Axios Sneak Peek: GOP senators open to corporate tax increase ... Exclusive: Sen. Coons on China

Plus: Biden's report card on revolving door | Thursday, April 22, 2021

Open in app View in browser   Presented By PhRMA   Axios Sneak Peek By Alayna Treene, Hans Nichols and Kadia Goba ·Apr 22, 2021 Welcome back to Sneak. A somber workweek heads toward its end. ⚡ Situational awareness: President Biden has nominated Monica Medina, an environmentalist who's the wife of White House Chief of Staff Ron Klain, to a position in the State Department. If confirmed, Medina would serve as assistant secretary of State in the Bureau of Oceans and International Environmental and Scientific Affairs. Today's newsletter — edited by Glen Johnson — is 710 words, a 2.5-minute read.     1 big thing: GOP senators open to corporate tax increase Sens. Lindsey Graham (left) and Mike Braun. Photo: Alex Wong/Getty Images   Some key Republican senators won't rule out raising additional revenue from corporations and told Axios' Kadia Goba and Hans Nichols they're open to closing loopholes that allow big businesses to eliminate their overall tax bill. Why it matters: While Biden's proposal to raise the corporate tax rate from 21% to 28% to pay for his infrastructure plan has been met with near-uniform GOP opposition, there's some appetite to ensure corporations pay more. "I'm willing to do some things on the revenue front if they can do some things on the-way-the-government-works front," said Sen. Lindsey Graham (R-S.C.). "I believe everybody should pay their fair share," said Sen. Mike Braun (R-Ind.). "I come from the world of small business. So, I scratch my head when big corporations don't pay their fair share of taxes." "I think the tax code is filled with loopholes and subsidies that aren't fair," Sen. Ted Cruz (R-Texas) said in lobbying for a flat tax. "The answer isn't to eliminate every exemption and keep rates high — that's a massive tax increase. The answer is to eliminate the exemptions and lower rates." Keep reading.     2. Exclusive: Sen. Coons sees new era of bipartisanship on China Sen. Chris Coons. Photo: Kent Nishimura / Los Angeles Times via Getty Images   The Jan. 6 insurrection was a "shock to the system," propelling members of Congress toward the goal of shoring up America's ability to compete with China, Sen. Chris Coons (D-Del.) told Axios China author Bethany Allen-Ebrahimian during an interview Thursday. Why it matters: Competition between China's authoritarian model and the West's liberal democratic one is likely to define the 21st century. A bipartisan response would help the U.S. present a united front. Driving the news: Three major bipartisan bills targeting China's influence and strengthening America's response are now working their way through Congress. The Strategic Competition Act would allocate hundreds of millions of dollars to a raft of new initiatives aimed at helping the U.S. succeed in long-term ideological, military, economic and technological competition with China. It was passed by the Senate Foreign Relations Committee on Wednesday and now heads to the Senate floor. The Endless Frontier Act calls for $100 billion in funding for technology research to boost U.S. innovation, as China aims to become the world leader in emerging technologies. Sens. Marco Rubio (R-Fla.) and Elizabeth Warren (D-Mass.) have reintroduced a bill to study the United States' "overreliance on foreign countries and the impact of foreign direct investment on the U.S. pharmaceutical industry and DNA analysis industries" — with a special eye on China. What they're saying: "The harrowing experience of Jan. 6, the sharp divisions we saw in our election last year, and the rise of a more aggressive and assertive China and Russia, has really helped focus our country in the urgency in coming together and working to make a difference," Coons told Axios. Keep reading. 🇨🇳 Read and subscribe to Axios China.     3. By the numbers: States weighing voting changes Data: Brennan Center for Justice at NYU Law; Cartogram: Michelle McGhee/Axios Georgia is not alone in passing a law adding voting restrictions, but other states are seeing a surge in provisions and proposals that would expand access to the polls, according to data from the Brennan Center for Justice reviewed by Axios' Stef Kight. Driving the news: Just Wednesday, the New York State Assembly passed a bill to restore voting rights to convicted felons who have been released from prison. By the numbers: As of April 1, there were 361 state bills that could make it more difficult for some people to vote being considered across the states, the Brennan Center data showed. Five have been enacted, and 55 have had some kind of committee action or have passed at least one chamber. 843 bills with provisions that would expand voting access have popped up in the states. Nine have been enacted and 112 have had some movement through legislatures. Keep reading.     A message from PhRMA Instead of breaking what works, let's fix what's broken     America's unique R&D ecosystem delivered multiple COVID-19 medical breakthroughs in recordbreaking time. As we continue our work to help end the pandemic, we have a common sense plan for better, more affordable health care — for everyone.     4. Biden gets mixed grades on revolving door Illustration: Sarah Grillo/Axios   Biden is getting mixed marks over his reliance on industry insiders to staff his administration during its first 100 days, Axios' Lachlan Markay writes. Why it matters: Progressives have leaned on the new president to limit the revolving door between industry and government. A new report from the Revolving Door Project praises him on that front but highlights key hires it deems ethically questionable. What they're saying: "Biden has proven to be the least-captured and most public-oriented president of any of our lifetimes," says the group, a project of the Center for Economic and Policy Research, a progressive think tank. That said, "the bar is low." Its new report gives Biden an overall grade of B-, praising his hiring in areas including energy and environmental policy, financial regulation and tech policy. Keep reading.     5. Pic du jour Photo: Brendan Smialowski/AFP via Getty Images   Secretary of State Antony Blinken looks on as President Biden and special presidential envoy John Kerry kick off a two-day climate change virtual summit at the White House.     A message from PhRMA Instead of breaking what works, let's fix what's broken     America's unique R&D ecosystem delivered multiple COVID-19 medical breakthroughs in recordbreaking time. As we continue our work to help end the pandemic, we have a common sense plan for better, more affordable health care — for everyone.   👏 Thanks for reading Sneak this week. We'll be back Sunday evening. This newsletter is written in Smart Brevity®. Learn how your team can communicate in the same smart, clear style with Axios HQ.   Axios thanks our partners for supporting our newsletters. Sponsorship has no influence on editorial content. Axios, 3100 Clarendon B‌lvd, Suite 1300, Arlington VA 22201   You received this email because you signed up for newsletters from Axios. Change your preferences or unsubscribe here.   Was this email forwarded to you? Sign up now to get Axios in your inbox.   Follow Axios on social media: