In the Senate, discussions continue between Senate Majority Leader Chuck Schumer (D-New York) and Senator Joe Manchin (D-West Virginia) on the party-line economic reconciliation package to lower drug prices and raise taxes on high earners that utilize pass through corporations, despite Senate Minority Leader Mitch McConnell’s (R-Kentucky) threat to block the China-centric measure if Democrats move forward with the reconciliation bill. The push and pull between Senate leaders could undermine legislation that would provide $52 billion in subsidies to restore domestic semiconductor manufacturing, along with other measures aimed at shoring up the nation’s supply chains and reducing U.S. dependence on China. Lawmakers must also work out vast differences between the Senate and House China competition bills before creating a final product that could pass the House and win at least 60 Senate votes. Numerous points of contention surrounding trade, immigration and subsidies still haven’t been resolved. Those include a measure that would create a broad exclusion process within the Office of the U.S. Trade Representative (USTR) to allow companies to dodge China tariffs, which has drawn scorn from Democrats and a small number of Senate Republicans. In addition to the China legislation, Senate Democrats have a packed July calendar that includes year-end spending legislation, the annual defense package, judicial nominations and potentially a bill to crack down on tech giants in addition to the negotiations over what kind of measures will make it into reconciliation.
For today, the Senate convenes at 10:30 a.m. to resume consideration of the nomination of Michael Barr to be a member of the Board of Governors of the Federal Reserve System. The Senate is also expected to consider the Motion to invoke cloture on the nomination of Owen Edward Herrnstadt to be a Member of the Board of Directors of the Export-Import Bank of the United States.
The House convened at 10:00 A.M. and will take up H.R. 6538 – Active Shooter Alert Act of 2022 as well as S. 3373 – Sergeant First Class Heath Robinson Honoring our Promise to Address Comprehensive Toxics Act of 2022. The House may also begin work on H.R. 7900 – National Defense Authorization Act for Fiscal Year 2023 and begin consideration of its 650 amendments en bloc. A full list of amendments can be found here.
The House may also consider ten postponed bills under suspension of the Rules.
Adam S. Olsen, Washington, D.C.
