RUNNING OUT OF OPTIONS: Our Senior Health Policy Analyst Emily Evans was one of few who did not change her odds on health reform happening after the failures earlier this week. That was for two reasons: the problems of Obamacare remain critical, and there has been so much back and forth, anything could happen. Republicans who have concerns with the “dead” replacement bill met last night after President Trump discouraged them from a repeal-only approach at a White House lunch. Hashing out a compromise between people on both sides of the Republican spectrum seems as likely as them reaching a bipartisan measure. It’s looking like they may just throw money at it until moderates or conservatives give in, but whatever route they take, their best option is not leaving for recess until they get it done. Read Emily Evan’s latest here.
TRIMMING TAX RATES: The White House has taken an incredibly disciplined approach to tax reform, learning from their mistakes on health care. Led by “the Big Six,” they are devising a plan with input from a variety of sources. They have been engaging with CEOs, small business leaders, governors, mayors, and many other interested parties - to listen, but also to lobby their tax overhaul. While few specifics are known about the plan to date, expected mid-to-late September, the Administration is showing they are willing to compromise - reports are their corporate tax rate goal has moved from the teens to the low twenties.
BREAKING UP IS HARD TO DO: In 2009 significant reforms were put in place to protect the U.S. from another financial crisis - one that remains - government control of Fannie Mae and Freddie Mac. Despite Republicans and Democrats still bickering about who caused the housing bubble to burst, there is a bipartisan effort to break up the mortgage giants into smaller companies. They would begin by separating them based on the type of loan (ex. single family vs multi-family), but could go further; some Republicans would like to see them privatized. Surprisingly, Democrats are giving them some leeway on the issue with Senator Mark Warner (D-VA) saying he would like private companies to be able to use Fannie and Freddie’s infrastructure. There is a hearing in Senate today to review the effort and other ways to make small lenders more competitive.
CRA RETURNS: Senate Republicans are looking to pass a resolution through the Congressional Review Act (CRA) that would block the Consumer Financial Protection Bureau’s rule on arbitration clauses. The rule aims to prevent large financial institutions from leading you to sign away your right to class action lawsuits. Republicans have been critical of financial agencies’ overreach during the past eight years and have been working to roll back their power. They are planning to vote on the resolution before August recess.
THE DIGITAL DRIVE: Laws regarding technology have been slower than molasses to come out of Washington, but even in these uncharted waters, a first step is being taken to regulate self-driving cars. The House proposal would set safety standards and testing regulations for the advanced technology. Automated cars are being developed by almost every major company and at a rapid rate; in fact, many already sell cars with these capabilities, they just require a driver. As automation advances, there are a growing number of new legal areas - a complication for Amazon’s drone delivery - as people have shot down drones that fly above their property, and there is no clear legislation in place.
REPLAY - QUARTERLY POLICY THEMES CALL: We had roundtable conversation with our policy team on major policy issues developing in Washington. If you missed the event, get the replay here.
EVENT INVITE | DRUG PRICING AND APPROVAL POLICY - IT'S A NEW DAY (JULY 20th @ 11:00 AM ET): Our Senior Health Policy Analyst Emily Evans will give a rundown of all the major drug pricing and policy trends at the state and federal level including 340B and generics approval. Get the event details here.
HOUSE LEADER ANNOUNCES ENERGY FIX TO SENATE RUSSIA SANCTIONS BILL: Our Senior Energy Analyst Joe McMonigle wrote that Congress will make the fix for energy projects outside Russia. Read his full piece here.
VENEZUELA POLITICAL UPDATE AND POTENTIAL U.S. ENERGY SANCTIONS: Our Senior Energy Analyst Joe McMonigle wrote about what the Trump Administration might do in Venezuela here and hosted a flash call with Dr. Francisco Monaldi, a Fellow in the Latin American Initiative & Energy Economics at the Baker Institute at Rice University, listen to the replay here.
REPLAY | 3Q17 HEALTH CARE THEMES PRESENTATION: Our Senior Health Policy Analyst Emily Evans updated and expanded on existing themes and presented new work during our 3Q17 themes call. Get the full replay here.
PRE-EARNINGS: LMT’s F35 READY TO BREAK OUT: Our Senior Defense Analyst Emo Gardner writes LMT’S F35 will be a main beneficiary of upward defense spending pressure in Congress and overseas. To find out more, read the entire piece here.
