” supporters as a danger to democracy.

Biden’s approval ratings have also been climbing back from record lows earlier this year, amid a series of legislative wins for Democrats and declining gas prices. The new poll found the president with a 43 percent approval rating among registered voters.

More Democrats say Biden should run again than shouldn’t, a reversal of results from August.  

Last month, 43 percent of Democrats said Biden should not seek reelection, while 35 percent said he should. In the latest poll, 30 percent of Dems said shouldn’t and 44 percent said he should.

Democrats are also polling ahead of Republicans by five points on a generic congressional ballot, with 45 percent of registered voters saying they’d vote for the hypothetical Democrat candidate and 40 percent saying they’d back the Republican.

At the same time, just 24 percent of registered voters overall said Biden should seek reelection, while 59 percent said he shouldn’t and the rest were unsure. By contrast, 29 percent said Trump should run in 2024, while 60 percent said he shouldn’t.   

Conducted Sep. 2-6, the poll surveyed 1,634 U.S. adults weighted by gender, age, race, education, voter registration status and 2020 presidential vote. The poll had a 2.6 percent margin of error.

Source: TEST FEED1

FBI sought to interview 31-year-old Trump aide: NYT

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The FBI this week sought to interview a 31-year-old former Trump aide as part of its investigation into the Jan. 6, 2021, attack on the U.S. Capitol, according to The New York Times.

FBI agents in Florida attempted to interview William Russell, who served as a special assistant and the deputy director of presidential advance operations in the White House under former President Trump and continued working with Trump after he left office.

Russell has not yet been interviewed, the Times reported, citing people familiar with the matter. But it signals that federal investigators are inching closer to Trump’s personal orbit of advisers and confidantes.

The Department of Justice (DOJ) is probing the Jan. 6 attack on the Capitol and Trump’s efforts to overturn the 2020 election in his favor. It has also formed a grand jury for the case.

Last month, the DOJ subpoenaed former White House counsel Pat Cipollone, who testified before the House select committee investigating the Jan. 6 attack that he had concerns about how Trump responded on the day of the riot at the U.S. Capitol.

House lawmakers on the committee argued in a series of hearings over the summer that Trump pushed forward a variety of schemes to stay in power, including pressuring state officials to swing the election in his favor and pushing former Vice President Mike Pence to not certify the election results.

When Pence declined, Trump encouraged rioters to storm the Capitol, the House committee argued, and sat idly by for hours as his supporters clashed with police.

The House committee in July announced it had turned over 20 depositions to the DOJ.

The DOJ grand jury, which has considerably more legal power than the House committee, appears to still be in a fact-gathering and investigatory stage, and it’s unclear what charges, if any, will be brought against the former president as a result of the probe.

DOJ investigators executed search warrants on both former Trump attorney John Eastman and Jeffrey Clark, the former Justice Department assistant attorney general.

The DOJ has also brought two former Pence aides before the grand jury.

Source: TEST FEED1

Trump controversy sparks scramble for McConnell, Senate GOP

Senate Republicans are scrambling to play defense two months before Election Day because of the embarrassing revelation that the FBI seized dozens of classified documents from former President Trump’s Mar-a-Lago residence.

Republican senators want to talk about Biden’s economic record and inflation but instead are being barraged by questions about Trump’s decision to stash more than 300 classified documents at his personal residence, an apparent violation of the 1978 Presidential Records Act.  

The revelation late Tuesday in a Washington Post report that the discoveries included top secret information about the nuclear capabilities of a foreign country have only worsened the episode from a GOP political point of view.  

Most Republicans in the Senate are treading cautiously on the gravity of Trump’s actions until they have more information about the sensitivity of the documents and how much of a risk any security breaches may pose to U.S. intelligence sources and methods.  

“I think classified information is supposed to be handled in a certain way, and obviously we understand that here,” said Senate Republican Whip John Thune (S.D), referring to the secure facility in the Capitol basement where senators are required to review sensitive intelligence documents.  

“We’ll know more information, I assume, in the future as more facts come out about what actually was taken, what it consisted of and then I think we’ll be able to make clear conclusions about it,” he said.  

Thune cautioned: “The rules for handling classified information are pretty clear.”  

Yet Thune also called the FBI raid of a former president’s residence “an extreme measure.”  

“There’s got to be a really good justification,” he said.  

The latest news bombshell came Tuesday with the Post’s report that FBI agents found a document describing a foreign government’s military defenses and nuclear capabilities at Mar-a-Lago. The information was so secret that only the president and Cabinet-level or near-Cabinet-level officials could authorize access to its contents, according to the Post.  

Some Republicans, notably Sens. Mitt Romney (R-Utah) and Susan Collins (R-Maine), are voicing serious concerns about what looks like to be a serious breach of national security protocol. 

“It’s stunning, it’s outrageous that highly sensitive documents of the United States of America were kept in an insecure place. That’s why we have laws to prevent it,” Romney said in response to the report of Trump’s position of highly classified military information.  

Romney said whether a criminal prosecution is warranted “will be up to the prosecutors.” 

Collins, a member of the Intelligence Committee, said she’s also concerned about what the FBI reportedly found at Trump’s residence and renewed her call for a full accounting of what documents the FBI seized at Mar-a-Lago.  

“Of course I’m concerned there are classified documents,” said Collins, though she added there is much that remains unknown.

“All we have are unsubstantiated leaks and that’s why I strongly support the request of the chairman and vice chairman of the Intelligence Committee for us to have full access to all the documents that were retrieved,” Collins said.  

She also asked for members of the Intelligence Committee to have access to the unredacted affidavit justifying the Mar-a-Lago raid. 

Other Republicans are trying to dodge the issue, and a few of Trump’s most stalwart allies are attacking the FBI’s motives for raiding Trump’s home.  

“I’m going to leave it to the FBI to go through the investigation and answer questions people have had about the warrant process but at this point I’m just going to let the investigation go forward and not comment on it,” said Sen. Thom Tillis (R-N.C.).  

Senate Republican Leader Mitch McConnell (R-Ky.), a member of Congress’s Gang of Eight, which has access to top-level intelligence briefings, on Wednesday said he hadn’t yet talked to other senior congressional leaders about what classified documents Trump had at his home and punted the issue to Sen. Marco Rubio (Fla.), the senior Republican on the Senate Intelligence Committee.  

“Having just gotten back, I have not personally talked to any of the other Gang of Eight about this,” McConnell said, referring to the top chairmen and top-ranking Republicans on the Senate and House intelligence committees as well as the top two party leaders in each chamber who have access to the highest-level briefings.  

Senate sources say they expect the Gang of Eight to receive a briefing at some point about the FBI raid but that’s not expected to happen before next week.  

“I don’t really have any comments on this whole investigation that’s been dominating the news for the last month. I think we’re following it like all of you are,” he told reporters.  

McConnell suggested that reporters follow up with Rubio, who last month joined Sen. Mark Warner (D-Va.), the chairman of the Senate Intelligence Committee, in sending a private letter to Attorney General Merrick Garland and Director of National Intelligence Avril Haines requesting more information on the FBI search and what it found.  

Rubio more recently has downplayed the controversy over Trump’s possession of classified material as a “storage” issue. 

“I don’t think a fight over storage of documents is worthy of what they’ve done, which is [a] full-scale raid,” he told an NBC affiliate in Miami.  

But Republicans are privately frustrated that they have to be playing defense over Trump’s hard-to-explain decisions to take boxes of classified material to Florida, despite clear federal prohibitions against doing so.  

This has forced them to talk about Trump’s legal problems, a favorite Democratic topic, instead of the cost of gas, food and other staples, which have soared since Biden took office.  

Many Senate Republicans blame Trump for costing them their majority in January 2021 after he claimed 2020 election results in Georgia were tainted by fraud, which depressed Republican voter turnout ahead of two run-off elections, which Democratic candidates Raphael Warnock and Jon Ossoff wound up winning — giving Democrats 50 Senate seats and the majority.  

Source: TEST FEED1

Equilibrium/Sustainability — Europe burning protected trees as clean energy

Lumber from protected forests in Eastern Europe  is helping feed the continent’s insatiable desire for green energy, The New York Times reported. 

Electricity and heat from wood pellets currently counts toward European Union clean energy quotas — even as increased production turns forests in Estonia and Finland from carbon sinks to sources of greenhouse gases, according to the Times. 

But that could change under new legislation that the EU Parliament will vote on next week, which would specify that only pellets pressed from waste products like sawdust would count as green energy.   

Similar issues have arisen from the huge boost in pellet production across the U.S. Southeast — along with pollution from pellet plants and deforestation of vital coastal forests needed for water filtration and storm defense, Slate reported. 

That’s a problem The Wall Street Journal first called attention to nearly a decade ago — when pellet exports were less than a third of what they are now, according to figures from Biomass Magazine.  

Government support for biomass energy has helped make the EU a major driver of U.S. exports, which passed 830,000 metric tons in June, a nearly 40 percent increase from June 2021, according to Biomass Magazine. 

With business booming, industry groups have decried the potential loss of subsidies. But the scientific community largely considers cutting down trees for energy to be a bad move. 

“Using wood deliberately harvested for burning will increase carbon in the atmosphere and warming for decades to centuries,” nearly 800 scientists wrote in a letter to the EU in 2018, last time EU biomass measures were up for a vote. 

Welcome to Equilibrium, a newsletter that tracks the growing global battle over the future of sustainability. We’re Saul Elbein and Sharon Udasin. Send us tips and feedback. A friend forward this newsletter to you? Subscribe here. 

Today we’ll start with three water contamination crises plaguing U.S. cities. Then we’ll turn to Pakistan’s unprecedented monsoons, which are threatening the livelihoods — and lives — of residents. Plus: A call from the United Nations for action on air pollution.

Unsafe drinking water plagues three US cities  

Hundreds of thousands of Americans remain without safe drinking water as crises hit three cities simultaneously.  

  • The concurrent E. coli contamination in Baltimore, toxic levels of arsenic in New York City housing projects and ongoing boil water advisories in Jackson, Miss., all have different immediate causes. 
  • But they ultimately stem from the same core issues that are leading to water crises across America: the intersection of crumbling public infrastructure with a more unstable climate and extreme weather. 

Compound disasters: These overlapping crises also highlight how racial injustice and political discord can make urban water problems worse — and how simple steps like regular monitoring can help keep problems from metastasizing.   

Bacteria in Baltimore: Residents lined up on Wednesday morning to collect safe drinking water from the city’s Department of Public Works, the Baltimore Sun reported. 

More than 100,000 people in West Baltimore were under boil-water advisories after weekend samples revealed dangerous strains of the bacterium E. coli in the water supply, according to the Sun. 
 

That meant a rush for water on Tuesday at places like Price Rite Marketplace. “If stores run out of water, they ain’t going to be calm,” employee Mercedes Thurman said. 
 

One silver lining: Baltimore only caught the E. coli problem early because the city has invested in regular monitoring of tap water, environmental planning professor Marccus Hendricks of University of Maryland told local television station WBFF.

  • The likely cause of the contamination was intrusion from sewage lines into water lines, he added. 

Arsenic in New York: Residents of New York City’s Jacob Riis Houses — a public housing project in Manhattan’s East Village — are also lining up to receive safe drinking water and prepared food after water sampling over Labor Day weekend revealed arsenic in their water,  New York’s Gothamist news site reported on Wednesday. 

Like the impacted residents of Baltimore, the inhabitants of the Jacob Riis Houses are majority Black and brown. 

  • “We’re out here sitting out here in the rain.” tenant association president Daphne Williams said.“We could be at home in our own warm apartments, but we can’t go up and drink our water like the mayor can drink his, in a nice warm place.”  

Added stress: Several tenants said they felt ill, but that nearby urgent care centers didn’t have arsenic tests, Gothamist reported.  

  • “I’m happy I live here. I have a nice apartment. But they gotta tell us the truth about the water,” resident Martha Lozano told the site. 

FLOOD AND DROUGHT THREATEN WATER SUPPLIES 

Climate crises like floods — which led to the ongoing contamination in Jackson, Miss. — are as much a threat to beleaguered urban water systems as drought, NPR reported on Wednesday. 
 

Political division in Jackson: Emergency pumps restored Jackson’s water pressure on Monday, but the city of 150,000 remains under a boil-water advisory.   

These circumstances have sparked another round of finger-pointing by state Republicans like Gov. Tate Reeves and local Democrats like Jackson Mayor Chokwe Antar Lumumba. 

  • On Monday, Reeves blamed city officials for the ongoing water crisis, and said that privatization of the city water treatment infrastructure was “on the table,” The Hill reported. 
  • But Lumumba released a 2020 letter on Tuesday in which the city laid out the problems with its water treatment plant, and requested the funds necessary to fix it — a letter that local officials say the state never responded to, according to Axios. 

What matters: “The residents don’t really care about how we feel about each other when there’s no water coming out of the tap,” Lumumba said in a Tuesday press conference about the tiff with Reeves. 

Pakistan’s biggest lake traps residents in overflow

Pakistan’s largest lake overflowed on Tuesday for at least the third time this week, leaving residents trapped by surging water levels, according to CNN. 

In the past 24 hours alone, 18 people — including eight children — have died, bringing flood-related death totals to 1,343, Reuters reported, citing Pakistan’s National Disaster Management Authority.  

Rerouting water: Lake Manchar — which expanded to an area hundreds of square kilometers wide following a summer of floods — covered nearby villages with several feet of water, according to CNN.  

  • The flooding is due to the combined impacts of a heavy monsoon and melting glaciers.  
  • Pakistani officials had already allowed the lake to overflow twice on Sunday in an attempt to reroute some of the water to less densely populated regions.  
  • Tuesday’s spillage was a natural occurrence.    

Cities at risk: Pakistan is encountering what CNN described as “a desperate race against time to lower water levels at the lake in Sindh,” which is the country’s second most populated province.  

A full-scale breach of Lake Manchar’s banks could end up inundating adjacent cities, CNN reported.  

Water as far as the eye can see: “You wouldn’t believe the scale of destruction there,” Prime Minister Shehbaz Sharif told reporters after a visit to Sindh, according to Reuters.  

“It is water everywhere as far as you could see,” Sharif said.  

Climate-induced disaster: As many as 33 million people — out of a population of 220 million — are contending with the impacts of a disaster that officials blame on climate change, Reuters reported. 

  • Hundreds of thousands are homeless.  
  • Economic losses have risen to at least $10 billion. 

UN calls for urgent action on Clean Air Day 

United Nations Under-Secretary-General Inger Andersen called on Wednesday for governments to ramp up regulation, regional cooperation and monitoring efforts to combat air pollution.  

Andersen, who also serves as the executive director of the U.N. Environment Program (UNEP), reminded global citizens that 99 percent of world breathes unsafe air, releasing a statement on International Day of Clean Air for blue skies. 

A human-created paradox: “Every breath we take keeps us alive,” Andersen said. “Every breath we take is killing us.”  

“This is the paradox humanity caused when we created economies and societies that pollute the air,” she added.  

What’s International Day of Clean Air? The United Nations General Assembly designated Sept. 7 as the International Day of Clean Air for blue skies in 2019, with the first such day celebrated in 2020, according to UNEP.  

  • The designation underscores the need to improve air quality to protect human and environmental health.  
  • The annual commemoration aims to build a collaborative community, while encouraging activists to share ideas on social media using the hashtags #WorldCleanAirDay and #TheAirWeShare.  

‘Triple planetary crisis’: Pollution, climate change and biodiversity have come together to create what Anderson described as a “triple planetary crisis” that requires urgent and decisive action.  

Human health at stake: “Air pollution is at the heart of global public health, economy, agriculture, biodiversity, environment and climate crisis,” said a collective statement from the chief scientists of UNEP, the World Health Organization, the International Union for Conservation of Nature and the World Meteorological Organization. 

  • “The evidence is overwhelming: exposure to air pollution adversely affects the health of all, but particularly the most vulnerable.”   

What can be done? Andersen pinpointed three priority areas for government action:   

  • Implementing air quality regulations to meet World Health Organization standards. 
  • Measuring air quality with low-cost monitoring equipment and digital technologies. 
  • Prioritizing regional cooperation.  

Preventable and manageable: The chief scientists echoed these sentiments, noting that in regions of the world where strong policies and monitoring systems have been put into place, cities have shown “remarkable decreases in emissions.”  

“The good news is that, while complex and requiring a coordinated government response, air pollution is a preventable and manageable threat,” the scientists stated. 

Water Wednesday 

Millions of Los Angeles County residents face outdoor watering ban, hemp crops can’t withstand Texas drought and the Fertile Crescent becomes less fertile. 

LA County residents asked to pause outdoor watering 

Local officials have asked more than 4 million residents of Los Angeles County to pause outdoor water for the next two weeks, NBC Los Angeles reported. The shutdown is occurring to repair a leaky water pipeline and is affecting households in southern parts of the county.  

Hemp fails Texas farmers amid ongoing drought 

While advocates for hemp cultivation have touted the crop as “a drought-resistant lifeline for farmers,” those who invested in the plant say they have yet to see significant growth, The Texas Tribune reported. “We can grow dryland cotton on a year like this when you never have any success with the dryland hemp crop,” one farmer told the Tribune. 

The cradle of civilization is drying up 

Drought and water conflicts are drying out Iraq’s Fertile Crescent — a rich area between the Tigris and Euphrates rivers that once served as a principle cradle of Western civilization, and where 8,000 year old forms of irrigation are still used, The Guardian reported. “The green land has been transformed into a barren desert. I don’t remember seeing this in my lifetime,” one millennial farmer told the Guardian. 

Please visit The Hill’s Sustainability section online for the web version of this newsletter and more stories. We’ll see you tomorrow.

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NotedDC — Nuclear report adds to scrutiny over Mar-a-Lago docs

Former President Trump‘s team is decrying leaks about the government’s investigation and search for documents at his Florida resort following a report that FBI agents found a document about a foreign country’s nuclear capabilities.

A lawyer for Trump, Christopher Kise, told The Washington Post for a story Tuesday evening that such leaks “continue with no respect for the process nor any regard for the real truth. This does not serve well the interests of justice.”

The lawyer warned about public confidence in the system being corroded and called for “someone — anyone — in the Government to exercise leadership and control.”

The statement came in response to new reporting from The Post this week that FBI agents found a document detailing a foreign nation’s nuclear capabilities and other defenses. The foreign government was not identified.

The reported discovery adds to scrutiny over the types of documents being kept at the president’s home and how they got there, even as a judge’s decision to allow for an independent reviewer promises to shake up the probe into the former president’s handling of classified documents. 

Trump had pushed back last month following another report from the newspaper that said the FBI was searching for classified nuclear documents, among other materials, in its raid at the former president’s Mar-a-Lago resort.

“Nuclear weapons issue is a Hoax, just like Russia, Russia, Russia was a Hoax, two Impeachments were a Hoax, the Mueller investigation was a Hoax, and much more,” Trump wrote on his website Truth Social on Aug. 12.

Trump has continued to rail against the FBI and its probe in a series of statements and posts on his website this week, predicting “this Hoax will fail miserably” and insisting “[a]ll American Patriots know that I always do everything ‘by the book.'”

You can read the full inventory of documents that the FBI found here via The Hill.

Welcome to NotedDC: Your guide to politics, policy & people of consequence in D.C. Want a copy of this newsletter in your inbox each week? Sign up here: thehill.com/noted.

In today’s issue: New White House portraits are unveiled. But first: One GOP senator  is changing his tune about House-passed same-sex marriage legislation.

🏳️‍🌈  Changing tune

Sen. Ron Johnson (R-Wis.) says he is not going to back the House-passed same-sex marriage bill in its current form, despite earlier comments.

  • Johnson, who is locked in a difficult reelection bid, said in July that he had “no reason to oppose” an effort to codify the right to same-sex marriage.
  • But on Wednesday, Johnson told reporters: “I always support civil unions. Never felt this bill is necessary … This is just Democrats opening up a wound that doesn’t need to be opened up. And now that I’ve talked to people there are some very serious concerns on religious liberty.”

The Hill’s Mychael Schnell has more on the story.

🖼 Official Obama portraits unveiled after Trump snub

IT’S OFFICIAL: Former President Obama and former first lady Michelle Obama‘s portraits that will hang in the White House have been unveiled.

  • The pair of paintings were showcased at an event Wednesday featuring the Obamas, President Biden and first lady Jill Biden and a swath of VIPs.
  • The portraits are different from the Obamas’ portraits at the Smithsonian National Portrait Museum and feature new takes on the former first couple.

The portraits, unveiled during a White House ceremony in the East Room, were commissioned by the White House Historical Association. Artist Robert McCurdy painted the former president while Sharon Sprung painted the former first lady.

The ceremony is typically used by a sitting president to honor his predecessor, though former President Trump broke with recent tradition and declined to hold a portrait ceremony for Obama.

Despite their political divisions, Obama joined former President Bush in the unveiling of Bush’s portrait in 2012.

Read more on the latest portrait unveilings from The Hill’s Judy Kurtz here.

Related: Michelle Obama digs at Trump: ‘Once our time is up, we move on’

💰  Shutdown showdown

Senate Majority Leader Charles Schumer (D-N.Y.) says he’s planning to reach a deal to stave off a government shutdown at the end of this month, preventing a  shutdown scenario neither party wants heading into the November midterms.

Our colleague Alexander Bolton has the full rundown of the situation and how Schumer is going against some of his fellow Democrats in pushing for a permitting deal negotiated with Sen. Joe Manchin (D-W.Va.).

PERSONNEL MOVES

The Hill’s Karl Evers-Hillstrom has the latest on news on comings and goings in the lobbying world. As always, you can always drop us a line sharing about new hires:

ExxonMobil hired Jamie Wall as vice president of its Washington office. Wall previously served as legislative assistant to Sen. Roy Blunt (R-Mo.) and most recently was executive vice president of advocacy at the Securities Industry and Financial Markets Association. 

Estefanía Rodriguez joined theGROUP as a principal. Rodriguez most recently served as chief of staff to Rep. Carolyn Bourdeaux (D-Ga.) and previously was policy director for the Congressional Hispanic Caucus. 

KDCR Partners hired Mary Dee Beal as a principal. Beal most recently was a policy analyst for the Senate Republican Policy Committee and previously served as chief of staff to the deputy secretary at the Department of Agriculture.

Sharon Lindan Mayl joined DLA Piper as a partner in the firm’s FDA regulatory group. An FDA veteran of nearly 30 years, she most recently served as senior adviser for policy to the deputy commissioner for food policy and response.

Signal Group announced seven new hires including Matt Lockwood as executive vice president and Marcus Frias as senior manager. Lockwood previously was managing director at the Clyde Group and chief of staff for geo products at Google. Frias most recently served as communications director to Rep. Maxine Waters (D-Calif.).

View more here.

⚾️  A league of her own

The Congressional Women’s Softball Game, which raises money for a charity that helps young people with breast cancer, will hold its annual game next week.

  • The event, which pits members of the press against members of Congress, will take place Sept. 14 at the Watkins Recreation Center in Southeast D.C. 
  • The annual event started as a bipartisan congressional and campaign competition but was opened to female members of the media in 2010.

You can get your tickets here.

Have some news, juicy gossip, insight or other insider info? Send tips: Elizabeth Crisp. And encourage friends to sign up here: thehill.com/noted.

See you tomorrow!

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On The Money — Rail strike looms over midterms, economy

A freight train moves through a crossing
A worker watches as a freight train moves through a crossing near Mendon, Mo., on June 28, 2022.

The federal government has just about two weeks to avert a nationwide freight rail strike with serious implications for the country. We’ll also look at a looming funding deadline for the federal government and the side deal hinging on a shutdown countdown. 

But first, we bring you up to speed on the California heat wave. 

Welcome to On The Money, your nightly guide to everything affecting your bills, bank account and bottom line. For The Hill, we’re Sylvan LaneAris Folley and Karl Evers-Hillstrom

Potential rail strike threatens US economy

A potential nationwide freight rail strike is looming, threatening to cripple the U.S. economy ahead of the holiday shopping season and November’s midterm elections.   

Roughly 115,000 rail workers could walk off the job as soon as Sept. 16 if they cannot agree to a new contract with railroads. 

That’s the first day workers could legally strike after a White House-appointed panel released collective bargaining recommendations aimed at ending years of contentious negotiations.  

  • While five unions have reached tentative agreements to implement the Presidential Emergency Board (PEB) recommendations, which call for 24 percent pay raises, most have not yet struck a deal.  
  • It’s also unclear whether workers would vote to ratify a contract that doesn’t address their concerns about punishing hours and rigid schedules.  
  • A recent survey found that more than 9 in 10 railroad workers would vote to reject the PEB recommendations and go on strike.  

The Association of American Railroads estimates that a national rail shutdown would cost the U.S. at least $2 billion a day. Experts say that it would devastate the nation’s agricultural and energy industries and severely clog up supply chains.  

Congress will likely step in: If workers were to strike, federal law empowers Congress to block or delay the walkout, taking away railroad workers’ only real source of leverage. But it’s not totally clear how lawmakers would approach the issue, which they haven’t tackled in 30 years. 

Karl has the details here

SIDE QUEST 

Schumer pledges to pass Manchin deal despite Democratic opposition

Senate Majority Leader Charles Schumer (D-N.Y.) promised on Wednesday to pass a side deal on permitting reform with Sen. Joe Manchin (D-W.Va.) to the massive tax, climate and health care bill despite growing opposition from progressive House Democrats. 

  • Schumer said he will put permitting reform legislation that would speed the development of fossil fuel and other energy projects in the stopgap spending measure Congress needs to pass to keep the federal government funded beyond Sept. 30. 
     
  • “Our intention is to add it to the CR,” Schumer told reporters Wednesday, referring to the short-term continuing resolution to fund the government, which he said must get passed this month. 

The decision will make it tougher for House progressives, who feel little obligation to help Manchin pass one of his top energy development priorities, to block it. 

The Hill’s Alexander Bolton explains why

ANOTHER CR? 

Congress confronts funding deadline 

Congress is staring down a critical stretch of time to cinch a funding bill to prevent a government shutdown before September comes to a close. 

Lawmakers are already armed with a list of political landmines they have to carefully navigate — from an energy permitting proposal to Ukraine and COVID-19 funding — or risk blowing past the Sept. 30 deadline.  

  • One issue that could stand in the way of a government funding bill has to do with a fast-tracking federal energy permitting agreement struck with Manchin. 
  • A potential standoff could come in the form of Democratic leaders in the House facing pressure from liberals who are demanding the permitting agreement be kept out of a CR.  
  • It’s also not a guarantee that enough Senate Republicans would support its inclusion. 

Aris has more here

GREEN SCREEN 

Fed vice chair says bank will launch pilot climate risk analysis next year 

The Federal Reserve’s top regulatory watchdog said Wednesday the bank will test out ways next year to help financial firms figure out the risks they face from climate change and climate-related events. 

Fed Vice Chair of Supervision Michael Barr said in a Wednesday speech the bank will launch a pilot exercise next year for the major banks it supervises to help get a better sense of the risks climate change poses to the financial system. 

  • The exercise would likely require firms to explain how several different climate-related financial shocks would affect their books and ability to serve customers. 
  • As vice chair of supervision, Barr spearheads the Fed’s oversight of major financial firms, including the Fed’s annual stress testing of the largest U.S. banks. 

“The Federal Reserve’s mandate in this area is important, but narrow, focused on our supervisory responsibilities and our role in promoting a safe and stable financial system,” Barr said. 

Sylvan has more here

Good to Know

Treasury Secretary Janet Yellen will call out the fossil fuel industry in a Thursday speech on the Biden administration’s economic agenda to be delivered in Detroit, Mich., where oil and gas companies have long held influence in the U.S. auto manufacturing sector.   

Here’s what else we have our eye on: 

  • A majority of Americans in a new Gallup poll said that inflation-driven price increases are causing moderate or severe financial hardship. 
  • Sen. Amy Klobuchar (D-Minn.) said the push to pass her antitrust legislation targeting the largest tech companies isn’t dead, despite the bill still waiting for a scheduled floor vote.  

That’s it for today. Thanks for reading and check out The Hill’s Finance page for the latest news and coverage. We’ll see you tomorrow. 

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Chuy García weighing run for Chicago mayor

Rep. Jesus “Chuy” García (D-Ill.) on Wednesday signaled that he is considering a second run for mayor of Chicago.

At a press conference on Wednesday, García would not say when he will decide on the potential mayoral run, but did admit “I’ve got to decide soon.”

“I don’t want to pressure myself. I want to be as deliberate and as understanding of all of the issues that are facing the city of Chicago. The public safety challenges, the promise of new endeavors in the area of public safety is pretty exciting, given my background in violence prevention, and intervention, and community building,” he said, according to multiple outlets.

If García jumped in the race he would be challenging sitting Mayor Lori Lightfoot (D) for the post. The incumbent, who was elected to the mayorship in 2019 and became the first openly LGBT Black woman to be elected mayor of Chicago, is running for a second term. Her first years in office focused in part on the COVID-19 pandemic and crime in the city.

A number of candidates have already jumped into the race, including Alds. Sophia King,  Roderick Sawyer and Ray Lopez, in addition to former Chicago Public Schools CEO Paul Vallas and state Rep. Kam Buckner (D).

The election is set to take place in 2023.

García said he is “conflicted” on the decision in Chicago because of the significant number of Republican congressional candidates who have expressed support for former President Trump’s claims that the 2020 presidential election was stolen.

He also called his job in Washington “exhilarating.”

“I am conflicted, because of the responsibility that I have to help save and protect our democracy and our republic,” the congressman said.

“My great desire to be a member of Congress when immigration reform finally becomes a reality makes it so difficult” to consider departing, he added.

García, who represents Illinois’ 4th Congressional District, first entered Congress in 2019 after losing the 2015 election to be mayor of Chicago.

García lost to former Chicago Mayor Rahm Emanuel after a runoff race.

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A ‘Speaker McCarthy’ may be the only way to stop unconstitutional student loan bailout

Political officials from both sides of the aisle have objected to President Biden’s unconstitutional $400 billion student loan “forgiveness,” but many have questioned who has the legal standing to block this action. The answer is Congress. 

By using the Boehner Doctrine, the House can establish legal standing to sue the administration for infringing on its exclusive Constitutional power to appropriate money. Our government features three theoretically co-equal branches of government, except that the executive branch has been walking all over the legislative branch for years. The time has come for Congress to assert its Constitutional prerogatives. 

Speaker Nancy Pelosi (D-Calif.) has been quoted several times as saying she “fears” for threats to our democracy should Republicans retake power in Washington, but the greater threat is one she is loath to confront: her own refusal as Speaker of the House to provide a serious check against a runaway executive branch run by her own party. The student loan bailout is a classic example of this.  

Despite earlier stating that only Congress had the authority to forgive student loans through legislative action, the Speaker has abandoned her responsibility and voiced total support for the White House’s plan. 

This federal giveaway, regardless of the Speaker’s recent flip-flop on the House’s constitutional responsibilities, can be stopped by Congress resuming its constitutional position as an equal branch of government. It could be done sooner, if “moderate” Democrats are willing to put their money where their press releases are and demand the House take action this month. If not, then the only way to reverse this decision is to elect a Republican House majority. 

In 2014, President Obama reassigned appropriations for ObamaCare without congressional authorization. Individual members of Congress historically have not had standing to file suit. So then-Speaker John Boehner (R-Ohio) developed a legal doctrine that allowed the entire House, by a majority vote, to claim standing since its Constitutional powers were being infringed upon. The House adopted Boehner’s motion and in the United States House of Representatives v. Burwell, it was successful in establishing standing, at least through the federal District Court level. The suit died when President Trump took office and reversed his predecessor’s actions without the Supreme Court weighing in. That tactic is familiar to Pelosi: she used the same principle to allow the House to file suit to block President Trump’s border wall in The United States House of Representatives v. Mnuchin. The Boehner Doctrine is very bipartisan. 

As soon as the debt forgiveness was announced, the White House pushed back on questions about its legal authority by claiming the right to cancel the debts under the Higher Education Relief Opportunities for Students Act of 2003, which was aimed at waiving or modifying student loans for service members fighting the war on terror. The White House leaned on the “national emergency” clause of that bill, presumably referring to ongoing emergency declarations due to COVID-19.  

Indeed, Pelosi herself is flouting constitutional authority to claim a national emergency for extending the proxy voting scheme she put into effect last year that gives lawmakers an “out” from reporting to work in Washington, D.C. House Minority Leader Kevin McCarthy (R-Calif.) has said proxy voting will end in January when Republicans retake the House. 

Unless the Congress and the courts check unconstitutional presidential actions, there is no limit to executive authority. Members of both parties should jealously guard their Constitutional powers, because without them, no matter who is in the White House, we create an imperial presidency that makes Congress an irrelevant part of our government. 

If Democrats in Congress want the student loan bailout, they can vote to provide it. They have the entire month of September and the period after the election to do so. Heaven knows they have no trouble spending hundreds of billions of dollars at a time to the vigorous cheers of an accommodating media. But all members of Congress should insist the White House follow the Constitution.   

If not, the voters can elect a Republican congressional majority that can use the Boehner Doctrine and a reinvigorated oversight process to check a runaway executive branch.  

Mark Strand is President of the Congressional Institute, which publishes The Sausage Factory Blog where he writes further about Executive Overreach and congressional reform to strengthen the institution of Congress. 

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Energy & Environment — Manchin, Schumer vow to include reform deal in bill

Both Sens. Joe Manchin (D) and Charles Schumer (D) say an upcoming stopgap bill will feature permitting reform, Treasury Secretary Janet Yellen is set to make a big promise on fossil fuels and the Federal Reserve will pilot climate risk analysis. 

This is Overnight Energy & Environment, your source for the latest news focused on energy, the environment and beyond. For The Hill, we’re Rachel Frazin and Zack BudrykSubscribe here. 

Manchin: Permitting reform promised for funding bill

Sen. Joe Manchin (D-W.Va.) said Wednesday that Democratic leadership told him the permitting reform he has pushed for will be included in a government funding measure known as a continuing resolution.

“Permitting is in,” he said.  

Asked Wednesday whether he was told by leadership that the reforms would be included in the funding measure, he answered affirmatively.  

The story so far: Manchin, the Senate’s most conservative member and a key swing vote, has pushed for legislation that would speed up the process for approving energy and infrastructure projects.

When Manchin announced his support for the Democrats’ climate, tax and health care bill this summer, he and Senate Majority Leader Charles Schumer (D-N.Y.) said in a joint statement that they would separately pass a deal to reform the permitting process for these projects as part of the deal.

But the push has come under fire from progressives, led by Rep. Raúl Grijalva (D-Ariz.), who have raised concerns about the potential for undermining environmental reviews and helping the fossil fuel industry.  

Grijalva, who chairs the House Natural Resources Committee, has circulated a letter asking leadership to separate the Manchin deal out of the continuing resolution.  

His office told The Hill last week that they had more than 40 signatories so far and were still circulating at that time.  

He has argued that these measures are largely ones that are supported by Republicans and shared concerns with environmentalists that expedited reviews could harm vulnerable groups.

SCHUMER COMMITS

Senate Majority Leader Charles Schumer (D-N.Y.) promised on Wednesday to pass a side deal on permitting reform with Manchin despite growing opposition from progressive House Democrats. 

Schumer said he will put permitting reform legislation that would speed the development of fossil fuel and other energy projects in the stopgap spending measure Congress needs to pass to keep the federal government funded beyond Sept. 30. 

“Our intention is to add it to the CR,” Schumer told reporters Wednesday, referring to the short-term continuing resolution to fund the government, which he said must get passed this month. 

The decision will make it tougher for House progressives, who feel little obligation to help Manchin pass one of his top energy development priorities, to block it. 

Read more from Rachel and The Hill’s Alexander Bolton. 

Yellen: US to ‘rid’ itself from fossil fuel dependence

Treasury Secretary Janet Yellen is set to call out the fossil fuel industry in a Thursday speech on the Biden administration’s economic agenda to be delivered in Detroit, Mich., where oil and gas companies have long held influence in the U.S. auto manufacturing sector.

The visit to Detroit comes on the heels of the Democrats’ passage of the Inflation Reduction Act (IRA), which includes $14.2 billion worth of subsidies for electric vehicles meant to wean the auto industry off of gasoline in an effort to reduce U.S. transportation emissions that are contributing to a rise in global temperatures.  

  • “We will rid ourselves from our current dependence on fossil fuels,” Yellen’s prepared remarks say. 
  • “Our plan — powered by the Inflation Reduction Act — represents the largest investment in fighting climate change in our country’s history. It will put us well on our way toward a future where we depend on the wind, sun, and other clean sources for our energy,” her remarks continue.  

Yellen’s speech will also emphasize the role that private capital can play in addressing climate change, putting her generally in line with the economic, social and corporate governance (ESG) movement.

  • The ESG movement in the financial sector pursues environmental and social equality objectives through divestment practices and getting board members with particular political views elected to company boards.
  • “By mobilizing private capital, the clean energy tax credits implemented by Treasury will propel our economy and workers to a leadership position in the fastest growing markets and technologies of today and the future, with positive spillovers to the rest of the world. And in the process of boosting domestic clean energy production, the law will support our energy security and insulate us from the type of fossil fuel-driven energy volatility that we’ve seen in the past year,” her remarks say.  

From the other side: Republicans at the state level have been mobilizing to block ESG practices, which they view as harmful to their economies, with various initiatives in states like West Virginia and Texas that include a blacklist of financial firms that “[boycott] energy companies” and a request for documents from certain institutional investors on Wall Street.

Texas state Sen. Bryan Hughes (R), whose State Affairs Committee sent letters to asset management giant BlackRock and three other firms asking for information on ESG practices, said in an interview with The Hill that he is concerned about corporate power advancing a “left-wing agenda.”

“You know how it goes. BlackRock comes to Company X and says we own however many million shares in your company, and if you want us to vote for your directors and your compensation, then you better do what we say,” Hughes said.  

“It’s one thing for that power to exist, but when we see a handful of firms control this amount of the stock market and we see them moving in lockstep using that power for this left-wing agenda, it’s just something we’ve never seen in America,” he said.

BlackRock previously stated it does not boycott fossil fuel companies, but CEO Larry Fink has said that he believes capitalism can change the way societies operate.

“Capitalism has the power to shape society and act as a powerful catalyst for change,” he wrote in a 2022 open letter to CEOs, adding that “companies perform better when they are deliberate about their role in society” and that “the relationship between a company, its employees, and society is being redefined.”

Read more from The Hill’s Tobias Burns.

FED VICE CHAIR: BANK TO LAUNCH PILOT CLIMATE RISK ANALYSIS IN 2023

The Federal Reserve’s top regulatory watchdog said Wednesday the bank will test out ways next year to help financial firms figure out the risks they face from climate change and climate-related events. 

Fed Vice Chair of Supervision Michael Barr said in a Wednesday speech the bank will launch a pilot exercise next year for the major banks it supervises to help get a better sense of the risks climate change poses to the financial system. The exercise would likely require firms to explain how several different climate-related financial shocks would affect their books and ability to serve customers. 

“The Federal Reserve is working to understand how climate change may pose risks to individual banks and to the financial system,” Barr said in a Wednesday speech at the Brookings Institution, a nonpartisan think tank. 

Barr’s remarks were his first since being confirmed to the Fed in July as the bank’s top regulatory official. As vice chair of supervision, Barr spearheads the Fed’s oversight of major financial firms, including the Fed’s annual stress testing of the largest U.S. banks. 

“The Federal Reserve’s mandate in this area is important, but narrow, focused on our supervisory responsibilities and our role in promoting a safe and stable financial system,” Barr said. 

Since President Biden’s election in 2020, the Fed has moved toward studying the various ways climate change and a global shift away from fossil fuel energy could affect the financial system.  

Financial experts say banks and financial firms could face steep losses as the pace and intensity of natural disasters increase, causing massive insurance payouts and reducing the value of properties in areas prone to extreme weather. A steep, steady reduction in fossil fuel usage and uptake of renewable energy sources could also trigger shockwaves through the financial system. 

While central banks and financial watchdogs around the world have largely agreed on the need to assess climate-related financial risks, the issue is politically divisive in the U.S. 

Read more from The Hill’s Sylvan Lane. 

WHAT WE’RE READING

  • Europe Is Sacrificing Its Ancient Forests for Energy (The New York Times
  • America’s electric utilities spent decades spreading climate misinformation (Grist
  • California heat wave nearly broke the power grid (Los Angeles Times
  • Utah’s Great Salt Lake Is Disappearing, With Mounting Economic Costs (The Wall Street Journal

📖  Lighter click: New word on the block

That’s it for today, thanks for reading. Check out The Hill’s Energy & Environment page for the latest news and coverage. We’ll see you tomorrow.  

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