Five takeaways from the budget marathon

The Senate after a marathon, overnight session known as the vote-a-rama adopted a slew of amendments to a budget resolution that will pave the way for President Biden’s $1.9 trillion COVID-19 relief package.

The budget resolution, which passed the Senate at 5:30 a.m. and was approved by the House in the early afternoon Friday, is the first step in the reconciliation process that Democrats are using to sidestep a GOP filibuster.

Many of the amendments were ultimately nothing more than acts of messaging, setting up nonbinding “deficit-neutral reserve funds” for a slew of pet causes. Three of the amendments that were approved, pertaining to fracking, the Keystone XL Pipeline, and undocumented immigrants were ultimately stripped out just before final passage to avoid creating problems in the House.

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The all-night vote-fest, however, gave some insight into how the process might play out over the coming weeks as President Biden again on Friday signaled his willingness to move forward with or without GOP support.

Here are the five takeaways.

$1,400 direct payments are here to stay, but there could be restrictions

Biden is insisting the bill include $1,400 checks, but the Senate made crystal clear that the checks could be more targeted to those in need.

In a 99-1 vote, the Senate adopted an amendment from Sens. Joe ManchinJoseph (Joe) ManchinThe Memo: Bad jobs report boosts Biden stimulus case Biden expects minimum wage increase will be dropped from final relief bill OVERNIGHT ENERGY: DOJ to let companies pay for environmental projects again to reduce fines | House Democrats reintroduce green energy tax package MORE (D-W.Va.) and Susan CollinsSusan Margaret CollinsThe Memo: Bad jobs report boosts Biden stimulus case Five takeaways from the budget marathon Don’t let this unifying moment go to waste MORE (R-Maine) to ensure payments don’t go to high-income earners. Sen. Rand PaulRandal (Rand) Howard PaulFive takeaways from the budget marathon Republican 2024 hopefuls draw early battle lines for post-Trump era Senate Democrats approve budget resolution, teeing up coronavirus bill MORE (R-Ky.), who more broadly opposes the checks, was the only “no” vote.

The vote showed strong bipartisan support for the idea of restricting checks, something Biden has also signaled support for.

But if the aim is to reduce the package’s price, senators may be in for a disappointment.

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Further restricting eligibility for the checks could reduce the overall cost of the $1.9 trillion bill, but not by that much, according to Marc Goldwein, head of policy at the nonpartisan Committee for a Responsible Federal Budget.

A new round of $1,400 checks designed as in the last round to slowly phase out for individuals earning more than $75,000 annually and couples earning more than $150,000 would cost as much as $455 billion, he said. If the phase out started at $50,000 and decreased more quickly, he said it would make a minor dent.

“It’ll be hard to get it much below $400 billion,” he said. “You’d need a pretty dramatic phaseout to get much below that.”

Raising the minimum wage is in trouble

Progressives hoped to use the package to raise the federal minimum wage over time to $15 per hour, but that effort looks to be in trouble.

When Sen. Joni ErnstJoni Kay ErnstFive takeaways from the budget marathon Sanders defuses late-night fight over minimum wage Senate panel advances Vilsack nomination to head Agriculture Dept. MORE (R-Iowa) presented an amendment to prevent the wage hike from happening during the pandemic, there was a surprise: it passed without a big hiccup.

Sen. Bernie SandersBernie SandersThe Memo: Bad jobs report boosts Biden stimulus case Biden expects minimum wage increase will be dropped from final relief bill Five takeaways from the budget marathon MORE (I-Vt.), the wage hike’s most prominent backer, ultimately didn’t object to the matter, noting that his plan wouldn’t raise the minimum wage to $15 until well after the pandemic.

“Nobody is talking about doubling the federal minimum wage during the pandemic. we’re talking about gradually phasing it in over a five-year period,” he said.

He even urged a voice vote to move things along expeditiously.

The Ernst resolution isn’t binding, but is emblematic of larger problems Democrats face with passing the policy.

Budget experts say that the minimum wage policy likely runs afoul of the strict rules surrounding what can pass in budget reconciliation, known as the Byrd Rule.

Even if it does overcome that hurdle, Democrats cannot suffer a single defection in their 50-vote majority, which relies on Vice President Harris to break ties in their favor. Manchin has already come out against the $15 minimum, saying he thinks an $11 level is more appropriate for his state. 

Other centrists may agree, but have remained more tight-lipped. In that light, Sanders’s request to advance the amendment by voice vote could be seen as an attempt to prevent key Democrats from having to go on the record about the minimum wage early on in the process.

The US embassy in Jerusalem isn’t going anywhere

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Former President TrumpDonald TrumpChamber of Commerce CEO to leave: reports Fox News Media cancels Lou Dobbs’s show GOP lawmakers call for Pelosi to be fined over new screenings MORE took significant heat from liberals arguing that it would delay peace talks with the Palestinians when he moved the Israeli embassy from Tel Aviv to Jerusalem.

Nearly four years later, the move seems set in stone. Even those who say the decision was a mistake say that there is little point in moving the embassy back.

A resolution from Sen. James InhofeJames (Jim) Mountain InhofeFive takeaways from the budget marathon Senate GOP signals it’s likely to acquit Trump for second time Overnight Defense: Austin takes helm at Pentagon | COVID-19 briefing part of Day 1 agenda | Outrage over images of National Guard troops in parking garage MORE (R-Okla.) to maintain the embassy in Jerusalem passed with overwhelming bipartisan support.

Only three senators — Sanders, Sen. Elizabeth WarrenElizabeth WarrenFive takeaways from the budget marathon On The Money: White House reviewing if Biden can cancel student loan debt | Senate signals broad support for more targeted relief checks | Romney proposes monthly payments for families with children West Virginia newspaper sues Facebook, Google for manipulating digital-advertising market MORE (D-Mass.) and Sen. Tom CarperThomas (Tom) Richard CarperFive takeaways from the budget marathon Senate names first Black secretary of the Senate The Hill’s 12:30 Report – Presented by Facebook – White House targets climate change in today’s executive orders MORE (D-Del.) — voted against it. 

There’s support for preventing stimulus money from going to undocumented immigrants

Republicans were able to get considerable support from Democrats on an amendment to keep stimulus money from undocumented immigrants.

Eight centrist Democrats joined them in a resolution seeking to block financial assistance such as stimulus checks from being paid out to undocumented immigrants.

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The resolution was very clearly aimed at tying Democrats to an unpopular policy that could be used in political ads, as the first two rounds of stimulus checks already excluded undocumented immigrants. A more nuanced question arose in the latest round of $600 checks sent in December, regarding the fate of checks for citizens who are married to undocumented immigrants. 

While the first round excluded them, the December round ensured that citizens in “mixed marriages” would still get their stimulus checks, as would their children.

Even though the amendment passed 58-42, it didn’t make it into the final budget resolution. Senate Majority Leader Charles SchumerChuck SchumerOver 60 progressive groups urge Schumer to nix filibuster Booker reintroduces bill to give all newborns ,000 savings accounts Sanders, Ocasio-Cortez, Blumenauer aim to require Biden to declare climate emergency  MORE (D-N.Y.) stripped it out, along with two environmental amendments, in a final amendment before the resolution’s passage in the early hours of the morning, ensuring it a smooth ride through the House later in the day.

The final bill is likely to look a lot like Biden’s $1.9 trillion proposal

Despite a long night of controversial and difficult votes, the vote-a-rama proved that Democrats were by and large willing to stick by the main proposals in Biden’s $1.9 trillion COVID-19 relief bill.

Biden has been adamant that he would engage Republicans, but move swiftly with or without them. Looming large in Biden’s mind is the 2009 stimulus bill which economists say did not rise to the moment, and resulted in a slow, difficult recovery from the Great Recession.

Another dour jobs report released Friday seemed to only strengthen Biden’s hand for decisive action, even as a former economic adviser to President Obama, Larry Summers, made waves with an opinion piece warning of risks with going big.

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“One thing we learned is, you know, we can’t do too much here; we can do too little.  We can do too little and sputter,” Biden said Friday.

The Senate vote-a-rama featured only a handful of adjustments that centrist Republicans have cited in their own $618 billion counter-offer to Biden. 

For example, the Senate overwhelmingly agreed to an amendment from Collins to up funding for medical provider relief funds, with a special emphasis on rural hospitals, an issue she raised in a recent letter to Biden about the bill.

But that, alongside the measure on targeting stimulus checks, will not amount to very much in a $1.9 trillion bill, according to Goldwein.

The bill, he said, includes major Democratic priorities that are ultimately unrelated to COVID-19, such as expanding child tax credits, the Earned Income Tax Credit, cybersecurity to combat Russian hacks, and paid family leave beyond the scope of the pandemic. 

The $350 billion going toward state and local funds also overshoots estimates of need, especially given additional funds set aside to pay for transport, an issue often addressed at the local level.

“The aid to state and localities is way, way more than you need,” he said.

If all that were separated out and other measures whittled down, Goldwein estimates that Democrats and Republicans could still come out with a $1.3 trillion bill that is closer to Biden’s proposal than the GOP counter-offer.

But Biden has little incentive to drop major Democratic priorities that could shape the success of his administration, a point his Senate backers reaffirmed in the Thursday night voting marathon.

 

Yellen: Biden stimulus plan fastest way to bring economy back to pre-pandemic levels

Treasury Secretary Janet YellenJanet Louise YellenSunday shows preview: Budget resolution clears path for .9 trillion stimulus; Senate gears up for impeachment trial More than 200 Obama officials sign letter supporting Biden’s stimulus plan Biden economic adviser calls Summers ‘flat-out wrong’ with inflation remarks MORE said Sunday that she supports President Biden’s plan for a large stimulus package, currently proposed at $1.9 trillion, calling it the best way to get the U.S. economy back to pre-pandemic levels.

Speaking on CNN’s “State of the Union,” Yellen explained that while the president was committed to working with “all members of Congress,” the administration was more interested in passing a plan that addressed all of the needs brought forth by COVID-19.

“There’s absolutely no reason we should suffer through a slow recovery,” Yellen said Sunday, adding: “I would expect if this package is passed, that we would get back to full employment next year.”

When asked whether Biden would support a plan passed with zero Republican votes, as well as concerns from moderate Democrats that the cutoff for direct relief payments in the plan is too high, Yellen appeared to side with progressives who have warned that Biden should worry about going too small, rather than too big, with the proposal.

“We need a big package, and we need to get this done quickly,” Yellen said. On the GOP’s proposal for a smaller package, secretary said: “He wants to make sure all the needs of the American people are addressed.”

“[I] know the details need to be worked out, and the president is willing to work with Congress,” Yellen continued, while adding of the calls from some Democrats to lower the cutoff for direct payments to $50,000 for individuals: “Middle class families need help too.”

Yellen’s comments come amid a resurgent effort from progressives in both the House and Senate to urge the administration against heeding calls from centrists such as Sen. Joe ManchinJoseph (Joe) ManchinSanders criticizes Democrats willing to pare down eligibility for stimulus checks The Memo: Bad jobs report boosts Biden stimulus case Biden expects minimum wage increase will be dropped from final relief bill MORE (D-W.V.) to lower the cutoffs for direct payments in the stimulus package.

Democrats appear to be ready to pass the package with little or no Republican support after a proposal offered by GOP senators last week for a new stimulus package was rejected during a meeting with the president as too small.

Consulting giant McKinsey paying $573M to settle opioid case: reports

The consulting giant McKinsey & Company will pay $573 million to settle a case from 47 states, Washington, D.C. and five territories over its role advising opioid manufacturers, according to multiple reports. 

Unidentified sources told The New York Times and The Wall Street Journal that the settlement will be filed in state courts on Thursday in every state but Nevada, Washington and West Virginia, which weren’t involved in the agreement. 

McKinsey will be required to pay $478 million within 60 days for its recommendations to manufacturers, including Purdue Pharma, on how to boost opioid sales during the epidemic, according to documents revealed in lawsuits. That money will be distributed to opioid treatment, prevention and recovery programs.

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The court documents, ranging from 2004 to 2019, when it stopped advising on opioids, showed that McKinsey advised Purdue to prioritize selling its OxyContin painkiller, even after the manufacturer pleaded guilty to misleading doctors and regulators about the risks involved in 2007. McKinsey also reportedly instructed Purdue to “band together” with other drug manufacturers to combat the Food and Drug Administration’s regulations. 

In the settlement, McKinsey will not admit to misconduct and instead implement restrictions ordered by the court on its consulting involving some addictive narcotics, the Times noted. 

Other restrictions reportedly mandate the consulting firm keep five years of emails, reveal potential conflicts of interest when going for government contracts and make tens of thousands of pages of documents on its opioid recommendations available in a database. 

McKinsey did not immediately return The Hill’s request for comment. 

The Journal reported last week that the consulting firm was getting close to a settlement with state attorneys general that could total hundreds of millions of dollars. 

The cost of the settlement will be higher than what McKinsey made for its opioid-related work with Purdue and other companies, one of the sources told the Times.

Biden on immigration orders: 'I'm eliminating bad policy'

President Biden on Tuesday defended his early reliance on executive actions as he signed three more orders focused on immigration.

“There’s a lot of talk, with good reason, about the number of executive orders I’ve signed. I’m not making new law. I’m eliminating bad policy,” Biden told reporters in the Oval Office.

“What I’m doing is taking on the issues that, 99 percent of them, that the last president of the United States issued executive orders I thought were counterproductive to our national security, counterproductive to who we are as a country,” he added. “Particularly in the area of immigration.”

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Biden signed off on three orders on immigration. One established a task force focused on the reunification of migrant families separated at the southern border under the Trump administration’s “zero tolerance” policy.

The task force will be led by Homeland Security Secretary Alejandro MayorkasAlejandro MayorkasUS payroll agency targeted by Chinese hackers: report Biden on immigration orders: ‘I’m eliminating bad policy’ Hillicon Valley: Bezos stepping down as Amazon CEO | Officials applaud confirmation of Mayorkas as DHS secretary | Uber to purchase alcohol delivery service Drizly MORE, who was confirmed by the Senate earlier Tuesday. The order also revokes a measure signed by former President TrumpDonald TrumpGeorgia secretary of state opens investigation into Lin Wood over illegal voting allegations Schiff lobbying Newsom to be appointed California AG: reports Capitol Police Officer Brian Sicknick lies in honor in Rotunda MORE that halted certain separations and called on Congress to address the matter.

“We’re going to work to undo the moral and national shame of the previous administration that literally, not figuratively, ripped children from the arms of their families, their mothers and fathers, at the border,” Biden said. “And with no plan, none whatsoever, to reunify the children who are still in custody and their parents.”

Another order directs agencies to undertake their own sweeping review of asylum policy in the U.S.

The orders nix a number of Trump immigration executive orders while directing the Department of Homeland Security to review policies that require immigrants to wait in Mexico while filing asylum claims and limit the opportunity to apply for asylum to those who passed through other countries in trying to reach the U.S. 

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It also outlines two prongs for dealing with migration patterns: a “root causes” strategy that primarily focuses on aid to El Salvador, Honduras and Guatemala and a “collaboration strategy” to expand pathways for those fleeing those countries to access resources in neighboring ones.

But it also opens more opportunities for people leaving those countries to join family members in the U.S. and suggests the Biden administration will expand the criteria for allowing people to apply for asylum in the U.S.

It requires evaluating “whether the United States provides protection for those fleeing domestic or gang violence” — a nod to those who have been denied asylum because they don’t fit into current protections for those fleeing racial, religious or political persecution.

A final order directs a review of Trump’s public charge rule, which limited immigration opportunities for those who might need to rely on assistance such as food stamps or other social programs.

The White House earlier in the day acknowledged the potential complications of reforming the immigration system at a time when migrants could seek to flee to the United States in search of safety and economic stability.

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“We want to put in place an immigration process here that can — that is humane, that is moral, that considers applications for refugees, applications for people to come to — into this country, at the border, in a way that treats people as human beings,” press secretary Jen PsakiJen PsakiWhite House says Space Force work will continue Biden on immigration orders: ‘I’m eliminating bad policy’ Biden offers condolences to families of FBI agents killed in Florida MORE said.  “That’s going to take some time. It’s not going to happen overnight.”

Biden’s orders drew rebukes from conservative groups, which raised concerns about implementing changes to the immigration process in the middle of a pandemic and economic slowdown.

“As part of his ‘America Last’ immigration agenda, President Biden is gearing up to reverse existing policies that protect American taxpayers – and doing so at a time when a raging pandemic is forcing many Americans to rely on social safety nets that can barely keep up with the demands being placed on them,” Dan Stein, head of the Federation for American Reform, said in a statement.

Tuesday's ECW On Sci-Fi Rating Improves, WWE Unforgiven DVD, More

Source: PWInsider.com

– This past Tuesday’s edition of ECW on Sci-Fi did a 1.6 cable rating. That number is up from last week’s 1.5 and is a pretty clear indication that the SmackDown talent crossover has helped the show’s number. The rating is up 25% from the 1.2s that it was doing just a few weeks ago.

– The 2007 WWE Unforgiven DVD debuted at number one on the latest Billboard Recreational Sports DVD sales list. Below is the full chart:

1. WWE: Unforgiven 2007
2. WWE: SummerSlam 2007
3. 2001 FedEx Orange Bowl National Championship
4. UFC 70: Nations Collide
5. Ultimate Fighter: Season 1
6. WWE: Wrestlemania 23
7. TNA: Hard Justice 2007
8. WWE: The Ladder Match
9. Pride Fighting Championships: Pride Fighting Legacy: Volume 5
10. UFC 69: Shootout

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