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Welcome to the 115th Congress

Happy New Year and Happy Swearing In Day! Congress is back today to usher in the 115th Congress and the inauguration is in 17 days.

First things first. 

Both the full House and new members of the Senate were sworn in today initiating the 115th Congress. With the Republican party in charge of both chambers and President-elect Donald Trump in the White House, an ambitious agenda is in the works, which includes repealing Obamacare and rolling back regulations. 

Those effort starts this week as the Senate is expected to start working on passing a budget that contains instructions for gutting Obamacare this week, with the House following up as soon as next week. That resolution includes instructions to repeal large parts of Obamacare through reconciliation. The measure would instruct relevant committees to write legislation that could undo provisions of the law. Republicans are framing this measure as an Obamacare transition solution, but nothing will actually happens to the ACA yet.

The process in the Senate will take several days of debate and there will be a “vote-a-rama,” a process that often takes several hours over the course of a day and night. The budget resolution and the reconciliation measure repealing the health care law avoids the normal Senate requirement of 60 votes to consider legislation. Any subsequent bills addressing replacement provisions for the health care coverage law will require new budget resolution maneuvering or the cooperation from some Senate Democrats. The legislative process for enacting health care coverage replacement legislation could take several years.

Republican leaders are setting up reserve funds in an otherwise bare-bones FY 2017 budget resolution as a way to allow savings from repealing the health care law to be applied to replacement legislation.

The House will vote shortly after on the budget resolution and that vote could happen by the time Trump is inaugurated. It is worth noting that the budget resolution is not law, but binding and instructing on the House and Senate Committees. 

Rollback Regulations

Trump is expected to roll back nearly every major labor regulation enacted under President Barack Obama. Executive orders will be the easiest to reverse or cancel; that simply takes executive action. On the list could be an order that required prospective federal contractors to disclose previous labor law violations when bidding on large contracts. 

The Department of Labor’s appeal of a federal injunction against the rule will almost certainly be dropped once Trump takes charge of the Justice Department. Another regulation to watch is the fiduciary rule, which requires broker dealers to consider only the client’s best interest when providing retirement advice. Trump may face difficulty squelching the rule before it takes effect in April, but his Labor Department can broaden exemptions and thereby weaken its effect substantially.

Also up for review are visas for guest worker programs. Bipartisan support exists already to scrutinize these programs because of highly publicized instances in recent years of mistreatment of guest workers, displacement of native-born workers, or both. Indeed, Democrats may push harder than Republicans to clean this Augean stable, given the reliance of Trump’s own various businesses on guest-worker visas. The Washington Post counts, 500 since 2013.

Trump’s first big decision on immigration will be what to do about the Deferred Action for Childhood Arrivals program, which grants deportation relief to more than 752,000 people brought to the US at a young age. Trump promised during the campaign to end the program, which was created by an Obama executive order. But in December, Trump said “we’re going to work something out that’s going to make people happy and proud.”

Looking Forward

As the Trump Administration takes office later this month, lawmakers are also gearing up for new fights. Efforts to undo many of the Obama Administration’s education policies, such as its teacher preparation regulations or rules aimed at cracking down on for-profit colleges, will likely prove contentious. Lawmakers will also likely clash over efforts to repeal the Obama Administration’s regulations under the Every Student Succeeds Act or scale back the power of the Office for Civil Rights.

Additionally, Senator Lamar Alexander (R-TN) and Representative Virginia Foxx (R-NC), the chairs of the congressional education committees, both plan to turn their attention to overhauling the Higher Education Act, which was last comprehensively reauthorized in 2008.

Decisions over the details for the Trump proposed infrastructure bill, including how to finance it, will probably come after Elaine Chao makes her way through the confirmation process. Trump’s pick for Transportation secretary is unlikely to face much resistance in the Senate.

Multiple Senate Committees will begin public vetting and hearings of dozens of Trump Administration political appointees, from Secretaries, deputies and administrators, all needing Senate confirmation. Hearings have already begun to be scheduled for next week. 

But what will happen next? Stay Tuned. The Office of Federal Relations will continue to update.

What We’re Reading This Week, December 19 -23

Here’s a selection of articles the Federal Relations team is enjoying this week.

New Options – Unhappy with the leading options for Secretary of State, Trump asked former SECDEF Robert Gates what he thought. Gates suggested Exxon CEO Rex Tillerson. Read more in The Washington Post.

Office of “Buy American”  President-elect Donald Trump will create a new office within the White House to oversee trade and industrial policy, a move that will put an emphasis on “Buy America” policies and promote domestic manufacturing. Read more in Politico.

HB2 Failed – North Carolina failed to repeal HB 2, known as the “Bathroom Bill”. The law has caused massive impacts to the state as national organizations with drew support by moving massive sporting events or deciding not to relocate in the state. It was a major reason the Governor was not reelected. The North Carolina Legislature, in a closed session, was supposed to repeal the law this week…and failed to do so. Read more in The Atlantic. 

NSEERS No More – The Department of Homeland Security will take apart the vestiges of a controversial and unused since 2011 program that was used to register and track visitors from Muslim-majority countries. The National Security Entry-Exit Registration System (NSEERS) had two parts, and applied only to people from 25 countries named by DHS. Twenty-four of them were Muslim-majority countries. The program required registration by men ages 16 and up living in the U.S. to report regularly to immigration officials. The other half was an entry and exit tracking system, which limited the airports, seaports, and land borders that registrants could use to travel, and required them to register before leaving and after arriving. Read more in The Atlantic. 

Two for One – President-elect Trump has promised a 2 for 1 repeal on regulations, meaning for everyone regulation or order issued two will be repealed. Read more in The Hill.

Push and Pull – State support of climate and environment policy has surged as the incoming Trump Administration signals an about-face from eight years of policies designed to reduce climate-altering emissions and address the effects of a warming planet. Read more in The New York Times. 

Good for Business – Donald Trump’s November victory has been a boom for liberal news outlets, which are getting big business from voters shocked by the billionaire’s surprise win over Hillary Clinton. Read more in The Hill. 

Drilled Out – President Obama announced a ban on the outer continental shelf in the Arctic and the Atlantic, which likely can’t be undone. Read more in Vox.

Tax Reform – President-elect Trump and congressional Republicans next year hope to undertake the first overhaul of the tax code in more than 30 years. The Hill has a series of questions on how that will happen. 

First War on Christmas – In the 1920s and 1930s, committed Nazi propagandists worked to “Nazify” Christmas. Redefining familiar traditions and designing new symbols and rituals, they hoped to channel the main tenets of National Socialism through the popular holiday. Read more in Smithsonian.

Art & Science – High-tech techniques are being used to restore the Ghent Altarpiece. Read more in the New York Times. 

Electoral College Votes Today

The 538 members of the electoral college will gather at state capitols across the country this afternoon to cast their ballots for President. The usually symbolic ceremonies, full of pomp and circumstance, have drawn intense attention this year.  There has been much effort made to dissuade the electors from voting for Trump.  

To be effective, 37 of 306 Republican electors would need to vote for someone, anyone else. Only one Republican has announced that he will be faithless and more have suggested it, but not nearly in the numbers needed to not elect Trump.

Regardless, if Trump does not get 270 electoral votes today, the decision then goes to the House of Representatives to choose the president. The House will choose Trump.

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.