HURRICANE DELAY: Work that was scheduled last week on the House and Senate Appropriations bills was pushed to this week after Hurricane Harvey overtook the legislative agenda. Work is already off to a slow start this week due to Hurricane Irma and next week the Congressional calendar is cut short for Rosh Hashanah, delaying budget and spending work until the last week of September. House Budget Chairwoman Diane Black (R-TN) anticipates the House will vote on her FY18 budget then, but the Senate has not scheduled any floor time. If the Senate doesn’t take up a budget bill with reconciliation language until October with the December deadlines looming, the Administration’s timeline for tax reform by year end seems more than daunting.
CHOKING NORTH KOREA’S LIFELINE: Some of the largest banks in China say they will be freezing new accounts from North Korea, while others, taking it a step further, will prevent future deposits in current accounts from North Korea - showing that North Korea's most recent missile test tested the Chinese government’s patience and crossed a final line. This comes as the UN passed fresh sanctions on the country: according to a U.S. official they will cap North Korea's oil imports, ban textile exports, end additional overseas laborer contracts, suppress smuggling efforts, stop joint ventures with other nations, and sanction designated North Korean governmental entities. These economic sanctions are expected to put a chokehold on the regimes financial lifeline in the hope of curbing their erratic behavior.
ON A ROAD TO NOWHERE: As the Senate continues to work on bipartisan efforts to stabilize insurance markets and premium costs - two new ships are on the horizon. We wrote Friday about how the Cassidy-Graham-Heller proposal is picking up steam, but was still a longshot. Senator Rand Paul (R-KY) said he doesn’t see that measure “going anywhere” and would not support it - confirming our suspicions that if Majority Leader Mitch McConnell had the votes already, he would be pushing it. Meanwhile, Democratic Senators are working on a single payer health care system called Medicare for All. The list of supporters is growing rapidly: Senators Cory Booker (D-NJ), Kirsten Gillibrand (D-NY), and Jeff Merkley (D-OR) joined yesterday, but we know that this effort is surely not “going anywhere” and is nothing more than a political play.
KELLY AND KORUS: Chief of Staff John Kelly apparently stalled President Trump making the decision to pull out of the KORUS-FTA. He has since had the president meet with a variety of senior advisors and Cabinet officials who would be the most impacted by this major trade decision - Agriculture Secretary Sonny Perdue, Secretary of State Rex Tillerson and National Security Adviser H.R. McMaster. Kelly is hoping to properly equip the president on international trade policy by exposing him to more views than his nationalist campaign team did. But Trump’s interest in withdrawing speaks to his larger view of international trade and his continued desire to pull out of global deals.
SOLAR TARIFFS: The International Trade Commission (ITC) is in the process of deciding whether foreign companies that import solar equipment are hurting the U.S. solar industry. If the ITC finds they do, a trade trigger-happy Trump is expected to take action. Similar to Chinese steel, the president has alluded to putting a quota or tariff on solar imports in the name of security. The issue is dividing the solar industry as many think it will inflate the price of goods, while others think it is good for U.S. competition.
ACA REPEAL, REPLACE AND/OR REFORM STATE OF PLAY: NOT DEAD YET Our Senior Health Policy Analyst Emily Evans writes there are still enough days in September to pass an ACA repeal bill via reconciliation (and exhaust our Monty Python references). Read the full piece here.
CALL INVITE | DISH NETWORK (DISH): Our Senior Telecom and Cable Analyst Paul Glenchur is hosting a call discussing the regulatory outlook and agenda for Dish Network with its Senior VP and Deputy Counsel, Jeff Blum, September 20th at 11am. Get the dial-in here.
CALL REPLAY | EXPOSING HEALTH CARE'S OUTLOOK: Our Senior Health Policy Analyst Emily Evans hosted a video conference call and live Q&A, September 8th at 11am. Watch the replay here.
EVENT: FORMER OPEC PRESIDENT & NEW FERC COMMISSIONER HEADLINE OCT 11 HEDGEYE ENERGY CONFERENCE: Our Senior Energy Analyst Joe McMonigle is hosting a Hedgeye energy conference in New York City. Topics include regulating pipelines, grid reliability, energy infrastructure in the Trump Administration, and an OPEC meeting preview. Get the event details here.
FCC RELEASING NEW WIRELESS COMPETITION REPORT (TMUS, S, VZ, T, DISH): Our Senior Telecom and Cable Analyst Paul Glenchur writes an upcoming FCC industry study offers an incremental boost for consolidation prospects and reduced regulatory burdens on carriers. Read his full piece here.
