Forty-two Democratic senators are urging the Trump administration against taking unilateral action to cut capital gains taxes after a group of Senate Republicans last week pressed the administration to do so.

“This unilateral move would almost exclusively benefit the wealthiest Americans, add to the ballooning federal deficit, further complicate the tax code, and ignore longstanding Justice Department policy,” the Democrats wrote in a letter Wednesday to Treasury Secretary Steven MnuchinSteven Terner MnuchinTrump to hold Hamptons fundraisers; top ticket is 0K: report China stabilizes the yuan a day after being labeled a currency manipulator China warns of financial chaos after US labels it a currency manipulator MORE.

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The Trump administration has been considering executive action to reduce capital gains taxes by indexing capital gains to inflation, reducing the amount of investment gains that are subject to taxes.

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Twenty-one GOP senators sent a letter to Mnuchin last week urging him to move to index capital gains, arguing that doing so would build on the economic growth seen following the enactment of Trump’s 2017 tax-cut law. The move also has the strong support from conservative groups, including Grover Norquist’s Americans for Tax Reform.

But Democrats, who all opposed the 2017 tax law, argued in their letter Wednesday that indexing capital gains would exacerbate the fact that the 2017 law is not paying for itself. The Democrats cited an analysis from the Penn-Wharton Budget Model that found that indexing capital gains would cost about $100 billion over a decade and predominantly benefit those in the top 1 percent of income.

The Democrats also said that “the proposal would do little to nothing to boost the economy as it would provide a windfall for existing capital assets rather than incentivize new investment.”

Additionally, the Democrats argue that Treasury doesn’t have the authority to index capital gains by regulation. The senators said they support a 1992 Justice Department memo that concluded that capital gains couldn’t be indexed by regulation, and they noted that Congress has considered but never enacted proposals to index capital gains.

“A major policy change like this one should be considered by Congress through regular order, where it can be weighed against competing priorities, like upgrading our failing national infrastructure, investing in health care or shoring up Social Security,” the Democratic senators wrote.

Signers of the letter included Senate Finance Committee ranking member Ron WydenRonald (Ron) Lee WydenConservatives buck Trump over worries of ‘socialist’ drug pricing Interior took notes from FBI while developing controversial FOIA policy Trump casts uncertainty over top intelligence role MORE (D-Ore.), Senate Banking Committee ranking member Sherrod BrownSherrod Campbell BrownSherrod Brown now says he’ll join Trump during Dayton trip Sherrod Brown says he has no plans to meet with Trump during Dayton visit Democrats point to Trump rhetoric on immigration in wake of two mass shootings MORE (D-Ohio), Senate Minority Leader Charles SchumerCharles (Chuck) Ellis SchumerTrump’s Nixon-to-China moment on guns Schumer, GOP Rep. King urge McConnell to give background check bill a vote Pelosi says House recess could be cut short if Senate passes background checks bill MORE (D-N.Y.) and every Democratic senator who is running for president.

House Ways and Means Committee Chairman Richard NealRichard Edmund NealJustice Democrats endorses two progressives challenging Democratic incumbents Judge temporarily blocks NY from sharing Trump tax returns Democratic chairman pens Wash Post op-ed on his Trump tax return request MORE (D-Mass.) also said in a statement last week that he strongly opposes any potential executive action to index capital gains to inflation.

Senate Finance Committee Chairman Chuck GrassleyCharles (Chuck) Ernest GrassleyConservatives buck Trump over worries of ‘socialist’ drug pricing Judiciary Democrats go after Kavanaugh’s White House records FARA should apply to Confucius Institutes MORE (R-Iowa) said last week that he’s not going to say whether he thinks the administration should index capital gains unilaterally until the administration determines that it has the legal authority to do so.

President TrumpDonald John TrumpTrump cites brother’s struggles with alcohol as driving force behind fight against opioids Booker: ‘Knowing the bloody, violent truth of our past empowers me’ Analyst says Trump’s Venezuela policy is driven by Florida politics MORE said in a new interview that his brother’s death, which was related to alcoholism, triggered his interest in mobilizing the federal government to battle the opioid crisis.

Trump told The Washington Post that his brother Fred Trump Jr.’s struggles with alcohol directly influenced him to battle substance abuse issues, adding that he may not have found such issues as compelling “had I not had the experience with Fred.”

“He was so handsome, and I saw what alcohol did to him even physically … and that had an impact on me, too,” the president told the Post.

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His brother “actually lived a long time, longer than you would expect,” Trump added. Fred Trump Jr. died in 1981 due to complications from alcoholism.

“Let’s say I started drinking, it’s very possible I wouldn’t be talking to you right now,” the president added, referring to his own choice to avoid alcohol or drugs.

He also said in the interview that he now views himself as the “chief” in charge of battling the opioid crisis in America.

“I guess you could say now I’m the chief of trying to solve it,” he told the Post. “I don’t know that I’d be working, devoting the kind of time and energy and even the money we are allocating to [solving the issue] … I don’t know that I’d be doing that had I not had the experience with Fred.”

Trump held a summit on opioid abuse at the White House in April and in January donated $100,000 from his salary to the National Institutes of Health’s flagship program on alcohol abuse, the National Institute on Alcohol Abuse.

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“We will end this terrible menace, we will smash the grip of addiction,” he said earlier this year.

“We will not solve this epidemic overnight,” the president added. “[But] nothing’s going to stop us.”

U.S. businesses and farmers are begging President TrumpDonald John TrumpMSNBC’s Geist presses Castro on sharing Trump donors names: These people ‘are already being harassed’ Marianne Williamson: Message of love ‘absolutely’ extends to Trump Hickenlooper says Democrats are falling for ‘Trump’s execrable politics of distraction’ MORE for relief from his escalating trade war with China as tensions between the world’s two largest economies reach new heights.

Trump’s plan to impose a 10 percent tariff on more than $300 billion in Chinese goods, and China’s decision to suspend U.S. agricultural imports, sets the stage for potential economic and political blowback for the president.

Advocates for businesses and industries caught in the crosshairs of the yearlong U.S.-China trade war are bracing for damage, warning Trump’s new tariffs could force them to hike prices or lay off workers during this year’s holiday shopping season.

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An economic crunch in the last three months of the year would pose political risks for Trump and vulnerable GOP lawmakers in agricultural states seeking to ride an otherwise strong economy to reelection in 2020.

“We’re at a very dangerous pivot point,” said David French, president and CEO of the National Retail Federation. “These are things that are going to have a real everyday impact for American consumers.”

Consumers have largely been isolated from the trade war while enjoying steady economic growth and a labor market with unemployment at historically low levels.

While Trump’s tariffs on $250 billion in Chinese goods have derailed business investment and sparked global anxiety, the targeted products are predominantly parts, materials or other components of final goods.

Trump and his aides have sought to dial up pressure on China to strike a deal as they shield U.S. consumers from higher costs. But the president’s new tariffs, slated to take effect Sept. 1, would cover a wide array of consumer goods ahead during a crucial stretch for the U.S. economy.

“So far the ripple effect has not been felt by consumers in prices at Walmart or wherever,” said Gary Hufbauer, a senior fellow at the Peterson Institute for International Economics in Washington. “As we go to the next installment of tariffs, that will surely show up in prices.”

French said Wednesday that starting next month, American consumers would pay $4.4 billion more each year for apparel, $2.5 billion more for footwear, $3.7 billion more for toys, and $1.6 billion more for household appliances.

Tariffs on consumer electronics would rise to roughly $2.7 billion if Trump goes through with the new import taxes, according to an analysis published Wednesday by the Consumer Technology Association, a trade group representing U.S. tech manufacturers.

Wade Miquelon, president and CEO of craft store Joann Fabrics, warned on a conference call with reporters Wednesday that his company might need to cut workers or close stores if the new tariffs take effect.

Jay Foreman, chief executive of Florida-based toy company Basic Fun, said on the same call that some of his firm’s retail partners plan to raise prices by 10 to 20 percent during the holiday season.

“Mr. Trump may decide he doesn’t want to be ‘The Grinch Who Stole Christmas,’ Foreman said, “but we’re not betting on it.”

Trump’s new tariffs pose a threat to strong consumer spending, but it’s China’s retaliation that could decimate the ailing U.S. agriculture sector, which has already lost billions in lost sales and higher costs since the trade war began on July 1, 2018.

“The trade war has been in full swing for more than a year and shows no signs of abating. Farmers have lost the vast majority of what was once a $24 billion market in China and stand to lose it all if recent statements prove to be true,” a spokesman for the American Farm Bureau told The Hill.

The spokesman said that “nearly every farmer” the group works with has expressed concern.

Soybean farmers in particular are eager for an end to the trade war with China, the world’s largest soy importer.

“We have asked for more than a year now for a negotiated solution to end retaliatory tariffs placed by our two countries as they try to work out their differences on issues that do not pertain to agriculture,” said Davie Stephens, president of the American Soybean Association and a soy grower from Clinton, Ky. “These developments the past week would indicate there is no end in sight, and that is more than disappointing news for soy growers as we navigate the future of our farms.”

Trump decisively won rural communities in states like Iowa and North Carolina in 2016. Whether the same amount of voters will stay with him in 2020, either during or after a bruising trade war, remains unclear.

“A lot of people who are in the farming community are still ideologically on board with Trump,” said Mac McCorkle, director of the Center for Political Leadership, Innovation and Service at Duke University.

“The good news for Democrats is in a place like North Carolina, it’s not that you’re going to expect a majority of people to switch in the rural areas … its simply reducing the margins that Trump got in 2016. The Democrats don’t need a total switch, they just need some movement back to them or away from Trump,” he said.

Dermot Hayes, a professor of agriculture and life sciences at Iowa State University, said the trade war creates a serious concern about Trump for farmers in his state.

“The trade war has done lasting damage to Iowa agriculture and it doesn’t appear to have an easy end,” he said. “I think farmers were supportive of Trump early on because of the deregulation that occurred, but I think more and more are so concerned about the future that they wish the trade war never started.”

Trump insists that his China trade strategy will eventually lead to economic gains and that China has been unfair to American businesses and farmers.

“As they have learned in the last two years, our great American Farmers know that China will not be able to hurt them in that their President has stood with them and done what no other president would do,” Trump tweeted Tuesday. “And I’ll do it again next year if necessary!”

The administration has given federal aid to farmers since the trade war began last year, and it rolled out the latest package in July. Trump has said he would provide more aid if needed. 

“The payments help but they’re one-off or short-term payments, and the damage is lasting,” said Hayes.

He said European pork is selling at a premium to U.S. pork and that Europeans are building more pork production facilities.

Iowa was the second-biggest soybean exporter in 2017, the same year it exported more pork than any other state, according to government figures. North Carolina was the third-biggest pork exporter that year.

Plunging sales of those commodities could spell political trouble for vulnerable GOP senators, including Sen. Thom TillisThomas (Thom) Roland TillisThe 23 Republicans who opposed Trump-backed budget deal Graham threat to bust panel rules roils Senate tensions On The Money: Fed cuts rates for first time since financial crisis | Trump rips Fed after chief casts doubt on future cuts | Stocks slide | Senate kicks budget vote amid scramble for GOP support MORE (N.C.) and Joni ErnstJoni Kay ErnstOvernight Energy: Trump EPA looks to change air pollution permit process | GOP senators propose easing Obama water rule | Green group sues EPA over lead dust rules Pair of GOP senators propose easing Obama water rule Overnight Defense: Dems talk Afghanistan, nukes at Detroit debate | Senate panel advances Hyten nomination | Iranian foreign minister hit with sanctions | Senate confirms UN ambassador MORE (Iowa).

But McCorkle predicted that that the economy as a whole will be the determining factor in whether Republicans like Trump will lose rural, agricultural voters.

“If economic growth is booming in 2020 in general, I don’t think you’re going to see much of a drop-off among Trump voters in the rural communities. If it’s at 1 percent or below, you’re going to see tighter races in those districts and Trump could be in trouble,” he said.

“There’s probably a lot of farmers who think Trump’s trying to do the right thing,” McCorkle added. “That holds as long as it doesn’t look like the economy as a whole is tanking.”

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The State Department has stepped up its travel warning for American tourists going to Hong Kong amid violent protests on the island. 

“Exercise increased caution in Hong Kong due to civil unrest,” the department said in its Level 2 travel advisory posted Wednesday.

“Since June 2019, several large scale and smaller political demonstrations have taken place in various areas of Hong Kong. Most have been peaceful, but some have turned confrontational or resulted in violent clashes,” it added. “The protests and confrontations have spilled over into neighborhoods other than those where the police have permitted marches or rallies. These demonstrations, which can take place with little or no notice, are likely to continue.” 

The State Department urged travelers in Hong Kong to monitor local media for updates on the protests, avoid the demonstrations, keep a low profile and exercise caution “if unexpectedly in the vicinity of large gatherings or protests.” 

The warning comes as pro-democracy demonstrations against a bill that would allow some Hong Kong residents to be extradited to the Chinese mainland have grown violent. Even though the bill was suspended and declared “dead” by Hong Kong’s chief executive, protests expanded into the city’s luxury shopping district this weekend, with many demonstrators targeting a police station with bricks and rocks. 

The protests started two months ago over the extradition legislation, with protesters saying suspects could face torture and unfair trials in China, and have gradually transformed into calls for broader democratic reforms. Protesters have also called for Chief Executive Carrie Lam to resign and for the government to probe alleged police brutality.

Hong Kong police say 589 people have been arrested in the protests since June 9 and face charges including rioting, which has a maximum prison penalty of 10 years, according to The Associated Press. 

Police have shot tear gas, rubber bullets and other projectiles at demonstrators, who have responded with metal sticks, bricks, gasoline bombs and other debris. Reports have surfaced of police taking little action while demonstrators were attacked by unknown people suspected of having ties to organized crime groups. 

The central government in Beijing has thus far refrained from visibly intervening in the uprising, which it has said is fueled by “violent radicals” that were egged on by politicians in the U.S. and Taiwan, according to the AP.

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Deputy Director of National Intelligence Sue Gordon is resigning from her post amid turnover at the top of the agency, President TrumpDonald John TrumpTrump cites brother’s struggles with alcohol as driving force behind fight against opioids Booker: ‘Knowing the bloody, violent truth of our past empowers me’ Analyst says Trump’s Venezuela policy is driven by Florida politics MORE announced Thursday.

Trump added in a later tweet that National Counterterrorism Center Director Joseph Maguire will serve as acting Director of National Intelligence.

In a note accompanying her formal letter, Gordon wrote that she offered her resignation “as an act of respect & patriotism, not preference.”

“You should have your team,” she wrote, implying it was not her choice to move on.

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“I am confident in what the Intelligence Community has accomplished and what is poised going forward,” she wrote in her letter. “Know that our people are our strength, and they will never fail you or the Nation. You are in good hands.”

Gordon, a career intelligence official, was set to ascend to the top post as director of national intelligence following the departure of Dan Coats later this month.

But the White House had been weighing removing her in favor of installing a Trump loyalist, despite concerns from Capitol Hill, where Gordon is widely respected.

The move further throws into chaos the leadership atop DNI, which is tasked with overseeing the nation’s various intelligence agencies.

Trump last month announced Coats would leave in mid-August and that he planned to name Rep. John RatcliffeJohn Lee RatcliffeTrump casts uncertainty over top intelligence role Hillicon Valley: GOP hits back over election security bills | Ratcliffe out for intel chief | Social media companies consider policies targeting ‘deepfakes’ | Capital One, GitHub sued over breach Trump says media is part of vetting his nominees: ‘We save a lot of money that way’ MORE (R-Texas) to lead the agency. But Ratcliffe last week withdrew from consideration amid scrutiny of his record and concerns that he would be too partisan for the job.

The president told reporters last Friday that he likes Gordon and that she would be “considered” for the acting role.

“Sue will be there now and certainly she will be considered for the acting,” Trump said.

He added he had three people he is considering for the permanent role of DNI, though he has not provided any names.

Bypassing Gordon for the role of acting director required her to leave or be removed from her current position, as the law states the deputy director should replace the director in the event of a change.

In a statement, House Intelligence Committee Chairman Adam SchiffAdam Bennett SchiffThe Hill’s Morning Report – How will Trump be received in Dayton and El Paso? Hillicon Valley: GOP hits back over election security bills | Ratcliffe out for intel chief | Social media companies consider policies targeting ‘deepfakes’ | Capital One, GitHub sued over breach Social media companies consider deepfake policy changes after Pelosi video MORE (D-Calif.) called Gordon’s and Coats’s retirements a “devastating loss” for the intelligence community.

“These losses of leadership, coupled with a president determined to weed out anyone who may dare disagree, represent one of the most challenging moments for the Intelligence Community,” Schiff said. “It will be up to the Congress to ensure that the Intelligence Community continues to provide independent analysis and judgement to policy makers, and always speak truth to power.”

Sen. Mark WarnerMark Robert Warner8chan’s providers face increased pressure to cut support Trump casts uncertainty over top intelligence role Hillicon Valley: GOP hits back over election security bills | Ratcliffe out for intel chief | Social media companies consider policies targeting ‘deepfakes’ | Capital One, GitHub sued over breach MORE (Va.), the top Democrat on the Senate Intelligence Committee, echoed Schiff’s remarks, praising Gordon and lambasting Trump over the intelligence officials’ exits.

“President Trump has repeatedly demonstrated that he is seemingly incapable of hearing facts that contradict his own views,” he said. “The mission of the intelligence community is to speak truth to power; Yet in pushing out two dedicated public servants in as many weeks, once again the President has shown that he has no problem prioritizing his political ego even if it comes at the expense of our national security.

Bloomberg first reported on Gordon’s departure, followed by The New York Times. Below is Gordon’s letter of resignation.

 

Updated 8:40 p.m.

The divide over health care among Democratic presidential candidates is raising fears the party might turn an issue that was a key winner in the House midterms into a liability in next year’s Senate races.

Democratic Senate candidates have been planning to borrow heavily from the playbook used by House Democrats in 2018, when the party won back the chamber in large part because of a pledge to protect ObamaCare against Republican attempts to kill the 2010 law.

Democrats are attempting to replicate that success with a push to take the majority in the Senate during an election year when they will face a more favorable map than the midterms. Republicans must defend 22 seats compared to the 12 held by Democrats.

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But worries are rising that the bitter dispute among White House hopefuls over the direction of health care will weigh on Democrats and give a boost to GOP incumbents.

Progressive presidential candidates like Sens. Bernie SandersBernie SandersDemocratic candidates attack Biden at their own peril  Trump defends rhetoric after critics point finger over mass shooting Sanders: Democratic debate format is ‘demeaning’ MORE (I-Vt.) and Elizabeth WarrenElizabeth Ann WarrenDemocratic candidates attack Biden at their own peril  Trump defends rhetoric after critics point finger over mass shooting Warren pushes for public broadband networks MORE (D-Mass.) are backing an ambitious “Medicare for All” plan, while some centrists say the proposal is akin to repealing ObamaCare.

In doing so, strategists warn that moderates are using language that is essentially playing into the hands of President TrumpDonald John TrumpMSNBC’s Geist presses Castro on sharing Trump donors names: These people ‘are already being harassed’ Marianne Williamson: Message of love ‘absolutely’ extends to Trump Hickenlooper says Democrats are falling for ‘Trump’s execrable politics of distraction’ MORE and other Republicans.

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“That kind of rhetoric is very, very harmful,” said Brad Bannon, a Democratic strategist. “It illustrates the divide in the party, and I think this whole debate is confusing people.”

Democrats are hoping to stay unified on health care in Colorado and Arizona, where they’re pushing to unseat vulnerable Republican senators by tying them to the Trump administration’s efforts to undo the Affordable Care Act (ACA).

In Colorado, a crowded field of Democrats is battling it out to determine who will challenge Sen. Cory GardnerCory Scott GardnerHickenlooper hasn’t ‘ruled out’ possible Senate bid The 23 Republicans who opposed Trump-backed budget deal Senate Democrats to force vote on Trump health care moves MORE (R), one of the most vulnerable GOP senators up for reelection next year in a state that has increasingly favored Democrats in statewide contests.

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His potential challengers are hitting him on his record of voting to repeal ObamaCare and for not speaking out against an administration-backed lawsuit aimed at overturning the health care law.

But Gardner has deflected those efforts by highlighting the Medicare for All debate, mirroring language used by former Vice President Joe BidenJoe BidenDemocratic candidates attack Biden at their own peril  Top Latina activist running for deep blue NY House seat Sanders: Democratic debate format is ‘demeaning’ MORE, the front runner in the Democratic presidential primary who has compared Medicare for All to repealing ObamaCare.

“The Democrats want to repeal and replace ObamaCare with socialized medicine,” Gardner told The Hill. “This is a leap to the left as the Democrats in the state of Colorado and nationally try to out-socialism each other. I think voters are going to reject that.”

Single-payer has proven unpopular in Colorado. Voters in Colorado widely rejected a single-payer ballot initiative three years ago, 79 percent to 21 percent.

But most of Gardner’s challengers don’t support Medicare for All, which calls for eliminating private insurers.

Rachel Petri, a spokeswoman for former state Sen. Mike Johnston, one of the top fundraisers in the race, said Johnston “does not plan to take away private insurance for anybody.”

“He thinks that you can offer the public option while still allowing that flexibility for folks to keep their health care that they have if they like it,” Petri said. “At the end of the day, all of the Democratic presidential candidates and all of the Senate primary candidates here in Colorado support universal coverage, and they are unified on that. People have different paths to it.”

One area where Democrats are hoping to draw a bright line between themselves and Republicans is the Trump administration’s support for a lawsuit brought by a group of GOP-led states that argue ObamaCare is unconstitutional because Congress repealed the penalty for people without insurance. 

The lawsuit, which is awaiting action in a federal appeals court, aims to overturn the Affordable Care Act (ACA) in its entirety.

Asked if he supported the lawsuit, Gardner replied: “That’s the court’s decision. If the Democrats want to stand for an unconstitutional law, I guess that’s their choice.”

Republicans, including Gardner, have said they will provide protections for people with pre-existing conditions if the courts overturn the ACA. But Democrats argue the GOP proposals fall short of the protections enshrined in the 2010 law.

In Arizona, where Sen. Martha McSallyMartha Elizabeth McSallySenate committee advances nomination of general accused of sexual assault Senate Democrats to force vote on Trump health care moves Mark Kelly earned .8M for speeches MORE (R) is likely to face former astronaut Mark Kelly in November 2020, the National Republican Senatorial Committee paid for billboard ads earlier this year accusing Kelly of remaining “silent” as 3 million “Arizonans would lose their health insurance.”

After the ads went up, Kelly said he opposed Medicare for All.

“We should be able to provide access to affordable health care for everybody, but I am not in favor for the 156 million of us that get our health care through our employer to make that go away,” he said in April.

Kelly instead supports a public option.

Republicans are likely to frame that approach as a gateway to Medicare for All.

“That would make it incredibly difficult for private insurance to compete, and it’s a fast track to what the ultimate goal is: Medicare for all,” a Republican strategist told The Hill.

The issue is likely to pop up in other Senate competitive races, like Alabama, where Medicare for All opponent Sen. Doug Jones (D) is fighting to keep his seat in a red state.

The party’s division over health care has Senate Minority Leader Charles SchumerCharles (Chuck) Ellis SchumerTrump’s Nixon-to-China moment on guns Schumer, GOP Rep. King urge McConnell to give background check bill a vote Pelosi says House recess could be cut short if Senate passes background checks bill MORE (D-N.Y.) focusing his party on an area of consensus: protecting ObamaCare.

Senate Democrats plan to force a floor vote on health care that would give Democrats another opportunity hit vulnerable Republicans like Gardner on pre-existing conditions protections.

“Republicans campaigned on protecting Americans with pre-existing conditions but they’re silent when the Trump administration sues to undo the whole ACA,” Schumer told reporters last week, referring to the GOP lawsuit. “This vote will be a test.”

Republicans say they aren’t worried, arguing the debate has since shifted to Medicare for All.

“It’s going to be difficult for [Senate] Democrats to run on ObamaCare when the loudest voices in the party aren’t talking about it,” the Republican strategist said.

During last week’s Democratic debates in Detroit, almost a full hour was dedicated to discussing and dissecting Medicare for all. Only two presidential candidates — Sens. Cory BookerCory Anthony BookerSanders: Democratic debate format is ‘demeaning’ Booker campaign staffers unionize The ‘Hate Trump’ agenda by the Democrats has gone way too far MORE (D-N.J) and Kirsten GillibrandKirsten Elizabeth GillibrandDemocratic candidates attack Biden at their own peril  Obama pays tribute to Toni Morrison: ‘What a gift to breathe the same air as her’ Toni Morrison dies at 88 MORE (D-N.Y.) — briefly mentioned the ACA lawsuit.

The White House has also taken notice.

“We’ve noticed with some bit of delight and irony that the Democrats seem way past ObamaCare at this point,” White House senior counselor Kellyanne ConwayKellyanne Elizabeth ConwayThe Memo: Obama throws down challenge to Trump Warren campaign: Effort to link her to Dayton shooter a distraction from Trump’s ‘direct line’ to El Paso killings Trump may get cool reception from Dayton, El Paso leaders MORE told reporters Wednesday.

“They’re all just marching toward socialized medicine, government-run health care, wrapped up with something called Medicare for All, which basically means less Medicare for seniors. So if they’re not talking about ObamaCare, why should we be?”

The rift among White House contenders is frustrating some Senate Democrats.

“I understand the need for candidates in a competitive situation to not emphasize areas of agreement, but we still want to win a general election, and the most effective way to the general election was making absolutely crystal clear: Democrats are about protecting and expanding health and Republicans are dedicated to taking it away,” said Sen. Brian SchatzBrian Emanuel SchatzCriminal justice reform should extend to student financial aid Booker, Durbin and Leahy introduce bill to ban death penalty Overnight Energy: Democrats seek help in appealing to conservatives on climate | Whistleblowers say Interior sidelined scientists | Automakers strike fuel efficiency deal with California in rebuff to Trump MORE (D-Hawaii.).

Democrats argue voters aren’t likely to be distracted by the Medicare for All debate.

A Morning Consult poll conducted July 25-27 found that voters trust Democrats more than Republicans when it comes to health care, by a 9 point margin.

The same poll found that health care is the third-most important issue among registered voters who participate in general elections, and it’s the No. 1 issue for primary voters.

“We’re hitting them on their voting records and they’re grasping at straws trying to find some angle to push back on health care because they know they’re losing on the issue,” said Democratic Senatorial Campaign Committee spokesperson Stewart Boss.

“This is an area where Democrats have a clear and commanding advantage, and the Republican agenda to repeal the health care law and gut protections for pre-existing conditions remains toxic with voters across the country.”

Sen. Lindsey GrahamLindsey Olin GrahamMayors join call for Senate to return for vote on gun bill The Hill’s Morning Report – Trump vows federal response to Ohio, Texas shootings Schumer blasts ‘red flag’ gun legislation as ‘ineffective cop out’ MORE (R-S.C.) said this week that Republicans would push to repeal ObamaCare if they win back the House and President TrumpDonald John TrumpTrump cites brother’s struggles with alcohol as driving force behind fight against opioids Booker: ‘Knowing the bloody, violent truth of our past empowers me’ Analyst says Trump’s Venezuela policy is driven by Florida politics MORE is reelected in 2020.

“If we can get the House back and keep our majority in the Senate, and President Trump wins reelection, I can promise you not only are we going to repeal ObamaCare, we’re going to do it in a smart way where South Carolina will be the biggest winner,” Graham said in an interview with a South Carolina radio station.

“We’ve got to remind people that we’re not for ObamaCare.”

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Graham’s repeal bill, introduced in 2017, would eliminate major sections of ObamaCare, including subsidies that help people buy insurance and the Medicaid expansion that covers low-income adults in 36 states and Washington, D.C.

The bill would essentially shift money from states like California that expanded Medicaid to states that didn’t, like South Carolina. Such a move could force some states to cut health care services and reduce eligibility.

“If we could get the money back to the states, Democratic policies would be tested against our policies,” Graham said. 

“This scares the hell out of the Democrats. This is what 2020 is about.”

Previous GOP attempts to repeal ObamaCare were a driving force in Democrats taking back the House in 2018, and the issue has also reemerged among 2020 Democratic presidential hopefuls debating the best approach to health care.

Former Vice President Joe BidenJoe BidenWarren gains on Biden in Iowa: Poll Polls: Biden maintains lead in multiple primary states after debate Elizabeth Warren calls Trump a white supremacist MORE has emphasized the need to shore up ObamaCare from attempts by Republicans and the Trump administration to dismantle the law, while several of his progressive rivals have focused on pushing policies such as “Medicare for All.”

Democrats ran on protecting ObamaCare during the 2018 midterm elections and accused Republicans of trying to take away protections for those with pre-existing conditions.

House and Senate Democrats plan to follow the same playbook in 2020, as the Trump administration supports a lawsuit that seeks to overturn the entirety of ObamaCare. 

As such, Senate Majority Leader Mitch McConnellAddison (Mitch) Mitchell McConnellJulianne Moore calls for Senate to come back from recess to address gun violence ‘public health crisis’ Tim Ryan plans to be back on campaign trail on Friday after shooting The terrifying link between misogynists and mass shooters MORE (R-Ky.) has veered away from talking about repealing ObamaCare, instead focusing on smaller health care fixes.

Graham on Tuesday touted his bill, which would allow states to opt out of consumer protections, like those that prevent insurers from charging people with pre-existing conditions more for coverage.

Senate leaders decided in 2017 not to put Graham’s repeal bill up for a vote because it didn’t have enough support. Conservatives fumed that Republicans failed to repeal ObamaCare despite having a majority in both houses with a Republican president. 

GOP Sens. Susan CollinsSusan Margaret CollinsGOP senators press Google on reports it developed a smart speaker with Huawei McConnell faces pressure to bring Senate back for gun legislation Schumer, GOP Rep. King urge McConnell to give background check bill a vote MORE (Maine), Rand PaulRandal (Rand) Howard PaulConservatives buck Trump over worries of ‘socialist’ drug pricing Rand Paul to ‘limit’ August activities due to health Rand Paul pushed for Iranian diplomat to meet with Trump: report MORE (Ky.) and the late Sen. John McCainJohn Sidney McCainTrump’s greatest allies for a 2020 win: AOC and ‘The Squad’ Meghan McCain to release audiobook on ‘bold conservatism’ for 21st century Trump explains at Cincinnati rally how he learned to pronounce Lima, Ohio MORE (Ariz.) all opposed the bill. But Graham insists it would be different next time.

“We were one vote short in the Senate,” Graham said.

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House Intelligence Committee Chairman Adam SchiffAdam Bennett SchiffThe Hill’s Morning Report – How will Trump be received in Dayton and El Paso? Hillicon Valley: GOP hits back over election security bills | Ratcliffe out for intel chief | Social media companies consider policies targeting ‘deepfakes’ | Capital One, GitHub sued over breach Social media companies consider deepfake policy changes after Pelosi video MORE (D-Calif.) released a statement Thursday calling the retirements of two top intelligence officials a “devastating loss.”

Schiff’s statement follows the resignation announcements of Director of National Intelligence Dan CoatsDaniel (Dan) Ray CoatsTrump withdraws Ratcliffe as Intelligence pick Washington Post report raises questions about record of Trump’s DNI pick The next director of national intelligence fills critical role MORE last month and Deputy Director of National Intelligence Sue Gordon Tuesday. 

“The retirements of Dan Coats and Sue Gordon represent a devastating loss to the Intelligence Community, and the men and women who serve in it,” Schiff said. “Gordon brought decades of experience and encyclopedic knowledge of the agencies to bear, and her absence will leave a great void.”

“These losses of leadership, coupled with a president determined to weed out anyone who may dare disagree, represent one of the most challenging moments for the Intelligence Community,” he added. “It will be up to the Congress to ensure that the Intelligence Community continues to provide independent analysis and judgement to policy makers, and always speak truth to power.”

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Senate Intelligence Committee Vice Chairman Mark WarnerMark Robert Warner8chan’s providers face increased pressure to cut support Trump casts uncertainty over top intelligence role Hillicon Valley: GOP hits back over election security bills | Ratcliffe out for intel chief | Social media companies consider policies targeting ‘deepfakes’ | Capital One, GitHub sued over breach MORE (D-Va.) also called Gordon’s departure a “real loss to our intelligence community.”

“In more than 30 years of service to our nation, Sue Gordon ​has demonstrated herself to be a patriot and a consummate professional, eventually becoming the highest-ranking woman ever to serve in the Office of the Director of National Intelligence and someone who garnered tremendous respect from both sides of the aisle on Capitol Hill​,” Warner said in a statement. 

Warner also accused President TrumpDonald John TrumpTrump cites brother’s struggles with alcohol as driving force behind fight against opioids Booker: ‘Knowing the bloody, violent truth of our past empowers me’ Analyst says Trump’s Venezuela policy is driven by Florida politics MORE of pushing out Gordon and Coats.

“In pushing out two dedicated public servants in as many weeks, once again the President has shown that he has no problem prioritizing his political ego even if it comes at the expense of our national security,” he said.

​Trump on Thursday announced that Gordon would retire and later added that Joseph Maguire, current director of the National Counterterrorism Center, will become the acting director of national intelligence. 

Both retirements and Maguire’s ascension will take place Aug. 15.   

Former Defense Secretary James MattisJames Norman MattisWhy Dave Norquist is the perfect choice for DOD’s deputy secretary Five questions for Trump’s new defense secretary on first major tour Trump taps Texas Rep. Ratcliffe to replace Dan Coats as top intelligence official MORE was elected to the board of directors for aerospace and defense company General Dynamics on Wednesday. 

“Jim is a thoughtful, deliberate and principled leader with a proven track record of selfless service to our nation,” Phebe Novakovic, General Dynamics’s chairwoman and chief executive officer, said in a statement. “We are honored to have him on our board.” 

Mattis previously served on the General Dynamics board of directors from August 2013 to January 2017 before becoming President TrumpDonald John TrumpMSNBC’s Geist presses Castro on sharing Trump donors names: These people ‘are already being harassed’ Marianne Williamson: Message of love ‘absolutely’ extends to Trump Hickenlooper says Democrats are falling for ‘Trump’s execrable politics of distraction’ MORE‘s Defense secretary. Mattis’s two-year stint at the Pentagon was a tumultuous stretch in which he often split from the commander in chief on high-profile issues.

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Mattis reportedly said the president had the understanding of “a fifth- or sixth-grader” when it comes to the Korean Peninsula, according to Washington Post journalist Bob Woodward’s book “Fear: Trump in the White House.”

He resigned in December in disagreement over Trump’s decision to withdraw troops from Syria, his frequent bashing of allies in NATO and his praise for rivals like China and Russia.

“My views on treating allies with respect and also being clear-eyed about both malign actors and strategic competitors are strongly held and informed by over four decades of immersion in these issues,” Mattis wrote in his resignation letter.

“We must do everything possible to advance an international order that is most conducive to our security, prosperity and values, and we are strengthened in this effort by the solidarity of our alliances.”

Mattis is currently the Davies Family distinguished fellow at the Hoover Institution at Stanford University.

General Dynamics, headquartered in Falls Church, Va., says it offers a “broad portfolio of products and services in business aviation; combat vehicles, weapons systems and munitions; IT services; C4ISR solutions; and shipbuilding and ship repair.” It employs more than 100,000 workers worldwide.

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