Let us move from the era of confrontation to the era of negotiation.
- Richard Nixon
RACE TO REPLACE:President Trump was in full deal-making mode over the weekend and last night trying to get conservatives to back the repeal and replace plan – and will be back on the Capitol Hill this morning. By scheduling the vote Thursday, House leadership is showing confidence that they will be able to whip enough support to get the bill over the threshold. To try and bridge the gap the House Rules Committee made changes to the bill that would move the end of the Medicaid expansion from 2018, increase tax credits for purchase of insurance for people 55 to 64, and allows for block grants, to name a few. President Trump and Speaker Ryan are hoping these changes will help the conservatives and moderates come together. However despite Trump’s declarations the Freedom Caucus has yet to jump behind the plan. You can read a full analysis of the status of repeal and replace from our Senior Health Policy Analyst Emily Evans here.
GORSUCH IN FOCUS: SCOTUS nominee Neil Gorsuch heads back to the Hill today to continue his confirmation hearings. After a tame first day of opening statements, expect Democrats to ratchet up the attacks they have been waging ever since his nomination. The problem for them thus far is their criticism has yet to stick. Gorsuch has been able to fly under the radar insomuch as President Trump has provided many distractions. Now that FBI Director Comey’s testimony is over, all eyes will be on Gorsuch as he will face a barrage of attacks focusing on Trump’s relationship with the judiciary, Gorsuch’s involvement with national security policies under the Bush Administration, and his business-friendly rulings. If Gorsuch can continue to dodge controversial topics reminiscent of Justice Ruth Bader Ginsburg’s hearing, he may be able to get the votes he needs.
BUDGET BREAKDOWN: The chart below shows a comparison between President Obama’s and President Trump’s first proposed budgets in terms of size and increases and decreases by department:
TAKING A TOLL ON TAX?: Due to the pace of the repeal and replace process, Trump’s second biggest campaign promise of tax reform has lost a little momentum and it’s no secret that he rather turn the focus to that as well as trade and transportation. Treasury Secretary Steve Mnuchin has said the Administration’s goal is to get the tax plan signed by the August congressional recess with Sean Spicer echoing that sentiment over the weekend and with Ways and Means Chairman Kevin Brady vying to get tax overhaul out of committee by the end of spring. Given the current timeframe and political capital being spent to get health care reform passed, and even with U.S. growth accelerating, delaying tax reform could take some of the steam out of the Trump rally.
TAPPED OUT: FBI Director James Comey and NSA Director Michael Rogers testified in front of the House Intelligence Committee and confirmed that there is no evidence to support President Trump’s wiretapping claims. This continues the list of prominent Republicans who have not backed Trump’s tweets. Comey’s comments follow that of his boss AG Jeff Sessions as well as those of Chairman of the House Intelligence Committee David Nunes. While many Democrats and some Republicans have lost their faith in the FBI Director following his handling of the Clinton email scandal, expect his testimony to put the onus back on Trump - that is if he doesn’t double down again...
