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.

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.

This Week in Washington, June 19, 2014

This Week In Washington

Top 5 Stories This Week

1.      President Obama outlined the U.S. response to the Islamist insurgency in Iraq, which includes sending up to 300 military advisers to aid Iraqi forces, but noted that "American forces will not be returning to combat in Iraq.

Look ahead: Consensus is growing among U.S. and Arab leaders that Iraqi President Nouri al-Maliki is a barrier to national unity and lasting peace, and American officials are quietly urging Iraqis to form a new government without Maliki, whose tenure has been marred by sectarian divisions.

2.      Ahmed Abu Khatalla, the suspected mastermind of the 2012 attacks in Benghazi, was apprehended in a nighttime raid oand is currently en route to the United States via a Navy transport vessel. The administration asserted its right to self-defense in response to Libyan claims the raid violated its sovereignty.

Look ahead: Khatalla will not be sent to Guantanamo Bay, as some Republican lawmakers have urged; the Obama administration intends to try him in federal court.

3.      Disillusionment runs deep in the House Republican Conference, which convenes this afternoon to select a new majority leader and whip, but the special election is unlikely to calm anyone.

Look ahead: The new leaders will look to cement their positions ahead of the August recess, while today's contest could offer clues to the strength of the tea party and shed light on the coming race to succeed Speaker John Boehner.

4.      The president unveiled plans to create the world's largest marine sanctuary, setting aside a swath of the south-central Pacific Ocean in an effort to protect the region's coral reefs and marine species from fishing, energy development and other activities.

Look ahead: This prompted swift criticism from House conservatives who accuse the admin of closing off coastal areas from fishing activity without regard to potential economic cost.

5.      Following talks with Russian President Putin and German Chancellor Merkel, Ukrainian President Poroshenko proposed a temporary, unilateral cease-fire by government troops—a move greeted with skepticism from pro-Russian separatists.

Look ahead: Government forces engaged in fresh clashes with rebels today, even as Poroshenko prepares to meet with regional leaders to rally support for his plan.

This Week In Washington DC, May 29, 2014

This Week In Washington

Top 5 Stories This Week

1.      President Obama outlined plans to leave 9,800 U.S. troops in Afghanistan after 2014, and to draw down to fewer than 1,000 by 2017.

Look ahead: Military officials questioned whether 9,800 troops would be sufficient to prevent al-Qaida from making a comeback in the country.

2.      The president outlined his vision for a new foreign policy noting the United States will continue its global leadership, but the use of force must not be the only—or even the primary—instrument of its statecraft.

Look ahead: Obama emphasized the primacy of terrorism as a threat to American interests, and urged Congress to back a $5 billion "Counterterrorism Partnerships Fund."

3.      Insurgent candidates notched several high-profile victories in this week's Texas runoff elections, with state Sens. Dan Patrick and Ken Paxton winning races for lieutenant governor and attorney general, respectively.

Look ahead: The tea-party backed candidates are expected to triumph in their general elections this fall.

4.      Ukrainian chocolate magnate Petro Poroshenko won Sunday's presidential election, and quickly vowed to rein in pro-Russian separatists. More than 50 rebels were killed in the largest military offensive to date.

Look ahead: Poroshenko, who has called for a dialogue with Russia, faces a daunting task as he seeks to unite the country while quelling the violence in the east and stabilizing a critically weak economy.

5.      Retired Field Marshal Abdel Fattah el-Sisi declared victory in Egypt's presidential election, claiming more than 90% of the vote, amid skepticism about the reported turnout.

Look ahead: Sisi faces the difficult task of restoring the nation's crippled economy, which includes a budget deficit that has ballooned since the uprising.

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This Week In Washington, May 8, 2014

This Week In Washington

Top 5 Stories This Week

1.      The Obama administration released its National Climate Assessment, citing recent bouts of severe weather to bolster its contention that global warming is already affecting Americans.

Look ahead: Environmental experts hope to see five potential consequences of the report's release.

2.      House Speaker John Boehner tapped Rep. Trey Gowdy, to chair a select committee on Benghazi, prompting Democratic complaints that Republicans are politicizing the 2012 attack.

Look ahead: Democrats, who have criticized the formation of a committee as redundant, have not decided whether to participate in the panel's inquiry.

3.      The Bureau of Labor Statistics reported Friday that 288,000 jobs were added to nonfarm payrolls in April, and unemployment declined to 6.3%—besting economists' projections of 210,000 jobs added and an unemployment rate of 6.6%.

Look ahead: Federal Reserve Chair Janet Yellen sounded an upbeat tone on the strength of positive economic indicators, but conceded that the housing recovery "could prove more protracted than currently expected."

4.      North Carolina state House Speaker Thom Tillis captured more than 45% of the vote in an eight-way GOP Senate primary, in what was billed as a battle between the establishment and the tea party.

Look ahead: Voters in eight more states take their turn in May, casting ballots in a series of key primary elections that will give more defined shape to the 2014 landscape.

5.      Ukrainian separatists will proceed with a May 11 referendum on partitioning the country, despite Russian President Putin's call for a postponement. Putin, who claimed to have ordered a pullback of Russian troops from the Ukrainian border, today oversaw military exercises simulating a nuclear strike.

Look ahead: The ongoing unrest could benefit certain key players, including Russian oil-and-gas interests and the Ukrainian interim government.

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Top 5 Stories This Week in Washington DC, April 17, 2014

Top 5 Stories This Week in Washington DC, April 17, 2014

1. Representatives from Ukraine, Russia, the US and the European Union reached agreement on measures to ease tensions, with the Ukrainian interim government offering concessions in exchange for a Russian pullback, after Russian President Putin asserted his "right" to deploy troops in the country.

Look ahead: The deal places on hold any additional U.S. or European sanctions against Russia.

2. Fundraising does matter in an off year, but it matters more with an election in November, and candidates already are distinguishing themselves—in ways both good and bad—in the first financial disclosures of 2014.

Look ahead: Winners so far include Georgia Senate candidate Michelle Nunn and the two Democratic congressional super PACs;   Sens. Mark Begich, D-Alaska, and John Walsh, D-Mont., are among the losers.

3. HHS Secretary Kathleen Sebelius, who spent much of her tenure defending the Affordable Care Act rather than touting its successes, tendered her resignation, and the president named OMB Director Sylvia Mathews Burwell to replace her.

Look ahead: Democrats have mentioned Sebelius as a possible challenger to Sen. Pat Roberts, R-Kan., though friends and former colleagues have dismissed the idea.

4. The Republican establishment is seeking a truce with the tea party in a bid to secure Senate control, using its considerable financial resources and making diplomatic overtures in a bid to ensure the nomination of the most electable candidates.

Look ahead: While the GOP has been successful in persuading tea party candidates to exit key Senate races in favor of the establishment choice, challenges remain.

5. The Congressional Budget Office said the president's fiscal year 2015 budget would increase revenues by nearly $1.4 trillion over the next decade and reduce deficits by $1.05 trillion over the same period.

Look ahead: While the White House budget is unlikely to pass Congress in its entirety, the CBO report could bolster Democratic messaging ahead of the midterms.


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This Week in Washington DC, March 27, 2014

This Week In Washington

Top 5 Stories This Week

1.      President Obama and international leaders moved to further isolate Russia, with the G-7 members agreeing to suspend their participation in the G-8, and NATO countries committing to bolster the alliance's security operations.

Look ahead: The leaders vowed to impose stricter economic sanctions against Russia in the event of further military incursions into Ukraine, but budget constraints could reduce NATO's role as a deterrent.

2.      The administration is seeking an overhaul of the NSA's bulk data-collection practices, which would leave records in the hands of phone companies and require the agency to obtain a court order for searches.

Look ahead: Administration officials and congressional leaders are nearing consensus on a plan to reform the NSA program—a proposal from House Intelligence Committee leaders would require retroactive, rather than prior, judicial consent.

3.      The Supreme Court heard oral arguments this week in Sebelius v. Hobby Lobby Stores and Conestoga Wood Specialties v. Sebelius, which address the question of whether for-profit corporations may gain a religious exemption from the legal requirement to provide coverage for contraception.

Look ahead: A ruling in the case could have broad implications, including laws prohibiting discrimination on the basis of sexual orientation.

4.      The White House, which has previously declined to extend the March 31st open-enrollment deadline, will allow individuals to sign up for coverage until mid-April if they are able to demonstrate that they began the enrollment process before the deadline.

Look ahead: Individuals may seek an extension for a range of reasons, and the government will grant it on an honor system.

5.      The House passed a temporary "doc fix" bill on a voice vote, preventing a 24% reduction in physician reimbursements under Medicare.

Look ahead: The Senate is expected to take up and past the measure later today.

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