Thursday, December 18, 2014

This Week In Washington DC, Dec 18, 2014

This Week In Washington DC

Top 5 Stories

1.      The Obama administration announced the US will normalize relations with Cuba, opening its first embassy in Havana in more than 50 years, following 18 months of secret negotiations between the two countries and the release of prisoners held by both nations.

Look ahead: Republicans have threatened to impede efforts to confirm an ambassador to Cuba and provide funding for an embassy.

2.      The omnibus appropriations bill cleared the Senate on a 56-40 vote, after stalling due to demands from Sens. Ted Cruz, R-Texas, and Mike Lee, R-Utah, for a vote to defund President Obama's executive action on immigration.

Look ahead: While Republicans intend to return to a regular budget process, the return of sequestration-induced cuts could spur contentious debates over funding in the next Congress.

3.      On a 76-16 vot, the Senate granted final approval to a short-term extension of 54 tax breaks, retroactive to Jan. 1, 2014, which is expected to add $42 billion to the federal deficit.

Look ahead: Lawmakers expect to resume negotiations on a long-term agreement in the new year.

4.      Federal investigators have linked North Korea to the cyberattack and terrorism threats against Sony Pictures Entertainment, who then canceled the release of The Interview.

Look ahead: This sets a bad precedence of succumbing to cyber threats and will embolden others to make more cyber attacks—look for an increase in cyber attacks.

5.      A six-year extension of the Terrorism Risk Insurance Act, which is designed to provide a federal backstop for insurers in the event of a terrorist attack, died in the Senate amid opposition from Sen. Tom Coburn, R-Okla., after passing the House on a 417-7 vote.

Look ahead: While the TRIA program is expected to lapse now that the 113th Congress has adjourned, Senate Republican leaders hope to take up legislation early in the 114th Congress.



Thursday, December 11, 2014

This Week In Washington DC, Dec 11, 2015

This Week In Washington DC

Top 5 Stories This Week

1.      House and Senate appropriators released an omnibus appropriations bill to fund most of the federal government through Sept. 2015.   

Look ahead: House Republican leaders passed the bill, and now all that is left is for the Senate to pass it Friday.

2.      The Senate Intelligence Committee released its long-awaited, 500-page summary of a classified report on CIA interrogation practices after 9/11, concluding that the controversial methods failed to produce valuable information, despite the agency's continued assurances.

Look ahead: While the Senate panel's report may dim public opinion of the CIA, it is unlikely to dull the agency's influence.

3.      The Bureau of Labor Statistics reported 321,000 positions were added to nonfarm payrolls in November, marking the strongest monthly job growth since January 2012, while unemployment held steady at 5.8%. The jobs report reflected a larger-than-expected increase in average hourly earnings.

Look ahead: Despite the gains, economists are concerned Americans remain reluctant to change jobs, a sign of lingering weakness in the labor market.

4.      Attorney General Eric Holder announced a set of draft policy changes for federal law enforcement that will ban the use of religion, gender, national origin, sexual orientation, and gender identity as the basis for enforcement actions such as traffic stops, with some exceptions for certain Homeland Security agencies.

Look ahead: The new policy, while binding only on federal agencies, is intended to serve as guidance for state and local law enforcement agencies.

5.      The White House announced $750 million in federal grants to improve early childhood education, coupled with more than $330 million in private commitments and donations.

Look ahead: $200 million will be distributed directly to 18 states working to improve their preschool offerings, and $500 million will go to Early Head Start and Child Care Partnership programs.



Thursday, December 4, 2014

This Week In Washington DC, Dec 4, 2014

This Week In Washington

Top 5 Stories


1.      The House is expected to pass the $585 billion National Defense Authorization Act, following a compromise reached by Senate Armed Services Committee Chairman Carl Levin, D-Mich., and House Armed Services Committee Chairman Buck McKeon, R-Calif.

Look ahead: The legislation grants the president the authority to expand the military effort against ISIS militants in Iraq and Syria.

2.      President Obama is expected to nominate Ashton Carter, former deputy Defense secretary, to succeed Chuck Hagel in the Pentagon's top post. The Pentagon veteran, who has maintained a low Beltway profile while serving at at some of the leading policy minds in the defense community, has drawn praise from both sides of the aisle.

Look ahead: Carter, a theoretical physicist and former academic who has served in neither Congress nor the military, offers a stark contrast to outgoing Secretary Hagel, but he could face skepticism over his ability to oversee the war against ISIS. Like his predecessors in the role, Carter may not like the White House's micromanagement of Pentagon affairs.

3.      House Republican leaders are finalizing an agreement to avert a government shutdown on Dec. 11, and expect to hold a vote on the legislation early next week.

Look ahead: Speaker John Boehner is relying on limited Democratic support for passage, as a bloc of conservative Republicans is expected to reject the deal.

4.      Attorney General Eric Holder announced the Justice Department will launch a civil-rights investigation into the death of Eric Garner, after a Staten Island grand jury declined to indict NYPD officer Daniel Pantaleo, sparking protests in New York and around the country.

Look ahead: The department's Civil Rights Division and the office of Loretta Lynch, the U.S. Attorney for the Eastern District of New York and the president's nominee to succeed Holder, will lead the investigation.

5.      The White House announced a three-part "plan to strengthen community policing," and Holder previewed an announcement "in the coming days" of updated federal guidelines to "help end racial profiling, once and for all."

Look ahead: The president assured a diverse group of community leaders Monday he will work to advance race relations for the remainder of his term—"not to solve every problem, not to tear down every barrier of mistrust that may exist, but to make things better."



Wednesday, November 26, 2014

This Week In Washington, Nov 26, 2015

This Week In Washington

Top 5 Stories This Week


1.      President Obama's announcement that more than 4 million undocumented immigrants will be eligible to apply for work permits and deferred deportation spurred emotional reactions on both sides of the immigration debate and laid the groundwork for battles with a Republican-led Congress.

Look ahead: In addition to alienating congressional Republicans, the president risks seeing his actions reversed by lawmakers or a successor.

2.      Bipartisan negotiations on legislation to renew and make permanent a raft of expired corporate tax breaks are faltering after President Obama threatened to veto the bill for failing to aid working families.

Look ahead: The measure could add an estimated $450 billion to the federal budget deficit.

3.      After pulling the plug on the regulation in 2011, the EPA proposed tightening the air-quality standard for ground-level ozone, or smog—a standard that's at the center of a fierce lobbying war between industry and environmentalists.

Look ahead: The revisions will lower the current standard of 75 parts per billion to between 65 and 70 ppb.

4.      Protesters clashed with law enforcement following the announcement that a St. Louis grand jury had declined to indict Officer Darren Wilson in the shooting death of Michael Brown. Officers responded with tear gas as demonstrations turned violent, businesses were looted and buildings set ablaze.

Look ahead: Attorney General Eric Holder said a federal investigation into the shooting "remains ongoing," and Wilson could still face civil-rights charges. Still, several legal experts have suggested federal charges are unlikely.

5.      The P5+1 nations and Iran failed to secure a long-term nuclear agreement by the Nov. 24 deadline, but agreed to extend talks pursuant to requests from the U.S. and other world powers.

Look ahead: As the parties remain at odds over a number of issues, the talks will last through the end of June; both sides will meet again in December and they hope to have a political agreement within four months.


Thursday, November 13, 2014

This Week In Washington DC, Nov 13, 2014

This Week In Washington DC

Top 5 Stories


1.      President Obama is reportedly preparing to announce a 10-point immigration-reform plan, which would include provisions to enhance border security and could shield 5 million undocumented immigrants from deportation.

Look ahead: Senate Minority Whip John Cornyn, R-Texas, warns that executive action could derail bipartisan efforts to craft an omnibus spending bill. More than 50 House Republicans aim to incorporate language prohibiting unilateral action into legislation funding the government after Dec. 11.

2.      Sen. Mary Landrieu, D-La., locked in a tough runoff battle with Republican Rep. Bill Cassidy, pushed for a vote on the Keystone XL pipeline, which could come as soon as Nov. 18. The House will vote today on identical legislation sponsored by Cassidy, allowing the measure to proceed directly to the president for signature in the event of passage.

Look ahead: The measure could earn strong support from Senate Democrats, who no longer need the electoral consequences of a vote.

3.      President Obama and Chinese President Xi Jinping announced an ambitious plan that includes new U.S. emissions reduction targets through 2025 and China's first-ever agreement to curb emissions by 2030, in a move intended to encourage other nations to take similar action.

Look ahead: The announcement, which drew criticism from congressional Republicans, could signal a focus on climate in the 2016 election cycle.

4.      The lame-duck session that opened this week, set to include a raft of stalled legislation, offers lawmakers an opportunity to break the gridlock that has characterized the 113th Congress ahead of the Republican takeover in January.

Look ahead: House Republican leaders plan to stick closely to the plans laid out by outgoing Budget Committee Chairman Paul Ryan, R-Wis., which include reforms to Medicare and Medicaid, repeal of the Affordable Care Act, and reduction of the highest tax rates.

5.      The Labor Department reported 214,000 jobs were added to nonfarm payrolls in October, trailing the 248,000 jobs added in September, while unemployment declined slightly to 5.8%. The figure trailed economists' projections of 230,000 to 235,000 jobs added.

Look ahead: Despite a steady decline in the overall unemployment rate, nearly 7 million Americans are classified as involuntary part-time workers, raising concerns the phenomenon may be structural rather than cyclical.



Thursday, November 6, 2014

This Week In Washington DC, Nov 6, 2014

This Week In Washington

Top 5 Stories This Week

1.      Buoyed by popular frustration with President Obama and congressional Democrats, Republicans seized control of the Senate for the first time in 8 years and expanded their majority in the House, gaining validation of their vision for the nation and raising hopes of an end to congressional gridlock.

Look ahead: House Speaker John Boehner and Senate Minority Leader Mitch McConnell outlined their agenda for the 114th Congress, which will include Senate consideration of House-passed jobs legislation, in an op-ed in The Wall Street Journal.

2.      Despite a devastating electoral defeat for his party, President Obama plans to stay the course, and will make no significant policy concessions to congressional Republicans, even as he fights to define his legacy in the final years of his presidency.

Look ahead: The president and Republicans in Congress face similar pressure to accomplish major policy objectives over the next two years.  Prediction:  No progress the next 2 years.

3.      Obama reportedly has narrowed to his choices for Attorney General to: Loretta Lynch, U.S. Attorney for the Eastern District of New York; Labor Secretary Tom Perez; and Solicitor General Donald Verrilli.

Look ahead: Administration officials suggest a decision could come as early as this week; the president remains optimistic that a nominee can be confirmed during the lame-duck session.

4.      Citing the need to present a united front against ISIS, and noting the coalition's strategy is evolving, the president will seek a new Authorization for Use of Military Force in the coming weeks.

Look ahead: Iraqi forces are planning a spring offensive, which will be supported by coalition air power and advisers and is intended to shatter the group's hold on the country's north and west, and assert government control in Mosul and other major cities.

5.      Russian-backed separatists held elections—complete with "monitors" from sympathetic organizations—eliciting praise from the Kremlin and drawing sharp criticism from the European Union.

Look ahead: The election of field commander Aleksandr Zakharchenko to the top leadership post is in the self-proclaimed Donetsk People's Republic is expected to preserve the status quo in the region. 



Friday, October 24, 2014

This Week In Washington DC, Oct 24th

This Week In Washington

Top 5 Stories

1.      The Obama administration released three new Ebola-related policies—the Centers for Disease Control and Prevention issued updated protocols to minimize risk to health care workers; the Homeland Security Department imposed restrictions on the airports through which travelers may enter the US from West Africa, and the CDC directed those arriving from affected countries to undergo monitoring for 21 days.

Look ahead: The nature of the disease—with its long incubation period and symptoms common to a host of less-serious illnesses—limits the efficacy of some of the preventive measures.

2.      The Canadian capital was thrown into chaos Wednesday as a gunman opened fire at the National War Memorial, killing Cpl. Nathan Cirillo, then entered the Parliament building and fired several rounds before being shot by Sergeant-at-Arms Kevin Vickers.

Look ahead: Prime Minister Stephen Harper said his government will "strengthen our resolve and redouble our efforts" to combat terrorism, spurring speculation the Canadian Security Intelligence Service could gain new authority.

3.      U.S. military planes dropped weapons, ammunition, and medical supplies to Kurdish fighters defending Kobani, over the objections of the Turkish government. Two bundles failed to reach their intended targets—U.S. forces destroyed one, and ISIS obtained the other.

Look ahead: The addition of Kurdish peshmerga fighters from Iraq, whom Turkey has granted permission to reinforce their Syrian counterparts, could boost the Kurds' prospects for victory.

4.      Speculation is rising President Obama plans sweeping executive action on immigration, following reports U.S. Citizenship and Immigration Services has drafted a procurement contract for up to 34 million work permits and green cards over five years, citing "possible future immigration reform initiative requirements."

Look ahead: White House press secretary Josh Earnest warned against "making assumptions … based on the procurement practices" of the Department of Homeland Security.

5.      The Secret Service apprehended Dominic Adesanya after he scaled the White House fence, triggering a brief lockdown, in the seventh such incident this year.

Look ahead: Adesanya, who was previously charged with unlawful entry at the executive complex in July, faces felony charges related to his issuance of threats and kicking of police dogs.



Thursday, October 16, 2014

This Week In Washington DC, October 16, 2014

This Week In Washington DC

Top 5 Stories This Week
1.      Two nurses from Texas Health Presbyterian Hospital contracted Ebola from patient Thomas Duncan, who died at the hospital Oct. 8th, triggering criticism of the institution's protocols and the Centers for Disease Control and Prevention response.

Look ahead: In a policy shift, the CDC will send a team of experts within hours to any hospital with a confirmed Ebola case.

2.      Administration officials confirmed President Obama will wait until after the election to nominate a replacement for Attorney General Eric Holder. The president is said to be considering White House Counsel Kathryn Ruemmler or Solicitor General Donald Verrilli for the post.

Look ahead: Obama's decision to defer the nomination until after the election could frustrate efforts to confirm his nominee before the end of the year.

3.      The Obama administration announced initiatives designed to return the long-term unemployed to the workforce, including $170 million in federal grants for job training and related programs.

Look ahead: Vice President Biden and Labor Secretary Perez met Wednesday with business leaders to discuss measures that could improve the hiring prospects for the long-term jobless. 

4.      Kurdish forces are gaining the upper hand in the battle for Kobani, Syria, aided by the U.S.-led coalition's intensified airstrikes against ISIS militants.

Look ahead: The Obama administration continues to assert the success of Operation Inherent Resolve, even as the president acknowledges setbacks and predicts a "long-term campaign."

5.      Voter-identification laws saw mixed results this week, with the Supreme Court blocking implementation of Wisconsin's law and the Arkansas Supreme Court invalidating its state's law, and a federal appellate panel reinstating Texas's statute.

Look ahead: Opponents of the Texas law have appealed the ruling to the Supreme Court in a last-ditch effort to bar enforcement during the midterms.



Thursday, October 9, 2014

This Week In Washington DC, Oct 9, 2014

This Week In Washington DC

Top 5 Stories

1.      The Supreme Court declined to hear challenges to Appeals Court rulings striking down same-sex marriage bans.  A 3-judge panel of the U.S. Court of Appeals for the 9th Circuit invalidated Idaho and Nevada's prohibitions on same-sex marriage, but Supreme Court Justice Anthony Kennedy granted Idaho officials' request for a temporary stay.

Look ahead: Attention now turns to other federal appellate courts, where pending cases involve same-sex marriage bans in a host of states.

2.      ISIS has captured additional territory in Kobani, Syria, even as the U.S.-led coalition intensifies its air campaign. The Turkish government continues to resist international pressure to join the fight against the militant group.

Look ahead: The Obama administration acknowledges airstrikes are insufficient to repel ISIS, but maintains the Syrian opposition, not U.S. forces, must oppose the group on the ground.

3.      Thomas Duncan, the Liberian citizen diagnosed with Ebola while visiting Dallas, died Wednesday, spurring questions about the speed and efficacy of his treatment. American photojournalist Ashoka Mukpo is receiving experimental drug brincidofovir, and has received a plasma donation from Ebola survivor Dr. Kent Brantly.

Look ahead: Officials will begin screening passengers whose travel originated in West Africa—no matter the number of intermediate stops—for fevers using no-touch thermometers at five major U.S. airports.

4.      The Labor Department reported employers added 248,000 positions to payrolls in September, exceeding economists' projections of 215,000 jobs added, as unemployment dipped to 5.9%.

Look ahead: The minutes from the September meeting of the Federal Open Market Committee reveal policymakers' concerns about a strengthening dollar and slowing inflation, signaling a reluctance to raise interest rates in the near term.

5.      Ahead of the open enrollment period that begins Nov. 15, federal officials previewed a reconfigured, streamlined HealthCare.gov, which CEO Kevin Counihan touts as a vast improvement over last year.

Look ahead: With millions of previously uninsured Americans—including those with preexisting conditions—already covered, the second round of open enrollment will focus on a tougher-to-reach population, for whom the price of insurance remains prohibitive.



Thursday, October 2, 2014

This Week in Washington DC, Oct 2, 2014

This Week In Washington DC

Top 5 Stories


1.      President Obama acknowledged the US underestimated the threat posed by ISIS and overestimated the Iraqi military's capacity to counter the group, while emphasizing the international character of the conflict.

Look ahead: The White House maintains its position that "there will not be U.S. ground invasion of Iraq or Syria."

2.      Following an oversight hearing during which lawmakers questioned her capacity to lead the agency amid revelations of serious security lapses, Secret Service Director Julia Pierson resigned after only 18 months at the helm.

Look ahead: Joseph Clancy, a former chief of the agency's presidential-protection division, who later headed corporate security for Comcast, will serve as acting interim director.

3.      Thomas Duncan, a 42-year-old Liberian national, was diagnosed with Ebola after arriving in the United States, and is undergoing treatment at a Texas hospital.

Look ahead: The CDC has dispatched 10 experts to Dallas, where authorities are monitoring as many as 100 people who may have come into contact with Duncan, to oversee Duncan's treatment and the effort to prevent new infections.

4.      The government of Afghan President Ashraf Ghani, who was inaugurated this week pursuant to a power-sharing agreement with former rival Abdullah Abdullah, signed a bilateral security agreement with the US.

Look ahead: Under the pact, approximately 9,800 U.S. troops will remain in Afghanistan at the start of 2015.

5.      Economic data was mixed this week, with ADP reporting private-sector employers added 213,000 positions in September, and consumer spending increasing 0.5% in August, but consumer confidence dipping unexpectedly and home prices rising at their slowest pace in 20 months.

Look ahead: The Labor Department's employment situation report for September, due for release Friday, should provide more clarity, following August's disappointing showing of 142,000 jobs added to nonfarm payrolls.


Thursday, September 25, 2014

This Week In Washington DC, Sep 25, 2014

This Week In Washington

Top 5 Stories


1.      The US, joined by Bahrain, Jordan, Qatar, Saudi Arabia, and the UAE, began aerial bombardment of ISIS positions in Syria. The airstrikes also targeted the Khorasan Group, described by Pentagon officials as comprised of "seasoned al-Qaida veterans."

Look ahead: The airstrikes are just one component of a multifaceted campaign that President Obama and other leaders predict will continue for some time.

2.      During an appearance at the U.N. Climate Summit, the president characterized climate change as an "urgent and growing threat" requiring the leadership of the world's largest nations. In a subsequent address to the U.N. General Assembly, Obama called on every nation to act on global warming.

Look ahead: The European Union unveiled new emissions targets, while the U.S. and China maintained existing targets and touted progress toward their goals.

3.      Corporations are scrambling to determine the effects of the Treasury Department's new rules on taxation of offshore income, which are designed to dis-incentivize corporate tax inversions.

Look ahead: The new regulations will not impede the merger between Burger King and Tim Horton's, but could impact a host of pending inversions.

4.      In the three West African countries hardest hit by the Ebola outbreak—Liberia, Guinea, and Sierra Leone—a total of more than 2,800 people have died and 5,843 have been infected, up from 1,346 deaths and 2,458 infections one month ago, according to a report from the World Health Organization.

Look ahead: The CDC reports Liberia and Sierra Leone could see 21,000 Ebola cases by Sept. 30 and 1.4 million cases by Jan. 20 if the outbreak is not controlled.

5.      In a result that reassured British investors, Scottish voters on Sept. 18 rejected a bid to sever their bonds with the United Kingdom.

Look ahead: U.K. Prime Minister David Cameron hailed the "clear result" of the referendum and pledged certain powers to Scotland, in keeping with an earlier agreement with Deputy Prime Minister Nick Clegg, and Labour leader Ed Miliband.


Thursday, September 18, 2014

This Week In Washington DC, Sep 18, 2014

This Week In Washington DC

Top 5 Stories


1.      The House approved President Obama's plan to equip and train members of the Syrian opposition as part of the administration's strategy against ISIS. The president emphasized the US will not deploy ground troops in Iraq, despite Joint Chiefs of Staff Chairman Gen. Martin Dempsey's refusal to rule out the possibility.

Look ahead: Even absent a U.S. infantry presence, experts say small special forces teams could operate alongside Iraqi troops, providing guidance and calling in air support.

2.      The House approved a continuing resolution to fund the government through Dec. 11 and reauthorize the Export-Import Bank through June 2015.

Look ahead: The Senate is scheduled to begin consideration of the stopgap funding measure this afternoon; a vote on passage could occur several hours later.

3.      The Federal Reserve announced plans to conclude the central bank's monthly asset purchases in October, but left unchanged its forward guidance that the federal funds rate should remain near zero for "a considerable time" after the end of quantitative easing.

Look ahead: Fed officials increased slightly their projections for the benchmark rate at the end of 2015, suggesting a swifter rate rise than had previously been forecast.

4.      The Census Bureau reported the national poverty rate dipped from 15% in 2012 to 14.5% last year—the first decline since 2006—as more Americans obtained full-time employment, and the child-poverty rate decreased from 21.8% to 19.9%.

Look ahead: The decline is attributable to population growth, as the number of Americans living at or below the federal poverty line was unchanged and household incomes remained flat.

5.      Scottish voters head to the polls today in a referendum on independence from the United Kingdom, weighing national identity against economic certainty. Nationalists argue Britain has deprived Scotland of its share of oil and gas revenues, but are accused of relying on an unduly optimistic assessment of the industry.

Look ahead: A vote for independence could create risks, but also opportunities, in Edinburgh, Royal Bank of Scotland and Lloyd's Bank have threatened to shift their legal bases to London.

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Thursday, August 21, 2014

This Week In Washington DC, Aug 21, 2014

This Week In Washington

Top 5 Stories


1.      Militants from the Islamic State of Iraq and Syria released a video of apparent beheading of American journalist James Foley—an act the group framed as a response to U.S. airstrikes against ISIS fighters in Iraq, after seeking a multimillion ransom from the U.S. govt.

Look ahead: The military, which mounted a failed rescue mission for Foley and other American hostages earlier this summer, conducted new airstrikes following the release of the gruesome video; it is unclear whether the administration will change tactics in the fight against ISIS.

2.      Protests continued this week in Ferguson, Mo., as police released the name of the officer who fatally shot Michael Brown, as well as an incident report detailing the teenager's alleged involvement in a robbery, but the violent clashes with law enforcement appeared to decline as Attorney General Eric Holder arrived for meetings.

Look ahead: A St. Louis County grand jury has begun hearing evidence in the case, as investigators sift through conflicting accounts of the events of August 9.

3.      Long-term peace negotiations between Israel and the Palestinians collapsed Tuesday, with Hamas restarting its rocket barrages and Israel its aerial bombardment of Gaza.

Look ahead: Qatar, which provides financial backing for Hamas and refuge for its exiled leader, has been accused of helping to derail the talks; Israeli Prime Minister Benjamin Netanyahu plans to continue the military campaign "with all means and as is needed."

4.      Republican establishment candidates prevailed in this week's primaries, as former Alaska Attorney General Dan Sullivan defeated Lt. Gov. Mead Treadwell and 2010 nominee Joe Miller in the Senate race, and Wyoming Gov. Matt Mead held off a challenge from physician Taylor Haynes and state Superintendent of Public Instruction Cindy Hill.

Look ahead: Sullivan will face Democratic Sen. Mark Begich, whose strategy relies heavily on his Alaskan roots and independence from the national party; Mead squares off against pilot Pete Gosar, who previously served as state Democratic Party chairman and ran unsuccessfully for the gubernatorial nomination in 2010.

5.      Dr. Kent Brantly and aid worker Nancy Writebol, who contracted Ebola while treating patients in Liberia, have recovered from the virus, and have been discharged from Emory University Hospital, even as authorities attempt to prevent an outbreak in a Monrovia slum following a weekend raid on a quarantine facility.

Look ahead: While scientists' immediate priority is to control the spread of the virus, their long-term objectives depend on identifying the origin of Ebola.



Thursday, July 24, 2014

This Week In Washington DC, July 24, 2014

This Week In Washington

Top 5 Stories


1.      House GOP leadership aims to tackle 4 key issues ahead of the August recess: a short-term spending bill to keep government funded and operating at current levels beyond Oct. 1; Republicans' funding and policy response to the president's supplemental request; reforms to the embattled Veterans Affairs Department; and formal authorization of Speaker John Boehner's lawsuit over Obama's use of executive actions.

Look ahead: President Obama dispatched a team of Defense and Homeland Security department officials to determine the efficacy of a National Guard deployment to the border, and on Friday will host Central American presidents Friday to discuss joint efforts to stem the tide of undocumented arrivals.

2.      The conflict in Ukraine intensified this week, as 2 Ukrainian fighter jets were shot down near the Russian border, allegedly with missiles fired from inside Russia, just days after a Malaysia Airlines plane was struck, apparently by a Russian-made surface-to-air missile, killing all 298 on board.

Look ahead: The bodies of dozens of MH17 victims arrived in the Netherlands, where investigators will work to identify the victims and return them to relatives.

3.      Israel escalated its military operation in Gaza, launching a ground offensive and continuing aerial bombardment, as the death toll topped 600 Palestinians and 30 Israelis. Diplomats from the United States, Israel, and several Middle Eastern states proposed an immediate cease-fire in exchange for economic assistance, but Hamas leader Khaled Meshaal demands an end to the Israeli blockade of Gaza as a prerequisite.

Look ahead: The U.N. Security Council, which held an emergency meeting on the conflict Sunday, voiced "serious concern" over the number of civilian casualties and called for an immediate end to hostilities.

4.      A 3-judge panel of the U.S. Court of Appeals for the D.C. Circuit ruled the federal government may not subsidize the insurance premiums of individuals receiving coverage through the federal exchange, while a panel of the Richmond-based U.S. Court of Appeals for the Fourth Circuit held the Internal Revenue Service rule establishing the subsidies is "a permissible exercise of the agency's discretion."

Look ahead: The administration could seek a review.  Additional cases are pending in other courts, and the Supreme Court could take up one or more of the cases. Finally, Congress could clarify the relevant language in the ACA, or more states could set up their own exchanges.

5.      Former Dollar General CEO David Perdue edged 11-term Rep. Jack Kingston in the GOP runoff for Georgia's open Senate seat, garnering 51% of the vote and setting up a general-election battle against Democrat Michelle Nunn.

Look ahead: A victory for Nunn could help Democrats lock up control of the Senate, but Republicans haven't lost a major race in the state in over a decade.



Thursday, July 17, 2014

This Week In Washington DC, July 17, 2014

This Week In Washington

Top 5 Stories This Week

1.      Amid increasing Democratic opposition to expedited deportations of Central American minors, President Obama met with members of the Congressional Hispanic Caucus, while White House officials briefed senators on the administration's response to the surge.

Look ahead: The White House cited Monday's expedited deportation of 38 Honduran women and children as evidence that those who cross the U.S. border illegally "will not be welcomed to this country."

2.      The United States imposed new, targeted sanctions against major Russian banks and energy and defense companies, but the administration stopped short of employing sector-based sanctions. The European Union agreed to halt European Investment Bank lending for public-sector projects in Russia, and to push for an end to new loans by the European Bank for Reconstruction and Development.

Look ahead: Russian President Vladimir Putin warned that the sanctions, which for the first time target key players in the Russian economy, will backfire on the Obama administration by harming bilateral relations and the interests of U.S. companies.

3.      Israel has invaded (land, sea and air)Gaza searching for underground tunnels after a comprehensive cease-fire—intended to allow delivery of supplies to Gaza— was apparently broken by mortar fire from militants.

Look ahead: Hostilities continue, though negotiations for a lasting truce continue in Egypt.

4.      The House approved on a 367-55 vote a $10.9 billion Highway Trust Fund bill authored by Ways and Means Committee Chairman Dave Camp, R-Mich., which would be funded through $6.4 billion in gains from pension-smoothing, $3.5 billion from customs fees, and $1 billion from a special fund dedicated to addressing leaking underground storage tanks.

Look ahead: Senate Majority Leader Harry Reid is eyeing consideration of three highway fund proposals: the House-passed bill, a competing measure from the Senate Finance Committee, and a shorter-term offering from Sen. Barbara Boxer, D-Calif.

5.      Federal Reserve Chair Janet Yellen delivered the semiannual Monetary Policy Report to Congress this week, resisting House Republicans' calls for disclosure of her weekly conversations with Treasury Secretary Jacob Lew and rejecting as "a grave mistake" a proposed formula to guide monetary policy.

Look ahead: Yellen advised the Senate Banking Committee that while the labor market is improving, "a high degree of monetary policy accommodation remains appropriate" until it becomes clear that the economy is on a solid footing.