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What We’re Reading This Week, December 12-16

Here’s a selection of articles Federal Relations is reading this week.

Unusuals – In the wake of the election, speculation had focused on whether President-elect Trump’s personnel choices would be drawn from the GOP establishment or from people antagonistic toward it. While his picks are not anti-establishment in any real sense, it’s also hard to imagine many of them being nominated for similar positions by Mitt Romney or John McCain, had they won the White House. Read more in The Hill. 

Increased Scrutiny –  Cabinet picks may face extra-tough vetting from the Senate. People involved with the transition process have said that Cabinet picks have been named without an extensive review of their background and in many cases, Trump has announced candidates without requiring a review of extensive paperwork about their background and financial records, including tax returns. Read more in The Wall Street Journal. 

Overtime On Schedule – Despite court challenges and delays, most colleges and universities have gone ahead with the Department of Labor’s Overtime regulations. Read more in The Chronicle. 

Hacked – Russian-sponsored cyber operatives DNC computers during the election. One of the most eyebrow-raising disclosures is that a Hillary Clinton campaign information technology staffer said an email he sent to John Podesta warning him about a phishing message called it “legitimate” because of a typo; he said he meant to call it “illegitimate.” Read more in The New York Times. 

High Debt – A persistent racial wealth gap, waning investment in higher education and limited institutional resources are driving up the rate of borrowing at historically black colleges and universities, with 4 out of 5 undergraduates relying on student loans to finance their education, according to a new study from the United Negro College Fund. Read more in The Washington Post. 

Defense on Defense – President-elect Trump’s criticism of projects from Lockheed Martin and Boeing has put contractors on notice, suggesting that the incoming administration intends to put a new emphasis on cost cutting at the Pentagon. Read more in The Hill. 

21st Century Cures a View from NIH from The New England Journal of Medicine.

Footprints – Around 3.6 million years ago, a pair of Australopithecus afarensis — a species of ancient ancestor made famous by the fossil Lucy — were walking through wet mud in Laetoli, Tanzania. This was likely just an ordinary day, but then something extraordinary happened: A nearby volcano erupted, covering their freshly made footprints in ash, preserving their shape, and locking this moment in time. The footprints, recently discovered by archaeologists, not only give us a glimpse into how these creatures walked but also, amazingly, give us some clues about how they behaved. Read more in Vox. 

COMPETES Reauthorization Heads to President for Signature

Just moments ago, the House of Representatives passed the American Innovation and Competitiveness Act (S.3084). It was passed under suspension of the rules, during a pro forma session.  The measure passed the Senate on June 22, 2016 by unanimous consent.

For Fiscal Year (FY) 2017, the bill authorizes $7.5 billion for NSF, which is the same level of funding included in the Senate’s FY2017 Commerce-Justice-Science Appropriations bill. For FY2018, the bill authorizes a four percent increase in funding for NSF. It’s worth pointing out that this is still tentative and could change. Lastly, it worth pointing out that there is also no directorate-by-directorate level funding for NSF in the bill, and we don’t anticipate there will be any offered at the markup. That is a big difference with the House’s FIRST Act and a big win for the NSF research community, particularly the Social and Behavioral scientists.

Here is a broader summary.

Two Budgets Next Year

Congress will do two budget resolutions next year. The first will be aimed at the ACA early in the Congress and the second effort at reconciliation will be aimed at tax reform, which should be in the Spring.

The first budget that House and Senate Republicans will unveil early next year will include reconciliation instructions to fast track repeal of the 2010 health law, but is otherwise expected to be relatively bare-bones. the budget resolution is likely to abide by the $1.070 trillion discretionary spending cap that Republican conservatives opposed earlier this year. However, Republican leadership is touting the figure as a placeholder and not to be taken seriously — the real policy choices will be made in the FY2018 budget resolution to be drafted in the spring.

Both House and Senate GOP leaders have signaled that reconciliation, which can not be filibustered in the Senate, is the best path for tax reform. Speaker Paul Ryan is proceeding as if reconciliation would be necessary. This choice means that any tax reform plan would have to be deficit-neutral and would come with an expiration date.

Democrats have said they would be willing to talk about a narrower tax-and-infrastructure deal. But it also seems like it would be difficult for the more comprehensive tax reform approach that McConnell and Ryan talked up to get 60 votes in the Senate.

Zinke to Interior

President-elect Donald Trump has offered Rep. Ryan Zinke (R-T) the position of Interior Secretary. The previous front-runner for the post was Rep. Cathy McMorris Rodgers (R-WA). 

Zinke, who won his seat in 2014, is a former U.S. Navy SEAL commander who has taken strong stances on conservation and public lands issues. He voted against the 2016 GOP budget because it sold federal lands and even resigned his position as a delegate to the Republican National Convention this summer because the platform called for the sale of public lands. He has also opposed efforts to transfer federal land to states and partnered with Democrats on conservation issues.

It was not clear whether Zinke had accepted the offer.

Perry as Energy Secretary

President-elect Trump has reportedly picked former Texas Governor Rick Perry to lead the Department of Energy.

During his time of governor, Perry, who succeeded 41st President George W. Bush as Texas’ top official in 2000, preached an “all-the-above” energy mix, including contributions from oil and gas, wind energy, carbon capture and storage technology, and nuclear power.