The U.S. military’s top officer on Wednesday spoke to his Ukrainian and Russian counterparts to discuss “concerns” over a buildup of Russian forces and aggression in eastern Ukraine, the Pentagon confirmed.

Joint Chiefs of Staff Chairman Gen. Mark MilleyMark MilleyOVERNIGHT DEFENSE: Pentagon unveils policies reversing Trump’s transgender ban l Top US military officer calls Russia, Ukraine over ‘concerns’ about troop buildup Top US military officer calls Russia, Ukraine over ‘concerns’ about troop buildup Overnight Defense: Report urges sweeping changes to Capitol security | Biden touts female general nominees on International Women’s Day | US stands by Saudis after ‘heinous’ Houthi attacks MORE spoke by phone with Ukraine Chief of General Staff Lt. Gen. Ruslan Khomchak about the security environment in Eastern Europe, Defense Department spokesman John Kirby told reporters.

Milley also spoke by phone with Russia’s top officer, Chief of the General Staff Gen. Valery Gerasimov, and the two “exchanged their views on issues of mutual concern,” Kirby said.

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The Pentagon is “concerned about recent escalations of Russian aggression in eastern Ukraine,” including Friday’s violation of a cease-fire between the two countries — agreed upon in July 2020 — that led to the deaths of four Ukrainian soldiers.

The U.S. is also aware of Ukrainian military reports regarding Moscow’s troop movements on the border between the two countries.

Kirby said the Biden administration has reached out to Russia “to try to gain a little bit more clarity on what exactly is going on” and is also “discussing our concerns about this” with NATO allies.

“I suspect that the outreach by the chairman today … certainly covered this issue and those concerns,” Kirby added, referring further questions to Milley’s office.

Moscow in 2014 seized and annexed Crimea from Ukraine in a conflict that Kyiv asserts has killed 14,000 people.

The tensions seem to have recently amplified, with unverified videos posted online this week showing a large amount of Russian hardware moving into Crimea. 

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Also this week, Khomchak told his country’s parliament that Russian forces had been gathering near the border.

In response, U.S. European Command reportedly raised its watch condition status, and Biden administration officials have reached out to European countries to get a better sense of the situation.

National security adviser Jake SullivanJake SullivanOVERNIGHT DEFENSE: Pentagon unveils policies reversing Trump’s transgender ban l Top US military officer calls Russia, Ukraine over ‘concerns’ about troop buildup Top US military officer calls Russia, Ukraine over ‘concerns’ about troop buildup Overnight Defense: Congress looks to rein in Biden’s war powers | Diversity chief at Special Operations Command reassigned during probe into social media posts MORE on Monday spoke with his Ukrainian counterpart, Head of the Presidential Office Andriy Yermak.

“Mr. Sullivan affirmed the United States’s unwavering support for Ukraine’s sovereignty, territorial integrity and Euro-Atlantic aspirations in the face of continued Russian aggression,” Kirby said.

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The New York attorney general has launched a probe into the personal financial records of the Trump Organization’s chief financial officer.

State Attorney General Letitia James (D), who is leading an investigation into the Trump Organization, has begun looking into the finances of Allen WeisselbergAllen Howard WeisselbergNY prosecutors subpoena bank records of top Trump Org insider Former daughter-in-law of Trump Org CFO spoke ‘multiple times’ with Manhattan DA office over financial probe Prosecutors focus Trump Organization probe on company’s financial officer: report MORE, who has handled former President TrumpDonald TrumpThe Hill’s Morning Report – Biden may find zero GOP support for jobs plan Republicans don’t think Biden really wants to work with them The biggest campaign issue of 2022? MORE‘s financial records for decades, according to The Washington Post.

The move indicates that legal pressure has increased for the former president and his aides.

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New York state prosecutors in Manhattan on Wednesday also subpoenaed the personal bank records of the Trump Organization’s chief financial officer in its separate investigation into former President Trump and his company.

Though James has not alleged that Trump or anyone connected to him has engaged in wrongdoing, prosecutors routinely seek out evidence of misconduct of subordinates in an effort to get them to turn on their bosses and reveal damaging information, the Post noted.

Jennifer Weisselberg, the CFO’s former daughter-in-law, told the news outlet on Thursday that investigators retrieved seven boxes of financial information from her in November.

She also detailed that the records included bank accounts that her former husband Barry, who is Weisselberg’s son, shared with his father and that the investigators asked for records concerning Trump Organization-controlled apartments where she and Barry Weisselberg previously lived rent-free.

“The attorney general is really focused on compensation,” Jennifer Weisselberg told the Post, noting that the investigations wanted to know if taxes had been paid on the free rental.

 

 

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Future shipments of the Johnson & Johnson COVID-19 vaccine have been halted while the Food and Drug Administration investigates after human error at a manufacturing plant ruined 15 million doses, The New York Times reported Wednesday.

The plant in Baltimore is run by Emergent Biosolutions, and workers mixed up the ingredients in the vaccine, the Times reported.

The error does not affect doses of the Johnson & Johnson vaccine that have already been distributed, as they were made in the Netherlands, but it impacts future shipments of the vaccine, according to the Times.

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The Johnson & Johnson vaccine is one of three being used in the United States.

The Pfizer and Moderna vaccines were already the bulk of the U.S. supply, and those are proceeding as planned. But the error could limit the ability of Johnson & Johnson to add considerably to the U.S. supply in the coming weeks.

The Johnson & Johnson vaccine is the only one of the three that requires just one shot to be effective. The others require two shots spaced apart.

In response to the Times report, Johnson & Johnson acknowledged in a statement that the “quality control process identified one batch of drug substance that did not meet quality standards at Emergent Biosolutions,” noting that the doses never advanced to the packaging stage.

“The issue was identified and addressed with Emergent and shared with the United States Food & Drug Administration [FDA],” the company added.

The company said it is sending additional experts to the facility to oversee manufacturing.

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“In coordination with the U.S. Department of Health & Human Services, these steps will enable us to safely deliver an additional 24 million single-shot vaccine doses through April,” Johnson & Johnson said.

An FDA spokesperson said, “FDA is aware of the situation, but we are unable to comment further. Questions about a firm’s manufacturing facilities should be directed to that firm.”

Johnson & Johnson said it still has a goal of delivering 100 million doses to the U.S. by the end of June. 

A longtime San Diego business and real estate figure on Wednesday was sentenced to 15 years in prison for a massive scheme that defrauded investors out of nearly $400 million. 

Gina Champion-Cain previously admitted to obtaining more than $350 million from investors as part of a fake liquor-license loan funding program, according to a press release from the U.S. Attorney’s Office for the Southern District of California. 

Prosecutors in the case argued that Champion-Cain along with co-conspirators instead used funds from investors to “support her other businesses and her lifestyle.” 

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Court records indicated that the woman was able to maintain the scheme and hide it from investors by forging documents and signatures, and “telling investors lies through fake email accounts so that when investors attempted to double-check on their investments with third parties, they were often really communicating with the defendant or her employees,” according to Wednesday’s press release. 

Upon learning that she was being investigated by federal agencies in 2019, Champion-Cain reportedly instructed her employees to destroy communications and alter accounting records in an attempt to hide the scheme, though the attorney’s office noted Wednesday that investigators “were able to recover a significant volume of the evidence Champion-Cain attempted to destroy.” 

Assistant U.S. Attorney Andrew Galvin outside the downtown San Diego courthouse on Wednesday said that the scheme impacted nearly 500 victims, according to NBC affiliate WTVJ. 

Champion-Cain in July of last year pleaded guilty to charges of securities fraud, obstruction of justice and conspiracy, according to the attorney’s office. 

Wednesday’s press release noted that when issuing the 15-year sentence, U.S. District Judge Larry Alan Burns told Champion-Cain that she demonstrated “tremendous callousness” and “extreme avarice” in committing a “monumental crime.”

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Acting U.S. Attorney Randy Grossman said in a statement following the sentencing that the judge’s decision “is a fitting sentence for a defendant who caused significant harm to hundreds of victims.” 

“This Ponzi scheme cost investors hundreds of millions of dollars while the defendant lived in luxury,” he added. “We will continue our aggressive efforts to prosecute those who swindle, deceive and bring financial devastation to victims.”

Prosecutors after the sentencing said the case may not yet be over, as Champion-Cain as part of her plea agreement “has expressed a desire to provide substantial assistance to the government in the investigation and prosecution of others.” 

“If she gives us information that helps lead to the indictment or charges against others, that may be grounds for us to come back and make a motion to the judge such that he brings Ms. Champion-Cain in and gives her credit for that, such that her sentence is marginally reduced,” Assistant United States Attorney Aaron Arnzen told reporters after the hearing.

Happy Wednesday and welcome to Overnight Defense. I’m Ellen Mitchell, and here’s your nightly guide to the latest developments at the Pentagon, on Capitol Hill and beyond. CLICK HERE to subscribe to the newsletter.

 

THE TOPLINE: The Pentagon on Wednesday unveiled rules reversing Trump administration policies that largely barred transgender individuals from serving in the military, following through on an executive order President Biden signed shortly after taking office.

The new Defense Department policies, released on the International Transgender Day of Visibility, will allow transgender people who meet military standards to enlist and serve as their preferred gender. The regulations will also give wider access to health care and assistance with gender transition and aim to prevent discrimination against transgender military members, Pentagon press secretary John Kirby told reporters.

“Secretary of Defense [Lloyd Austin] strongly believes that the all-volunteer force thrives when it is composed of diverse Americans who can meet the high standards for military service, and an inclusive force that strengthens our national security posture,” Kirby said.

Earlier: The new rules, which will be effective in 30 days, follow a two-month review at the Pentagon in the wake of Biden’s order, which “sets the policy that all Americans who are qualified to serve in the Armed Forces of the United States should be able to serve.” 

The order revoked President Trump’s 2017 and 2018 orders banning transgender military service and immediately stopped the military from forcing out any service member on the basis of gender identity.

The rules before: Prior to the Trump-era ban, transgender troops were covered by a 2016 Obama administration policy that allowed them to serve openly.

But in 2017, Trump blindsided Department of Defense (DOD) leadership when he tweeted he would reverse the open service policy and would “not accept or allow transgender individuals to serve in any capacity in the U.S. Military.”

The move results in multiple lawsuits, but in 2019, after the Supreme Court paved the way for the policy to take effect, the Pentagon issued rules that barred most transgender people from serving unless they did so according to their biological sex.

New regulations: The new policies announced Wednesday are similar to those developed under Obama in 2016, according to the Pentagon.

About 2,200 service members have been medically diagnosed with gender dysphoria, but as many as 8,000 service members may self-identify as transgender.

DOD does not anticipate the changing policies will add much cost to the military’s annual health care budget — only several million dollars on top of the roughly $50 billion it spends annually. 

Lawmaker response: Following the announcement, House Armed Services Chairman Adam SmithDavid (Adam) Adam SmithOVERNIGHT DEFENSE: Pentagon unveils policies reversing Trump’s transgender ban l Top US military officer calls Russia, Ukraine over ‘concerns’ about troop buildup Trump Afghan pullout deal unachievable, says ex-Pentagon leader Biden’s prediction on Afghanistan withdrawal spurs doubts MORE (D-Wash.) in a statement commended Biden for “seeing our transgender troops for who they are, demanding they receive equal treatment under the law, and for appreciating the many contributions they make to our national security.”

 

MILLEY CALLS UKRAINIAN, RUSSIAN COUNTERPARTS

The U.S. military’s top officer on Wednesday spoke to his Ukrainian and Russian counterparts to discuss “concerns” over a buildup of Russian forces and aggression in eastern Ukraine, the Pentagon confirmed.

Joint Chiefs of Staff Chairman Gen. Mark Milley spoke by phone with Ukraine Chief of General Staff Lt. Gen. Ruskin Khomchak about the security environment in Eastern Europe, Defense Department spokesman John Kirby told reporters.

Milley also spoke by phone with Russia’s top officer, Chief of the General Staff Gen. Valery Gerasimov, and the two “exchanged their views on issues of mutual concern,” Kirby said.

What prompted the calls: The Pentagon is “concerned about recent escalations of Russian aggression in eastern Ukraine,” including Friday’s violation of a July 2020 ceasefire between the two countries, which led to the deaths of four Ukrainian soldiers.

The U.S. is also aware of Ukrainian military reports regarding Moscow’s troop movements on the border between the two countries.

Kirby said the Biden administration has reached out to Russia “to try to gain a little bit more clarity on what exactly is going on” and is also “discussing our concerns about this” with NATO allies.

The background: Moscow in 2014 seized and annexed Crimea from Ukraine in a conflict that Kyiv asserts has killed 14,000 people.

The tensions seem to have recently amplified, with unverified videos posted online this week showing a large amount of Russian hardware moving into Crimea. 

Other outreach: National security adviser Jake Sullivan on Monday spoke with his Ukrainian counterpart, Head of the Presidential Office Andriy Yermak.

“Mr. Sullivan affirmed the United States’s unwavering support for Ukraine’s sovereignty, territorial integrity and Euro-Atlantic aspirations in the face of continued Russian aggression,” Kirby said.

 

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ON TAP FOR TOMORROW

The Institute for Defense and Government Advancement will hold a virtual Counter Unmanned Aerial Systems Summit, with Navy Rear Adm. John Fuller, deputy director for force protection, Joint Chiefs of Staff, beginning at 9:50 a.m.

 

ICYMI

• The Hill: Senators press for answers in Space Command move decision
• The Hill: Biden’s infrastructure plan includes $18B in VA hospital upgrades
• The Hill: Defense contractor Cubic Corp accepts proposal to go private
• The Hill: Microsoft wins bid to build augmented-reality headsets for US Army
• The Hill: DHS chief lays out actions to strengthen cybersecurity in wake of major hacks
• Defense News: Biden’s infrastructure plan includes billions to develop emerging tech the military needs
• USNI News: NORTHCOM: Russians stay in airspace ‘for hours’ during flight operations near Alaska
• The Associated Press: Cryptic military tweet was no code; it was toddler gibberish 

Officials at the Department of Homeland Security (DHS) on Tuesday said that the Biden administration is working on “close to a dozen” action items to be included in an upcoming executive order meant to strengthen federal cybersecurity in the wake of two major breaches. 

“We continue to work urgently to make the investments necessary, and the administration is working on close to a dozen actions for an upcoming executive order,” a senior DHS official told reporters during a phone call. 

The comments were made as the Biden administration continues to grapple with the fallout from both the SolarWinds hack, which U.S. intelligence officials have assessed was “likely” carried out by Russian operatives, and from the newly discovered vulnerabilities in Microsoft’s Exchange Server application that was initially exploited by a Chinese hacking group. 

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Anne Neuberger, President BidenJoe BidenThe Hill’s Morning Report – GOP pounces on Biden’s infrastructure plan Biden administration unveils network of community leaders to urge COVID-19 vaccinations Pompeo ‘regrets’ not making more progress with North Korea MORE’s deputy national security advisor for cyber and emerging technology, announced in February that at least nine federal agencies and 100 private sector companies had been compromised as part of the SolarWinds hack, first discovered in December. 

Neuberger also announced last month that an “executive action” was in the works as part of responding to the SolarWinds hack. Her comments were made prior to the discovery of the Microsoft vulnerabilities, which have hit thousands of organizations worldwide. 

The senior DHS official said Tuesday that most of the agencies compromised in the SolarWinds breach, which included Homeland Security, had “done their initial response and remediation, and have concluded that their networks are free of indicators of known compromise associated with this campaign.”

The Associated Press reported Monday that the SolarWinds hackers had been able to access the email accounts of former Acting Homeland Security Secretary Chad WolfChad WolfRussia suspected of massive State Department email hack: report GOP lawmakers ask Mayorkas for documents on warnings from DHS to Biden on immigration Officials say executive order with ‘a dozen’ actions forthcoming after SolarWinds, Microsoft breaches MORE and other top agency officials. 

The senior DHS officials told reporters Tuesday that “after remediation steps were taken, the adversary was removed from the network,” and noted that there was a “level of ambiguity” as to what the hackers were after. 

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The comments were made a day ahead of a planned major cybersecurity speech by Homeland Security Secretary Alejandro MayorkasAlejandro MayorkasHillicon Valley: DHS chief lays out actions to boost cybersecurity after major hacks | Facebook removes video of Trump citing suspension from platform | Battle rages over vaccine passports DHS chief lays out actions to strengthen cybersecurity in wake of major hacks GOP lawmakers ask Mayorkas for documents on warnings from DHS to Biden on immigration MORE, who has made cybersecurity a key priority since taking office. 

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Mayorkas last month announced millions of dollars in federal grants during a separate speech in an effort to address increasing cyber threats, in particular what he described as an “epidemic” of ransomware attacks. 

These attacks, which cyber criminals have used to go after vulnerable hospitals, schools and other critical organizations, will be “one of the first sprints” the agency will focus on in the cybersecurity space, the senior DHS official told reporters Tuesday. 

“As the recent campaigns have illustrated, there are clearly some hard truths that we need to confront as a government but also as a nation with respect to the cybersecurity challenges we face,” they stressed.

Environmental Protection Agency Administrator Michael ReganMichael ReganOVERNIGHT ENERGY: Biden proposes billions for electric vehicles, building retrofitting| EPA chief to replace Trump appointees on science advisory panels | Kerry to travel to UAE, India to discuss climate change EPA chief to replace Trump appointees on science advisory panels Four Great Lakes governors call on White House to aid in water infrastructure upgrades MORE announced Wednesday that the EPA will reconstitute two advisory panels that saw numerous members removed during the Trump administration, dismissing 40 Trump appointees in the process.

The EPA’s Science Advisory Board and Clean Air Scientific Advisory Committee (CASAC) will be reconfigured in a way that undoes what Regan characterized as undue political and industry influence under former agency chiefs Scott PruittEdward (Scott) Scott PruittOVERNIGHT ENERGY: Biden proposes billions for electric vehicles, building retrofitting| EPA chief to replace Trump appointees on science advisory panels | Kerry to travel to UAE, India to discuss climate change EPA chief to replace Trump appointees on science advisory panels OVERNIGHT ENERGY: EPA reinstates climate webpage taken down under Trump | Senate panel spars over financial regulators’ climate agenda | Environmental group, community activists petition EPA to block Georgia wood pellet plant MORE and Andrew WheelerAndrew WheelerOVERNIGHT ENERGY: Biden proposes billions for electric vehicles, building retrofitting| EPA chief to replace Trump appointees on science advisory panels | Kerry to travel to UAE, India to discuss climate change EPA chief to replace Trump appointees on science advisory panels EPA asks court to toss Trump rule that could prevent emissions limits on polluting industries MORE.

“Scientific integrity is one of EPA’s foundational values – and as Administrator, I am committed to ensuring that every decision we make meets rigorous scientific standards,” Regan said in a statement Wednesday.

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“Resetting these two scientific advisory committees will ensure the agency receives the best possible scientific insight to support our work to protect human health and the environment. Today we return to a time-tested, fair, and transparent process for soliciting membership to these critically important advisory bodies.”

Regan cited a number of Trump administration moves that he said the agency will undo. These include an October 2017 internal directive that barred the recipients of EPA research grants from concurrently serving on advisory panels.

He said the EPA also will roll back the previous elimination of “key air pollution review panels that have augmented the CASAC for decades.”

Wheeler disbanded the CASAC’s Particulate Matter Review Panel in October 2018. The following year, the scientists who served on the committee announced they would reconvene without government backing.

In a 2019 report, the Government Accountability Office concluded that the agency did not properly follow agency processes for selecting the “best qualified and most appropriate candidates” in appointing industry representatives and consultants to the Science Advisory Board. Recipients of industry funding were not subject to the same restrictions as recipients of EPA research grants.

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President BidenJoe BidenThe Hill’s Morning Report – GOP pounces on Biden’s infrastructure plan Biden administration unveils network of community leaders to urge COVID-19 vaccinations Pompeo ‘regrets’ not making more progress with North Korea MORE on Wednesday outlined what he called a “bold” $2 trillion plan to make aggressive investments in repairing U.S. infrastructure and addressing climate change with the goal of spurring job creation. 

The investments would be made over eight years, and Biden’s plan relies on a hike to the corporate tax rate to 28 percent that the White House says will pay for the new investments over 15 years. 

Here are five takeaways from the announcement.  

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The proposal is not bold enough for progressives

Biden’s proposal is being met with resistance from some members of the Democratic Party’s progressive wing who argue that it is not large enough, particularly to address climate change. 

Rep. Alexandria Ocasio Cortez (D-N.Y.) tweeted Tuesday that the package “needs to be way bigger,” as she noted that the $2.25 trillion plan would be spent over a much longer timetable than Biden’s rescue package. 

Meanwhile, a coalition of progressive organizations making up the Green New Deal Network are pressing Biden for bolder action to address climate change, such as the $10 trillion climate agenda backed by Sen. Ed MarkeyEd MarkeyBiden risks first major fight with progressives Five takeaways on Biden’s big infrastructure package Hillicon Valley: House lawmakers fired up for hearing with tech CEOs | Zuckerberg proposes conditional Section 230 reforms | Lawmakers reintroduce bill to secure internet-connected devices MORE (D-Mass.) and other members of the progressive caucus. The groups have organized grassroots events across the country to highlight the message that Biden must go bolder. 

Adam Green, co-founder of the Progressive Change Campaign Committee, described Biden’s plan as a good first step but said that more is needed to address climate change.   

“As an infrastructure plan, it’s a home run. As a climate policy, it’s a really significant step, and hopefully there are more steps to come,” Green said. 

A lack of Republican support means that Biden will need to keep Democrats in the House and Senate unified behind his plan in order to get it passed using budget reconciliation. That means keeping progressives happy while also addressing concerns from more moderate Democrats, including Sen. Joe ManchinJoe ManchinBiden risks first major fight with progressives Biden sets off Capitol Hill scramble on spending, taxes White House moves to reshape role of US capitalism MORE (W.Va.). 

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Biden found it relatively easy to keep Democrats in line to pass his $1.9 trillion coronavirus relief package earlier this year, especially after the Senate parliamentarian ruled that a hike in the federal minimum wage to $15 could not be part of the package. 

This could be a little tougher.

GOP unlikely to offer support 

Getting GOP support for a bill paid for through tax increases was always going to be difficult for the White House, and Republicans were quick to signal their opposition to raising the corporate tax rate.

“Our nation could use a serious, targeted infrastructure plan. There would be bipartisan support for a smart proposal. Unfortunately, the latest liberal wish-list the White House has decided to label ‘infrastructure’ is a major missed opportunity by this Administration,” Senate Minority Leader Mitch McConnellAddison (Mitch) Mitchell McConnellThe Hill’s Morning Report – GOP pounces on Biden’s infrastructure plan Biden sets off Capitol Hill scramble on spending, taxes Biden clashes with business groups over tax hike MORE (R-Ky.) said in a statement.

The Biden proposal calls for paying for the legislation over a 15-year period by raising the corporate tax rate from 21 percent to 28 percent. The proposal leaves out other ideas that had been batted around, such as a wealth tax or an increase in the capital gains tax for certain Americans.

The White House has been adamant that Biden’s proposal is a starting point and the administration will seek out members of Congress in both parties to decide how to best move forward, but it’s unclear how the president will be able to satisfy Republicans who are both opposed to tax increases and against adding to the deficit.

But Biden was unable to attract a single GOP vote for his $1.9 trillion COVID-19 relief package. 

Biden campaigned on uniting the country and his ability to reach across the aisle to find bipartisan solutions in a deeply polarized Washington, but he’s already finding it hard to make headway on a traditionally bipartisan issue such as infrastructure.

The plan goes well beyond roads and bridges 

Biden is proposing a $620 billion investment to repair America’s aging transportation infrastructure that the White House says will fix 20,000 miles of roads and 10,000 bridges — but the scope is much larger. 

The plan puts $174 million toward boosting the electric vehicle market, setting up incentives for state and local governments to build a national network of 500,000 electric vehicle chargers over the next decade. 

Biden is also proposing more than $100 billion in funding to ensure safe drinking water by eliminating all lead pipes and service lines. The plan aims to invest $100 billion in expanding broadband access to all Americans, particularly those in rural areas and other underserved communities. 

One prong of the package is designed to enhance the “care economy,” with Biden calling for $400 billion to expand access to home and community-based services for elderly people and those with disabilities.

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Biden’s plan is also formulated to address racial inequities, including by proposing a $10 billion investment in research and development at historically Black colleges and universities and other minority-serving institutions in the United States and $15 billion for establishing centers of excellence at these institutions to provide graduate fellowships and similar opportunities. 

Biden also satisfied gun safety advocates by including in his plan a proposed $5 billion for community violence prevention programs. 

Biden bets on big government

Some Democrats and historians have begun likening Biden’s legislative initiatives to those of former President Franklin Roosevelt, whose New Deal aimed to pull the country out of the Great Depression by implementing new government programs to address economic insecurity and drive private sector growth.

With a $1.9 trillion COVID-19 spending package under his belt, Biden is again aiming to reimagine how the government and economy interact with his $2.1 trillion infrastructure bill.

The proposal will touch on many different aspects of American life. In addition to making investments in traditional infrastructure projects such as roads, bridges and broadband, the bill would also direct government money toward electric vehicles, green energy projects, the health care sector, child benefits, elderly care and developing future technologies.

Biden reportedly referenced Roosevelt in a meeting with historians last week. The current president has a lot riding on the success of his programs in transforming the government and society in response to the COVID-19 crisis.

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Biden makes the case for the moment 

Biden made the case for passing his sweeping infrastructure plan during an address in western Pennsylvania, arguing that passing it was a test of whether democracies can work for their people. 

He spoke with urgency and suggested that America’s future depends on his plan to reshape the economy. 

“We have to move now. Because I am convinced that if we act now, in 50 years people are going to look back and say, this was the moment that America won the future,” Biden said in an afternoon address at Carpenters Pittsburgh Training Center. 

Biden made a point to focus on his blue-collar roots and talked about his support for union workers and the middle class, pointing to the need to build an economy that “rewards work, not just rewards wealth.” 

The rhetoric echoed Biden’s consistent message on the campaign trail to be a president for working Americans. 

“Wall Street didn’t build this country. You, the great middle class, built this country, and unions built the middle class. And it’s time we rebuild the middle class. We’re going to bring everybody along,” Biden said. 

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Sen. Rob PortmanRobert (Rob) Jones PortmanThe Hill’s Morning Report – GOP pounces on Biden’s infrastructure plan Biden risks first major fight with progressives Biden sets off Capitol Hill scramble on spending, taxes MORE (R-Ohio), a key Senate moderate, slammed President BidenJoe BidenThe Hill’s Morning Report – GOP pounces on Biden’s infrastructure plan Biden administration unveils network of community leaders to urge COVID-19 vaccinations Pompeo ‘regrets’ not making more progress with North Korea MORE‘s $2.25 trillion infrastructure plan on Wednesday, calling it the “wrong approach” because of its price tag and its taxes on businesses. 

“The total soars to $3 trillion with its inclusion of these broad policy priorities that are a far cry away from what we’ve ever defined as infrastructure,” Portman, one of 10 Republican senators who met with Biden at the White House in early February, said in a statement Wednesday afternoon. He cited the “hundreds of billions of dollars of spending on priorities like health care, workforce development, and research and development.”

Portman, who sits on the Finance Committee and serves as an adviser to the Senate Republican leadership team, also took a shot at Biden’s proposal to raise the corporate tax rate to 28 percent and end various business tax breaks to pay for the cost of the package over 15 years.

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“President Biden proposes steep new taxes on businesses which will hurt working families and last more than a decade. This is the wrong approach, and will only undermine our economy at a time when we are beginning to recover,” he said in his statement.

Portman’s statement is an early indication that if Biden’s infrastructure plans picks up any Republican support, it won’t be much.

The criticism from a key Republican moderate — one of the Democrats’ better hopes for bipartisanship — calls into question whether breaking up Biden’s ambitious infrastructure agenda into two pieces will indeed secure a major bipartisan accomplishment during his first year in office.

Portman on Wednesday asserted that only $620 billion of Biden’s proposed investment is in traditional transportation infrastructure.

He argues the president and Democrats would be better served using the surface transportation infrastructure bill that passed unanimously out of the Senate Environment and Public Works Committee as a template.

“I support improving America’s aging roads, bridges, ports, and other infrastructure. And we can do so in a bipartisan way. Last Congress, the Senate Environment and Public Works Committee approved bipartisan infrastructure legislation by a vote of 21-0,” he said. “This bipartisan approach last Congress totaled $287 billion, yet the Biden plan introduced today costs more than $2 trillion.

Portman joined every other Republican in the Senate and House in voting against Biden’s $1.9 trillion American Rescue Plan after the president and Democrats rejected a counterproposal he offered with other GOP moderates to spend $618 billion to address the ongoing COVID-19 pandemic. 

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Welcome to Wednesday’s Overnight Health Care. You’ve heard of the coronavirus vaccine for people. Russia now says it has one for dogs and cats

If you have any tips, email us at nweixel@thehill.com , psullivan@thehill.com and jcoleman@thehill.com follow us on Twitter at @NateWeixel, @PeterSullivan4, and @JustineColeman8 

Today: COVID-19 killed a staggering number of people, fueling a major spike in the US death rate. New documents show how a former Trump official pursued scattershot deals for medical supplies, and Pfizer reported good news about its COVID vaccine in adolescents.   

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We’ll start with sobering numbers:

An eye-popping stat: US death rate jumps by nearly 16 percent amid COVID-19 pandemic

The death rate in the United States jumped by 15.9 percent between 2019 and 2020, fueled by the COVID-19 pandemic, according to a study released by the Centers for Disease Control and Prevention (CDC) on Wednesday. 

The coronavirus was responsible for about 1 in 10 deaths in the country in 2020, and was the third-leading cause of death, behind heart disease and cancer. 

The breakdown: 

Heart disease: 690,000 deaths

Cancer: 598,000 deaths

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COVID-19: 345,000 deaths 

Overall, COVID-19 was the underlying cause of about 345,000 deaths last year and was a contributing cause for another roughly 32,000, which together is 11.3 percent of all deaths in the country last year, the CDC said. 

While new deaths from the virus have fallen significantly from their peaks in January, there are still about 1,000 people dying from COVID-19 every day. 

Read more here.

Not a good look: Shipments of Johnson & Johnson vaccine halted after human error ruins 15 million doses

Future shipments of the Johnson & Johnson COVID-19 vaccine have been halted while the Food and Drug Administration investigates, after human error at a manufacturing plant ruined 15 million doses, The New York Times reported Wednesday.

The plant in Baltimore is run by Emergent Biosolutions, and workers mixed up the ingredients in the vaccine, the Times reported.

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The error does not affect doses of the Johnson & Johnson vaccine that have already been distributed, since those were made in the Netherlands, but it impacts future shipments of the vaccine, according to the Times. 

The company in a statement acknowledged a batch of drugs “that did not meet quality standards” were identified at the Emergent Biosolutions plant, but did not specify how many what the problem was, or how the issue may impact its future deliveries. 

J&J said it has met its commitment of delivering 20 million doses by today.

Read more here. 

Pfizer says vaccine 100 percent effective in kids 12 to 15

Pfizer and BioNTech announced Wednesday morning that their COVID-19 vaccine is 100 percent effective in children ages 12 to 15.

In a clinical trial of 2,260 adolescents, researchers identified 18 COVID-19 cases among the placebo group and none among those vaccinated.  

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The companies said they planned to submit their data to the Food and Drug Administration (FDA) as soon as possible and request expansion of their emergency use authorization. 

What this means: The FDA has so far approved the Pfizer-BioNTech vaccine for those 16 and older. The other two vaccines authorized in the U.S., Moderna and Johnson & Johnson, are only approved for those 18 and older. 

Pfizer CEO Albert Bourla said he hopes to start vaccinating the younger age group before the start of the next school year, which could alleviate concerns about reopening schools. 

Read more here.

Top Trump adviser pursued his own COVID-19 medical supply deals, documents show

A top adviser to former President TrumpDonald TrumpThe Hill’s Morning Report – GOP pounces on Biden’s infrastructure plan Pompeo ‘regrets’ not making more progress with North Korea Biden sets off Capitol Hill scramble on spending, taxes MORE pursued his own ad hoc strategy for procuring key medical supplies after the president and others in the administration ignored his warnings and failed to implement a national strategy in the early days of the COVID-19 pandemic, according to new documents released Wednesday by House Democrats.

In a memo dated March 1, 2020, former White House trade adviser Peter Navarro warned Trump of the urgent need to “MOVE IN TRUMP TIME” to “STAY AHEAD OF VIRUS CURVE.”

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The memo was among the latest tranche of documents released by Democrats on the select committee investigating the Trump administration’s response to the coronavirus pandemic.

According to the memo, Navarro said there was “not enough movement” on key actions and urged the administration to invest in drug ingredients, especially those that could not be manufactured in the U.S., as well as rapid, handheld coronavirus tests.

Navarro criticized the speed of the administration’s response and noted that he had been focusing on ensuring sufficient personal protective equipment and procuring accurate diagnostics ever since the first news of a viral outbreak in China.

The fallout: Navarro wanted action, but President Trump had no interest. After being ignored, Navarro and other White House officials pursued their own strategies, bypassing federal procurement procedures and pushing federal agencies to issue noncompetitive contracts. 

One notable example, Navarro gave a $765 million loan to Eastman Kodak to produce ingredients for generic drugs, despite the company having no experience making drugs. The loan was stopped about two weeks later amid an SEC investigation into insider trading allegations at the company, 

Read more here.

Wisconsin Supreme Court rules against governor’s mask mandate, emergency orders

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The Wisconsin Supreme Court ruled that Gov. Tony EversTony EversOvernight Health Care: US death rate jumps by nearly 16 percent amid COVID-19 pandemic | Pfizer says vaccine 100 percent effective in kids 12 to 15 | Top Trump adviser pursued his own COVID-19 medical supply deals Wisconsin Supreme Court rules governor exceeded authority with mask mandate, emergency orders OVERNIGHT ENERGY: China accounted for half of coal-fired electricity in 2020: report | Conservation groups ask Haaland to block oil drilling in Florida preserve | Biden gives NYC green light to study congestion pricing MORE (D) exceeded his authority with some of his COVID-19 emergency orders, including instituting a statewide mask mandate.

In a 4-3 decision, the court struck down two of Evers’s executive orders issued last year that extended the public health emergency beyond its original 60-day limit without legislative approval.

“The question in this case is not whether the Governor acted wisely; it is whether he acted lawfully,” the ruling said. “We conclude he did not.”

Evers’s response: “Our fight against COVID-19 isn’t over – while we work to get folks vaccinated as quickly as we can, we know wearing a mask saves lives, and we still need Wisconsinites to mask up so we can beat this virus and bounce back from this pandemic,” Evers said in a statement.

Another loss for the governor: Evers and Republicans in the state have feuded over the governor’s powers during the pandemic. Last year, the Wisconsin Supreme Court ruled against his “safer at home” order, and a state appeals court determined his restrictions on indoor dining could not be implemented. 

Read more here.

What we’re reading

What kind of person signs up to be infected with the coronavirus on purpose? (Vox.com)

The fourth surge is upon us. This time, it’s different (The Atlantic)

Biden wants to give the nation hope. But a jump in Covid cases is complicating things. (Politico)

The U.S. government doesn’t have patent rights to Gilead’s remdesivir, despite investing millions in research (STAT)

State by state

Spoiled vaccines from Texas winter storms top 3,000 (Austin American-Statesman) 

California sheriff overruled health official, linked man’s death to vaccine (Sacramento Bee)

With statewide mask mandate set to end, Indiana COVID map shows spread increasing again (Indianapolis Star) 

The new normal in N.Y.: high virus rates and a steady stream of cases (New York Times)

Senate committee kills Medicaid expansion bill (Casper Star Tribune)