“For a brief moment following the January 6 Capitol riot, it looked like most Republican lawmakers and pundits would condemn Trump’s lies and the riot they spawned. But a funny thing happened on the way to what should have been a reckoning: A whole lot of conservatives decided to back Trump’s narrative about a stolen election. Meanwhile, those who vocally opposed it found themselves on the wrong side of the ongoing inter-GOP war, one in which more moderate or conventional conservatives were demonized by Trump and his populist lackeys and Republican rising stars fought to position themselves as “the craziest son of a bitch in the race” (to quote Kentucky Republican Rep. Thomas Massie on what he realized voters swinging from libertarian-leaning candidates to Trump were looking for).
Flash forward two years, and whack job populism has suffered a smidge of comeuppance. The 2022 midterm elections weren’t kind to Trump-backed candidates and election deniers, and—Trump’s 2024 candidacy notwithstanding—it looks like the fever dream that culminated in the events of January 6, 2021, has started to break.”
“Republicans have long insisted that not only did Hunter use his father’s name to secure foreign business deals for himself but that Joe Biden was in on the game. There is evidence for the former, and not for the latter. Regardless, the first people lawmakers might want to question are those intimately involved with Hunter Biden’s business dealings, right?
Apparently not. First up, per a Politico report, are three former Twitter employees.
Comer has invited former Twitter Deputy General Counsel James Baker, former Global Head of Trust and Safety Yoel Roth, and former Chief Legal Officer Vijaya Gadde to the hearing to testify about Twitter’s decision to temporarily block a New York Post story about Hunter Biden in 2020.
That decision was recently dissected at length in the Twitter Files, a series of reports based on internal documents that Twitter CEO Elon Musk has shared with a small group of journalists. The documents reveal Twitter executives engaged in ample deliberation and debate about how to handle the story, primed by warnings from the (Trump-era) Justice Department about the possibility of fake news being spread by foreign adversaries.
It’s pretty clear that Twitter’s decision to suppress the story—ultimately a wrong decision, albeit also a very short-lived one—was very much a product of people trying to avoid repeating the mistakes of 2016. Authorities were on high alert—perhaps to the point of paranoia—about foreign propaganda that might influence the 2020 electorate. And tech companies, having just lived through years of being excoriated for letting foreign propaganda spread in 2016, were extra sensitive to allegations that they might let it happen again.
But Republicans seem to desperately want there to be more to this story. For it to serve as a smoking gun against Joe Biden, tech companies, or both. For it to be a tidy explanation as to why Biden won in 2020.”
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“Twitter made the wrong call with the story, yes. But it did so temporarily, with much deliberation, influenced by authorities in the Trump administration, and to the effect that the Hunter Biden story got even more attention. The idea that Joe Biden would have lost the election had this not happened is crazy. And the idea that Biden himself helped cover it up because he’s hiding something about his own business dealings lacks any evidence.
But these narratives are also very beneficial to Biden’s enemies. And Republicans seem determined to wring every last bit of political capital possible out of them.
Once again we’re reminded that the people in power—no matter which side that is—are more focused on making excuses for their own shortcomings and slinging mud at the other side than actually doing the hard work of becoming a faction more Americans can get behind.”
“The FEC said it has now closed its file on the issue.
“The Commission’s bipartisan decision to dismiss this complaint reaffirms that Gmail does not filter emails for political purposes,” Google spokesman José Castañeda said. “We’ll continue to invest in our Gmail industry-leading spam filters because, as the FEC notes, they’re important to protecting people’s inboxes from receiving unwanted, unsolicited, or dangerous messages.””
“In addition to Republicans’ pledge to slice $130 billion from the $1.7 trillion government funding package that passed in December, conservatives want to take the process old-school. Rather than passing one massive bill, they’re calling for individual votes on the dozen appropriations bills that set annual budgets for different agencies, a more time-consuming but transparent procedure that recent Congresses have struggled to complete.
They’re also planning to allow an amendment free-for-all, which is all but certain to further drag out or trip things up.
Additionally, House Republicans say they’ll refuse to negotiate with the Senate until the upper chamber passes its own spending bills, which hasn’t happened in years. Typically, Senate appropriators have instead entered into bipartisan talks with their House counterparts, only burning valuable floor time on a package they’re certain would pass both chambers.
And GOP demands expand beyond funding the government. Republicans say they won’t back a debt limit increase unless they get their way on spending cuts or measures to reign in the ever-increasing $31 trillion debt. The timing of that could be tricky, however, as the Treasury Department could hit its credit card limit this summer, while federal cash expires on Sept. 30.
A debt ceiling hike will arguably make for a much bigger battle in Congress, leaving even less time and patience for bipartisan talks on funding the government.”
“meaningful concession is McCarthy’s reported agreement to reserve three seats for hard-core conservatives on the House Rules Committee. The Rules Committee is one of the most powerful committees in the House — setting the rules (duh) of debates, choosing which pieces of legislation to bring up to a vote and even rewriting legislation that has already passed another committee. If the Rules Committee maintains its traditional partisan composition — nine members of the majority party, four of the minority — then it could have six McCarthy-aligned Republicans, three insurgent Republicans and four Democrats, which means that McCarthy-aligned Republicans would constitute a minority on the committee. In the words of one conservative activist, that would effectively make the Rules Committee a “European-style coalition government” where the hard-right bloc is like a third party, and McCarthy and his allies would have to negotiate with them (or Democrats) to get anything done.
This, in turn, could make it more likely that the federal government shuts down and/or defaults on its debt in 2023. The insurgent wing of the GOP was at the center of the government shutdown fight in 2013 and the debt ceiling fight in 2011, and McCarthy has agreed to fight for their preferred spending cuts here in 2023. But of course, nothing can become law without buy-in from the Democrats who still control the Senate and the White House, who are about as ideologically far removed from the conservative hardliners as it gets.”
“According to the Manhattan Institute’s Brian Riedl, the GOP plan so far is to cut $130 billion from discretionary appropriations. Unfortunately, the defense budget and veterans health funds are excluded from cuts, despite making up $993 billion out of $1,602 billion discretionary budget. As Riedl notes, their plan will require “freezing those two items and cutting everything else by 21% immediately.”
This maneuver guarantees political failure for the Republicans’ plan.”
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“imposing cuts on only a small share of the discretionary budget excludes trillions of dollars from scrutiny and is a political nonstarter.”
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“while limiting discretionary spending is a good start, fiscal sustainability requires that Congress also cut the mandatory side of the budget. Indeed, Social Security, Medicare, and Medicaid—not defense or education—are still the chief drivers of our future debt, just as they have been in the past. Along with the interest the Treasury must pay on the debt, these three programs will be responsible for 86 percent of federal spending between 2008 and 2032, says Riedl. In other words, no level of discretionary spending cuts will ever be enough to control the upcoming debt explosion.”
“Speaker Kevin McCarthy and his GOP allies insist that no back-room promises were made to land his gavel after 15 frenetic ballots, that no plum committee spots, precise spending cuts, or debt limit strategy were guaranteed in a quid pro quo. Agreements and goals were reached with conservatives who initially withheld their votes from the speaker, GOP leaders say, but nothing was formalized in writing.”
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“One McCarthy holdout, Rep. Byron Donalds (R-Fla.), bluntly told Fox News when asked “what did you get” that he would join the influential GOP Steering Committee “as Speaker McCarthy’s designee.”
McCarthy also informed members that the House would take its first-ever vote this Congress on a contentious national sales tax bill that Georgia Republicans — including McCarthy dissenter Rep. Andrew Clyde (R-Ga.) — have pushed for decades.
“That was part of the negotiation. The 20 conservatives who were holding out, one of the things that they wanted was to see it come to the floor for a vote,” Rep. Buddy Carter (R-Ga.) said.”
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“Another McCarthy promise was to diversify the membership on coveted House panels, which in practice means adding more Freedom Caucus members and other conservatives. That has begun to happen: Four speaker-race holdouts — Clyde, Donalds, Rep. Michael Cloud (R-Texas) and Rep. Andy Ogles (R-Tenn.) — were awarded spots on prime committees”
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“Clyde stressed: “There’s no secret rules addendum. There’s just an agreement.”
The rumored existence of a binding secret document, however, prompted multiple GOP lawmakers to approach their leaders about it, texting each other in search of the missing paper.”
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“Some House Republicans argue that the most divisive of the concessions floating around are “aspirational” — particularly on issues like spending and the debt limit, which would need to get buy-in from the Democratic Senate and White House to go anywhere.”
“The House GOP’s first bill out of the gate doesn’t address inflation or gas prices or immigration, but instead zeroes in on the Internal Revenue Service.
The bill set to be voted on Monday evening — barring a stalemate over approving the rules for the 118th Congress — would reverse much of the $80 billion in extra funding set aside for the agency by 2022’s Inflation Reduction Act.
While it has little chance of being enacted with Democrats in control of the Senate, the prominence of the issue shows just how much the IRS has become a target of Republicans even though experts say the funds in question would go toward more prosaic concerns like helping the agency chase down tax cheats and refresh its shockingly outdated technology.”
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“The claim from McCarthy, which has been echoed by many Republicans, is that the influx of money will lead to a flood of 87,000 new IRS agents who will then harass everyday Americans. Some critics of the agency go even further and claim these new agents will be armed.
But fact-checkers have repeatedly debunked the claims, and the agency itself pushed back in a Yahoo Finance op-ed from then-IRS Commissioner Charles Rettig in August.
The viral claims are “absolutely false,” Rettig wrote at the time, adding his agency “is often perceived as an easy target for mischaracterizations,” but he promised the new money will not lead to increased audit scrutiny on households making under $400,000.
The plan is instead for much of the money to go toward wealthy tax cheats. IRS estimates of the so-called “tax gap” — the difference between what taxes are owed to the government and what is actually paid — is hundreds of billions of dollars a year.
Much of the $80 billion will be focused on taking a bite out of the gap, focusing on wealthy tax payers. The investment is projected to pay for itself and then bring in over $100 billion in increased tax revenue over the coming decade.
In addition, a May 2021 report by the Department of Treasury estimated that more IRS funding could lead to 86,852 new employees, but many of those new employees would not be agents. Many would work in other areas like information technology.
“Those who know Pence best say he is wrestling with how to recalibrate himself to a Republican base that hasn’t yet forgiven him for refusing Trump’s pressure to overturn the election results — and maybe never will. When you’ve buried your true self for four years in service to someone who happens to be the most divisive and unpopular former president since Richard Nixon, it’s not so easy to excavate yourself again. Pence, who describes himself as a “conservative, but not in a bad mood about it,” likes to be liked. “He would love to be reconciled to the president,” a confidant told me. “My sense is he’s seen that window close.” But neither is Pence willing to take the other path, reject the base who held his life in such low regard, and full-throatedly present himself as the man who saved democracy. “He’s not,” the confidant told me, “going to go Liz Cheney.””
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“In July of 2016, Trump picked Pence to be his running mate and automatically resurrected Pence’s political career. Pence repaid his benefactor with four years of nearly unswerving loyalty. When Trump put his water bottle down in a FEMA meeting briefing on the 2018 hurricane season, so did Pence. Pence took to describing the president in physically glowing terms, referring regularly to his “broad shoulders.” In one Cabinet meeting, he praised Trump once every 12 seconds for three minutes straight. “I had always been loyal to President Donald Trump,” the prologue of his book begins. “He was my president, and he was my friend.”
“When he became vice president, he knew that he had to subordinate his views,” Jim Atterholt, Pence’s former gubernatorial chief of staff who would later set up Pence’s legal defense fund during the Russia investigation, told me. “That doesn’t mean he didn’t have private conversations with the president where he shared concerns, but in public, he always subordinated his views. People saw that as being obsequious. But really, he was just being Mike Pence, which is a loyal vice president.”
From afar, Boehner, who himself thought he knew the bounds of Pence’s loyalty, having been the object of it when they served in the House together, marveled. “You know, there’s loyalty and then there’s, frankly, blind loyalty, which is what he exhibited as vice president because he had hundreds of opportunities to say, ‘We’re not really quite in the same place,’ or even raise an eyebrow for God’s sake.”
Boehner watched Pence stand by Trump through a number of imbroglios: Pence didn’t turn on Trump amid the “Access Hollywood” scandal, declining to usurp him on the ticket. In his book, he almost congratulated Trump for how he handled the fallout, writing that during the presidential debate with Hillary Clinton, Trump “squared his shoulders” and “apologized to the American people.” He stood by Trump when the president said there were “good people on both sides” at the violent white supremacist rally in Charlottesville. He defended the administration’s response to Covid, writing an op-ed in the Wall Street Journal headlined “There Isn’t a Coronavirus ‘Second Wave.’” (Pence writes in his book that editors “placed a somewhat misleading headline on the essay.”) And he defended Trump’s decision to clear Lafayette Square of protesters, writing that he “watched as the media went wild, suggesting that the U.S. Park Police had tear-gassed protesters.”
Was Boehner disappointed in his old charge? I asked. “No, because I know the role of vice president. And when you’re the No. 2 guy, you salute the No. 1 guy.”
Still, Boehner added: “I sat back and watched this, going back to October of 2016,” — when the infamous “Access Hollywood” tape dropped — “and I’m thinking to myself, ‘My God, when is Pence going to say something because he can’t be this loyal.’ He was. And he was loyal every single day to Trump. I marveled through all of this, although looking back, I should’ve known he would be. And then he was directly loyal to the Constitution on Jan. 6.””
“ESG is not a regulation or a set of rules, and it does not require any real action from a corporation. It’s mostly used as a catch-all term for any investment that considers social and environmental responsibility. In fact, what counts as ESG is so ill-defined and malleable it has been criticized as a way to “greenwash” corporate actions.
One of the defining ideas of ESG is that a company is better off accounting and reporting environmental and social risks to investors and clients, rather than being willfully blind to the world around it. This can include a broad swath of issues, such as a company’s reliance on oil, gas, and coal, or exposure to sea-level rise in coastal operations, human rights violations of the countries it operates in, and lack of board diversity and CEO transparency. A big part of the ESG movement, at least right now, is largely about disclosure of these potential bottom-line risks in the future, not necessarily doing anything differently in the present.
But Republican officials in West Virginia, Texas, Louisiana, Missouri, and now Florida have withdrawn billions of dollars from BlackRock’s management. Proponents are planning to introduce a slew of bills in at least 15 states next year to divest pensions and boycott companies for considering sustainability as an aim. At the federal level, House GOP lawmakers are preparing antitrust investigations.
To get to the bottom of what is driving this, I spoke to one of the state officials leading the attack on ESG, Riley Moore, state treasurer of West Virginia. The way he sees it, “banks are coercing capital away” from coal, gas, and oil industries. He explains he doesn’t want the coal- and gas-reliant state to contract its financial services with a company that is “trying to diminish those dollars. They want less coal mining, they want less fracking.”
This is getting much bigger than BlackRock, State Street, and Vanguard, companies that used to be solidly at the right of corporate America. There are real stakes for pensioners, red-state taxpayers, and the wider economy if the GOP succeeds in scaring off financial institutions from pursuing climate targets.”
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“On the left, ESG has for years come under criticism as a form of greenwashing, and ESG disclosure isn’t the same thing as corporate behavior. As Harvard Business Review noted, the funding in ESG is “dedicated to assuring returns for shareholders, not delivering positive planetary impact.” Many environmentalists think ESG is a distraction from the main issue they’d like to see traction on: companies disclosing the impact their products and investments have on the world around them, and accounting for that in decisions.
ESG doesn’t go this far. In no way will disclosure be enough to save the planet from climate change. There are no binding requirements, either. But what Republican critics of ESG really fear is that the financial world will realign with climate science and no longer see new coal plants and offshore drilling as viable projects to finance.”
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“Many of the Republican attacks on ESG stem from a misrepresentation of what it actually means. It’s not always motivated by an altruistic climate or social agenda. ESG also helps banks and public companies meet their one goal by screening investments for various risks. “They’ve got a fiduciary duty to generate returns. So they’re not going to impose some agenda, whether it’s climate or social agenda, that’s going to get in the way of returns,” said University of Oxford business expert Robert Eccles.
As baseless as the attacks have been, the pressure could still work. Vanguard on Wednesday announced it is withdrawing from the Net Zero Asset Managers coalition, in which companies voluntarily committed to reaching net-zero emissions in their portfolios by 2050.”