JT TAYLOR: Capital Brief - JT   Potomac banner 2

We know what works. Freedom Works. We know what's right. Freedom is right.

- George H.W. Bush

CHANGING OF THE GUARD - AND THEN SOME: As it looks more and more likely that Rex Tillerson will be confirmed as the next Secretary of State, and it’s rumored that Tillerson will have his hands full as the president-elect plans to retool State to focus more on counterterrorism. Historically, the State Department has focused on promoting democracy and diplomacy. Under  Trump’s lead though, he will get rid of what he considers “left-wing advocacy issues” that State worked on like climate change. Instead Tillerson’s (if confirmed) Department will shift its focus to defeating ISIS and countering radical Islam.

BIPARTISANSHIP ON THE HORIZON?: As the populist candidate Trump was elected president on both conservative and progressive issues - allowing him to curry favor with Democrats on many of his issues:  trade, infrastructure, minimum wage, Medicare drug-prices, and Social Security. Some of these issues reach far enough across the aisle that even progressive Senators are considering working with the president-elect. VP-elect Mike Pence has also promised to convene a bipartisan conference of mayors that will work together on passing a “big” infrastructure bill and weigh in on other issues impacting cities.

STATES OF REPLACEMENT : The repeal process has already begun and the curtain goes up on the second act, replacement, next week. Republican Senators Susan Collins (ME) and Bill Cassidy (LA) will offer their take on an ACA replacement proposal. The legislation will be based on a 2015 proposal that gives states more flexibility. States will be allowed to keep the ACA if they want or go a different route using funding previously earned for the ACA. KY Senator Rand Paul is also expected to release his own replacement bill next week as Republicans are feeling the pressure from above to get a bill passed ASAP.

THE PRICE IS RIGHT: As with most of the hearings for President-elect Trump’s designates so far, HHS Designate Tom Price also faced heated hearings from the HELP committee. While his hearing was unlikely to ease the concerns of Democrats, he did promise a health care system that is accessible for all and that it is imperative that people keep their insurance. It seems as though the plan for replacement will follow in line with his 2015  Empowering Patients First Act.

TEAR DOWN THIS WALL:The focus on immigration has focussed mostly around deportations and building a wall, but Trump walked back his hard stance by wanting an immigration plan that will have a lot of heart. This compassion has been a softening on his stance although he still calls for a firm policy. We will have to wait two to three months though to find out where exactly Trump stands on immigration.

REPLAY| EVENT WITH GENERAL DAN CHRISTMAN: Keith McCullough and General Christman spanned the globe yesterday:   Geopolitics in The Trump Era. You can find it here.

TRUMP EPA NOMINEE SIGNALS POTENTIAL RELIEF TO REFINERS: Our Senior Energy Analyst Joe McMonigle writes that EPA Nominee Scott Pruitt declined to oppose shifting compliance obligation from refiners to blenders. You can read the full piece here.

PROGRAMMING NOTE:  We’re out for Inaugural activities and will be back in action next week for the first week of the Trump presidency.