The Thursday guilty plea of former Trump Organization Chief Financial Officer Allen Weisselberg is the latest and largest development in New York officials’ multi-year investigation into the company headed by the former president.
Weisselberg pleaded guilty to 15 counts related to tax fraud and will serve five months in prison followed by five years of probation. He will also pay almost $2 million in back taxes and penalties.
As part of his agreement with the Manhattan District Attorney’s office, Weisselberg admitted to playing a role in enriching himself and other top Trump Organization executives through off-the-books benefits and other measures without reporting the income. He personally avoided paying $1.7 million in taxes over more than a decade through indirect compensation from the Trump Organization.
The case against the Trump Organization itself is set to begin jury selection in October, and Weisselberg will testify in the case.
Legal experts said Weisselberg may not have officially agreed to cooperate, but his testimony could still be valuable to the prosecution advancing its case that the Trump Organization committed financial misdeeds.
Andrew Weissman, a professor of practice at New York University School of Law, said the stipulation that Weisselberg must testify truthfully for his deal to remain intact makes it “much harder” for the Trump Organization to defend itself in its case.
“The organization acts through its people,” he said. “This is the CFO saying that he did this and these are not crimes that are unrelated to the organization and the organization benefitted directly from this.”
Weissman, who served as a lead prosecutor for special counsel Robert Mueller’s office in his investigation into Russian interference in the 2016 presidential election, said Weisselberg fully cooperating would mean he would have to provide all information he knows about other crimes, including those unrelated to what he and the organization have been charged with.
Former Manhattan District Attorney Cyrus Vance originally charged Weisselberg and the Trump Organization at the same time a year ago. Alvin Bragg took over the case when he became district attorney at the start of this year.
Trump himself has not been charged with any crime, though prosecutors have not ruled it out.
Weissman said Weisselberg “essentially” is cooperating with the investigation with respect to this specific case because he will need to take the stand and answer questions about the charges he pleaded guilty to.
He said the defense was able to cap Weisselberg’s exposure in accepting the deal, preventing him from facing a possibly steeper sentence. He said the sentence could have been the same if Weisselberg went through a trial and was convicted, but determining what he would have received is difficult to predict in such a high-profile case.
Weissman said Weisselberg pleading guilty to every count of the indictment facing him is a significant win for the prosecution.
Danya Perry, a former federal prosecutor, said the Trump Organization’s defense team may try to argue in its case that Weisselberg is motivated to testify against the company, but him receiving a five-month sentence and not fully cooperating makes that a more complicated argument.
She said she does not think Weisselberg would have faced an “incredibly” stiff sentence if convicted due to his age — 75 — and being a first-time offender.
Perry said if the case against the organization goes to trial, the former president’s name will come up often, and it would be difficult to “thread the needle” that the organization was involved in financial misdeeds but he wasn’t.
She said if the firm enters into a plea agreement, that may be as far as the district attorney’s case goes, but it is unclear what information may come out in a trial.
“If there’s a trial and Weisselberg testifies, who knows what other information will come out?” Perry asked.
Weissman and Perry both said they were interested in the fact that Weisselberg was not granted full immunity for any other potential crimes.
“Typically, lawyers negotiate for coverage or immunity for any other crimes he might have committed so they can’t keep coming back,” Perry said. “Here, they didn’t do that.”
Weissman said defense counsels requesting coverage in a plea agreement for other crimes that may have been committed is “standard,” so someone knows “there’s nothing waiting in the wings.”
He said its exclusion from the agreement is “striking” and makes him believe Bragg more when he said the investigation is ongoing.
“That made me think that we all need to sort of take a deep breath and wait to see what happens after the Trump Organization trial, and so whether other churches get brought,” Weissman said.
BOSTON (AP) — Three men, including a Mafia hitman, have been charged in the killing of notorious Boston crime boss James “Whitey” Bulger in a West Virginia prison, the Justice Department said Thursday.
The charges against Fotios “Freddy” Geas, Paul J. DeCologero and Sean McKinnon come nearly four years after Bulger’s killing, which raised questions about why the known “snitch” was placed in the general population instead of more protective housing. The men were charged with conspiracy to commit first degree murder.
Bulger was beaten to death at USP Hazelton in October 2018 hours after he was transferred from a prison in Florida, where he had been serving a life sentence for 11 murders and other crimes. Prosecutors allege Geas and DeCologero struck Bulger in the head multiple times and caused his death.
The Justice Department has also charged Geas and DeCologero with aiding and abetting first degree murder, along with assault resulting in serious bodily injury. Geas faces a separate charge for murder by a federal inmate serving a life sentence, and McKinnon is charged separately with making false statements to a federal agent.
Geas and DeCologero were identified as suspects shortly after Bulger’s death, according to law enforcement officials at the time, but they remained uncharged as the investigation dragged on for years. They were placed in solitary confinement throughout the probe, family members told The Boston Globe.
Gaes remains as a prison in Hazelton and DeCologero is being held in another federal prison facility. McKinnon, who prosecutors say was on federal supervised release when the indictment was handed down, was arrested Thursday in Florida.
Bulger’s family had previously filed a lawsuit against the Federal Bureau of Prisons and 30 unnamed employees of the prison system, alleging they failed to protect him. Bulger was the third inmate killed in six months at USP Hazelton, where workers and advocates had long been warning about dangerous conditions.
Bulger, who ran the largely Irish mob in Boston in the 1970s and ’80s, served as an FBI informant who ratted on his gang’s main rival in an era when bringing down the Mafia was a top national priority for the FBI. He later became one of the nation’s most-wanted fugitives.
A prison workers’ union official told The Associated Press in 2018 that sending Bulger to the troubled federal penitentiary that housed other New England gangsters was like giving him a “death sentence.”
A federal law enforcement official told The Associated Press after Bulger’s death that disciplinary issues prompted Bulger’s transfer to USP Hazelton. The official insisted on anonymity because he was not authorized to release details. In February 2018, Bulger threatened an assistant supervisor at the prison in Florida, telling her “your day of reckoning is coming.”
Bulger fled Boston in late 1994 after his FBI handler, John Connolly Jr., warned him he was about to be indicted. With a $2 million reward on his head, Bulger became one of the FBI’s “Ten Most Wanted” criminals.
After more than 16 years on the run, Bulger was captured at age 81 in Santa Monica, California, where he had been living in a rent-controlled apartment near the beach with his longtime girlfriend, Catherine Greig.
DeCologero was part of an organized crime gang led by his uncle on Massachusetts’ North Shore called the “DeCologero Crew.”
He was convicted of buying heroin that was used to try to kill a teenage girl his uncle wanted dead because he feared she “would betray the crew to police.” The heroin didn’t kill her, so another man broke her neck, dismembered her and buried her remains in the woods, court records say.
Geas was a close associate of the Mafia and acted as an enforcer, but was not an official “made” member because he’s Greek, not Italian.
Geas and his brother were sentenced to life in prison in 2011 for their roles in several violent crimes, including the 2003 killing of Adolfo “Big Al” Bruno, a Genovese crime family boss in Springfield, Massachusetts. Another mobster ordered Bruno’s killing because he was upset he had talked to the FBI, prosecutors said.
President Biden is keeping student loan borrowers in suspense over whether he’ll decide to again extend a freeze on repayments. We’ll also look at the new boogeyman Republicans have been zeroing in on ahead of the November midterm races, the country’s trade talks with Taiwan and more.
But first, check out the latest installment in our new DRIED UP series, which examines the dire effects of the American West’s megadrought on states most affected.
Welcome to On The Money, your nightly guide to everything affecting your bills, bank account and bottom line. For The Hill, we’re Sylvan Lane, Aris Folley and Karl Evers-Hillstrom. Someone forward you this newsletter? Subscribe here.
Student loan payment pause in limbo
President Biden is keeping student loan borrowers in suspense over whether he’ll decide to again extend a freeze on repayments with less than two weeks to go until the Aug. 31 cutoff date.
It’s the smallest such window of time borrowers have had so far since the pause in federal loan repayments began at the start of the COVID-19 pandemic, with lawmakers and advocates pressuring the administration to make a decision that revolves around crucial financial planning.
The delay in announcing a decision and the approaching midterm election raise questions over if the news will include more than a payment pause extension and potentially a long-awaited decision to forgive some amount of such debt.
The freeze has been extended six times since loan payments were first put on hold in March 2020 under former President Trump. The order froze the accrual of interest on federal student loans serviced by the U.S. Department of Education, effectively freezing $1.6 trillion in debt owed by more than 40 million Americans.
Education Secretary Miguel Cardona on Tuesday indicated a decision will be made “soon” on student loan repayments, but wouldn’t say whether the Biden administration plans to extend the pause.
The background: The president said last month that “the end of August” is his timeline for making a decision –– potentially butting an announcement right up to the deadline –– but he’s otherwise kept his next move on student loans a mystery, leaving borrowers and advocates waiting largely in the dark.
During the 2020 campaign, Biden championed forgiving at least $10,000 in federal student loans per person. Over a year ago, he requested a memo from the Department of Education to determine his authority to forgive student debt through executive action, but the administration has not publicly announced if the memo is complete.
As Republicans rail against the FBI in the wake of last week’s search at Mar-a-Lago, they are also hyping the danger to voters from another three-letter federal agency: the IRS.
The GOP is warning that the $80 billion funding boost to the IRS included in Democrats’ tax, climate and health care package, which President Biden signed into law on Tuesday, will target middle-class Americans with an “army” of new enforcement agents.
The Republican National Committee (RNC) released a video earlier this week that slams Democrats for expanding the IRS, arguing that it will harm everyday Americans despite Democrats’ insistence that the extra funding is intended to make sure wealthy taxpayers and corporations don’t stiff the government.
Democrats, the Biden administration and various fact-checkers have pushed back on the claims. Treasury Secretary Janet Yellen said in a letter to IRS Commissioner Charles Rettig that audit rates should not “rise relative to recent years for households making under $400,000 annually” and that new resources should not be directed to audits of families or businesses that fall below those levels. Yellen wrote that “enforcement resources will focus on high-end noncompliance.”
But Republicans counter that there is nothing in the law to prevent an increase to audits of middle-class Americans and note that Democrats voted against a GOP amendment to prevent the new funds from being used to go after lower earners.
US, Taiwan agree to start trade talks amid China tensions
The United States and Taiwan have agreed to start formal talks on a trade pact, the governments of both countries said, a decision that comes amid rising tensions with China.
The negotiations on a new economic pact will begin early this fall, according to a statement from the Office of the U.S. Trade Representative, and will cover 11 different subject areas, including trade facilitation, regulatory practices, anticorruption, agriculture, digital trade, labor environment and state-owned enterprises.
Deputy U.S. Trade Representative Sarah Bianchi said in the statement the negotiations between Washington and Taipei would “deepen our trade and investment relationship, advance mutual trade priorities based on shared values, and promote innovation and inclusive economic growth for our workers and businesses.”
A statement from Taiwan’s Office of Trade Negotiations said that the talks would aim not only to strengthen investment and trade between the U.S. and Taiwan but also to bolster the island’s overall economic strength and increase its participation in international pacts.
New OPEC chief expects oil demand growth to slow in 2023
The new secretary general of global oil-producing alliance OPEC said he expects oil demand growth to slow in 2023.
“It all depends on how things unfold,” Haitham al-Ghais, who took on the new role on Aug. 1, said, adding: “We do see a slowdown in 2023 in demand growth, but it should not be worse than what we’ve had historically.”
The week al-Ghais assumed the role, OPEC and its allies agreed to increase oil production in September by 100,000 barrels a day, a far slower pace than its 648,000 barrels per day increases in July and August. The new secretary didn’t indicate what OPEC would decide at its next meeting scheduled for Sept. 5.
Brent crude prices clocked in just below $97 per barrel as of Thursday afternoon, a slight increase from earlier this week when prices fell to roughly $92 per barrel. The recent dip marked the lowest price level since before Russia invaded Ukraine in February, which sent prices skyrocketing to more than $120 per barrel.
An agreement between the Danish manufacturer of the only U.S. approved monkeypox vaccine and a Michigan-based company would move the final packaging steps to the U.S. in an effort to expedite the delivery of millions of doses.
Company and administration health officials on Thursday announced Denmark-based Bavarian Nordic entered into an agreement with U.S.-based contract manufacturer Grand River Aseptic Manufacturing.
Here’s what else we have our eye on:
Meta took down the Facebook page and Instagram account for Children’s Health Defense, an anti-vaccination organization headed by Robert F. Kennedy Jr., due to what it referred to as repeated violations of its COVID-19 policy.
More than 650 Google employees signed a petition asking the tech giant to pause donations to any political action committees or individual politicians because the workers said the lawmakers “were responsible” for appointing the Supreme Court justices who voted to overturn Roe v. Wade earlier this year.
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.
Heads up, you only have one day left to cast your ballot in the 2022 Kids Mullet Championships. And there are a lot of impressive (and adorable) candidates this year.
Today in health care, the Biden administration announced steps to enhance the monkeypox response with more vaccine doses and targeted allocation of resources to jurisdictions.
Welcome to Overnight Health Care, where we’re following the latest moves on policy and news affecting your health. For The Hill, we’re Peter Sullivan, Nathaniel Weixel and Joseph Choi. Someone forward you this newsletter? Subscribe here.
Officials boost monkeypox vax effort with 1.8M doses
The Biden administration is planning to accelerate the delivery of its remaining supply of monkeypox vaccines and will make an additional 1.8 million doses available for ordering starting Monday, officials said Thursday.
Conditions: Jurisdictions will only be able to access the additional doses if they adopt the new intradermal administration of vaccine and have used 90 percent of their current supply of vaccine, officials said.
Another delivery of 150,000 Jynneos vials will arrive in September, after the White House sped up a shipment that was scheduled for October.
A targeted approach: The Department of Health and Human Services is also launching a pilot program to provide additional vaccine allocations to state and local health departments in jurisdictions that are hosting large events that attract members of the LGBTQ community.
The pilot program will set aside up to 50,000 doses from the Strategic National Stockpile that communities can request, on top of their existing allocation. For example, the administration will send up to 2,000 additional doses to North Carolina this weekend for the Charlotte Pride Festival and Parade.
Officials also announced an effort to make the antiviral drug Tpoxx more widely available by “prepositioning” 50,000 courses to jurisdictions across the country.
Starting next week, jurisdictions will be allocated courses of Tpoxx using a formula that takes into account both the number of cases in their jurisdiction and the number of individuals who have the highest risk of contracting the virus, including individuals who have HIV or other immunocompromised conditions.
US will make monkeypox vaccine to expedite delivery
An agreement between the Danish manufacturer of the only U.S. approved monkeypox vaccine and a Michigan-based company would move the final packaging steps to the U.S. in an effort to expedite the delivery of millions of doses.
Company and administration health officials on Thursday announced Denmark-based Bavarian Nordic entered into an agreement with U.S.-based contract manufacturer Grand River Aseptic Manufacturing.
The priority will be to fill and package 2.5 million vials of the Jynneos vaccine that were ordered by the Biden administration in July. Jynneos is the only monkeypox vaccine approved by the Food and Drug Administration.
Officials said in a statement that the technology transfer of the production process from Bavarian Nordic to Grand River has already been initiated, with the aim of completing it within three months.
The process could normally take up to nine months, health officials said.
“This partnership between Bavarian Nordic and GRAM will significantly increase the capacity to fill and finish government-owned doses – for the first time in the U.S. – and allow us to deliver our current and future supply more quickly to locations nationwide,” White House monkeypox response coordinator Bob Fenton said in a statement.
KENTUCKY SUPREME COURT DECLINES TO BLOCK ABORTION BAN
The Kentucky Supreme Court on Thursday declined to block the state’s near-total abortion ban while it reviews legal challenges to the law.
A state court of appeals allowed two abortion bans to go into effect in an Aug. 1 ruling and the state Supreme Court kept that ruling in place, finding that the “circumstances presented” by the challengers “do not rise to the level of extraordinary cause.”
The appeals court’s Aug. 1 decision lifted a temporary injunction against two 2019 bans. The near-complete ban on abortions was passed in the form of a “trigger” law, and took effect when the U.S. Supreme Court overturned Roe v. Wade.
Legal battle to come: The courts have yet to rule on the merits of the challenge to the abortion bans, and abortion rights groups said they will continue to fight.
“Make no mistake: abortion bans result in tragic health outcomes and are a form of control over our bodies. Despite this setback, the fight continues,” Planned Parenthood Federation of America, the American Civil Liberties Union (ACLU) and the ACLU of Kentucky said in a statement.
“We will proceed with our case to restore and protect reproductive freedom in Kentucky. Politicians and the government should never have the authority to force a person to remain pregnant against their will,” the groups said.
Ballot: But oral arguments aren’t scheduled until Nov. 15, which is after the general election. Voters will decide on a ballot measure asking if the state’s constitution should be amended to remove any abortion protections.
Federal authorities are investigating a “fast-moving” E. coli outbreak that was identified in Ohio and Michigan, with nearly 30 people infected by the bacteria from an unknown source.
The Centers for Disease Control and Prevention (CDC) has so far identified 29 people who have become ill due to E. coli infections. Nine of those have been hospitalized due to their illnesses, while no deaths have been reported. The first infection occurred late in July.
The ages of those infected range from 6 to 91.
Tracking in progress: The CDC said it is utilizing the PulseNet system in its investigation. PulseNet compares the “DNA fingerprints” of bacteria from affected patients to identify clusters of disease. Whole genome sequencing that has been performed indicates that the bacteria collected so far from affected patients are closely related.
The true number of people who are affected is likely higher, the CDC acknowledged, and there may be more cases in other states.
“Michigan and Ohio have both reported large increases in the number of E. coli infections in their states. Some of these illnesses have not yet been reported to the PulseNet system, but investigators are working quickly to add them to PulseNet to determine if they may be part of this outbreak,” the CDC said.
White House coronavirus response coordinator Ashish Jha said Wednesday evening that updated COVID-19 vaccines are expected to be available in “a few short weeks” for everyone over the age of 12.
“The vaccines that are coming in a few short weeks are specifically designed for the virus that’s out there, and I believe it’s going to be available and every American over the age of 12 will be eligible,” Jha said on “NBC Nightly News.”
How many actually want it? There remains a question of how many people will get the updated shots, given that uptake for boosters so far has lagged. Only about half of people with the first two shots got the first booster dose, according to Centers for Disease Control and Prevention (CDC) data.
The Food and Drug Administration instructed vaccine makers to make these updated vaccines at the end of June, and it will have to officially sign off on the new shots before they become available.
‘Two shots is not enough’: The CDC has not officially changed the definition of “fully vaccinated” to include boosters, despite some experts’ calls, but Jha stressed on Wednesday that “two shots is not enough.”
“People need at least three,” he said. That is because the virus has evolved, and protection from the initial vaccines wanes over time.
Estonian officials said the country successfully thwarted a cyberattack on Wednesday that targeted both its public and private institutions.
Estonia’s undersecretary for digital transformation, Luukas Ilves, said on Twitter that the country was able to disrupt one of “the most extensive cyber attacks [they’ve] faced since 2007.” Ilves added that the attacks were mostly ineffective apart from some “brief and minor exceptions.”
The attack follows the removal of a Soviet war monument from an eastern Estonian city bordering Russia, according to news reports.
The Russian-backed hacking group Killnet claimed responsibility for the attack, Reuters reported.
Killnet claimed the attack against Lithuania was in retaliation against the country’s decision to halt the shipment of some goods to Russia’s Kaliningrad exclave, a region situated between Poland and Lithuania.
Estonia has become a leading cyber power since it fell victim to a series of destructive cyberattacks in 2007 that targeted key institutions including its foreign and defense ministries, banks and media outlets. Those attacks were in response to Estonia’s decision to remove a Soviet war monument from its capital city.
Last week, Finland’s parliament website was temporarily down following a cyberattack that coincided with President Biden’s move to admit the Nordic country to NATO.
The Finnish parliament said that the disruptions were a denial-of-service attack that hit the parliament’s external websites.
Finland, along with Sweden, applied for NATO membership in May, a move prompted by Russia’s invasion of Ukraine in February.
Russia, which sees NATO’s expansion as a direct threat, has vowed to take “retaliatory steps” if the two Nordic countries were to join the alliance, of which Estonia is also a member.
Alaska’s new voting system is putting its general election on the map as more of a wild card this November, as some see signs that Democrats could perform well in the traditionally red state.
Alaska debuted its ranked-choice voting system on Tuesday in the special election to replace the late Rep. Don Young (R), allowing voters to rank their preferred candidates instead of only voting for one.
Democrat Mary Peltola currently leads the race, where ballots are still being counted. Since no candidate is likely to win a majority, the candidate with the fewest first-preference votes will get eliminated and their votes get redistributed and so forth until there is a winner.
Peltola’s success is threatening former GOP Alaska Gov. Sarah Palin’s future in politics as she aims to take over the remainder of Young’s seat and for the two-year term beginning in January, which will be decided in November.
Palin called the new system “crazy” and “convoluted” as she sits in second place for the special election. If the other leading Republican candidate Nick Begich gets eliminated first, then Palin would likely receive more votes from his ballots in a contest against Peltola.
Our colleague Julia Manchester notes that Peltola would be the first Indigenous person from Alaska and the first woman from Alaska to serve in Congress.
It could also signal what’s to come in the fall as Sen. Lisa Murkowski (R-Alaska) faces a fight against Trump-endorsed Republican candidate Kelly Tshibaka. Both moved forward from the primary on Tuesday along with two other candidates.
“If you vote Democrat as your first choice, your natural second choice, if out of those four candidates, if two of them are to the right of Murkowski and the Democrat is to the left, your natural second choice is probably Murkowski,” an Alaska political strategist told us.
Welcome to NotedDC: Your guide to politics, policy and people of consequence in D.C. Have some news, juicy gossip, insight or other insider info? Send us tips: Elizabeth Crisp and Kelsey Carolan.
A federal judge said Thursday he is inclined to unseal parts of the affidavit that provided enough evidence for the FBI to obtain a warrant to search former President Trump’s Florida estate.
The Department of Justice (DOJ) will have to present a redacted affidavit next Thursday to the judge, explaining why certain parts should not be released to the public.
What’s the significance: The affidavit contains more details into DOJ’s broader investigation into Trump, including witnesses and investigative techniques.
As Republicans continue to paint the search as politically motivated, they argue that the affidavit would prove whether the search was justified.
But the FBI argued it would “compromise further investigative steps” if certain details were revealed, since it serves as a “roadmap” to the ongoing investigation.
It’s worth noting that it is highly unusual for an affidavit to be unsealed at this point in an investigation. The search warrant unsealed last week revealed that the FBI suspects Trump of violating the Espionage Act and other laws.
And Trump continues to face trouble in other investigations. The Trump Organization’s ex-Chief Financial Officer Allen Weisselberg pleaded guilty on Thursday to tax evasion. It comes a week after Trump invoked the Fifth Amendment in a deposition for the probe.
Meanwhile, in Georga: Ex-Trump legal adviser Rudy Giulianitestified before a special grand jury Wednesday in Fulton County after finding out he was a target of their investigation into attempts by Trump and others to decertify the 2020 election results.
BIDEN MULLS DECISION ON STUDENT LOAN FORGIVENESS
The pandemic-era moratorium on student loan debt payments will expire at the end of the month, unless leaders act to extend the pause or forgive some level of debt.
It remains unclear which approach they’ll take, even as the clock ticks.
Education Secretary Miguel Cardona says discussions are happening “daily” on how to move forward, but he wouldn’t commit to an extension during a recent CBS interview.
“Borrowers will know directly and soon from us when a decision is made,” Cardona said.
Advocates have pressed for a full forgiveness of student loan debt, but the Biden administration hasn’t committed to such action.
Payments were paused in response to the COVID-19 pandemic, which upended the economy. The latest extension of the reprieve is set to expire at the end of the month.
President Biden has urged Congress to pass legislation that would cancel student debt, but he’s also asked Cardona to determine whether he has the authority to unilaterally forgive more.
Dems look to weaponize the Inflation Reduction Act
The Hill’s campaign team reports that Democrats’ best chance of clinging to a chamber of Congress this year probably lies in the Senate.
“Part of the problem for Republicans, strategists say, is their lineup of Senate candidates in key battleground states,” Max Greenwood, Julia Manchester and Caroline Vakil write in the latest edition of their campaign report.
The Inflation Reduction Act, the sweeping climate, health care and tax bill that President Biden signed into law this week after Democrats passed the legislation alone after weeks of negotiations, is expected to give the president’s party a boost heading into the midterms.
A new poll from Politico-Morning Consult released this week found that Democrats are leading Republicans by 4 percentage points on a generic congressional ballot. The survey found 46 percent of registered voters would currently choose the Democratic candidate, compared to 42 percent who would choose the Republican.
“Today is part of an extraordinary story that’s being written by this administration and our brave allies in the Congress,” Biden said in a signing ceremony for the legislation.
He and his allies are now expected to push the messaging through the campaign season, with millions expected to boost it in ads airing across the country in the lead up to November.
The point: Midterm elections are notoriously difficult for the party in power and Democrats already hold razor-thin majorities in the House and the Senate.
The Inflation Reduction Act, which Democrats spent months haggling over, could prove to be a boost on the campaign trail.
WASHINGTON MOVES
In our inbox: Omar Farah is joining the national civil rights organization Muslim Advocates as its new executive director, leaving his position at the Center for Constitutional Rights.
The Hill’s Karl Evers-Hillstrom has a weekly roundup of where people are moving in the lobbying world (and you can send us your professional updates, too!). Here are some highlights:
Doug Thornell will beSKDK’snext chief executive officer, formerly serving as a managing editor.
Linda Lourie joined WestExec Advisorsas a senior adviser, most recently serving as assistant director for research and technology at the Biden White House.
Watson McLeish joined the U.S. Chamber of Commerce as senior vice president of tax policy, most recently serving as tax counsel at the Tax Executives Institute.
Jonathan Grella will join the Saudi Arabia-backed LIV Golfas its chief communications officer, previously serving as president of JAG Public Affairs.
A staple removed from CNN
Say goodbye to anchor Brian Stetler at CNN. The network announced Thursday it would cancel his talk show “Reliable Sources,” which examined the media industry.
“It was a rare privilege to lead a weekly show focused on the press at a time when it has never been more consequential,” Stelter told our colleague Dominic Mastrangelo.
Why the shakeup? Stetler’s show was on the chopping block earlier this year, according to Axios, as new CEO Chris Licht revamps the network’s editorial strategy after their streaming service CNN+ failed.
Russia on Thursday announced that it has deployed aircraft armed with hypersonic missiles to its westernmost region along the Baltic Sea, The Associated Press reported.
Moscow’s Defense Ministry said three MiG-31 fighters and Kinzhal hypersonic missiles arrived at the Chkalovsk air base in Kaliningrad, the capital of the Russian province of the same name which sits between Poland and Lithuania along the Baltic coast.
The armaments were moved to the region as part of “additional measures of strategic deterrence,” with the warplanes to be on round-the-clock alert, the Defense Ministry said, as reported by the AP.
A video released by the Russian military showed the MiG-31s arriving in Kaliningrad but not holding missiles, thought to be delivered separately.
The Kinzhal missiles — which Moscow has used to strike several targets in Ukraine already — have a range of up to roughly 1,250 miles and can fly at 10 times the speed of sound, according to Russian officials.
The weapons’ movement to Kaliningrad comes as Russia continues its nearly six-month attack on Ukraine, though its forces struggle to make any major gains in recent weeks as it focuses on the eastern part of the country.
The deployment also appears to send a message to NATO as the Russian province is sandwiched between alliance members Poland and Lithuania, where U.S. troops are currently deployed should the war in Ukraine threaten to spill across borders.
The U.S. and NATO have also shipped billions of dollars worth of weapons to help Ukraine beat back Kremlin forces, help that Moscow has strongly criticized as overstepping boundaries.
“The events in Ukraine demonstrated that a clash with the collective West is a real possibility,” Russian Foreign Ministry spokesman Ivan Nechayev said Thursday, according to the AP, but stressed that a “direct confrontation with the U.S. and NATO isn’t in our interests.”
window.loadAnvato({“mcp”:”LIN”,”width”:”100%”,”height”:”100%”,”video”:”7920936″,”autoplay”:false,”expect_preroll”:true,”pInstance”:”p1″,”plugins”:{“comscore”:{“clientId”:”6036439″,”c3″:”thehill.com”,”version”:”5.2.0″,”useDerivedMetadata”:true,”mapping”:{“c3″:”thehill.com”,”ns_st_st”:”hill”,”ns_st_pu”:”Nexstar”,”ns_st_ge”:”TheHill.com”,”cs_ucfr”:””}},”dfp”:{“adTagUrl”:”https://pubads.g.doubleclick.net/gampad/ads?sz=1×1000&iu=/5678/nx.thehill/news/landing&ciu_szs=300×250&impl=s&gdfp_req=1&env=vp&output=vmap&unviewed_position_start=1&ad_rule=1&description_url=https://thehill.com/homenews/feed/&cust_params=vid%3D7920936%26pers_cid%3Dunknown%26vidcat%3D/news%26bob_ck%3D[bob_ck_val]%26d_code%3D271%2C272%2C273%2C275%2C253%2C176%2C256%2C302%2C304%2C307%2C289%2C298%2C299%2C296%2C297%2C294%2C292%2C290%2C286%2C300%2C302%2C307%2C288%2C297%2C294%2C295%2C292%2C290%2C289%2C288%2C283%2C282%2C284%2C287%2C286%2C300%2C302%2C304%2C305%2C306%2C307%2C263%2C260%2C268%2C245%2C904%2C910%2C304%2C307%2C289%2C288%2C298%2C176%2C297%2C294%2C295%2C292%2C290%2C286%2C298%2C299%2C296%2C297%2C294%2C295%2C292%2C290%2C291%26pagetype%3Dsubindex%26hlmeta%3Dhomenews”},”segmentCustom”:{“script”:”https://segment.psg.nexstardigital.net/anvato.js”,”writeKey”:”7pQqdpSKE8rc12w83fBiAoQVD4llInQJ”,”pluginsLoadingTimeout”:12}},”expectPrerollTimeout”:8,”accessKey”:”q261XAmOMdqqRf1p7eCo7IYmO1kyPmMB”,”token”:”eyJ0eXAiOiJKV1QiLCJhbGciOiJIUzI1NiJ9.eyJ2aWQiOiI3OTIwOTM2IiwiaXNzIjoicTI2MVhBbU9NZHFxUmYxcDdlQ283SVltTzFreVBtTUIiLCJleHAiOjE2NjA4NjMxODF9.Y3Fp_kiHC-ifH-CA_SHwlGoPGQqVwIGTZlbru3EtVYA”,”nxs”:{“mp4Url”:”https://tkx.mp.lura.live/rest/v2/mcp/video/7920936?anvack=q261XAmOMdqqRf1p7eCo7IYmO1kyPmMB&token=%7E6SG7cZoEa0S5PydVZVagX7loGseZvo70MQ%3D%3D”,”enableFloatingPlayer”:true},”disableMutedAutoplay”:false,”recommendations”:{“items”:[{“mcpid”:”7889503″,”title”:”Paul on veterans bill: ‘It’s not always easy to make these judgments'”,”image”:”https://h104216-fcdn.mp.lura.live/1/938892/pvw_lin/5B6/541/5B65410F8EA96E2DB93D78F2F5105D3E_2.jpg?aktaexp=2082787200&aktasgn=99816612eb73744c215ac0273c369762″,”token”:”eyJ0eXAiOiJKV1QiLCJhbGciOiJIUzI1NiJ9.eyJ2aWQiOiI3ODg5NTAzIiwiaXNzIjoicTI2MVhBbU9NZHFxUmYxcDdlQ283SVltTzFreVBtTUIiLCJleHAiOjE2NjA4NjMxODF9.oV1PGcCgh_SnGjNY3_EbFsmlVYm31SY8IbCYfnrxMrU”,”ad_unit_path”:”/5678/nx.thehill/the_hill_tv”},{“mcpid”:”7889450″,”title”:”Andrew Yang: US needs a multi-party system”,”image”:”https://h104216-fcdn.mp.lura.live/1/938892/pvw_lin/B6D/5A6/B6D5A6916EDAD7796E888F2EAEB000B6_3.jpg?aktaexp=2082787200&aktasgn=140982e2149835a2024cf7aa993e4530″,”token”:”eyJ0eXAiOiJKV1QiLCJhbGciOiJIUzI1NiJ9.eyJ2aWQiOiI3ODg5NDUwIiwiaXNzIjoicTI2MVhBbU9NZHFxUmYxcDdlQ283SVltTzFreVBtTUIiLCJleHAiOjE2NjA4NjMxODF9.-WnTT0S1vzamZy_CFPXwFjL2ls8x-HBo2-llhVuZADc”,”ad_unit_path”:”/5678/nx.thehill/the_hill_tv”},{“mcpid”:”7898976″,”title”:”Policy Minute: Sponsored by Strive Together”,”image”:”https://m104216-ucdn.mp.lura.live/iupl_lin/70A/508/70A508FDEDA37F92087C7B5F9F580914.jpg?Expires=2082758400&KeyName=mcpkey1&Signature=26yahetolRTxZMBm3zGxZ2uibRg”,”token”:”eyJ0eXAiOiJKV1QiLCJhbGciOiJIUzI1NiJ9.eyJ2aWQiOiI3ODk4OTc2IiwiaXNzIjoicTI2MVhBbU9NZHFxUmYxcDdlQ283SVltTzFreVBtTUIiLCJleHAiOjE2NjA4NjMxODF9.tLRYOreDpswcHhop6noJVsZoPs–1FkezruMCGUlQYc”,”ad_unit_path”:”/5678/nx.thehill”},{“mcpid”:”7726143″,”title”:”Conservative researcher says Texas social media law won’t proliferate violence”,”image”:”https://h104216-fcdn.mp.lura.live/1/938892/pvw_lin/DAD/6C4/DAD6C428E9802521E417539CB27E784F_8.jpg?aktaexp=2082787200&aktasgn=bcc0fda9a330de42fc0e9c806d0d1369″,”token”:”eyJ0eXAiOiJKV1QiLCJhbGciOiJIUzI1NiJ9.eyJ2aWQiOiI3NzI2MTQzIiwiaXNzIjoicTI2MVhBbU9NZHFxUmYxcDdlQ283SVltTzFreVBtTUIiLCJleHAiOjE2NjA4NjMxODF9.Nvih8wYqJiM_Y49yiiQeBTW6GTiC-h3_m2Q-x3LHmac”,”ad_unit_path”:”/5678/nx.thehill/the_hill_tv”},{“mcpid”:”7708222″,”title”:”Pfizer, Moderna IN THE WORKS on Omicron vaccine”,”image”:”https://m104216-ucdn.mp.lura.live/iupl_lin/D2E/E3D/D2EE3D3F89C5A7453B551430185CC930.png?Expires=2082758400&KeyName=mcpkey1&Signature=9-KLYwgNxxO92WBIdkeBfZTWTKU”,”token”:”eyJ0eXAiOiJKV1QiLCJhbGciOiJIUzI1NiJ9.eyJ2aWQiOiI3NzA4MjIyIiwiaXNzIjoicTI2MVhBbU9NZHFxUmYxcDdlQ283SVltTzFreVBtTUIiLCJleHAiOjE2NjA4NjMxODF9.Pb6hmSeiat5CRJFNVeHc1ocstgHd1NEGWx4x-J0aMOU”,”ad_unit_path”:”/5678/nx.thehill/the_hill_tv”},{“mcpid”:”7706528″,”title”:”Watchdog group leader urges FEC to take action against liberal donor”,”image”:”https://h104216-fcdn.mp.lura.live/1/938892/pvw_lin/BC2/8B4/BC28B49D28A66CBBFF55333080486BF2_2.jpg?aktaexp=2082787200&aktasgn=24a08d4194798349a672b21ba98c8147″,”token”:”eyJ0eXAiOiJKV1QiLCJhbGciOiJIUzI1NiJ9.eyJ2aWQiOiI3NzA2NTI4IiwiaXNzIjoicTI2MVhBbU9NZHFxUmYxcDdlQ283SVltTzFreVBtTUIiLCJleHAiOjE2NjA4NjMxODF9.kjzJPC149TAHmzKlO8XSQKj0Gsc9deD15KLZ1C8BJp4″,”ad_unit_path”:”/5678/nx.thehill/the_hill_tv”},{“mcpid”:”7698327″,”title”:”UC-Irvine scholar says Biden order redeploying troops to Somalia similar to existing military policy”,”image”:”https://h104216-fcdn.mp.lura.live/1/938892/pvw_lin/924/EB4/924EB4726307FB21B59A89353D7501A7_5.jpg?aktaexp=2082787200&aktasgn=6021ccdf338dfd53dcbae2049b6ca1c0″,”token”:”eyJ0eXAiOiJKV1QiLCJhbGciOiJIUzI1NiJ9.eyJ2aWQiOiI3Njk4MzI3IiwiaXNzIjoicTI2MVhBbU9NZHFxUmYxcDdlQ283SVltTzFreVBtTUIiLCJleHAiOjE2NjA4NjMxODF9.Dm3zD5PTLSzbaYVmFNVJ9xXbrN3xHOIwohrg4I2iA54″,”ad_unit_path”:”/5678/nx.thehill/the_hill_tv”},{“mcpid”:”7691510″,”title”:”Former FDA official says parents should have warned sooner of baby formula shortage”,”image”:”https://h104216-fcdn.mp.lura.live/1/938892/pvw_lin/EB9/3E8/EB93E883C8CF777ED3ED06B7D165A01E_2.jpg?aktaexp=2082787200&aktasgn=855d40604d2bc000a9c649796da9a14c”,”token”:”eyJ0eXAiOiJKV1QiLCJhbGciOiJIUzI1NiJ9.eyJ2aWQiOiI3NjkxNTEwIiwiaXNzIjoicTI2MVhBbU9NZHFxUmYxcDdlQ283SVltTzFreVBtTUIiLCJleHAiOjE2NjA4NjMxODF9.WALpjdGeaVRUi0MHcwhdLaz2uye0dShPOCg0s80ILrY”,”ad_unit_path”:”/5678/nx.thehill/the_hill_tv”},{“mcpid”:”7686454″,”title”:”Rolling Stone dubs Buffalo MASS SHOOTER A ‘Mainstream Republican'”,”image”:”https://m104216-ucdn.mp.lura.live/iupl_lin/31E/145/31E1452F6D61F27CA9387DE274BA188E.png?Expires=2082758400&KeyName=mcpkey1&Signature=OGhHYA2xmLlUIPOmtW6RDF8b_To”,”token”:”eyJ0eXAiOiJKV1QiLCJhbGciOiJIUzI1NiJ9.eyJ2aWQiOiI3Njg2NDU0IiwiaXNzIjoicTI2MVhBbU9NZHFxUmYxcDdlQ283SVltTzFreVBtTUIiLCJleHAiOjE2NjA4NjMxODF9.5RzS8kS03nBd2kxExtov53VjpibYoMK9jN1mEI-2kTQ”,”ad_unit_path”:”/5678/nx.thehill/the_hill_tv”},{“mcpid”:”7681946″,”title”:”Blind Spots Of The Republican Party Have SHIFTED To Democrats. Politicians Completely OUT OF TOUCH”,”image”:”https://m104216-ucdn.mp.lura.live/iupl_lin/A98/ACE/A98ACE21DE95856761AFEB983B222946.png?Expires=2082758400&KeyName=mcpkey1&Signature=56bvo9hKboBlsw-WfDxofQ70owU”,”token”:”eyJ0eXAiOiJKV1QiLCJhbGciOiJIUzI1NiJ9.eyJ2aWQiOiI3NjgxOTQ2IiwiaXNzIjoicTI2MVhBbU9NZHFxUmYxcDdlQ283SVltTzFreVBtTUIiLCJleHAiOjE2NjA4NjMxODF9.Lx8kiwLkC2bbT3PuQT4tm46glQMNMzrAcXih8dGe3UQ”,”ad_unit_path”:”/5678/nx.thehill/the_hill_tv”}],”duration”:5},”expectPreroll”:true,”titleVisible”:true,”pauseOnClick”:true,”trackTimePeriod”:60,”isPermutiveEnabled”:true});
A federal judge on Thursday blocked a Florida law restricting how workplaces and schools can discuss race during required training or instruction championed by Florida Gov. Ron DeSantis (R).
U.S. District Court for the Northern District of Florida Chief Judge Mark Walker issued a preliminary injunction blocking the law, known as the “Stop WOKE Act,” saying it violates free speech protections under the First Amendment and that it violates the Fourteenth Amendment’s Due Process Clause for being impermissibly vague.
“Recently, Florida has seemed like a First Amendment upside down,” Walker wrote in the ruling, comparing the law to the fictional “upside down” in the Netflix series “Stranger Things.”
“Normally, the First Amendment bars the state from burdening speech, while private actors may burden speech freely,” the Obama-appointed judge continued. “But in Florida, the First Amendment apparently bars private actors from burdening speech, while the state may burden speech freely.”
The law prevents workplaces from requiring employees to attend any activity that violates any of eight concepts, like instilling that someone bears “personal responsibility” for historic wrongdoings because of their race, color, sex or national origin.
DeSantis and other Republicans promoted the new legislation as fighting back against liberals seeking to make white people feel guilty in diversity and inclusion efforts.
“In Florida, we will not let the far-left woke agenda take over our schools and workplaces,” DeSantis said during a signing ceremony in April. “There is no place for indoctrination or discrimination in Florida.”
In the ruling, Walker argued the law implemented viewpoint-based regulation on speech, noting that a nonprofit could not hold a required meeting in which it endorses the concept of white privilege while another nonprofit was free to hold required meetings criticizing the concept.
“If Florida truly believes we live in a post-racial society, then let it make its case,” Walker ruled. “But it cannot win the argument by muzzling its opponents.”
Nonprofit Protect Democracy filed the lawsuit challenging the law in June on behalf of honeymoon registry technology company Honeyfund and Ben & Jerry’s franchisee Primo Tampa, both of whom wished to require employee training prohibited by the law.
The group also challenged the law on behalf of workplace diversity and inclusion consulting company Collective Concepts and its co-founder Chevara Orrin.
“This vague law violates the First and Fourteenth Amendments by prohibiting the expression of viewpoints disfavored by government officials and chilling a wide range of speech in the workplace,” Shalini Goel Agarwal, counsel at Protect Democracy, said in a statement.
“We look forward to proceeding to trial, winning, and seeing this law permanently overturned,” she said. “It is a direct attack on American free speech values as well as on free enterprise in Florida.”
The Hill has reached out to DeSantis’s office for comment.
The American Civil Liberties Union (ACLU), ACLU of Florida and other groups filed a separate lawsuit challenging the law on Thursday on behalf of a group of students and educators in the state.
An agreement between the Danish manufacturer of the only U.S.-approved monkeypox vaccine and a Michigan-based company would move the final packaging steps to the U.S. in an effort to expedite the delivery of millions of doses.
Company and administration health officials on Thursday announced Denmark-based Bavarian Nordic entered into an agreement with U.S.-based contract manufacturer Grand River Aseptic Manufacturing (GRAM).
The priority will be to fill and package 2.5 million vials of the Jynneos vaccine that were ordered by the Biden administration in July. Jynneos is the only monkeypox vaccine approved by the Food and Drug Administration.
Officials said in a statement that the technology transfer of the production process from Bavarian Nordic to Grand River has already been initiated, with the aim of completing it within three months.
The process could normally take up to nine months, health officials said.
“This partnership between Bavarian Nordic and GRAM will significantly increase the capacity to fill and finish government-owned doses – for the first time in the U.S. – and allow us to deliver our current and future supply more quickly to locations nationwide,” White House monkeypox response coordinator Bob Fenton said in a statement.
There are more than 13,500 monkeypox cases in the U.S., and demand for the vaccine has far outstripped supply. The Biden administration has faced criticism for underestimating the outbreak and not moving quickly enough to secure more doses from the factory overseas, including frozen material it had already paid for.
Bavarian Nordic has been producing freeze-dried bulk vaccines since 2017, corresponding to approximately 13 million doses.
The U.S. did not exercise the first contract options for conversion of the bulk vaccine to freeze-dried doses until May, and delivery is not anticipated until 2023-2025. The U.S. has requested 5.5 million doses to be manufactured and delivered in 2022 and 2023 using the existing bulk vaccine.
By adding the capacity of the domestic company, Bavarian Nordic said it will be able to expedite delivery of vials to the U.S. while also freeing up capacity for other countries.
During a press briefing on Thursday, Dawn O’Connell, who leads the Health and Human Services Department’s Administration for Strategic Preparedness and Response, said the administration has been working to try to help Bavarian Nordic increase its manufacturing capacity.
“As you know, they’re a small manufacturer. So one of the first things we did as this monkeypox outbreak took hold was began conversations with them about how they might expand that capacity,” O’Connell said.
“We are also helping them in other ways … potentially working with a larger pharmaceutical company, for example,” O’Connell said.
window.loadAnvato({“mcp”:”LIN”,”width”:”100%”,”height”:”100%”,”video”:”7914190″,”autoplay”:false,”expect_preroll”:true,”pInstance”:”p3″,”plugins”:{“comscore”:{“clientId”:”6036439″,”c3″:”thehill.com”,”version”:”5.2.0″,”useDerivedMetadata”:true,”mapping”:{“c3″:”thehill.com”,”ns_st_st”:”hill”,”ns_st_pu”:”Nexstar”,”ns_st_ge”:”TheHill.com”,”cs_ucfr”:””}},”dfp”:{“adTagUrl”:”https://pubads.g.doubleclick.net/gampad/ads?sz=1×1000&iu=/5678/nx.thehill/news/landing&ciu_szs=300×250&impl=s&gdfp_req=1&env=vp&output=vmap&unviewed_position_start=1&ad_rule=1&description_url=https://thehill.com/homenews/feed/&cust_params=vid%3D7914190%26pers_cid%3Dunknown%26vidcat%3D/news%26bob_ck%3D[bob_ck_val]%26d_code%3D309%2C302%2C304%2C306%2C307%2C298%2C299%2C297%2C295%26pagetype%3Dsubindex%26hlmeta%3Dhomenews”},”segmentCustom”:{“script”:”https://segment.psg.nexstardigital.net/anvato.js”,”writeKey”:”7pQqdpSKE8rc12w83fBiAoQVD4llInQJ”,”pluginsLoadingTimeout”:12}},”expectPrerollTimeout”:8,”accessKey”:”q261XAmOMdqqRf1p7eCo7IYmO1kyPmMB”,”token”:”eyJ0eXAiOiJKV1QiLCJhbGciOiJIUzI1NiJ9.eyJ2aWQiOiI3OTE0MTkwIiwiaXNzIjoicTI2MVhBbU9NZHFxUmYxcDdlQ283SVltTzFreVBtTUIiLCJleHAiOjE2NjA4NjMxODF9.r-TnPKYTgvaYqPTVhfWd2mbMI4sRjZzR93rnHuTZpU4″,”nxs”:{“mp4Url”:”https://tkx.mp.lura.live/rest/v2/mcp/video/7914190?anvack=q261XAmOMdqqRf1p7eCo7IYmO1kyPmMB&token=%7E6SG4dZIObUS5PyZRYF6mWLloGseZvo70MQ%3D%3D”,”enableFloatingPlayer”:true},”disableMutedAutoplay”:false,”recommendations”:{“items”:[{“mcpid”:”7889503″,”title”:”Paul on veterans bill: ‘It’s not always easy to make these judgments'”,”image”:”https://h104216-fcdn.mp.lura.live/1/938892/pvw_lin/5B6/541/5B65410F8EA96E2DB93D78F2F5105D3E_2.jpg?aktaexp=2082787200&aktasgn=99816612eb73744c215ac0273c369762″,”token”:”eyJ0eXAiOiJKV1QiLCJhbGciOiJIUzI1NiJ9.eyJ2aWQiOiI3ODg5NTAzIiwiaXNzIjoicTI2MVhBbU9NZHFxUmYxcDdlQ283SVltTzFreVBtTUIiLCJleHAiOjE2NjA4NjMxODF9.oV1PGcCgh_SnGjNY3_EbFsmlVYm31SY8IbCYfnrxMrU”,”ad_unit_path”:”/5678/nx.thehill/the_hill_tv”},{“mcpid”:”7889450″,”title”:”Andrew Yang: US needs a multi-party system”,”image”:”https://h104216-fcdn.mp.lura.live/1/938892/pvw_lin/B6D/5A6/B6D5A6916EDAD7796E888F2EAEB000B6_3.jpg?aktaexp=2082787200&aktasgn=140982e2149835a2024cf7aa993e4530″,”token”:”eyJ0eXAiOiJKV1QiLCJhbGciOiJIUzI1NiJ9.eyJ2aWQiOiI3ODg5NDUwIiwiaXNzIjoicTI2MVhBbU9NZHFxUmYxcDdlQ283SVltTzFreVBtTUIiLCJleHAiOjE2NjA4NjMxODF9.-WnTT0S1vzamZy_CFPXwFjL2ls8x-HBo2-llhVuZADc”,”ad_unit_path”:”/5678/nx.thehill/the_hill_tv”},{“mcpid”:”7898976″,”title”:”Policy Minute: Sponsored by Strive Together”,”image”:”https://m104216-ucdn.mp.lura.live/iupl_lin/70A/508/70A508FDEDA37F92087C7B5F9F580914.jpg?Expires=2082758400&KeyName=mcpkey1&Signature=26yahetolRTxZMBm3zGxZ2uibRg”,”token”:”eyJ0eXAiOiJKV1QiLCJhbGciOiJIUzI1NiJ9.eyJ2aWQiOiI3ODk4OTc2IiwiaXNzIjoicTI2MVhBbU9NZHFxUmYxcDdlQ283SVltTzFreVBtTUIiLCJleHAiOjE2NjA4NjMxODF9.tLRYOreDpswcHhop6noJVsZoPs–1FkezruMCGUlQYc”,”ad_unit_path”:”/5678/nx.thehill”},{“mcpid”:”7726143″,”title”:”Conservative researcher says Texas social media law won’t proliferate violence”,”image”:”https://h104216-fcdn.mp.lura.live/1/938892/pvw_lin/DAD/6C4/DAD6C428E9802521E417539CB27E784F_8.jpg?aktaexp=2082787200&aktasgn=bcc0fda9a330de42fc0e9c806d0d1369″,”token”:”eyJ0eXAiOiJKV1QiLCJhbGciOiJIUzI1NiJ9.eyJ2aWQiOiI3NzI2MTQzIiwiaXNzIjoicTI2MVhBbU9NZHFxUmYxcDdlQ283SVltTzFreVBtTUIiLCJleHAiOjE2NjA4NjMxODF9.Nvih8wYqJiM_Y49yiiQeBTW6GTiC-h3_m2Q-x3LHmac”,”ad_unit_path”:”/5678/nx.thehill/the_hill_tv”},{“mcpid”:”7708222″,”title”:”Pfizer, Moderna IN THE WORKS on Omicron vaccine”,”image”:”https://m104216-ucdn.mp.lura.live/iupl_lin/D2E/E3D/D2EE3D3F89C5A7453B551430185CC930.png?Expires=2082758400&KeyName=mcpkey1&Signature=9-KLYwgNxxO92WBIdkeBfZTWTKU”,”token”:”eyJ0eXAiOiJKV1QiLCJhbGciOiJIUzI1NiJ9.eyJ2aWQiOiI3NzA4MjIyIiwiaXNzIjoicTI2MVhBbU9NZHFxUmYxcDdlQ283SVltTzFreVBtTUIiLCJleHAiOjE2NjA4NjMxODF9.Pb6hmSeiat5CRJFNVeHc1ocstgHd1NEGWx4x-J0aMOU”,”ad_unit_path”:”/5678/nx.thehill/the_hill_tv”},{“mcpid”:”7706528″,”title”:”Watchdog group leader urges FEC to take action against liberal donor”,”image”:”https://h104216-fcdn.mp.lura.live/1/938892/pvw_lin/BC2/8B4/BC28B49D28A66CBBFF55333080486BF2_2.jpg?aktaexp=2082787200&aktasgn=24a08d4194798349a672b21ba98c8147″,”token”:”eyJ0eXAiOiJKV1QiLCJhbGciOiJIUzI1NiJ9.eyJ2aWQiOiI3NzA2NTI4IiwiaXNzIjoicTI2MVhBbU9NZHFxUmYxcDdlQ283SVltTzFreVBtTUIiLCJleHAiOjE2NjA4NjMxODF9.kjzJPC149TAHmzKlO8XSQKj0Gsc9deD15KLZ1C8BJp4″,”ad_unit_path”:”/5678/nx.thehill/the_hill_tv”},{“mcpid”:”7698327″,”title”:”UC-Irvine scholar says Biden order redeploying troops to Somalia similar to existing military policy”,”image”:”https://h104216-fcdn.mp.lura.live/1/938892/pvw_lin/924/EB4/924EB4726307FB21B59A89353D7501A7_5.jpg?aktaexp=2082787200&aktasgn=6021ccdf338dfd53dcbae2049b6ca1c0″,”token”:”eyJ0eXAiOiJKV1QiLCJhbGciOiJIUzI1NiJ9.eyJ2aWQiOiI3Njk4MzI3IiwiaXNzIjoicTI2MVhBbU9NZHFxUmYxcDdlQ283SVltTzFreVBtTUIiLCJleHAiOjE2NjA4NjMxODF9.Dm3zD5PTLSzbaYVmFNVJ9xXbrN3xHOIwohrg4I2iA54″,”ad_unit_path”:”/5678/nx.thehill/the_hill_tv”},{“mcpid”:”7691510″,”title”:”Former FDA official says parents should have warned sooner of baby formula shortage”,”image”:”https://h104216-fcdn.mp.lura.live/1/938892/pvw_lin/EB9/3E8/EB93E883C8CF777ED3ED06B7D165A01E_2.jpg?aktaexp=2082787200&aktasgn=855d40604d2bc000a9c649796da9a14c”,”token”:”eyJ0eXAiOiJKV1QiLCJhbGciOiJIUzI1NiJ9.eyJ2aWQiOiI3NjkxNTEwIiwiaXNzIjoicTI2MVhBbU9NZHFxUmYxcDdlQ283SVltTzFreVBtTUIiLCJleHAiOjE2NjA4NjMxODF9.WALpjdGeaVRUi0MHcwhdLaz2uye0dShPOCg0s80ILrY”,”ad_unit_path”:”/5678/nx.thehill/the_hill_tv”},{“mcpid”:”7686454″,”title”:”Rolling Stone dubs Buffalo MASS SHOOTER A ‘Mainstream Republican'”,”image”:”https://m104216-ucdn.mp.lura.live/iupl_lin/31E/145/31E1452F6D61F27CA9387DE274BA188E.png?Expires=2082758400&KeyName=mcpkey1&Signature=OGhHYA2xmLlUIPOmtW6RDF8b_To”,”token”:”eyJ0eXAiOiJKV1QiLCJhbGciOiJIUzI1NiJ9.eyJ2aWQiOiI3Njg2NDU0IiwiaXNzIjoicTI2MVhBbU9NZHFxUmYxcDdlQ283SVltTzFreVBtTUIiLCJleHAiOjE2NjA4NjMxODF9.5RzS8kS03nBd2kxExtov53VjpibYoMK9jN1mEI-2kTQ”,”ad_unit_path”:”/5678/nx.thehill/the_hill_tv”},{“mcpid”:”7681946″,”title”:”Blind Spots Of The Republican Party Have SHIFTED To Democrats. Politicians Completely OUT OF TOUCH”,”image”:”https://m104216-ucdn.mp.lura.live/iupl_lin/A98/ACE/A98ACE21DE95856761AFEB983B222946.png?Expires=2082758400&KeyName=mcpkey1&Signature=56bvo9hKboBlsw-WfDxofQ70owU”,”token”:”eyJ0eXAiOiJKV1QiLCJhbGciOiJIUzI1NiJ9.eyJ2aWQiOiI3NjgxOTQ2IiwiaXNzIjoicTI2MVhBbU9NZHFxUmYxcDdlQ283SVltTzFreVBtTUIiLCJleHAiOjE2NjA4NjMxODF9.Lx8kiwLkC2bbT3PuQT4tm46glQMNMzrAcXih8dGe3UQ”,”ad_unit_path”:”/5678/nx.thehill/the_hill_tv”}],”duration”:5},”expectPreroll”:true,”titleVisible”:true,”pauseOnClick”:true,”trackTimePeriod”:60,”isPermutiveEnabled”:true});
President Biden is keeping student loan borrowers in suspense over whether he’ll decide to again extend a freeze on repayments with less than two weeks to go until the Aug. 31 cutoff date.
It’s the smallest window of time borrowers have had so far since the pause in federal loan repayments began at the start of the COVID-19 pandemic, with lawmakers and advocates pressuring the administration to make a decision that revolves around crucial financial planning.
“The stress and anxiety and frankly fear that borrowers are feeling right now, we feel it every day when we’re speaking to them. The very first question is: What do we know? What’s going to happen? What do I need to do to scrounge up money to pay for student loans next month?” said Natalia Abrams, president and founder of the Student Debt Crisis Center.
The delay in announcing a decision and the approaching midterm election raises questions over if the news will include more than a payment pause extension and potentially a long-awaited decision to forgive some amount of such debt.
The freeze has been extended six times since loan payments were first put on hold in March 2020 under former President Trump. The order froze the accrual of interest on federal student loans serviced by the U.S. Department of Education, effectively freezing $1.6 trillion in debt owed by more than 40 million Americans.
Education Secretary Miguel Cardona on Tuesday indicated a decision will be made “soon” on student loan repayments, but wouldn’t say whether the Biden administration plans to extend the pause.
The president said last month that “the end of August” is his timeline for making a decision –– potentially butting an announcement right up to the deadline –– but he’s otherwise kept his next move on student loans a mystery, leaving borrowers and advocates waiting largely in the dark.
“In an economy where millions of people continue to struggle financially amidst inflation and rising housing and rent prices, it’s beyond frustrating that President Biden has yet to provide a clear answer on student loan forgiveness,” said Carlos Moreno, senior campaign strategist with the ACLU, adding that it’s “long past time” for Biden to cancel student debt.
Braxton Brewington, spokesperson for the Debt Collective, said borrowers are tired of “playing red-light-green-light with their monthly bills and financial security” every time another payment pause deadline approaches.
“Dragging out a decision this long and so close to a deadline undermines tens of millions of Americans’ ability to make consequential financial decisions like whether or not they can save for retirement, afford medication or child care, and even pay their rent,” he said.
Biden has also felt pressure from lawmakers. Last month, Sen. Bob Menendez (D-N.J.) led a letter signed by over 100 Democrats in Congress calling for Biden to extend the pause, citing the economic hardship some have faced due to the coronavirus pandemic, as well as the squeeze rising inflation has put on consumers nationwide.
Democrats and advocates have also pushed for the relief as a means to advance racial equity, while pointing to the disproportionate burden faced by borrowers of color, especially Black Americans, who experts say are more likely to borrow at higher rates and struggle with repayment.
Laura Beamer, lead researcher in higher education finance for the left-leaning Jain Family Institute, said that while all borrowers will feel some kind of impact from the ongoing moratorium or any cancellation, the effects would be most felt among Black borrowers.
“Black borrowers are going to feel more of an impact from any cancellation, from any extension for the moratorium, than their peers,” Beamer said. She added that the impact would also be more pronounced for those with “higher debt to income ratios, and those people are disproportionately hailing from disadvantaged groups and low socioeconomic status groups.”
During the 2020 campaign, Biden championed forgiving at least $10,000 in federal student loans per person. Over a year ago, he requested a memo from the Department of Education to determine his authority to forgive student debt through executive action, but the administration has not publicly announced if the memo is complete.
That hasn’t stopped the administration from approving forgiveness for billions in student debt.
Since Biden has taken office, his administration has greenlit over $31 billion in student loan relief for hundreds of thousands of borrowers. But that relief has only extended in certain cases, including for those who have attended schools found to have misled students, borrowers with disabilities, and those participating in the Public Service Loan Forgiveness program.
Biden announced in June that he would cancel nearly $6 billion in student debt for former Corinthian College students. The move came after the school faced immense scrutiny following lawsuits charging it with defrauding students, but the significant round of forgiveness immediately raised pressure on the White House to do more.
Progressives and advocates argue the actions by the administration prove Biden has authority to approve broader student loan relief. But whether he should has been a source of debate among some financial experts and lawmakers.
Many Republicans have come out against the push for widespread forgiveness as well as extensions to the current repayment pause, blasting the relief as unfair for Americans that didn’t attend college and claiming it would add fuel to rising inflation.
By contrast, some experts have downplayed the effects of the payment pause on the decades-high inflation rates seen in recent months. There’s also been some pushback over how much of an impact a potential plan to approve $10,000 in student debt for certain borrowers would have on rising costs.
“The inflationary pressure that cancellation has, especially at an amount at $10,000, is going to be minimal,” Beamer said. She also noted that a chunk of borrowers take longer than 10 years to pay off their debt, which she argued eases the potential impact actions canceling student debt could have on inflation.
However, the borrower relief has also been targeted by budget watchers at a time the government has been facing pressure to cool off spending.
Marc Goldwein, senior vice president of the Committee for a Responsible Federal Budget, said the effects of extending a current pause on payments is “not gigantic.”
“It’s not large relative to the size of the inflation problem. But it’s large relative to the president’s tools to fight inflation,” Goldwein said, while also calling ending the payment freeze “one of the most direct and instantaneous tools that the administration has” to combat inflation.
