Ukraine language in GOP platform underscores Trump tensions

The absence of an updated Republican party platform for the 2020 election is allowing President TrumpDonald John TrumpTrump to visit Kenosha on Tuesday amid unrest Warner calls Intelligence chief’s decision to scale down congressional election security briefings ‘outrageous’ Katyusha rocket lands in Baghdad ‘Green Zone’: report MORE to avoid hard commitments on the sensitive foreign policy issue of Ukraine, where his withholding of $400 million in military assistance was at the heart of his impeachment by the House. 

The GOP’s decision to preserve the 2016 platform keeps in place toned down language related to Ukraine that was negotiated at the time by Trump’s then-campaign chairman Paul ManafortPaul John ManafortRepublicans incriminate Trump, decimate his ‘Russia hoax’ narrative Putin is no ordinary threat to America Five takeaways on Bannon’s indictment MORE, who is serving a seven and a half year prison sentence on charges brought by special counsel Robert MuellerRobert (Bob) MuellerCNN’s Toobin warns McCabe is in ‘perilous condition’ with emboldened Trump CNN anchor rips Trump over Stone while evoking Clinton-Lynch tarmac meeting The Hill’s 12:30 Report: New Hampshire fallout MORE’s investigation into Russia’s interference in the U.S. elections.

Manafort, who was found by the Senate Intelligence Committee to have had direct contacts with Russian intelligence officials during the 2016 campaign, successfully removed any commitments to lethal military assistance to Kyiv as part of efforts to soften language towards Moscow.

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That controversy became part of the larger probe into Russian election interference, Kremlin contacts with the Trump campaign and whether Moscow had influence over the then-president-elect.

And how the Trump administration dealt with Ukraine – with Kyiv currently in a fragile ceasefire with Moscow where more than 14,000 people have been killed over six years of fighting in the country’s east – became the benchmark to measure whether the U.S. was shying away from confronting Russia’s aggressive expansionist goals. 

GOP lawmakers say that the administration’s decision to provide lethal military assistance to Ukraine reflects its consistent commitment to the nation.

But critics say Trump’s false accusations that Ukraine, and not Moscow, interfered in the U.S. elections and his withholding of military aid to Ukraine as part of efforts to smear Democratic presidential nominee Joe BidenJoe BidenMick Mulvaney to start hedge fund Trump to visit Kenosha on Tuesday amid unrest Warner calls Intelligence chief’s decision to scale down congressional election security briefings ‘outrageous’ MORE tells a different story. 

Steven Pifer, the William Perry Research Fellow at Stanford and a former U.S. ambassador to Ukraine in the Clinton administration, said the absence of a 2020 GOP platform is likely a chance for the party to avoid putting out hard policy statements on the issue given the president’s actions.

“If the Republicans were to put into words what would be — what I would call a traditional Republican approach to foreign policy – they would end up in the platform taking positions that would be very inconsistent with what the president said.”

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For Ukrainian Americans, the 2016 GOP party platform was a win, as it provided an explicit U.S. commitment more robust than the Obama administration’s efforts in the face of Russian aggression. 

“We support maintaining and, if warranted, increasing sanctions, together with our allies, against Russia unless and until Ukraine’s sovereignty and territorial integrity are fully restored,” the 2016 GOP platform states. “We also support providing appropriate assistance to the armed forces of Ukraine and greater coordination with NATO defense planning.”

In the absence of a new platform, the Republican National Committee this year endorsed the 2016 agenda and affirmed support for President Trump’s second-term goals in a resolution.

Rep. Andy HarrisAndrew (Andy) Peter HarrisGOP’s Gohmert introduces resolution that would ban the Democratic Party Overnight Defense: Panel approves 4.6B bill addressing border wall funds, Confederate name changes | Navy ship fire rages on House panel approves defense bill with border wall limits, Confederate base provision MORE (R-Md.), co-chairman of the Congressional Ukraine Caucus, said in a statement to The Hill he is supportive of Trump’s actions towards Ukraine even without an official party platform. 

“The President’s policy to our ally Ukraine has been clear, and much more supportive than the Obama-Biden administration’s – whether or not there is an official party platform,” he wrote in an email to The Hill. “We will continue to enjoy good relations with our ally during the President’s second term.”

Yet the absence of a 2020 Republican platform is concerning for the Ukrainian American community.

They fear there will be less vigorous support for the country following the president’s impeachment. 

Ukraine was mentioned at least twice during the Republican National Convention, with Secretary of State Mike PompeoMichael (Mike) Richard PompeoKatyusha rocket lands in Baghdad ‘Green Zone’: report There was nothing unlawful or improper about Trump’s acceptance speech Overnight Defense: House chair announces contempt proceeding against Pompeo | Top general says military has no role in election disputes | Appeal court rejects due process rights for Gitmo detainees MORE praising Trump for sending defensive weapons systems. 

Yet in a speech by former Florida Attorney General Pam Bondi, Ukraine was mentioned repeatedly alongside allegations of corruption and opportunism as she attacked Biden. Bondi focused on debunked claims that as vice president, Biden pushed for the ousting of a Ukrainian prosecutor to protect his son Hunter’s business dealings.

The Ukrainian prosecutor, Viktor Shokin, was dismissed from his position for failing to enforce anti-corruption efforts which included, at the time, regulatory investigations into the energy company Burisma, where Hunter Biden sat on the board, and that the company wanted done to legitimize its operations. 

“A concrete statement would help the Ukrainian American community understand which vision of Ukraine is held by the [Republican National Committee],” said Andrij Dobriansky, spokesman for the Ukrainian Congress Committee of America (UCCA), the largest advocacy organization for Ukrainian Americans.

Further complicating how the GOP views Ukraine is a controversial investigation by Senator Ron JohnsonRonald (Ron) Harold JohnsonSunday shows preview: Protests continue over shooting of Blake; coronavirus legislation talks remain at impasse Engel announces contempt proceedings against Pompeo Democratic senator: Violence in Wisconsin ‘not advancing the cause of racial justice’ MORE (R-Wis.). He says he is investigating allegations that Biden misused his position as vice president for personal benefit, but it has been criticized for promoting Russian propaganda that discredits Ukraine. 

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Johnson is viewed as one of Ukraine’s most ardent supporters on the Hill and had pushed Trump in August 2019 to release military aid he was withholding as part of an effort to get Ukraine to open investigations into Biden.

A spokesperson for the senator said in an email to the Hill that “Sen. Johnson thinks Vladimir PutinVladimir Vladimirovich PutinWhy instability in Belarus, Khabarovsk and Lebanon are problems Putin doesn’t want Putin demonstrates his ruthlessness — and America should pay attention Russia launching investigation into suspected Navalny poisoning MORE is a menace. Sen. Johnson has great respect for the Ukrainian people and is committed to helping them resist Russian aggression.” 

Despite the mixed messaging, the Trump campaign is courting the support of Ukrainian Americans, unveiling last week a “Ukrainian Americans for Trump” coalition, one of 13 groups listed on the campaign website that includes other ethnic, professional and hobbyist groups. 

There’s no concrete information about the group other than a link to provide contact details. 

Ken Farnaso, deputy national press secretary for the Trump campaign, said the group is a grassroots effort that supports the president and his mission to enhance U.S. and Ukraine relations “while advocating for the rule of law and greater economic ties.”  

“Like all of our Trump Campaign coalitions, Ukrainians for Trump come together to make phone calls, knock on doors, and submit op-eds to reach out to other Ukrainian Americans,” he wrote in a statement to The Hill.  

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The creation of that group follows the forming of an Ukrainian Americans for Biden group in June. 

“Trump’s track record — putting aside his overall track record… even with respect to Ukraine and Ukraine’s biggest adversary Russia, is just pretty appalling,” said Orest Deychakiwsky, a steering committee member for the pro-Biden group.

Democrats in their 2020 platform affirmed commitment for Ukraine’s territorial sovereignty and reform efforts. Yet despite the update, the Democratic platform’s position on Ukraine still falls short of the 2016 GOP commitments. 

“I’m just glad it’s mentioned and we know Vice President Biden was an ardent supporter of Ukraine,” Rep. Marcy KapturMarcia (Marcy) Carolyn KapturEye on gavel, Wasserman Schultz proposes panel on racial inequality in spending Overnight Defense: Army now willing to rename bases named after Confederates | Dems demand answers on ‘unfathomable’ nuke testing discussions | Pentagon confirms death of north African al Qaeda leader Top Democrats demand answers on Trump administration’s ‘unfathomable’ consideration of nuclear testing MORE (D-Ohio), co-founder and co-chair of the Congressional Ukraine Caucus, told The Hill. 

Kaptur called it “very troubling” that the lack of the GOP platform doesn’t allow for explicit statements on U.S. policy toward Ukraine, but said congressional lawmakers are “absolutely committed” to bipartisan support for Kyiv.  

“I am absolutely committed to it and I think every member of our Ukraine caucus is,” she said. “There is no wavering, the members on our defense subcommittees, be the authorizing or appropriations committee, we are joined at the hip and I think that we await the day when Ukraine is admitted to the league of free nations in Europe and we will work toward that end.” 

 

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Rubio says congressional oversight of intelligence faces 'historic crisis' following DNI announcement

Sen. Marco RubioMarco Antonio RubioRubio says congressional oversight of intelligence faces ‘historic crisis’ following DNI announcement Warner calls Intelligence chief’s decision to scale down congressional election security briefings ‘outrageous’ READ: Director of National Intelligence’s letter to Congress on election security briefings MORE (R-Fla.), acting chairman of the Senate Intelligence Committee, said congressional oversight is facing a “historic crisis” after Director of National Intelligence John RatcliffeJohn Lee RatcliffeRubio says congressional oversight of intelligence faces ‘historic crisis’ following DNI announcement Warner calls Intelligence chief’s decision to scale down congressional election security briefings ‘outrageous’ Pelosi, Schiff pan director of national intelligence for canceling election security briefings MORE notified Congress on Saturday that the intelligence community will be scaling back in-person congressional briefings on election security.

“Congressional oversight of intelligence activities now faces a historic crisis,” Rubio said in a statement. “Intelligence agencies have a legal obligation to keep Congress informed of their activities.”

In his letter to Congress announcing the change, Ratcliffe said that the intelligence community would switch over to written updates on election security issues to ensure that intelligence information “is not misunderstood nor politicized.” 

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Rubio in his statement said that members of Congress “have a legal obligation to not divulge classified information” and that in his time as chairman he has “witnessed firsthand how this delicate balance has been destroyed.”

Earlier this month, William Evanina, the director of the National Counterintelligence and Security Center, released a statement detailing election security threats, including Russian efforts to help President TrumpDonald John TrumpTrump to visit Kenosha on Tuesday amid unrest Warner calls Intelligence chief’s decision to scale down congressional election security briefings ‘outrageous’ Katyusha rocket lands in Baghdad ‘Green Zone’: report MORE win reelection.

Evanina faced criticism from congressional Democrats because his report also noted that China prefers that Trump not win reelection and that Iran is engaging in efforts to undermine Trump and U.S. institutions.

Democrats and others have claimed Evanina and the Trump administration are pushing a false equivalency because they say that neither China nor Iran is attempting to undermine the 2020 election like Russia is.  

“The statement gives a false sense of equivalence to the actions of foreign adversaries by listing three countries of unequal intent, motivation and capability together,” Democratic leaders said.

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House Speaker Nancy PelosiNancy PelosiRubio says congressional oversight of intelligence faces ‘historic crisis’ following DNI announcement Warner calls Intelligence chief’s decision to scale down congressional election security briefings ‘outrageous’ Pelosi, Schiff pan director of national intelligence for canceling election security briefings MORE (D-Calif.), Senate Minority Leader Charles SchumerChuck SchumerRubio says congressional oversight of intelligence faces ‘historic crisis’ following DNI announcement Pelosi, Schiff pan director of national intelligence for canceling election security briefings Pelosi slams GOP, says .3 trillion in coronavirus relief not enough MORE (D-N.Y.) and other Democrats said that Evanina’s assessment did not go nearly far enough and called his report vague. 

Rubio said that Evanina’s “reward” for the report “was to be smeared in vile and personal terms in a letter signed by Democratic leaders of Congress.”

The Florida senator went on to say that intelligence officials briefed “virtually every member” of Congress in a series of small groups. However, he said, before the second day of House briefings began, “the classified information they had shared was already in the media.” 

“Divulging access to classified information in order to employ it as a political weapon is not only an abuse, it is a serious federal crime with potentially severe consequences on our national security,” Rubio said.

He added that “this grotesque criminal misconduct does not release the intelligence community from fulfilling its legal requirements to respond to Congressional oversight committees and to keep members of Congress fully informed of relevant information on a timely basis.”

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The acting chairman noted that he spoke with Ratcliffe, who “made explicitly clear” that the committee “will continue receiving briefings on all oversight topics, including election matters.” He said the committee “will continue to expect timely and complete information from our intelligence agencies.”

Sen. Mark Warner (Va.), the top Democrat on the Senate Intelligence Committee, called the decision “outrageous.”

“The Office of the Director of National Intelligence has an obligation to brief Congress on threats to our elections,” Warner said in a statement. “Director Ratcliffe’s outrageous decision to stop providing briefings to Congress is an unprecedented attempt to politicize an issue – protecting our democracy from foreign intervention – that should be non-partisan.”

Officials investigate sailor for arson in Navy warship fire in July: report

Officials are investigating a sailor for arson in connection to a fire that engulfed the USS Bonhomme Richard in July, The New York Times reported Wednesday. 

A senior Navy official told the newspaper that no motive has been identified and no one has been charged. 

More than 60 personnel, including sailors and civilians, were treated for minor injuries including heat exhaustion and smoke inhalation in the fire. There were no fatalities. 

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The Navy official told the Times the Naval Criminal Investigative Service and the Bureau of Alcohol, Tobacco, Firearms and Explosives have focused their investigation on one sailor from that ship.

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The Pentagon deferred questions about the investigation to the Navy. 

“The Navy will not comment on an ongoing investigation to protect the integrity of the investigative process and all those involved,” Lt. Tim Pietrack, a Navy spokesman, told the Times. “We have nothing to announce at this time.”

A spokesperson for the Navy was not immediately available for comment. 

Pelosi, Schiff pan director of national intelligence for canceling election security briefings

Speaker Nancy PelosiNancy PelosiRubio says congressional oversight of intelligence faces ‘historic crisis’ following DNI announcement Warner calls Intelligence chief’s decision to scale down congressional election security briefings ‘outrageous’ Pelosi, Schiff pan director of national intelligence for canceling election security briefings MORE (D-Calif.) and Rep. Adam SchiffAdam Bennett SchiffWarner calls Intelligence chief’s decision to scale down congressional election security briefings ‘outrageous’ Pelosi, Schiff pan director of national intelligence for canceling election security briefings Intelligence chief shifts election security briefings to written updates MORE (D-Calif.), the chairman of the House Intelligence Committee, panned the Office of the Director of National Intelligence (ODNI) on Saturday for canceling all election security briefings for Congress. 

The two Democrats said the ODNI canceled briefings scheduled for September on foreign election interference and informed them it will hold no others, likely infuriating lawmakers who have pushed the Trump administration to be more transparent about intelligence regarding threats to the November elections.

“This is a shocking abdication of its lawful responsibility to keep the Congress currently informed, and a betrayal of the public’s right to know how foreign powers are trying to subvert our democracy,” Pelosi and Schiff said in a joint statement. “This intelligence belongs to the American people, not the agencies which are its custodian. And the American people have both the right and the need to know that another nation, Russia, is trying to help decide who their president should be.” 

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The ODNI did tell congressional leaders that it will provide written “finished intelligence products.”

“I believe this approach helps ensure, to the maximum extent possible, that the information ODNI provides the Congress in support of your oversight responsibilities on elections security, foreign malign influence, and election interference is not misunderstood nor politicized,” Director of National Intelligence John RatcliffeJohn Lee RatcliffeRubio says congressional oversight of intelligence faces ‘historic crisis’ following DNI announcement Warner calls Intelligence chief’s decision to scale down congressional election security briefings ‘outrageous’ Pelosi, Schiff pan director of national intelligence for canceling election security briefings MORE wrote in letters to congressional committee heads. “It will also better protect our sources and methods and most sensitive intelligence from additional unauthorized disclosures or misuse.” 

Democrats in both chambers of Congress have ramped up their warnings about interference from Russia and other nations in this fall’s elections, still fuming over what they say were insufficient efforts to warn voters about meddling from Moscow in the 2016 presidential race.

Top U.S. counterintelligence officials declared earlier this month that Russia is using a range of measures to “primarily denigrate” former Vice President Joe BidenJoe BidenMick Mulvaney to start hedge fund Trump to visit Kenosha on Tuesday amid unrest Warner calls Intelligence chief’s decision to scale down congressional election security briefings ‘outrageous’ MORE.

William Evanina, the director of the National Counterintelligence and Security Center, said a few nations are seeking to “sway voters’ preferences and perspectives,” sow discord and “undermine the American people’s confidence in our democratic process.”

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“Many foreign actors have a preference for who wins the election, which they express through a range of overt and private statements; covert influence efforts are rarer. We are primarily concerned about the ongoing and potential activity by China, Russia and Iran,” Evanina said.

While the recognition marked a victory at the time for Democrats who had pressed the intelligence community to be more transparent about foreign threats in the final sprint to Election Day, Democrats said the scrapping of the briefings marked an effort by the administration to shield information about exactly how foreign powers plan to meddle.

“This is shameful and—coming only weeks before the election—demonstrates that the Trump Administration is engaged in a politicized effort to withhold election-related information from Congress and the American people at the precise moment that greater transparency and accountability is required. This keeps both the American people and the Congress in the dark, when both are in need of the information,” they said.

“The DNI has a responsibility to provide these briefings and answer questions before Congress. Failing to do so would be an abdication of the Intelligence Community’s duty to keep Congress fully informed of intelligence matters and to protect our democracy,” Senate Minority Leader Charles SchumerChuck SchumerRubio says congressional oversight of intelligence faces ‘historic crisis’ following DNI announcement Pelosi, Schiff pan director of national intelligence for canceling election security briefings Pelosi slams GOP, says .3 trillion in coronavirus relief not enough MORE (D-N.Y.) added in a later statement. 

Trump throughout his tenure in office has been notoriously sensitive to claims Russia meddled in the 2016 race and has rebutted claims that Moscow wants him to win this November, brushing off the intelligence announced this month, saying, “I don’t care what anybody says.”

This article was updated and corrected at 9:29 p.m.

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On The Money: Democrats offer lower price tag for COVID-19 aid but stalemate persists | Jobless claims tick down but remain above 1 million | Pelosi predicts Democrats will get Trump tax returns if Biden wins

Happy Thursday and welcome back to On The Money. I’m Sylvan Lane, and here’s your nightly guide to everything affecting your bills, bank account and bottom line.

See something I missed? Let me know at slane@thehill.com or tweet me @SylvanLane. And if you like your newsletter, you can subscribe to it here: http://bit.ly/1NxxW2N.

Write us with tips, suggestions and news: slane@thehill.com, njagoda@thehill.com and nelis@thehill.com. Follow us on Twitter: @SylvanLane, @NJagoda and @NivElis.

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THE BIG DEAL—Democrats offer lower price tag for COVID-19 aid but stalemate persists:

Democrats and the Trump administration made little to no progress Thursday during renewed negotiations over a COVID-19 relief package, as the two sides remain far apart on hundreds of billions of dollars in emergency aid for states, renters, the unemployed and the hungry.

  • Speaker Nancy PelosiNancy PelosiTrump taunts Democrats in White House speech: ‘We’re here and they’re not’ McConnell: GOP-controlled Senate a ‘firewall’ against Pelosi agenda Ex-Democrat Van Drew speaks at GOP convention MORE (D-Calif.) said she offered White House chief of staff Mark MeadowsMark Randall MeadowsOn The Money: Democrats offer lower price tag for COVID-19 aid but stalemate persists | Jobless claims tick down but remain above 1 million | Pelosi predicts Democrats will get Trump tax returns if Biden wins Overnight Health Care: Shifting CDC testing guidance sparks backlash | Democrats offer lower price tag for COVID-19 aid but stalemate persists | Trump administration to purchase 150 million rapid COVID-19 tests Democrats offer lower price tag for COVID-19 aid but stalemate persists MORE a concession by proposing a $2.2 trillion price tag for the entire package, down from the Democrats’ most recent demand of $2.4 trillion floated earlier this month.
  • Meadows, however, didn’t bite, Pelosi said, leaving negotiators with no progress since the stalemate began.

“We have said again and again that we’re willing to come down and meet them in the middle — that would be $2.2 trillion — and when they’re ready to do that, we’ll be ready to discuss and negotiate the particulars,” Pelosi told reporters in the Capitol, just after the call with Meadows.

“When they’re ready to do that they’ll let us know,” she added. “I did not get that impression on that call [that they are].”

The Hill’s Mike Lillis has more here.

How we got here: 

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  • Thursday’s 25-minute phone call marked the first time the negotiators have spoken since the emergency coronavirus talks broke down on Aug. 7.
  • The parties have wide disagreements over the amount of funding for unemployment benefits and help for state and local governments struggling to meet needs and balance budgets amid the pandemic.
  • House Democrats had passed a massive $3.4 trillion relief package in May, featuring funding for states, unemployment benefits, schools, food stamps, rental assistance and the Postal Service.
  • Late last month, Senate Republicans offered a $1.1 trillion counter-proposal, focused largely on help for small businesses, the unemployed, schools and direct payments to individuals. Yet the Senate measure was opposed not only by Democrats, but also by a number of conservative Republicans wary of soaring deficit spending. 

Where things stand: Meadows and Treasury Secretary Steven MnuchinSteven Terner MnuchinOn The Money: Democrats offer lower price tag for COVID-19 aid but stalemate persists | Jobless claims tick down but remain above 1 million | Pelosi predicts Democrats will get Trump tax returns if Biden wins Democrats offer lower price tag for COVID-19 aid but stalemate persists Pelosi digs in ahead of coronavirus talks: ‘We’re not budging’ MORE — the lead GOP negotiators — have pressed for an even smaller bill that might attract the support of conservative critics. Democrats, however, have largely stood their ground, arguing that the dual crises of public health and economy demand another massive infusion of federal spending to alleviate the devastation.

Read more: The Washington Post: “Congress left town and let jobless benefits lapse. Unemployed Americans say they won’t forget it.”

LEADING THE DAY

Jobless claims tick down but remain above 1 million: New weekly claims for unemployment benefits sunk to roughly 1 million last week, the Labor Department reported Thursday, falling slightly but remaining in seven figures for the second straight week.

The number of seasonally adjusted initial claims for unemployment insurance for the week ending Aug. 22 came in at 1,006,000, according to the Labor Department, falling 98,000 from the previous week.

The non-seasonally adjusted figure, which some economists prefer given the unique nature of the recession, fell to 821,591, a decrease of 67,958 from the previous week.

What it means: Economists warn that the still-staggering number of Americans filing their first claims for jobless benefits is a sign of deep, long-term damage to the U.S. economy. 

  • New claims for jobless benefits have lingered around the 1 million mark for much of August after months of fairly steady declines. 
  • Despite three straight months of job gains, roughly 12 million of the 21 million Americans who lost their jobs because of the pandemic remain unemployed as of July. 
  • More than 27 million Americans were also on some type of unemployment insurance as of the week ending Aug. 8.

I break it down here.

Pelosi predicts Democrats will get Trump tax returns if Biden wins: Speaker Nancy Pelosi (D-Calif.) on Thursday predicted that if Joe BidenJoe BidenThe Memo: Trump reaches for optimism as weapon against Biden Five takeaways on GOP’s norm-breaking convention CNN uses new chyron to fact-check Trump’s convention speech MORE is elected president, his administration would provide House Democrats with President Trump’s tax returns.

“When we win this election, and we have a new president of the United States in January, and we have a new secretary of the Treasury, and [Ways and Means Committee Chairman] Richie Neal asks for the president’s returns, then the world will see what the president has been hiding all of this time,” Pelosi said during a press conference. 

  • Neal, a Democrat from Massachusetts, already requested Trump’s federal tax returns from the IRS in April 2019, citing a provision of the tax code that states that the Treasury secretary “shall furnish” tax returns requested by the chairs of Congress’s tax committees. 
  • The Trump administration rejected Neal’s request, prompting him to file a lawsuit that has yet to be resolved.

Why it matters: If the Ways and Means Committee were to receive Trump’s tax returns, it could review them in a closed session and then vote to submit a report to the full House that could make part or all of the documents public.

The Hill’s Naomi Jagoda has more here.

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Fed formally adopts new approach to balance inflation, unemployment: The Federal Reserve on Thursday formally adopted a monetary policy strategy that calls for allowing inflation to run above the bank’s 2 percent target in a bid to maximize the job gains that come with economic expansions.

  • In a Thursday speech, Fed Chairman Jerome Powell announced that the central bank would aim to keep price and wages increases at an annual average of 2 percent instead of aiming directly at that target. 
  • The Fed’s new strategy will likely mean the central bank will tolerate higher levels of inflation for longer stretches to balance out years of persistently low price and wage increases.

I’ll explain the Fed’s new strategy here.

The problem: Controlling inflation — the rate at which prices and wages increase — has been a vexing problem for the Fed for nearly four decades. 

  • While rapid inflation can pose major risks, economists consider a moderate level of price and wage increases to bring broader economic growth and prosperity in the process. 
  • Persistent levels of low inflation can also force the Fed to keep its baseline interest rate range closer to zero percent, which limits its ability to stimulate the economy during downturns.

“We have seen this adverse dynamic play out in other major economies around the world and have learned that once it sets in, it can be very difficult to overcome,” Powell said on Thursday. “We want to do what we can to prevent such a dynamic from happening here.”

GOOD TO KNOW

  • Cutting taxes during periods of high unemployment will produce fewer jobs than during more robust economic times, according to a new working paper from the nonpartisan Congressional Budget Office.
  • The S&P 500 index set a new record Thursday as the Dow Jones Industrial Average briefly erased its 2020 losses.
  • The economy shrank at an annualized rate of 31.7 percent in the second quarter, according to the second estimate from the Commerce Department, 1.2 percentage points better than the initial 32.9 percent estimate.
  • The U.S. banking industry’s largest lobbying group will run television advertisements supporting the reelection of Sen. Susan CollinsSusan Margaret CollinsOn The Money: Democrats offer lower price tag for COVID-19 aid but stalemate persists | Jobless claims tick down but remain above 1 million | Pelosi predicts Democrats will get Trump tax returns if Biden wins Bank lobbying group launches ad backing Collins reelection bid Biden agenda hinges on Senate majority MORE (Maine), one of the most vulnerable incumbent Senate Republicans.

ODDS AND ENDS

  • The Justice Department filed forfeiture charges Thursday against 280 cryptocurrency accounts for assisting in laundering millions of dollars stolen during two North Korean hacking incidents.
  • Washington, D.C., sued Instacart on Thursday, alleging that the grocery delivery company charged District residents millions in deceptive fees and avoided local sales taxes.

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Lewandowski 'very, very close to announcing' decision on Senate run

Former Trump campaign manager Corey LewandowskiCorey R. LewandowskiTrump taps Lewandowski, Bossie for Commission on Presidential Scholars The Hill’s Campaign Report: Trump ramps up attacks against Twitter Bossie, Lewandowski warned Trump he was in trouble in 2020: report MORE on Wednesday said he was “very, very close” to announcing his decision on whether he will run for U.S. Senate in New Hampshire, just one day after he testified before the House Judiciary Committee.

“I’m very, very close to announcing my decision on the U.S. Senate race,” Lewandowski said in an appearance on Fox News, referring to the 2020 race involving the seat held by Sen. Jeanne ShaheenCynthia (Jeanne) Jeanne ShaheenWarren, Democrats urge Trump to back down from veto threat over changing Confederate-named bases Mnuchin indicates openness to more PPP loans in next COVID-19 relief bill On The Money: GOP turning against new round of ,200 rebate checks | Millions of Americans frustrated by delayed unemployment checks | Senate votes to give coronavirus relief program more flexibility MORE (D-N.H.). 

ADVERTISEMENT“I wanted to get through yesterday before I made the final decision,” he also said during the “Fox & Friends” appearance. 

Pressed by the hosts to say which way he was leaning, Lewandowski declined to do so, saying he had to “spend a little more time with my family.”

During his testimony on Tuesday, the former campaign aide tweeted out a link to a campaign-style website to help with a potential Senate run. 

“New website just launched to help a potential senate run,” Lewandowski tweeted, along with a link to the website StandWithCorey.com. “Sign up now!”

Lewandowski vigorously defended President TrumpDonald John TrumpSenate advances public lands bill in late-night vote Warren, Democrats urge Trump to back down from veto threat over changing Confederate-named bases Esper orders ‘After Action Review’ of National Guard’s role in protests MORE during the chaotic hearing in which Democrats had hoped to find fodder for their obstruction probe into the president. 

If he entered the Senate race, Lewandowski would have to win the Republican primary before taking on Shaheen. A recent Emerson University poll showed him holding a lead over other potential GOP opponents.

The Cook Political Report has rated the race “solid Democrat,” meaning it is not considered to be competitive.

TikTok stars Bryce Hall, Blake Gray charged for throwing house parties during pandemic

The city of Los Angeles on Friday filed criminal charges against TikTok stars Bryce Hall and Blake Gray for allegedly throwing house parties during the coronavirus pandemic.

Hall, 21, and Gray, 19, were charged with violating the “Safer LA” emergency order issued during the outbreak, as well as a party house ordinance that forbids “loud and unruly gatherings,” according to the complaint filed by Los Angeles City Attorney Mike Feuer on Friday.

Feuer said in a statement that hundreds of people were attending parties at the Hollywood Hills home that Hall and Gray are renting. Cars allegedly blocked access for emergency vehicles and loud music blared throughout the neighborhood, “(hijacking) the quality of life of neighborhood nearby.”

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“As if that weren’t enough, the hosts are incredibly irresponsible, with COVID-19 spreading and parties banned because of it. We’ve got to put a stop to it,” said Feuer. “If you have a combined 19-million followers on TikTok during this health crisis, you should be modeling good behavior — not brazenly violating the law and posting videos about it, as we allege.” 

The two social media stars face charges of up to one year in jail and up to $2,000 in fines.

Los Angeles Police Department officers responded to a call at the home on Aug. 8 and they were issued a citation, according to the complaint.

Less than a week later on Aug. 14, officers returned after receiving a call about shots fired and discovered hundreds of people celebrating Hall’s 21st birthday.

No evidence of a gun being fired was discovered. Gray received a new citation and officers stayed until guests left.

Video posted on social media showed hundreds of people, most of whom were not wearing masks, packed inside of the home nicknamed the Sway House.

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Earlier this month, Los Angeles Mayor Eric GarcettiEric GarcettiTikTok stars Bryce Hall, Blake Gray charged for throwing house parties during pandemic Latino Victory to boost Alex Padilla to fill Harris’s potential Senate seat Sunday shows preview: Republicans gear up for national convention, USPS debate continues in Washington MORE (D) authorized the Department of Water and Power to shut off utilities in “egregious” instances where homes continue to ignore public health protocols and hold large social gatherings and parties. 

Power was cut off at Hall and Gray’s home on Aug. 19, according to the city’s complaint.

Hall and Gray are both popular on the video sharing platform TikTok, with 13.2 million and 5.9 million followers, respectively. The Hill has reached out to their representatives for comment.

Los Angeles County has recorded more than 238,000 cases of COVID-19 and 5,700 deaths. 

It is unclear whether any positive cases of COVID-19 have been linked back to the parties. 

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Green groups fight EPA rollback limiting states from blocking projects

The Environmental Protection Agency (EPA) is facing another suit over its rule that limits states’ ability to block pipelines and other controversial projects that cross their waterways.

The Clean Water Act previously allowed states to halt projects that risk hurting their water quality, but that power was scaled back by the EPA in June, a move Administrator Andrew WheelerAndrew WheelerOvernight Energy: Pendley order to stay atop public lands bureau sidesteps career official | Trump officials sued over relaxed rules on killing wolf pups, bear cubs OVERNIGHT ENERGY: Senate Democrats map out climate change strategy | Green groups challenge Trump plan to open 82 percent of Alaska reserve to drilling | 87 lawmakers ask EPA to reverse course after rescinding methane regulations 87 lawmakers ask EPA to reverse course after rescinding methane regulations MORE said would “curb abuses of the Clean Water Act that have held our nation’s energy infrastructure projects hostage.”

The latest suit, however, argues the Trump administration is inappropriately denying states veto power over major projects that pose risks to their waterways.

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“Stripping away the states’ ability to protect local waters and strangling the voices of impacted communities are the epitome of protecting polluters instead of protecting people,” Frank Holleman, senior attorney at the Southern Environmental Law Center (SELC), said in a release.

“For the first time, the Trump EPA’s rule denies those protections to the states and local communities, sacrificing the nation’s clean water to benefit polluting industries and their lobbyists.”

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The SELC is filing the suit on behalf of six other environmental groups, including the Natural Resources Defense Council, in the U.S. District Court in South Carolina. 

The Clean Water Act essentially gave states veto authority over projects by requiring them to gain state certification under Section 401 of the law.

It applies to a wide variety of projects that could range from power plants to wastewater treatment plants to industrial development.

But that portion of the law has been eyed by the Trump administration after two states run by Democrats have recently used the law to sideline major projects.

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New York denied a certification for the Constitution Pipeline, a 124-mile natural gas pipeline that would have run from Pennsylvania to New York, crossing rivers more than 200 times. Washington state also denied certification for the Millennium Coal Terminal, a shipping port for large stocks of coal.

But the rule affects more than just pipelines.

The SELC argues the Section 401 rollback would have stripped states’ power during the Savannah Harbor Expansion Project in Georgia. They said state governments were able to fight for protections for the drinking water in lower South Carolina and Georgia, set aside thousands of acres of protected preserves and wetlands, prohibit dredging in specific spots to protect bass and sea turtles, and require the system to maintain river oxygen levels.

The EPA said it would not comment on pending litigation.

The agency is already facing challenges to the rule from 20 states.

Top general: Military will play no role in resolving any electoral dispute

The U.S. military will play no role in resolving any dispute about the election, the country’s top general said in written testimony released Friday.

“In the event of a dispute over some aspect of the elections, by law U.S. courts and the U.S. Congress are required to resolve any disputes, not the U.S. military,” Joint Chiefs of Staff Chairman Gen. Mark Milley wrote. “I foresee no role for the U.S. Armed Forces in this process.”

“I and every member of the Armed Forces take an oath to support and defend the Constitution of the United States, and to follow the lawful orders of the chain of command,” he continued. “We will not turn our backs on the Constitution of the United States.”

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Milley’s comments came in response to questions for the record from Reps. Elissa SlotkinElissa SlotkinOvernight Defense: House chair announces contempt proceeding against Pompeo | Top general says military has no role in election disputes | Appeal court rejects due process rights for Gitmo detainees Top general: Military will play no role in resolving any electoral dispute Pelosi weighing bringing House back from August recess early over USPS issues: reports MORE (D-Mich.) and Mikie SherrillRebecca (Mikie) Michelle SherrillOvernight Health Care: Trump pressure on health agencies risks undermining public trust | Top FDA spokeswoman ousted after 11 days Overnight Defense: House chair announces contempt proceeding against Pompeo | Top general says military has no role in election disputes | Appeal court rejects due process rights for Gitmo detainees OVERNIGHT ENERGY: 21 states sue White House over rollback of bedrock environmental law | Administration faces rough week in court | Trump hits Biden on climate at convention MORE (D-N.J.) that the pair had submitted to him after a House Armed Services Committee hearing last month.

The same questions were sent to Defense Secretary Mark EsperMark EsperOvernight Defense: House chair announces contempt proceeding against Pompeo | Top general says military has no role in election disputes | Appeal court rejects due process rights for Gitmo detainees Top general: Military will play no role in resolving any electoral dispute Overnight Defense: US, Russia trade blame over Syria incident | Pentagon calls out China’s ‘counterproductive’ military exercises, missile test | Democrats press Esper on COVID-19 response MORE, but the lawmakers said he has not responded yet.

In addition to asking him about the military’s role in resolving any election dispute, the lawmakers asked Milley about any role for active-duty troops in administering the election or tallying results.

For that process, Milley also said there is no role for the military.

“The Constitution and laws of the U.S. and the states establish procedures for carrying out elections, and for resolving disputes over the outcome of elections,” Milley said. “State and federal governments have qualified officials who oversee these processes according to those laws. We are a nation of laws. We follow the rule of law and have done so with regard to past elections, and will continue to do so in the future.

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“I do not see the U.S. military as part of this process; this is the responsibility of Congress, the Supreme Court, and components of the Executive Branch.”

Milley’s answers do not depart from long standing views in the military about remaining apolitical. Earlier this month, the Pentagon’s top spokesman dismissed debate about military involvement in the election as “unserious thought.”

But the answers come as the candidates in the 2020 president election themselves stoke questions about military involvement.

President TrumpDonald John TrumpKanye West sues to get on Wisconsin ballot after being rejected Mary Trump reveals recordings of Trump’s sister swiping at Ivanka, Eric Leonard Cohen lawyer considers legal action after RNC uses song after Trump acceptance speech MORE has raised the prospect that he won’t accept the results in November, claiming that mail-in voting could lead to widespread voter fraud despite no supporting evidence.

“I have to see,” Trump told Fox News’s Chris WallaceChristopher (Chris) WallaceOvernight Defense: House chair announces contempt proceeding against Pompeo | Top general says military has no role in election disputes | Appeal court rejects due process rights for Gitmo detainees Top general: Military will play no role in resolving any electoral dispute Chris Wallace: Trump acceptance speech ‘surprisingly flat’ MORE last month when asked if he would accept the Election Day results. “No, I’m not just going to say yes, I’m not going to say no, and I didn’t last time either.”

Democratic presidential nominee Joe BidenJoe BidenKanye West sues to get on Wisconsin ballot after being rejected Trump: I want to see first woman president, but not Harris Trump decries DC protesters as ‘thugs’ MORE said in June that he’s “absolutely convinced” the military would step in if Trump rejected the results.

“I promise, I am absolutely convinced they will escort him from the White House with great dispatch,” Biden said on “The Daily Show with Trevor NoahTrevor NoahOvernight Defense: House chair announces contempt proceeding against Pompeo | Top general says military has no role in election disputes | Appeal court rejects due process rights for Gitmo detainees Top general: Military will play no role in resolving any electoral dispute ‘The Daily Show’ taunts Trump with full-page ad directed at ‘soon-to-be ex-president’ MORE.”

Milley’s comments also come after Trump has turned to or threatened to turn to the military for domestic issues.

The July House Armed Services Committee hearing was about military involvement in civilian law enforcement after Trump threatened to deploy the military to quell widespread protests against racial injustice and police violence.

During the protests in June, Milley came under some criticism for accompanying Trump on a photo-op to a church across from the White House. Milley was wearing battle fatigues, and the photo-op came after federal law enforcement forcibly cleared the area of protesters.

Milley later apologized for being part of the photo-op, saying that “we must hold dear the principle of an apolitical military that is so deeply rooted in the very essence of our republic.”

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Liberty University official to launch primary challenge to GOP's Riggleman

An athletics official at Liberty University is expected to launch a GOP primary challenge to freshman Rep. Denver RigglemanDenver RigglemanGOP rep calls on primary opponent to condemn campaign surrogate’s racist video House GOP to launch China probes beyond COVID-19 House defeats effort to prevent stimulus checks for undocumented immigrants MORE in the coming days after the Virginia Republican recently faced pushback from a handful of county officials in his district.

Bob Good, who currently sits in the Campbell County Board of Supervisors and serves as the senior associate athletics director and chief fundraiser for athletics at Liberty University, told The Hill he plans to have a formal announcement in the near future. 

“Denver Riggleman has betrayed the trust of the conservative Republican base that comprises the bulk of the 5th District with his votes against the border wall in favor of increased immigration, frankly, ignoring President TrumpDonald John TrumpSenate advances public lands bill in late-night vote Warren, Democrats urge Trump to back down from veto threat over changing Confederate-named bases Esper orders ‘After Action Review’ of National Guard’s role in protests MORE’s policy on American jobs for American workers, and even restricting the ability of ICE to do their jobs, just to name a few,” he told The Hill in an interview.

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“And it’s my contention and many others that he has so severely damaged himself within the party that he’s made himself unelectable in a general race next November. So I can confirm and will confirm that I responded to the call from the party to give our voters a concerted choice as their nominee and I do plan to formally announce my candidacy soon.”

The expected challenge comes shortly after the Rappahannock County Republican Party in Virginia censured Riggleman, accusing the freshman GOP congressman of “abandoning party principles” on fiscal spending, foreign policy and immigration.

However, Riggleman’s camp has argued the censure is intended “to punish” the congressman after he officiated a same-sex wedding in July.

“This censure in Rappahannock is part of an ongoing effort to punish Denver Riggleman for his recent officiation of a same-sex wedding. Denver Riggleman has an excellent conservative voting record that has brought jobs back to the 5th district,” Riggleman spokesman Joe Chelak told The Hill in a statement earlier this month after the censure. 

“Denver Riggleman will continue to fight to make the Republican party a big tent party.”

Critics of Riggleman have denied that the same-sex wedding is the reason behind the censure, arguing he has stood consistently with GOP leadership instead of voting in the best interest of his district and alleging he “ignored everyone’s emails and phone calls all from Republican voters who had supported him.”

“Congressman Riggleman and his hired hands want to portray all criticism of his votes in Congress as being cover for bigotry and homophobia. This is not only untrue, it’s a despicable unprecedented slander at his own constituents,” one Good supporter who declined to be named told The Hill.

The district was previously represented by former Rep. Tom GarrettThomas (Tom) Alexander GarrettGOP rep calls on primary opponent to condemn campaign surrogate’s racist video Liberty University official to launch primary challenge to GOP’s Riggleman Female Dems see double standard in Klobuchar accusations MORE (R-Va.), a member of the conservative House Freedom Caucus, a group Good has vowed to join in elected. 

Riggleman, meanwhile, has received key endorsements on the right, including from Liberty University President Jerry Falwell Jr.

Falwell recently called on Republicans in Virginia’s 5th District to “unite and become a big tent party.”

“It is my understanding that certain leaders of the Republican Party in the 5th district are attempting to exclude you and others because of social issues. I was told they are assuming that because you officiated a gay marriage recently, that you are not socially conservative,” Falwell wrote in his letter endorsing Riggleman on Sept. 4.

“I believe that excluding other conservatives over issues that have already been decided by the U.S. Supreme Court does nothing but help liberals gain more power.”

Good said he expects top GOP figures in the area to come out in support of his candidacy as the race heats up, though he declined to offer any names yet.

“I will just say that my candidacy or my potential — which will soon we realized — candidacy has been greatly received, I’ve been tremendously encouraged by Republican leadership throughout the district, and from state officeholders, as well as local officeholders, as well as party leaders throughout the district, so I think we all have a tremendous base of conservative Republican support heading into the primary season,” he said.

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