WASHINGTON, DC WEEKLY UPDATE

J U L Y 1 6 , 2 0 2 1

PREPARED BY: RASKY PARTNERS, INC rasky.com R A S K Y P A R T N E R S , I N C . WASHINGTON, DC WEEKLY UPDATE

INFRASTRUCTURE UPDATE SCHUMER SETS DEADLINE FOR INFRASTRUCTURE TALKS Senate Majority Leader Chuck Schumer (D-NY) set a deadline to conclude talks on the bipartisan infrastructure package, increasing pressure on Republicans to quickly strike a deal on the $579 billion plan. Schumer must find a balance between appealing to centrist Democrats who have helmed the push for the bipartisan measure, as well as the party’s progressive caucus, who don’t want to move forward on infrastructure lest they have assurances that their priorities will be addressed in a bigger, Democrats-only budget package.

Schumer said that he would take a crucial procedural step on Monday that would tee up an initial vote next Wednesday. The bipartisan group of senators working on the infrastructure bill met on Thursday to tie up negotiations as well as discuss Schumer’s new deadline.

FUNDING UPDATE

SENATE DEMOCRATS PITCH $3.5 TRILLION BUDGET RESOLUTION Top Senate Democrats on Wednesday proposed a $3.5 trillion budget resolution which would effectively pave the way to pass a broad spending package in the absence of any Republican votes. Senate Majority Leader Chuck Schumer (D-NY), Senate Budget Committee Chairman Bernie Sanders (I-VT) and Senator Mark Warner (D-VA), a key moderate, presented the proposal to the Democratic caucus.

The proposal features a slate of Democratic policy ambitions that would be excluded from a potential bipartisan infrastructure deal. While the bill text has yet to be released, Schumer has said he would like to see the Senate pass a budget resolution prior to the August recess.

So far, we know that the bill will largely reflect the proposals featured in Biden’s social spending program, the American Families Plan, that climate change and health care cost reduction are major components and that to pay for it, wealthy Americans and corporations would face tax increases.

House Speaker Nancy Pelosi (D-CA) praised the Senate Democratic outline, calling it a “victory for the American People” in a letter to colleagues, adding that the House Committees stand ready to work with the Senate.

HOUSE PANEL WEIGHS MORE SPENDING BILLS

House Democrats have continued to make headway on the fiscal 2022 spending process as they completed committee work on two measures on Thursday and are set to advance two more measures on Friday, with the goal of beginning floor consideration of spending packages in the coming weeks. Progress in the Senate has not followed the same pace, resulting in some lawmakers anticipating multiple continuing resolutions. R A S K Y P A R T N E R S , I N C .

On Thursday, the full House Appropriations Committee marked up the fiscal 2022 Labor-HHS Education and Commerce-Justice-Science bills. House Democrats proposed $253.8 billion in spending for labor, health and education programs in fiscal 2022. A breakdown is as follows:

LABOR-HHS-EDUCATION

The Department of Labor would be funded at $14.7 billion $2.2 billion increase from fiscal 2021 Other details: Workforce Innovation and Opportunity Act state grants would get $250 million more than fiscal 2021 and $76.2 million more than requested Job Corps programs would receive $1.83 billion—$81.4 million more than the previous year and $75.3 million above the administration’s request Worker protection agencies, including the Wage and Hour Division and the Occupational Safety and Health Administration, would get $2.1 billion—a $305 million increase from fiscal 2021 The measure includes a new H-2B visa provision, and would block implementation of rules on apprenticeships and privatizing job searches

The Department of Health and Human Services would be funded at $119.8 billion $22.9 billion increase from fiscal 2021 Other details: The National Institutes of Health would get $49 billion, a $6.5 billion increase from fiscal 2021 The Centers for Disease Control and Prevention tapped for $10.6 billion in fiscal 2022, a $2.7 billion increase The measure would end a long-standing prohibition on federal funds for syringes for safe drug use programs The Hyde and Weldon amendments, which have banned federal funds for most abortion services, would be eliminated The bill includes a new provision that would limit funds to foster care programs that don’t comply with nondiscrimination regulations including gender identity and sexual orientation

The Department of Education would be funded at $102.7 billion $29.3 billion increase from fiscal 2021 Other details: The funding measure calls for $1.4 billion for Federal Work Study programs for low- income college students, $244 million more than the White House budget request, which called for maintaining funding for the program Student financial aid would get a total of $27.2 billion, $358 million less than Biden’s request to Congress The panel also proposed $17.2 billion for special education, $3.1 billion more than in fiscal 2021 and $7 million more than the president’s request The bill would prohibit federal funds for schools that use electric shock discipline for students Career and technical education would receive $2.2 billion in the bill, $55 million more than Biden requested R A S K Y P A R T N E R S , I N C .

COMMERCE-JUSTICE-SCIENCE

The Department of Justice would be funded at $36 billion $2.6 billion increase from fiscal 2021

NASA would be funded at $25 billion $1.8 billion increase from fiscal 2021

The Department of Commerce would be funded at $10.95 billion $2 billion increase from fiscal 2021

On Friday, the House Appropriations Committee will meet to mark up the fiscal 2022 Energy and Water Development and Transportation-HUD appropriations bills.

TRANSPORTATION-HUD

The Department of Transportation would be funded at $105.7 billion $19 billion increase from fiscal 2021 Other details: The measure would nearly double money for passenger and freight rail, providing $2.7 billion for Amtrak, $700 million more than the current fiscal year The bill would also fund more than 300 zero-emission and 400 diesel buses, as well as the construction of more than 23 transit projects nationwide The Federal Aviation Administration would get $18.9 billion, a slight rise from the current fiscal year; $61.9 billion would go to the Federal Highway Administration

The Department of Housing and Urban Development would be funded at $56.5 billion $6.8 billion increase Other details: The measure proposes $600 million for a program that helps provide housing for people with AIDS, up $170 million from fiscal 2021 and above Biden’s request

ENERGY AND WATER DEVELOPMENT

The Energy Department would be funded at $45.1 billion $3.2 billion more than the fiscal 2021 Other details: The Energy Department’s Office of Fossil Energy and Carbon Management — key to the administration’s decarbonization and mitigation efforts as well as the economic transition from fossil fuels to clean energy alternatives — would receive $820 million under the bill

The Army Corps of Engineers would be funded at $8.7 billion Slightly higher than the fiscal 2021 enacted level of $7.6 billion

The Bureau of Reclamation, which oversees water infrastructure in 17 Western states, would receive $1.95 billion R A S K Y P A R T N E R S , I N C .

CONFIRMATIONS UPDATE

The Senate voted to confirm Julie Su to serve as deputy labor secretary The Senate voted to confirm Nellie Liang as Treasury undersecretary of domestic finance, installing a Federal Reserve veteran as the department’s point person on financial markets and bank regulation The Senate voted to confirm Jocelyn Samuels to a second U.S. Equal Employment Opportunity Commission term that expires in 2026 The Senate confirmed Uzra Zeya to be under secretary of State for civilian security, democracy, and human rights The Senate confirmed Jen Easterly to be director of the Cybersecurity and Infrastructure Security Agency

WHAT TO EXPECT NEXT WEEK

In the Senate, Majority Leader Chuck Schumer (D-NY) said he would file for cloture on a legislative vehicle for the bipartisan infrastructure package on Monday, setting up an initial vote on Wednesday. He also said he would like to see Democrats agree on moving forward with a budget resolution on Wednesday.

On Monday, the Senate will also vote on the confirmation of Tiffany Cunningham to be a judge for the U.S. Court of Appeals for the Federal Circuit.

The Senate Health, Education, Labor and Pensions Committee is scheduled to vote Wednesday on the Education Department nominations of Catherine Lhamon to be assistant secretary for civil rights, Elizabeth Brown to be general counsel, and Roberto Rodriguez to be assistant secretary for planning, evaluation, and policy development; as well as the nominations of David Weil to be administrator of the Wage and Hour Division of the Labor Department; and Gwynne Wilcox and David Prouty to be members of the National Labor Relations Board.

The Senate Armed Services Committee will mark up parts of the fiscal 2022 National Defense Authorization Act in the following order:

Monday: Strategic Forces; Cybersecurity subcommittees Tuesday: Readiness and Management Support; Personnel; Airland; Emerging Threats and Capabilities; Seapower subcommittees Wednesday & Thursday: Full committee

Next week the House has floor votes planned on boosting access to U.S. visas for Afghan allies who supported the U.S. military mission in Afghanistan (H.R. 3985), better protecting drinking water from per- and polyfluoroalkyl substances (H.R. 2467) and giving the Federal Trade Commission authority to seek refunds for defrauded customers (H.R. 2668).