A top aide to former Sen. Martha McSallyMartha Elizabeth McSallyEx-McSally aide pleads guilty to stealing over 0K in campaign funds Arizona state senator announces bid for Kirkpatrick’s seat Democratic Arizona Rep. Ann Kirkpatrick says she won’t seek reelection MORE’s (R-Ariz.) campaign in 2018 pleaded guilty Friday to stealing more than $100,000 from her Senate bid.

The Department of Justice (DOJ) announced that Anthony Barry, who was a consultant and a deputy campaign manager for McSally, admitted he took more than $115,000 from her campaign in 2018 and 2019. 

He is scheduled to be sentenced on July 6 over one count of unlawful conversion of campaign funds, which carries up to five years in prison.

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The DOJ said Barry, 33, “used his position in the campaign to fraudulently direct the campaign to make payments to him beyond what he was owed for his salary and had the fraudulently obtained funds deposited into his personal bank account.”

Barry’s law firm, Charity Clark Law, told The Hill that it is “not prepared to make a statement” but “will likely address the situation.”

McSally first ran for the Senate in 2018, losing to now-Sen. Kyrsten SinemaKyrsten SinemaEx-McSally aide pleads guilty to stealing over 0K in campaign funds Sinema urges Biden to take ‘bold’ action at border: ‘This is a crisis’ Bowser on Manchin’s DC statehood stance: He’s ‘not right’ MORE (D-Ariz.) in one of the midterm cycle’s marquee races. She was then appointed to fill the seat of the late Sen. John McCainJohn Sidney McCainEx-McSally aide pleads guilty to stealing over 0K in campaign funds DOJ: Arizona recount could violate civil rights laws Cheney fight stokes cries of GOP double standard for women MORE (R-Ariz.) in 2018. 

She ran to fill the remainder of McCain’s term in 2020 but lost again to now-Sen. Mark KellyMark KellyEx-McSally aide pleads guilty to stealing over 0K in campaign funds Bowser on Manchin’s DC statehood stance: He’s ‘not right’ Manchin says he doesn’t support DC statehood, election reform bills MORE (D-Ariz.).

Updated at 9:07 p.m.

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The Biden administration and Congress are mobilizing to confront ransomware attacks on critical organizations such as schools and hospitals, which some officials have labeled a national security threat. 

The Department of Homeland Security (DHS), the Department of Justice and Capitol Hill are all spearheading efforts to get a handle on ransomware attacks, which have skyrocketed during the COVID-19 pandemic as cyber criminals targeted vulnerable networks that came under increased strain. 

“The threat is real. The threat is upon us. The risk is to all of us,” DHS Secretary Alejandro MayorkasAlejandro MayorkasHillicon Valley: Broadband companies funded fake net neutrality comments, investigation finds | Twitter rolls out tip feature | Google to adopt ‘hybrid work week’ America’s Jewish communities are under attack — Here are 3 things Congress can do Biden administration, Congress unite in effort to tackle ransomware attacks MORE said during a virtual event Wednesday hosted by the U.S. Chamber of Commerce.

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Ransomware attacks have increasingly posed a threat to critical services over the past year. Hospital systems across the country have been hit, along with school districts in Baltimore County, Md., and Fairfax County, Va., among many others. 

Government agencies have also been targeted, including the Washington, D.C., police department last month and local governments across Texas that faced coordinated attacks in 2019.

“More than $350 million in victim funds were paid as a result of ransomware in this past year, and our rate of ransomware attacks has increased over the prior year by more than 300 percent,” Mayorkas said Wednesday, stressing that “the losses from ransomware are staggering, and the pace at which those losses are being realized are equally staggering.”

DHS has played a leading role in prioritizing cybersecurity and made tackling ransomware attacks the first of several 60-day sprints to focus agency resources on the problem. 

Mayorkas noted that he had discussed cybersecurity, including ransomware threats, during every conversation with international leaders since being confirmed as secretary, noting that cybersecurity threats “know no boundaries.”

The Justice Department has also actively been eyeing the ransomware threat. 

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The agency last month established a Ransomware and Digital Extortion Task Force, while Deputy Attorney General Lisa Monaco said last week that the Justice Department would also launch a 120-day review of cybersecurity challenges under her leadership.

“There is a great deal to do, and we are launching this review to make sure we are bringing all the tools we can to address it,” Monaco said during the virtual Munich Cyber Security Conference. 

The White House may also be taking action on ransomware. Mayorkas said last week during a separate virtual event that the White House was developing a plan to confront ransomware attacks. A spokesperson for the White House did not respond to a request for further details on the upcoming plan. 

Congress has also been paying greater attention to the threats from ransomware, with members on both sides of the aisle citing attacks in their districts on schools, governments, libraries and hospitals as key motivating factors in taking action. 

“These attacks are more than a mere inconvenience — they are a national security threat,” Rep. Yvette ClarkeYvette Diane ClarkeHillicon Valley: Broadband companies funded fake net neutrality comments, investigation finds | Twitter rolls out tip feature | Google to adopt ‘hybrid work week’ Biden administration, Congress unite in effort to tackle ransomware attacks Hillicon Valley: Twitter will not allow Trump account archive on platform | Commerce Dept. still weighing approach to Huawei, TikTok | Dating apps work to reinvent amid COVID-19 pandemic MORE (D-N.Y.), the chairwoman of the House Homeland Security cybersecurity subcommittee, said Wednesday. “It is time for bold action rooted in robust partnerships between the federal government and its state, local and private sector partners.”

Clarke’s comments were made during a hearing held by her subcommittee on the ransomware threat, during which Clarke announced that she would soon reintroduce bipartisan legislation to provide state, local, territorial and tribal governments with $500 million annually to combat cyberattacks. 

“This legislation would ensure funding is available while insisting state and local governments step up to prioritize cybersecurity in their own budgets,” Clarke said. 

The legislation, which was passed by the House last year but failed to get consideration in the Senate, will have bipartisan sponsors, including House Homeland Security Committee Chairman Bennie ThompsonBennie Gordon ThompsonBiden administration, Congress unite in effort to tackle ransomware attacks First migrant families reunited in ‘beginning’ of larger effort Biden takes quick action on cyber in first 100 days MORE (D-Miss.) and ranking member John KatkoJohn Michael KatkoAmerica’s Jewish communities are under attack — Here are 3 things Congress can do Cheney fight stokes cries of GOP double standard for women Biden administration, Congress unite in effort to tackle ransomware attacks MORE (R-N.Y.) and cyber subcommittee ranking member Andrew Garbarino (R-N.Y.). 

“It should come as a surprise to no one in this hearing that these ransomware attacks have devastating real-world consequences for Americans,” Garbarino said at the hearing. “Every minute that a hospital goes down is a minute of missed critical care. The same goes for almost every industry. We must work to put a stop to this.”

Beyond legislation, Christopher Krebs, the former director of DHS’s Cybersecurity and Infrastructure Security Agency (CISA), called for a national strategy to confront the “cybercrime explosion” faced around the world.

“Cybercriminals have been allowed to run amok while governments have mainly watched from the sidelines, unclear on whether cybercrime is a national security level threat,” Krebs testified at the House hearing Wednesday. “If there was any remaining doubt on that front, let’s dispense with it now. Too many lives are at stake. We need a different approach, and that shift is needed now. We have risen to the challenge in the past and can do it again.”

One potential major strategy to counter the ransomware threat was released last week by the Institute for Security and Technology’s Ransomware Task Force. 

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The group — including representatives from CISA, international cybersecurity organizations, and groups across the tech and cyber industry sector — called for an “all hands on deck” approach to countering ransomware threats, led by the White House. 

Kent Landfield, the chief standards and technology policy strategist at McAfee, was among those involved in crafting the report over the past few months. Landfield told The Hill on Wednesday that the evolving approach to ransomware was on “the right path.”

“It is nice to see Congress paying attention to an issue that has been far too long relegated to the outskirts. I am very pleased with what we are seeing in this administration versus other administrations,” Landfield said. 

But as ransomware attacks spike and cyber criminals continue to target vulnerable organizations, lawmakers stressed Wednesday that there was no time to lose in confronting the threats.

“The recommendations from the Ransomware Task Force are a great place to start, but let’s keep the pedal to the metal,” Katko testified.

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HAPPY THURSDAY!!! Welcome to Overnight Energy, your source for the day’s energy and environment news.

Please send tips and comments to Rachel Frazin at rfrazin@thehill.com and follow her on Twitter: @RachelFrazin. Reach Zack Budryk at zbudryk@thehill.com and follow him on Twitter: @BudrykZack.

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Today we’re looking at a court ruling paving the way for a ban on a pesticide linked to developmental issues, Ryan ZinkeRyan Keith ZinkeThe Hill’s Morning Report – Biden launches blitz for jobs plan with ‘thank you, Georgia’ OVERNIGHT ENERGY: Court sets in motion EPA ban on pesticide linked to developmental issues | Trump Interior Secretary Zinke files to run for Congress, again | Senate passes bipartisan B water infrastructure bill Trump Interior Secretary Zinke files to run for Congress, again MORE’s potential return to Congress and a water infrastructure bill that passed the Senate.

 

THE BAN WAGON: Court sets in motion EPA ban on pesticide linked to developmental issues

A federal appeals court on Thursday said the Environmental Protection Agency (EPA) must ban a pesticide linked to developmental issues in children within 60 days unless it can find a safe use for the chemical.

The 9th Circuit ruled that the evidence compiled by the EPA fails to show that the substance chlorpyrifos is not harmful. Studies have linked exposure to chlorpyrifos to lower IQ, impaired working memory and negative impacts on motor development. 

“The EPA has spent more than a decade assembling a record of chlorpyrifos’s ill effects and has repeatedly determined, based on that record, that it cannot conclude, to the statutorily required standard of reasonable certainty, that the present tolerances are causing no harm,” wrote Judge Jed Rakoff, a Clinton appointee, in the majority opinion. He was joined by Judge Jacqueline Nguyen, an Obama appointee.

On the other side: Judge Jay Bybee, a George W. Bush appointee, dissented, arguing that his colleagues “misread” EPA’s obligations to review certain uses that it previously determined were safe and that the majority “substituted its own judgment for EPA’s decision.”

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What the EPA has to say: Asked about the ruling, EPA spokesperson Ken Labbe said in an email that the agency is reviewing the decision as it weighs its options.

Read more about the ruling here.

 

TRADING PARK TRAILS FOR CAMPAIGN TRAILS:  Trump Interior Secretary Zinke files to run for Congress, again

Ryan Zinke, who served as Interior secretary during the Trump administration, has filed papers with the Federal Election Commission to seek a new term in Congress, six years after leaving office to join the Trump administration. 

Zinke won two elections to represent Montana’s lone congressional district, in 2014 and 2016. 

In case you forgot: In office, Zinke courted controversy, coming under investigation for using private planes to travel to events and to raise funds for Republican causes. He cited the investigations into what he called “false allegations” in a statement announcing his departure in 2018.

Where will he run? Zinke’s filing indicates he plans to run for Montana’s 2nd Congressional District, a seat that does not yet exist on paper. The Census Bureau earlier this week said Montana’s population has grown by a sufficient amount to qualify for a second district. The state lost its second district after the 1990 census and reapportionment cycle.

Read more about the FEC filing here.

 

IS EVERY WEEK INFRASTRUCTURE WEEK? : Senate passes bipartisan $35B water infrastructure bill

A bipartisan bill to boost funding for states’ water infrastructure passed the Senate 89-2 Thursday, sending it to the House of Representatives.

The measure, the Drinking Water and Wastewater Infrastructure Act of 2021, would put $35 billion toward state water infrastructure programs. It authorizes gradual increases in funding for state water infrastructure systems from fiscal 2022 through 2026, beginning with $2.4 billion and ending with $3.25 billion.

The bill also establishes an operational sustainability program for smaller water systems such as those under the jurisdiction of Native American tribes, and authorizes $50 million annually for fiscal years 2022-2026.

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It would also nearly double funding for grants aimed at removing lead from drinking water, from $60 million to $100 million per year.

Read more about the bill here.

 

IN THE HOT SEAT: Biden Interior nominee questioned on past work for fossil fuel industry

President BidenJoe BidenAmericans for Prosperity launches campaign targeting six Democrats to keep filibuster Washington’s split with Turkey widens — but it is up to Turkey to heal the rift Incomes, consumer spending soared in March as stimulus bill boosted recovering economy MORE’s pick for the No. 2 spot at the Interior Department fielded a question Thursday on his previous work for fossil fuel companies during his confirmation hearing. 

“There’s been some criticism of your nomination because of your associations in your private sector experience in recent years with fossil fuel companies and other commercial entities. … Can you answer those questions and address any allegations of conflict of interest or tainting of your views in terms of the issues that’ll come before the department?” Sen. Angus KingAngus KingOVERNIGHT ENERGY: Court sets in motion EPA ban on pesticide linked to developmental issues | Trump Interior Secretary Zinke files to run for Congress, again | Senate passes bipartisan B water infrastructure bill Overnight Defense: Gillibrand makes new push for military sexual assault reform | US troops begin leaving Afghanistan | Biden budget delay pushes back annual defense policy bill Gillibrand makes new push for military sexual assault reform MORE (I-Maine) asked Tommy Beaudreau.

What he has to say about it: “I have been in government service for a long period of time during the Obama administration. I am accepting of the scrutiny and criticism that comes with holding these roles,” Beaudreau responded. 

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He added that he’s “a little bewildered” by some of the criticism because of “what I believe was a very strong track record during the Obama administration on conservation,” as well as what he described as his “tough but … fair-minded” reputation as a regulator.

Beaudreau also said that he has already started working with Interior’s ethics staff and will be mindful of his ethical obligations. 

The question comes amid concerns from a coalition of progressive environmental groups Thursday about Beaudreau’s work for companies including oil giant Total and multinational mining company BHP. 

Read more about Beaudreau’s confirmation hearing here.

 

WHAT WE’RE READING:

Tap water could be linked to dangerous lead levels in Jackson’s kids. Mississippi isn’t keeping track, Southerly Magazine reports 

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The U.S. Will Need a Lot of Land for a Zero-Carbon Economy, Bloomberg reports

A Russian telecoms magnate plans to spend billions on a Siberian coal project, Reuters reports 

$302M in BP oil spill money budgeted to restore ecosystems, The Associated Press reports

 

ICYMI: Stories from Thursday (and Wednesday night)…

Senate passes bipartisan $35B water infrastructure bill

Biden Interior nominee questioned on past work for fossil fuel industry

Court sets in motion EPA ban on pesticide linked to developmental issues

Trump Interior Secretary Zinke files to run for Congress, again

Nuclear plant north of New York City shutting down

Biden touts climate investment as creating jobs

GOP leaders from 19 states ask Supreme Court to review power plant regulation ruling

GOP lawmakers ask acting inspector general to investigate John KerryJohn KerryOVERNIGHT ENERGY: Court sets in motion EPA ban on pesticide linked to developmental issues | Trump Interior Secretary Zinke files to run for Congress, again | Senate passes bipartisan B water infrastructure bill Does Biden have an ocean policy? Trump rips raid on ‘great patriot’ Rudy Giuliani’s apartment as ‘very unfair’ MORE

California state Democrats propose spending $3.4B on drought

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GOP leaders from 19 states ask Supreme Court to review power plant regulation ruling

Energy Dept. warns nuclear waste tank may be leaking in Washington state

 

OFF-BEAT AND OFFBEAT: Read about a giant duck who lives on an English college campus. 

Mitsubishi is planning to cut production at its plants worldwide next month due to a global shortage of semiconductor chips that has rocked the automotive industry.

A company spokesperson told The Hill that the move will result in 16,000 fewer vehicles produced, but that Mitsubishi plans to make up for the temporary shortfall within this fiscal year.

Bloomberg News, which first reported the production cuts, said the reduction represents nearly one-fifth of Mitsubishi’s total output.

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The company produced 88,754 vehicles in February.

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Mitsubishi earlier this month cut production by 7,500 vehicles at three plants in Japan and Thailand, Reuters reported at the time.

The cuts come as the auto industry grapples with the impact of the semiconductor shortages.

General Motors has halted production at several plants due to the shortage, most recently at factories in Tennessee, Michigan and Mexico.

Ford said on Thursday that four of its plants in the U.S. and one in Canada will remain shut for an additional two weeks after halting production earlier this month.

President BidenJoe Biden7 deputies placed on leave after North Carolina shooting Overnight Defense: Pentagon panel recommends major change in prosecuting military sexual assault | Reinforcements provide cover for Afghanistan withdrawal | Biden pick would be Pentagon’s highest-ranking openly trans official Biden’s ‘trickle-up’ economics is just what America needs MORE met earlier this month with executives from the auto industry about the shortage, and its impact on automakers.

Welcome to Hillicon Valley, The Hill’s newsletter detailing all you need to know about the tech and cyber news from Capitol Hill to Silicon Valley. If you don’t already, be sure to sign up for our newsletter by clicking HERE. 

Welcome! Follow our cyber reporter, Maggie Miller (@magmill95), and tech team, Chris Mills Rodrigo (@chrisismills) and Rebecca Klar (@rebeccaklar_), for more coverage.

It was a big day for Big Tech at the Capitol, with the Senate Judiciary antitrust subcommittee holding a hearing featuring Google and Apple executives to look at their app store market power. And a group of seven House Republicans pledged to reject donations from some of the top tech companies. Meanwhile, Senate Majority Leader Chuck SchumerChuck SchumerSenate to vote next week on repealing Trump methane rule  Joe Lieberman to push senators on DC statehood On The Money: Yellen touts ‘whole-of-economy’ plan to fight climate change | Senate GOP adopts symbolic earmark ban, digs in on debt limit MORE led a bipartisan group of lawmakers in rolling out legislation to invest more than $100 billion in emerging technologies. 

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ALL EYES ON APP STORES: The Senate Judiciary antitrust subcommittee turned into a Silicon Valley battleground Wednesday, with representatives from several app-based companies accusing Apple and Google executives at the hearing of stifling competition in their app stores and retaliating against those who speak out.

The app companies lambasted the commission fees, of up to 30 percent, that the Silicon Valley giants impose on some apps, a practice that could influence senators weighing legislative proposals aimed at curbing alleged anti-competitive behavior.

Apple’s chief compliance officer, Kyle Andeer, and Google’s senior director of public policy and government relations, Wilson White, defended the app store policies as being competitive and helping to ensure data privacy and security.

But the executives representing app-based businesses dismissed those arguments. 

Read more about the hearing.

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LAWMAKERS EYE COMPETITION WITH CHINA: Senate Majority Leader Chuck Schumer (D-N.Y.) led dozens of bipartisan House and Senate members on Wednesday in rolling out legislation that would invest more than $100 billion in emerging technologies in an effort to put the U.S. on a level playing field with China. 

The Endless Frontiers Act, first introduced last year, would establish a Technology and Innovation Directorate at the National Science Foundation, which would use $100 billion in federal funds over five years to research emerging technologies including artificial intelligence, quantum computing and semiconductors. 

The legislation would also appropriate $10 billion to the Department of Commerce to help support regional technology innovation throughout the nation, while a further $2.4 billion would go toward expanding and enhancing U.S. manufacturing capabilities in key technologies. 

The bill is primarily co-sponsored by Sen. Todd YoungTodd Christopher YoungHillicon Valley: Tech companies duke it out at Senate hearing | Seven House Republicans vow to reject donations from Big Tech Lawmakers reintroduce bill to invest billions to compete with China in tech ‘Building Back Better’ requires a new approach to US science and technology MORE (R-Ind.) and Reps. Ro KhannaRohit (Ro) KhannaDC set for jam-packed Earth Day as Biden announces Paris emissions goal Hillicon Valley: Tech companies duke it out at Senate hearing | Seven House Republicans vow to reject donations from Big Tech Lawmakers reintroduce bill to invest billions to compete with China in tech MORE (D-Calif.) and Mike GallagherMichael (Mike) John GallagherHillicon Valley: Tech companies duke it out at Senate hearing | Seven House Republicans vow to reject donations from Big Tech Lawmakers reintroduce bill to invest billions to compete with China in tech Pompeo joins GOP lawmakers on Capitol Hill to introduce Iran sanctions act MORE (R-Wis.), with almost two dozen other bipartisan House and Senate members also signing on as sponsors. 

White House press secretary Jen PsakiJen PsakiOn The Money: White House sees GOP infrastructure plan as starting point | Biden to propose capital gains tax hike Overnight Health Care: Pelosi pushes for drug pricing measure | South Africa to resume administering Johnson & Johnson vaccine | Early data indicate Pfizer, Moderna vaccines safe for pregnant women Texas, Stephen Miller sue to force deportation of children, other migrants due to pandemic MORE said in a statement Wednesday that the administration welcomed the legislation, describing it as “one more encouraging sign of the bipartisan support for investing in America’s competitiveness.”

Read more about the legislation here.

 

KEEP YOUR MONEY: Seven House Republicans on Wednesday pledged to reject donations from some of the top tech companies in the U.S. amid mounting scrutiny over the market power the tech giants hold. 

Rep. Ken BuckKenneth (Ken) Robert BuckHillicon Valley: Tech companies duke it out at Senate hearing | Seven House Republicans vow to reject donations from Big Tech Seven House Republicans vow to reject donations from Big Tech Hillicon Valley: Apple approves Parler’s return to App Store | White House scales back response to SolarWinds, Microsoft incidents | Pressure mounts on DHS over relationship with Clearview AI MORE (Colo.), the top Republican on the House Judiciary antitrust subcommittee, led the pledge to reject campaign donations from Facebook, Google, Amazon, Apple and Twitter. 

Buck was joined by Reps. Chip RoyCharles (Chip) Eugene RoyHillicon Valley: Tech companies duke it out at Senate hearing | Seven House Republicans vow to reject donations from Big Tech Seven House Republicans vow to reject donations from Big Tech US Chamber enters hostile takeover by crony capitalists MORE (Texas), Greg SteubeWilliam (Greg) Gregory SteubeHillicon Valley: Tech companies duke it out at Senate hearing | Seven House Republicans vow to reject donations from Big Tech Seven House Republicans vow to reject donations from Big Tech House Republicans ask Pelosi to reschedule Biden’s address to Congress MORE (Fla.), Ralph NormanRalph Warren NormanFemale Republicans ‘horrified’ by male GOP lawmaker’s description of Cheney: report Hillicon Valley: Tech companies duke it out at Senate hearing | Seven House Republicans vow to reject donations from Big Tech Seven House Republicans vow to reject donations from Big Tech MORE (S.C.), Dan Bishop (N.C.), Burgess Owens (Utah) and Andy Biggs (Ariz.) in signing onto the pledge.

“These monopolies have shown that personal liberty can be threatened by corporate tyranny just as much as by government tyranny,” the Republicans wrote. 

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The pledge to reject the donations may be mostly moot for now, as Facebook is suspending all PAC contributions following the insurrection at the Capitol, and Amazon and Google said they would pause donations to lawmakers who voted against certifying the election results. 

Steube, Norman, Bishop, Owens and Biggs all supported challenges to the certification of votes. 

Read more about the pledge. 

 

CYBER CRIMINALS BEWARE: The Justice Department this week convened a new task force to address the mounting ransomware cyberattacks on critical U.S. organizations that have spiked during the COVID-19 pandemic. 

The Ransomware and Digital Extortion Task Force, first reported on Wednesday by The Wall Street Journal, will be made of officials from the agency’s National Security Division, Criminal Division, Civil Division, Executive Office of U.S. Attorneys and FBI.  

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Acting Deputy Attorney General John Carlin announced the task force in a memo, obtained by The Hill, sent to task force members on Tuesday.

Read more here.

 

CLOSING THE LOOPHOLE: Sens. Ron WydenRonald (Ron) Lee WydenOn The Money: White House sees GOP infrastructure plan as starting point | Biden to propose capital gains tax hike Hillicon Valley: Tech companies duke it out at Senate hearing | Seven House Republicans vow to reject donations from Big Tech Overnight Energy: Biden will aim to cut US emissions in half by 2030 | Oil and gas leasing pause on public lands will last at least through June MORE (D-Ore.) and Rand PaulRandal (Rand) Howard PaulHawley votes against anti-Asian hate crime bill Hillicon Valley: Tech companies duke it out at Senate hearing | Seven House Republicans vow to reject donations from Big Tech Senate panel greenlights sweeping China policy bill MORE (R-Ky.) introduced legislation Wednesday aimed at closing a loophole that has allowed government agencies to obtain Americans’ personal data without a warrant.

The Fourth Amendment is Not for Sale Act — which is co-sponsored by 19 other Senators including Majority Leader Charles SchumerChuck SchumerSenate to vote next week on repealing Trump methane rule  Joe Lieberman to push senators on DC statehood On The Money: Yellen touts ‘whole-of-economy’ plan to fight climate change | Senate GOP adopts symbolic earmark ban, digs in on debt limit MORE (D-N.Y.) and was introduced in the House by Reps. Jerry NadlerJerrold (Jerry) Lewis NadlerHillicon Valley: Tech companies duke it out at Senate hearing | Seven House Republicans vow to reject donations from Big Tech Wyden-Paul bill would close loophole allowing feds to collect private data Jim Jordan, Val Demings get in shouting match about police during hearing MORE (D-N.Y.) and Zoe LofgrenZoe Ellen LofgrenCapitol Police officer allegedly told units to only monitor for ‘anti-Trump’ protesters on Jan. 6 Hillicon Valley: Tech companies duke it out at Senate hearing | Seven House Republicans vow to reject donations from Big Tech Wyden-Paul bill would close loophole allowing feds to collect private data MORE (D-Calif.) — would require a court order for any purchases from third-party data brokers. 

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Several reports recently have detailed how agencies like the military and Department of Homeland Security (DHS) purchase information including location data about American citizens from companies that harvest data from smartphone apps.

Read more about the legislation. 

 

MARKEY, CASTOR URGE INVESTIGATION: Sen. Ed MarkeyEd MarkeyHillicon Valley: Acting FTC chair blasts Supreme Court decision limiting agency consumer power | Police tech under scrutiny following Chicago shooting Every day should be Earth Day Senate Democrats ask regulator to look into driver-assist systems after deadly Tesla crash MORE (D-Mass.) and Rep. Kathy CastorKatherine (Kathy) Anne CastorHillicon Valley: Tech companies duke it out at Senate hearing | Seven House Republicans vow to reject donations from Big Tech Markey, Castor urge FTC to investigate Google Play Store Lawmakers react to guilty verdict in Chauvin murder trial: ‘Our work is far from done’ MORE (D-Fla.) urged the Federal Trade Commission (FTC) to investigate if Google’s app store is misleadingly marketing children’s apps as compliant with a law aimed at protecting children’s privacy. 

The Democrats on Wednesday sent a letter to the FTC calling for the commission to launch an investigation into the Silicon Valley giant’s app store, citing recent studies that suggest apps that infringe on children’s privacy, in violation of the Children’s Online Privacy Protection Act (COPPA), are “rampant on the Google Play Store.” 

The letter follows a similar push from two advocacy groups, the Campaign for a Commercial-Free Childhood (CCFC) and the Center for Digital Democracy (CDD), for the FTC to look into the alleged COPPA violations. 

Read more here. 

 

APPLE TO (FINALLY) LAUNCH UPDATE: Apple will launch its operating system update that will include a feature that will limit the reach of targeted ads “next week,” the company said Tuesday.

Apple’s long-awaited — and delayed — App Tracking Transparency tool will require apps to get the user’s permission before tracking their data across apps and websites owned by other companies. 

Apple said in a press release about its new AirTag product launch that the iOS 14.5 operating system software updates will be available “starting next week.”

Read more here. 

 

EU TAKES ON AI: The European Union’s executive body on Wednesday proposed new regulations that would limit facial recognition and other “high-risk” applications of artificial intelligence.

The regulations proposed by the European Commission would prohibit law enforcement officials from using facial recognition with some exceptions for responding to terrorist attacks and finding missing children.

The technology has been roundly criticized by civil liberties and privacy groups that warn it is biased against women and people of color and even if it did work accurately would give the government overwhelming surveillance power.

Read more about the proposal. 

 

ICYMI: CYBER DIPLOMACY GETS A BOOST: The House on Tuesday approved bipartisan legislation aimed at elevating cybersecurity at the State Department through prioritizing and reorganizing a key department on the heels of multiple major foreign cyberattacks against the United States. 

The Cyber Diplomacy Act would require the State Department to open a Bureau of International Cyberspace Policy, which would lead the State Department’s cybersecurity efforts. This would include creating an international strategy to guide efforts by the United States to engage with other nations on cybersecurity issues and to set norms on responsible behavior in cyberspace. 

The bill, reintroduced in February, was previously passed by the House during the last Congress but failed to be considered by the Senate. It was approved Tuesday as part of a larger package of bills by the House in a vote of 355-69. 

The bill is primarily sponsored by House Foreign Affairs Committee ranking member Michael McCaulMichael Thomas McCaulRepublican, Democratic lawmakers urge fully funding US assistance to Israel Hillicon Valley: Tech companies duke it out at Senate hearing | Seven House Republicans vow to reject donations from Big Tech House passes legislation to elevate cybersecurity at the State Department MORE (R-Texas) with co-sponsors including committee Chairman Gregory MeeksGregory Weldon MeeksLiberal advocacy group stirs debate, discomfort with primary challenges Hillicon Valley: Tech companies duke it out at Senate hearing | Seven House Republicans vow to reject donations from Big Tech House passes legislation to elevate cybersecurity at the State Department MORE (D-N.Y.) and Reps. Jim LangevinJames (Jim) R. LangevinHillicon Valley: Tech companies duke it out at Senate hearing | Seven House Republicans vow to reject donations from Big Tech House passes legislation to elevate cybersecurity at the State Department Bipartisan lawmakers signal support for Biden cybersecurity picks MORE (D-R.I.), Mike Gallagher (R-Wis.), Adam KinzingerAdam Daniel KinzingerHillicon Valley: Tech companies duke it out at Senate hearing | Seven House Republicans vow to reject donations from Big Tech House passes legislation to elevate cybersecurity at the State Department Republicans race for distance from ‘America First Caucus’ MORE (R-Ill.), and Bill KeatingWilliam (Bill) Richard KeatingHillicon Valley: Tech companies duke it out at Senate hearing | Seven House Republicans vow to reject donations from Big Tech House passes legislation to elevate cybersecurity at the State Department Overnight Defense: Trump, Biden set to meet in final debate | Explicit Fort Bragg tweets were sent by account administrator | China threatens retaliation over Taiwan arms sale MORE (D-Mass.). 

Read more about the legislation here.

 

Lighter click: Respect

An op-ed to chew on: Innovation suffers when property rights are weak or difficult to enforce 

 

NOTABLE LINKS FROM AROUND THE WEB: 

Hackers pose as Bloomberg employees in email scam (CyberScoop / Sean Lyngaas) 

Meet virtual reality, your new physical therapist (The New York Times / Alina Tugend) 

Google Turmoil Exposes Cracks Long In Making for Top AI Watchdog (Bloomberg / Nico Grant, Dina Bass and Josh Eidelson)

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A Capitol riot suspect from New Jersey was caught after news of his participation was passed to the grandmother of an anonymous witness.

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Robert Petrosh of Mays Landing, N.J., was arrested Wednesday and is facing four charges in connection with the riot, according to the Department of Justice.

About one week after a mob attacked the Capitol, an anonymous tipster told the FBI that Petrosh was on the steps of the Capitol, according to an FBI affidavit.

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When the bureau followed up, the tipster said Petrosh’s mother told their grandmother that Petrosh went inside the Capitol.

In late January, the witness told the FBI that Petrosh had been “lying low” after others who entered the Capitol on Jan. 6 were being arrested.

The bureau obtained a copy of Petrosh’s drivers license, and found photos of him inside the building.

Another FBI agent who knew Petrosh for about 15 years positively identified Petrosh in photos of rioters standing near the House wing door.

Petrosh, 51, is charged with knowingly entering or remaining in any restricted building or grounds without lawful authority; disorderly and disruptive conduct in a restricted building or grounds; disorderly conduct in a Capitol building; and parading, demonstrating or picketing in a Capitol building.

According to NBC News, he was released on a $50,000 bond and is scheduled to appear in a virtual court hearing on May 11.

More than 400 people have been charged in connection with the Capitol riot, which saw supporters of former President TrumpDonald TrumpVeteran accused in alleged border wall scheme faces new charges Arizona Republicans to brush off DOJ concern about election audit FEC drops investigation into Trump hush money payments MORE ransack the building in an attempt to disrupt the certification of President BidenJoe BidenAtlanta mayor won’t run for reelection South Carolina governor to end pandemic unemployment benefits in June Airplane pollution set to soar with post-pandemic travel boom MORE’s Electoral College victory.

The riot led to five deaths and Trump’s second impeachment for inciting the riots. The Senate voted to acquit Trump of the charge.

The U.S. economy added 266,000 jobs in April and the unemployment rate rose to 6.1 percent, an unexpectedly poor showing falling well below expectations.

The meager showing exposed unexpected gaps in a recovery that some economists were fretting would “overheat” by recovering too quickly.

“For those who feared the US economy would overheat, the bigger risk may be that it is undercooked,” said The Atlantic Council’s Josh Lipsky.

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“Today’s report shows there won’t be an overnight fix for millions who remain unemployed. The U.S. economy still has a long way to go in its recovery.”

Economists were expecting roughly a million new jobs in the April report and a drop in the unemployment rate. Some firms had projected increases as high as 1.3 million.

Even March’s blockbuster figure was revised downward by some 16 percent, to 770,000 from 916,000.

The unemployment rate remained significantly elevated among some racial minorities, coming in at 9.7 percent for Blacks and 7.9 percent for Hispanics, compared to 5.7 percent for Asians and 5.3 percent for Whites.

On a net basis, the entirety of the April’s job growth could be attributed to gains in the recovering leisure and hospitality sector, which added 330,000 jobs, 187,000 of which were from restaurants and bars reopening and expanding capacity.

That increase was offset by losses in other sectors such as temporary business help, which bled 110,000; courier and messengers jobs, which fell 77,000; manufacturing, which lost 18,000 jobs; and retail, which lost 15,300 jobs.

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The Labor Department report released Friday represents the first month of the second quarter, when economists expected to see some of the highest growth rates in decades.

The slowdown in job growth took place even as the $1.9 trillion COVID-19 relief bill President BidenJoe BidenAtlanta mayor won’t run for reelection South Carolina governor to end pandemic unemployment benefits in June Airplane pollution set to soar with post-pandemic travel boom MORE signed in March began working its way through the economy, including expanded unemployment benefits and $1,400 stimulus checks.

Vaccination rates peaked in April, bringing down daily case counts of the deadly disease, as well as hospitalizations and deaths.

Democrats said the showing was proof that the economy needed a bigger push, pointing to the $4 trillion infrastructure and family support plans that Biden has proposed.

“Ask me again why we need the America Jobs and Families Plans,” said Zac Petkanas, a senior adviser for Invest in America, a group advocating for major infrastructure investments.

Republicans, on the other hand, said the slowing jobs growth was a sign that Biden’s economic approach was not working.

“This is the direct effect of the Biden administration paying people more NOT to work,” the Republican Study Committee, a conservative House caucus, tweeted.

“@POTUS’s determination to spend more than any other President in history will continue to crush our economy.”

Mike Fratantoni, chief economist at the Mortgage Bankers Association, pointed to reports of supply chain challenges and labor shortages as part of the problem.

“We continue to expect robust job growth and housing demand through the remainder of the year, but this report suggests that the rate of improvement in the job market is going to be much less consistent than other indicators would suggest,” he said.

Updated at 9:30 a.m.

A Twitter account that was tweeting statements by former President TrumpDonald TrumpVeteran accused in alleged border wall scheme faces new charges Arizona Republicans to brush off DOJ concern about election audit FEC drops investigation into Trump hush money payments MORE was suspended Thursday, just hours after it was created.

The account went by the handle “@DJTDesk” and its bio read: “Posts copied from Save America on behalf of the 45th POTUS; Originally composed via DonaldJTrump/Desk.”

The account, which was banned under Twitter’s evasion policy, was posting statements from Trump’s new website, launched after he was kicked off most social media platforms and permanently banned by Twitter.

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“As stated in our ban evasion policy, we’ll take enforcement action on accounts whose apparent intent is to replace or promote content affiliated with a suspended account,” a Twitter spokesperson told The Hill.

Jason Miller, a senior adviser to Trump, told The Hill that the account was not affiliated with the former president.

Trump’s website was launched Tuesday, almost four months after he was banned from platforms such as Twitter.

Social media interactions about the former president have fallen more than 90 percent since January, according to data released this week by NewsWhip.

Updated at 4:24 p.m.

Health insurance giant Cigna plans to pay U.S. employees $200 for getting the COVID-19 vaccine and allow them to take paid time off to get the shots.

The company called the $200 an “incentive award” in an announcement on Thursday. It also said it will provide benefit-eligible employees with up to 10 days of paid “emergency time” off that they can use for getting the vaccine, as well as for dependent care or a mental health day. 

President BidenJoe BidenBiden announces picks to lead oceans, lands agencies Overnight Defense: Top general concerned about Afghan forces after US troops leave | Pentagon chief: Climate crisis ‘existential’ threat to US national security | Army conducts review after 4 Black soldiers harassed at Virginia IHOP Feds expect to charge scores more in connection to Capitol riot MORE on Wednesday called for employers to give workers paid leave to get the COVID-19 vaccination and unveiled a program to address the issue of American workers feeling that they can’t afford to take the time off to get vaccinated. 

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Biden also said employers should give employees time off to recover if they are feeling under the weather after receiving their vaccine shots. 

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For its customers, Cigna is providing no-cost transportation to and from vaccination sites for Medicare Advantage customers and is conducting outreach to vulnerable seniors to encourage them to get the vaccine. 

Other major companies are offering cash for the vaccine to encourage workers to get it.

Biden, in his announcement on Wednesday, mentioned that grocery store chain Kroger is offering workers $100 to get vaccinated. He said that offer pushed the vaccination rate among its associates from 50 percent to 75 percent.

A top U.S. general is warning that China may be looking to extend its influence beyond the Pacific with the potential construction of a large Atlantic naval base on the western coast of Africa. 

In an interview with The Associated Press published Thursday, U.S. Gen. Stephen Townsend, who leads U.S. Africa Command (Africom), said China has been in contact with countries as far north as Mauritania and as far south as Namibia on establishing a naval facility with the capability to host submarines or aircraft carriers.

“They’re looking for a place where they can rearm and repair warships. That becomes militarily useful in conflict,” Townsend said. 

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“They’re a long way toward establishing that in Djibouti,” on Africa’s eastern coast, he added. “Now they’re casting their gaze to the Atlantic coast and wanting to get such a base there.”

The revelation comes as the latest in a series of warnings from U.S. military commanders across the globe that China aims to extend its position not only in Asia and the Pacific region, but also over countries in Africa, South America and the Middle East.  

Townsend said that China’s military site in Djibouti, built in 2016 as its first overseas base, has been increasing in size and capacity, with as many as 2,000 military personnel there as well as hundreds of Marines. 

The general also also said that China is “outmaneuvering the U.S. in select countries in Africa.” 

“Port projects, economic endeavors, infrastructure and their agreements and contracts will lead to greater access in the future,” he told the AP. “They are hedging their bets and making big bets on Africa.”

Townsend said that a potential Chinese military base on Africa’s Atlantic coast “concerns me greatly” due to the relatively shorter distance to the U.S. than from the Horn of Africa. 

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The analysis comes after the Defense Department’s 2020 report on China’s military power revealed that Beijing was seeking to add naval, air and ground forces in Angola and other locations in Africa. 

The report also highlighted Africa and the Middle East as significant priorities for China in the coming years, with large amounts of oil and natural gas recently imported from these regions. 

Henry Tugendhat, a senior policy analyst with the United States Institute of Peace, told the AP that any efforts by China to extend its influence in the Atlantic could more likely be a result of pursuing economic interests, rather than to gain military power. 

The concerns come as the Biden administration has sought to maintain a touch stance on China, with Secretary of State Antony BlinkenAntony BlinkenBiden ‘confident’ meeting with Putin will take place soon Blinken calls for Taiwan to join World Health Assembly in opposition to China US general warns China is actively seeking to set up an Atlantic naval base MORE on Sunday indicating that he is optimistic the U.S. would be able to combat China’s global influence. 

Blinken said in a “60 Minutes” interview that China is the “one country in the world that has the military, economic, diplomatic capacity to undermine or challenge” the rules-based international order, adding that the U.S. was not trying to “contain China” but “uphold this rules-based order.”

“Anyone who poses a challenge to that order, we’re going to stand up and defend it,” he said.

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