News: The backstory on David Corn’s Manchin scoop

Thursday, October 21, 2021

The backstory on David Corn’s Manchin scoop

Oct 21, 2021

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By Ryan Lizza, Eugene Daniels, Tara Palmeri and Rachael Bade

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DRIVING THE DAY

The JOE MANCHIN news that shook Washington on Wednesday was David Corn's report in Mother Jones that the West Virginia senator is considering motoring his houseboat out of the Democratic dock:

"In recent days, Sen. Joe Manchin (D-W.Va.) has told associates that he is considering leaving the Democratic Party if President JOE BIDEN and Democrats on Capitol Hill do not agree to his demand to cut the size of the social infrastructure bill from $3.5 trillion to $1.75 trillion, according to people who have heard Manchin discuss this. Manchin has said that if this were to happen, he would declare himself an 'American Independent.' And he has devised a detailed exit strategy for his departure."

A rather angry Manchin told our Burgess Everett that Corn's story was "bullshit."

We talked to Corn on Wednesday night and came away with the impression of a reporter who is 1,000% sure his story was correct.

"The sourcing was impeccable," Corn said. "Even if he had told me it was bullshit the story still would have run."

Corn contacted Manchin's office early Wednesday telling his press secretary that he had a time-sensitive story and wanted to make sure he had a good Manchin contact who could respond. Manchin's press secretary asked the reporter to send it to her.

At around 10:30 a.m., Corn sent her an email outlining what he would be reporting. No response.

At noon he followed up. "I said we are going to post soon, will you be getting back to me," Corn told Playbook. "And silence — crickets."

We've known Corn for a long time and we trust him. We've known his scrupulous editor Clara Jeffery for even longer. (Full disclosure: One of us was her intern in 1997!) Corn and Mother Jones did not invent this. Manchin clearly told someone the account that Corn relayed in his piece.

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Why now? We've heard several theories that this was a strategic leak. Some say it was designed to reduce Manchin's leverage in the reconciliation talks by making him seem desperate.

"I'm just wondering if Joe is blowing off some steam to someone or whether someone planted the story to put pressure on Joe," a friend of the senator told Playbook. "He hasn't talked about leaving the party in a very long time. And he's just not in a desperate situation. He's feeling like he's holding all the cards."

Conversely, others say the story was meant to increase Manchin's leverage by scaring Democrats. A Manchin exit from the Democratic Party would be hugely embarrassing for Biden. (Though, as several of Manchin's Senate colleagues told us, even if Manchin became an independent it doesn't necessarily mean that he wouldn't caucus with the Democrats.)

But our best (informed) guess is that it was neither — that this story, like many good scoops, fell into Corn's lap without any Machiavellian strategy behind it.

FWIW, we couldn't help notice that both Corn and Manchin were spotted circulating at the same party Monday night at the French ambassador's residence, where Steve Clemons was being honored with France's Legion of Honor.

Manchin Democratic Party exit rumors seem to spike once a season, and they've been circulating recently. Even the most plugged-in operatives don't completely discount the idea that Manchin may have discussed the idea. For instance, when we asked a senior White House official about the Corn report, the person replied, "It's all been kicking around. Who knows."

Good Thursday morning, and thanks for reading Playbook. Drop us a line: Rachael Bade, Eugene Daniels, Ryan Lizza, Tara Palmeri.

JOIN US — Biden's ambitious domestic agenda is in political limbo as the White House tries to reach a deal among congressional Democrats to vote on a bipartisan infrastructure bill. Sen. MARK WARNER (D-Va.), who helped write the bill, will join Ryan on Wednesday at 9:30 a.m. for a live interview to discuss the fate of Biden's legislative agenda, including the more comprehensive reconciliation package as well as Virginia's tight gubernatorial race and what its outcome could mean for the Democratic Party. Sign up here

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BIDEN'S THURSDAY:

— 9:30 a.m.: The president will receive the President's Daily Brief.

— 11:55 a.m.: Biden and VP KAMALA HARRIS will deliver remarks at the 10th-anniversary celebration of the dedication of the Martin Luther King Jr. Memorial.

— 6:45 p.m.: Biden and first lady JILL BIDEN will depart the White House en route to Baltimore, where they are scheduled to arrive at 7:05 p.m.

— 8 p.m.: The president will participate in a CNN town hall.

— 10:10 p.m.: The president and first lady will depart Baltimore to return to the White House, where they are scheduled to arrive at 10:30 p.m.

HARRIS' THURSDAY: The VP will also deliver remarks at a voter mobilization event for TERRY MCAULIFFE's campaign at 6:40 p.m. in Dumfries, Va.

Principal deputy press secretary KARINE JEAN-PIERRE will brief at 2 p.m.

THE HOUSE will meet at 10 a.m. and at noon will take up a vote on finding STEVE BANNON in criminal contempt of Congress, with first votes expected between 1:30 p.m. and 2:15 p.m. and last votes expected between 3:30 p.m. and 4 p.m. A.G. MERRICK GARLAND will testify before the Judiciary Committee at 10 a.m. Speaker NANCY PELOSI will hold her weekly press conference at 10:45 a.m. House Minority Leader KEVIN MCCARTHY will hold his at 11:30 a.m.

THE SENATE will meet at 10 a.m. to consider TANA LIN's judicial nomination. At 10:30 a.m., the Senate will vote on cloture for Lin's nomination, followed by a cloture vote on DOUGLAS PARKER's nomination to be assistant Labor secretary for occupational safety and health, and a cloture vote on MYRNA PEREZ's judicial nomination. At 1:45 p.m., if cloture is invoked on the Lin nomination, the Senate will vote on confirmation.

INTRODUCING CONGRESS MINUTES: Need to follow the action on Capitol Hill blow-by-blow? Check out Minutes, POLITICO's new platform that delivers the latest exclusives, twists and much more in real time. Get it on your desktop or download the POLITICO mobile app for iOS or Android. GET A FIRST LOOK AT CONGRESS MINUTES HERE.

PLAYBOOK READS

VP Kamala Harris is pictured.

PHOTO OF THE DAY: VP Kamala Harris addresses the press after a voting rights bill failed to pass the Senate on Wednesday. | Andrew Harnik/AP Photo

RECONCILIATION ROUNDUP

"It's a 9-way teeter totter."

That was a senior White House official's description Wednesday night of the complex negotiations right now to assemble the Democrats' social services bill. Every attempt to lift up the priority of one party faction ends up crashing another faction's pet project into the dirt.

On Tuesday, Democrats left meetings in the Oval Office excited by much of the framework Biden outlined. By Wednesday night, the complaints and threats were piling up.

TAX TROUBLES: According to the WSJ's Andrew Duehren, Richard Rubin and Kristina Peterson, Sen. KYRSTEN SINEMA (D-Ariz.) has told lobbyists she "continues to oppose any increase in marginal rates for businesses, high-income individuals or capital gains."

WaPo's Tony Romm, Seung Min Kim, Marianna Sotomayor and Jeff Stein report that the White House is resorting to a tax policy Plan B to satisfy Sinema:

"White House officials told Democrats during a private video meeting Wednesday that they now believe they can adopt only a more scaled-back plan that targets the ultrawealthy, including tax increases on billionaires and companies when they repurchase their own stock."

Romm and Stein, in a separate report on the new tax ideas, note, "The potential shift still left some Democrats uneasy, especially since top party lawmakers had pledged for months to finance their new spending through new taxes on corporations and others that they argued had failed to pay their fair share."

Burgess Everett and Heather Caygle note that tax policy, like climate and prescription drug pricing reform, is another policy where Sinema and Manchin are at odds, making a deal that satisfies both of them more complex: "Though Sen. Joe Manchin (D-W.Va.) has advocated raising rates on high-income earners, corporations and capital gains, Sinema has landed to the right of Manchin on tax policy."

Democrats are increasingly frustrated that Sinema opposes two of the party's most popular policies — lowering prescription drug prices by allowing Medicare to negotiate with pharmaceutical companies and raising taxes on the wealthy, not just the ultrawealthy, and corporations:

— "On PhRMA and on revenue, I'm struggling to really grasp what her endgame is. But she insists: 'I will get there, I'm not going to tank this. I will work out something,'" said one Democratic senator, addressing Sinema on condition of anonymity.

— "If we talk about people paying their fair share of taxes — which they're whittling down in order to get two people's vote — I don't blame Manchin or Kyrsten. I blame Schumer," Rep. BILL PASCRELL (D-N.J.) yelled in anger after the Ways and Means lunch.

AIRING OF GRIEVANCES: Sarah Ferris, Nicholas Wu and Burgess Everett round up some of the complaints coming from Democrats:

— Rep. ROSA DELAURO (D-Conn.) is angry that Biden wants to renew the Child Tax Credit for just a year: "A one-year extension is a mistake, and I think that it is very harmful to the country," she said.

— "House Financial [Services] Committee Chair MAXINE WATERS (D-Calif.) told reporters she's been 'working very hard' to preserve housing programs in the package: 'I am putting a lot of heat on, to say, this is the basis for everything.'"

— Even Pelosi seemed irked with the cuts floated by Biden on paid leave and tuition-free community college, the trio report:

"News to me," Pelosi said when asked about those programs being scaled back. "That's not a decision."

SALTY MODS: Sarah, Heather and Burgess (do they sleep?) also note that Biden created a panic among moderates when he suggested to them that a restoration of the state and local tax deduction wouldn't make the final bill. On this one, Schumer is coming under fire:

— "We were moving toward a solution on that when all of a sudden Schumer took over the discussion," Pascrell said. "He became a puppy. And you can't be a puppy now, this is hard stuff."

— After a long day of seeking clarifications, Rep. JOSH GOTTHEIMER (D-N.J.) said in a statement, "I remain confident that SALT will be included in the final bill."

BIDEN-OLOGY: WaPo's Annie Linskey, Sean Sullivan and Matt Viser have a slightly more rosy picture of Biden's efforts this week, zeroing in on the fact that the president is getting more into the weeds of the negotiations:

"In private meetings with members of Congress this week, Biden outlined particular trade-offs, explaining for example that he wants universal prekindergarten care rather than free community college tuition, citing research that shows money spent on younger children has more impact.

"He has floated the idea of giving seniors a debit card loaded with $800 to spend on dental benefits as part of an expansion of Medicare. He has revealed that he's feeling pressure from his wife, Jill, who teaches at a local community college, to push for higher-education spending, joking that otherwise he would have to find somewhere else to sleep.

For most of the year, mainstream media coverage has focused on Biden as FDR, but the current phase of lowered expectations has reporters reaching for LBJ analogies. NYT's Michael Shear, Emily Cochrane and Jim Tankersley portray a president "paring back his ambitions" as he plays the roles of "a mediator, a listener and at times an exasperated negotiator."

It's hard not to notice that the major changes to Biden's sweeping policies are coming from the kind of corporate interests he promised to tame. Drugmakers are scuttling his health care promises, coal and natural gas interests are neutering his climate goals, and corporate America is rebelling against his tax hikes. In a trip with Biden to his hometown, Natasha Korecki nicely captures the collision of Scranton Joe's campaign populism with the reality of Park Avenue's priorities.

JUST DON'T CALL IT DISARRAY: The reconciliation sausage-making is freaking out Dems in charge of winning elections.

In Virginia, Zach Montellaro and Elena Schneider report on a "creeping sense of worry among Democrats" after "a new Monmouth University poll showing former Democratic Gov. Terry McAuliffe deadlocked with Republican GLENN YOUNGKIN less than two weeks before Election Day." Elena also looks this morning at how the Virginia gubernatorial is a precious opportunity for the GOP to regain ground in the suburbs after Republicans "spent every election of the Trump era hemorrhaging" voters there.

Meanwhile Chris Cadelago reports that Democratic operatives in charge of Senate races next year are panicking:

"In a private presentation to allies this week, Senate Democrats' main super PAC offered ominous warnings about the political climate the party faces. … The last slide in a deck reviewed by POLITICO showed that one of the party's most popular policy planks remained allowing Medicare to negotiate drug prices.

"'And we are going to end up leaving [that] out of the [reconciliation] bill,' the person said."

IF YOU ARE A DEM IN DISARRAY THIS MULTIPLE-CHOICE QUIZ FROM THE WHITE HOUSE MIGHT MAKE YOU FEEL BETTER — A senior White House official offered Playbook this thought experiment to put things in perspective:

"Go in a time machine. It's Jan. 1, 2021. Someone tells you Joe Biden is going to pass $1.9 trillion ARP, $1.2 trillion infrastructure, $1.8 BBB — more than FDR and LBJ combined — in his first year.

"Do you say:

1. Wow he really got his BBB plan cut back dramatically. It's a hobbled initiative
2. No f-Ing way
3. But of course."

Then the official added: "But also it all could still blow up."

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JAN. 6 AND ITS AFTERMATH

BANNON SHOWDOWN — The full House will vote today whether to hold Bannon in criminal contempt for defying a subpoena from the Jan. 6 select committee. If the vote passes, as expected, the issue would go to the U.S. Attorney's Office that decides whether or not to prosecute.

As Kyle Cheney and Olivia Beavers write, the committee is "betting a Bannon-Trump conversation on Dec. 30 and Bannon's Jan. 5 meeting with other figures of interest at D.C.'s Willard Hotel hold clues to [DONALD] TRUMP'S awareness of the prospect for Jan. 6 violence. … 'Every insurrection needs a headquarters,' said Rep. JAMIE RASKIN (D-Md.), a member of the Jan. 6 select committee, when asked about the significance of the Willard meeting."

THE PANDEMIC

MIX AND MATCH — FDA approved booster shots for those who received two doses of the Moderna and one of the Johnson & Johnson coronavirus vaccines, giving the go-ahead to millions nationwide, NYT's Noah Weiland and Sharon LaFraniere report.

HOW WILL CITIES EMERGE FROM COVID? — In the latest installment of POLITICO's Recovery Lab series, out today, Eric Scigliano, Renuka Rayasam and Annette Choi look at how big and small American cities were affected by the pandemic, and what's to come for them with the end nearing. It's a very rich and revealing report. Check out the cover page here.

MEDIAWATCH

FOX NEWS VS. DEVIN NUNES — CNN's Reliable Sources newsletter scooped Wednesday night that 35 prominent news companies, journalists, and professional organizations — including, most notably, Fox News — are lining up against Rep. DEVIN NUNES (R-Calif.) in the Republican's lawsuit against our own Ryan Lizza and his former employer, Hearst Magazine. The organizations signed an amicus brief asking the 8th Circuit Court of Appeals to reconsider its September decision to partially revive Nunes' lawsuit, which a lower court had tossed out. The media companies write that the recent ruling would alarmingly "lower the bar" for public officials "to state claims for defamation and encourage the filing of meritless defamation lawsuits by imbuing them with the power to stop subsequent critical speech."

WaPo's Erik Wemple had a good summary of the case and the ruling after it was issued. The short version: The court ruled that tweeting a link to an old story can be considered "republication" for the purposes of lodging a defamation claim. The wide array of news organizations getting involved — from legacy outlets like the NYT, AP and WSJ to newer entities like Vox Media, ProPublica and Vice to non-traditional publishers like Substack — indicates how seriously major media players regard the outcome of the case. The media brief argues that if not reversed, the 8th Circuit's ruling "threatens to upend how information is disseminated and sourced," "drastically reduce the flow of information to the public," and "significantly chill protected speech." Read the amicus brief here

DONALD TRUMP VS. JASON MILLER — Trump announced a new media venture Wednesday night that he said will include a new social media platform — one that if it actually materializes would put him in direct competition with a longtime confidante. GETTR, the Twitter alternative for the MAGA crowd founded by former Trump aide Jason Miller, has been up and running for months. But now the former president is coming for GETTR. The new Trump Media & Technology Group is planning to launch Truth Social, which is already available for pre-order in the Apple App Store.

Miller texted Playbook to note that while he tried to recruit his former boss to invest in GETTR, "we just couldn't come to terms on a deal." But no hard feelings, apparently. "Congratulations to President Trump for re-entering the social media fray!" Miller said.

The NYT offered this reality check about the Trump press release: "The details of Mr. Trump's latest partnership were vague. The statement he issued was reminiscent of the kind of claims he made about his business dealings in New York as a real estate developer. It was replete with high-dollar amounts and superlatives that could not be verified."

BECOME A GLOBAL INSIDER: The world is more connected than ever. It has never been more essential to identify, unpack and analyze important news, trends and decisions shaping our future — and we've got you covered! Every Monday, Wednesday and Friday, Global Insider author Ryan Heath navigates the global news maze and connects you to power players and events changing our world. Don't miss out on this influential global community. Subscribe now.

PLAYBOOKERS

Gavin Newsom says he's "never" contemplated running for president: "Who needs the damn stress?"

Paris Hilton's and Adam Schiff's worlds collided in the Capitol, where she advocated for reforms to prevent abuse of children in treatment facilities.

Meghan Markle is throwing herself into the reconciliation talks, pressuring Democrats not to back away from paid family leave.

Kamala Harris yelled "surprise" at her own birthday party.

Neil Cavuto has Covid-19 and said his situation — he has multiple sclerosis and other health issues — would be "far more dire" had he not been vaccinated.

Joe Biden showed up in the press cabin of Air Force One for the first time.

OUT AND ABOUT — Scott Stapp of Creed played a fundraiser show for Rep. Mike Waltz (R-Fla.) at Pearl Street Warehouse on Wednesday night. Also SPOTTED: House Minority Whip Steve Scalise (R-La.), Reps. Nancy Mace (R-S.C.), Rodney Davis (R-Ill.), Byron Donalds (R-Fla.), Scott Franklin (R-Fla.), Lisa McClain (R-Mich.), John Rutherford (R-Fla.), Neal Dunn (R-Fla.), John Joyce (R-Pa.), William Timmons (R-S.C.) and Diana Harshbarger (R-Tenn.), Alex deGrasse, Michael Abboud, Tyler Houlton, Janette Nesheiwat and Julia Nesheiwat.

— At a party for Fiona Hill's new book, "There Is Nothing for You Here: Finding Opportunity in the Twenty-First Century" ($30), hosted by Molly Levinson, Josh Wachs, Lee Wolosky and Amy Foote on Wednesday night at Molly and Josh's house, Hill referenced George Orwell's famous quote, "In times of universal deceit, telling the truth is a revolutionary act." She told the crowd, "We are all revolutionaries." SPOTTED: Frank Foer and Abby Greensfelder, Dana Bash, Natasha Bertrand, Jamie Kirchick, Jeremy Bash, Daniel Lippman, Sophia Narrett, Melissa Moss, Fred Hiatt, Margaret Brennan, Ruth Marcus, Julianna Goldman, Kelly O'Donnell, Michele Kelemen and Ellen Nakashima.

— Engage, a bipartisan nonprofit promoting economic security for women, had a reception Wednesday at the American Pharmacists Association. SPOTTED: Sen. Deb Fischer (R-Neb.), Rep. Stephanie Murphy (D-Fla.), DJ Mad Marj (Marjorie Gubelmann), Rachel Pearson, Mickey Guyton, Alexandra Huynh, Linda Tarplin, DK Bartley, Nancy LeaMond, Jennifer Griffin, Kristi Rodgers, Nathan Daschle, Joe Hack, Amy Baier, Giovanna Gray Lockhart, Betsy Fischer Martin, Elizabeth Thorp, Susanna Quinn and Tammy Haddad.

FIRST IN PLAYBOOK — The Atlantic Council will award its 2021 Distinguished Leadership Awards to European Commission President Ursula von der Leyen, Dua Lipa, Pfizer Chair and CEO Albert Bourla and BioNTech co-founders Uğur Şahin and Özlem Türeci. A gala will be held at the Andrew W. Mellon Auditorium on Nov. 10.

TRANSITIONS — Shawn Townsend and Jonathan Carvalho are joining the Dewey Square Group. Townsend will be on the state and local affairs and multicultural strategies team and previously was D.C. Mayor Muriel Bowser's director of nightlife and culture. Carvalho will be in the comms practice and previously was deputy chief of staff and press secretary to New Bedford, Mass., Mayor Jon Mitchell. …

… Ayshia Connors is joining the Madison Group as director of government relations. She most recently was president of Saratoga Strategy Group, and is a Brian Fitzpatrick, Rob Woodall, Mia Love and RNC alum. … Caroline Knox Burns is now CFO at the American Council of Engineering Companies. She most recently was CFO at the American Directions Research Group.

WEEKEND WEDDING — Adam Elias, head of government affairs at Barclays, and Julia Tishman, VP of government relations at Blackstone, got married Saturday at the Plaza Hotel. The two were introduced by a mutual friend at a happy hour at Joe's in August 2017. Pic … Another pic

HAPPY BIRTHDAY: Rep. Ted Budd (R-N.C.) (5-0) … Hope Hicks … NYT's Mikayla Bouchard … Cate Martel of The Hill … Bob Charrow of Greenberg Traurig … AT&T's Kim Hart … POLITICO's Ben Lefebvre, Rachel Jongerius and Victoria Blinn … Hannah Edwards … Eric Heighberger of the House Homeland Security GOP … Kaitlyn Dwyer of Rep. Jody Hice's (R-Ga.) office … Dafna Linzer … Jamari Torrence of Sen. Raphael Warnock's (D-Ga.) office … Megan Smith of shift7 … NBC's Anna Schecter Zigler … Alison Baker of Straus/Baker … Matt Ide of Rep. Mary Miller's (R-Ill.) office … NSC's Nimita Uberoi … Joe Franco of the Advocacy Association … Charlie Joughin of the First Five Years Fund … Dan Simon … J. A. Green & Company's Andrew Tabler … Mark Glaze … Jon Rawlson ... Wilson Baldwin ... Mike Fazzino ... Jonathan Poe … Kathleen Porter … Edelman's Alex Abrahamson … Brian Doory … former Rep. Pat Tiberi (R-Ohio) … NYT's Taylor Lorenz

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