Tuesday, November 16, 2021

A victory lap and a reality check

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POLITICO Playbook

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

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DRIVING THE DAY

It was all smiles and selfies at the White House on Monday as Democrats celebrated passage of the bipartisan infrastructure deal. But rising voter concern about inflation has cast a pall over President JOE BIDEN's victory lap.

The White House has tried to frame the president's agenda as a long-term answer to inflation. A pair of stories this morning in POLITICO, however, underscores why those claims are probably wishful thinking.

1) BIDEN'S 'EMPTY INFLATION TOOLBOX.' Jeff Greenfield lays out how inflation has "kneecapped" past presidents again and again — and they've been unable to do anything about it. "Presidents have almost no power to ease the pain of inflation, and the voting public cuts presidents no slack at all because of that impotence," he writes.

JOHN F. KENNEDY and LYNDON B. JOHNSON tried to "jawbone" companies and unions to hold down wage and price increases, to no avail. RICHARD NIXON imposed a 90-day freeze on wages and prices; inflation nevertheless spiraled to 11% by mid-1974. GERALD FORD tried to address double-digit inflation with pep rallies and feel-good rhetoric calling for farmers to plant more crops, or vowing to prosecute any price fixing. It didn't work.

And JIMMY CARTER's attempt to lower prices — by appointing a Fed chair who led a historic tightening of money supply — led to "a recession more severe than any since the Great Depression." Read Greenfield's tough history lesson for Biden here

2) 2022 GOP HOPEFULS LATCHING ONTO INFLATION. Economics reporter Megan Cassella reports this morning that inflation is shaping up to be the wedge issue of the midterms. Republicans are having a heyday with Democrats' claim that spending trillions of taxpayer dollars will help stabilize the prices of gasoline and consumer goods. A few choice quotes from the piece:

— "People are seeing that my opponent is supporting trillions and trillions in new spending," TOM KEAN JR., a New Jersey state Republican lawmaker who is running against Rep. TOM MALINOWSKI (D-N.J.), told Cassella. "They understand that's out of control, and the creation of these new areas of growth in government is way too expensive, unsustainable and the wrong direction to go."

— "Our voters are nervous about this government spending and the impact that it's having on inflation, and especially because of the Build Back Better legislation that is coming through," MONICA DE LA CRUZ, a Republican running in South Texas for an open seat, said. "The Democrats are in control of the White House. They're in control of the House [and voters] see it as their fault that the cost of gas and the cost of groceries is increasing and putting an undue burden on Americans."

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At the NYT, Michael Shear writes about reality setting in for Biden after his bipartisan win. It's not just inflation. It's about his low approval ratings, fears of losing both chambers of Congress next fall and united GOP opposition to basically anything he does from here on out.

"The president and his aides are hoping that the highly choreographed event will begin to allow Mr. Biden to find his footing," Shear writes. "But the president and his top advisers also understand the uncertainty in the country's deeply polarized electorate, the difficult battles yet to come on Capitol Hill and the often fleeting nature of political victories in the age of 280-character messages on Twitter and vanishing stories on Instagram.

"Will Monday's victory be the steppingstone that Mr. Biden needs for a political turnaround, proving to voters that they got what they expected when they put him in office last year? Or will it be a blip in time, destined to be quickly forgotten among the Washington rancor that is on the way in the days ahead?"

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

FIRST IN PLAYBOOK — The paid leave portion of the Dems' reconciliation bill has been on a roller coaster. A robust 12-week version of the plan was included in their original budget. It eventually met the fate of Sen. JOE MANCHIN's (D-W.Va.) knife and was dropped from the bill. (It was not included in the framework released by the White House in late October.) At the last minute Speaker NANCY PELOSI added a four-week version back into the House bill that is scheduled to be voted on this week. But Manchin has not dropped his opposition, and the plan may be removed in the Senate to secure his vote.

Supporters of the policy are quick to point out that paid leave is one of the most popular planks in the bill. The latest addition to a wealth of polling on the issue is targeted squarely at Manchin and his colleagues: a memo from Global Strategy Group for the Paid Leave for All Campaign detailing new survey data in eight Senate battleground states that claims "key Senate races can be won or lost on paid leave." Read the full memo here

 

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BIDEN'S TUESDAY:

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

— 11:15 a.m.: Biden will depart the White House en route to North Woodstock, N.H., where he is scheduled to arrive at 1:45 p.m.

— 2:25 p.m.: Biden will deliver remarks on the bipartisan infrastructure package.

— 3:25 p.m.: Biden will depart North Woodstock to return to the White House, where he is scheduled to arrive at 6:25 p.m.

VP KAMALA HARRIS' TUESDAY: The VP will deliver remarks at the Tribal Nations Summit at 4:40 p.m.

Deputy press secretary ANDREW BATES will gaggle aboard Air Force One on the way to New Hampshire.

THE HOUSE will meet at 10 a.m. SBA Administrator ISABEL GUZMAN will testify before the Small Business Committee at 10 a.m.

THE SENATE will meet at 10 a.m. to take up GRAHAM STEELE's nomination to be an assistant Treasury secretary. At 11:30 a.m., the Senate will vote on his nomination and on the motion to invoke cloture on the nomination of ROBERT BONNIE to be Agriculture undersecretary for farm production and conservation. The Senate will recess from 12:30 p.m. to 2:15 p.m. to allow for the weekly conference meetings, and at 2:30 p.m., if cloture has been invoked, the Senate will vote on confirmation of the Bonnie nomination.

 

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PLAYBOOK READS

Assistant District Attorney Thomas Binger holds Kyle Rittenhouse's gun as he gives the state's closing argument in Kyle Rittenhouse's trial at the Kenosha County Courthouse in Kenosha, Wis., on Monday, Nov. 15

PHOTO OF THE DAY: The lead prosecutor in Kyle Rittenhouse's murder trial holds the teenager's gun in a demonstration during closing arguments Monday. | Sean Krajacic/The Kenosha News via AP, Pool

(IR)RECONCILABLE DIFFERENCES

ANOTHER FRIDAY FROM HELL? — Tough luck if you're a House staffer or reporter. The lower chamber looks like it could be headed for yet another late-night Friday — or weekend session — as Pelosi lays down the latest edict on Build Back Better: No Thanksgiving break until the House passes the bill.

The CBO said Monday it will release its full score of the package by Friday; a number of moderate Democrats have said they need to see those numbers before voting on the bill. As our Hill team reports, Democrats hope they could see this score as soon as Thursday. But Assistant Speaker KATHERINE CLARK (D-Mass.) told reporters that if worse comes to worst, they could see a Saturday session.

CONGRESS

GOSAR CENSURE ON THE TABLE — Pelosi's leadership team is considering censuring Rep. PAUL GOSAR (R-Ariz.) for promoting an anime video showing Rep. ALEXANDRIA OCASIO-CORTEZ being killed (D-N.Y.). Heather Caygle and Nicholas Wu report that nothing's been decided, but there's also been talk among senior Democrats of voting to strip Gosar of his committee assignments. The moves come after House Minority Leader KEVIN MCCARTHY said he spoke with Gosar about the video but did not punish him. The vote would force GOP lawmakers to choose between standing by a colleague who seemingly promoted violence against a member of Congress and siding with AOC.

A NEW HOUSE FREEDOM CAUCUS CHAIR — Olivia Beavers scooped that the HFC board elected Rep. SCOTT PERRY (R-Pa.) to take the helm of the conservative group that could determine whether McCarthy becomes speaker if Republicans win the House. Perry was instrumental in pushing DONALD TRUMP's Justice Department to intervene in the 2020 election and stop the peaceful transfer of power. At the same time, Perry is considered among the tamer members of the group, which has increasingly embraced conspiracies and been dominated by the MARJORIE TAYLOR GREENES and LAUREN BOEBERTS of the world.

Fortunately for McCarthy, Perry has long been considered close with Rep. JIM JORDAN (R-Ohio), who has privately sought to distance himself from HFC. And with Jordan already backing McCarthy for speaker, it will be interesting to see whether Perry as HFC chief helps the GOP leader achieve his ambition to become speaker.

ALL POLITICS

FIRST IN PLAYBOOK, via Holly Otterbein: Last week, we told you that progressives want payback because Buffalo, N.Y., Mayor BYRON BROWN trounced socialist INDIA WALTON in a write-in campaign after she defeated him in the Democratic primary. LARRY COHEN, chair of the BERNIE SANDERS-founded group Our Revolution, is leading an effort to oust Brown from his post on the DNC.

Now establishment Democrats are hitting back: Political operative CHARLIE KING, who previously served as executive director of the New York Democratic Party, is out with a scathing 1,000-word statement about Cohen. He accused Cohen of being "almost Trumpian," "acting like the party boss he professes to abhor," and "using his considerable strength within the Democratic Party to weaken Black power." (Both Brown and Walton are Black.)

Cohen's response: "The issue is simple — is Charlie King now saying that it's fine for Ds to run against the primary winner, and in this case with big money support from Ds and Rs?"

 

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TRUMP CARDS

DOLING OUT THE ENDORSEMENTS — Trump endorsed GOP Rep. ALEX MOONEY "in the member-vs.-member primary in West Virginia over GOP Rep. DAVID MCKINLEY, who recently voted for the new infrastructure law," Ally Mutnick writes.

The move falls in line with other endorsements Trump's made, as McKinley "has defied the former president in a few key votes over the last year. He voted against objections to the 2020 election results in Arizona and Pennsylvania and backed an independent commission to investigate the Jan. 6 attack on the Capitol."

— Trump also endorsed JOHN GIBBS, who is running against GOP Michigan Rep. PETER MEIJER. Meijer "was one of the 10 House of Representatives Republicans to vote to impeach Trump earlier this year." More from Reuters

AMERICA AND THE WORLD

HE SAID, XI SAID — Biden and Chinese President XI JINPING finally held a long-awaited virtual meeting Monday, and the two struck a friendly tone — at least from the initial reports. "'It seems to me our responsibility as leaders of China and the United States is to ensure that the competition between our countries does not veer into conflict, whether intended or unintended,' Mr. Biden said shortly before 8 p.m. ET, speaking to his counterpart via video," WSJ's Alex Leary, Gordon Lubold and Andrew Restuccia report . "Mr. Xi called Mr. Biden, the former vice president, his 'old friend,' and said he wants the U.S. and China to 'coexist in peace.' … The public comments before a closed-door discussion expected to last several hours reflected an effort by both sides to tamp down on hostilities that have marked the relationship since Mr. Biden took office in January."

MEDIAWATCH

TOP-ED — Bill Grueskin, a professor of professional practice and former academic dean at Columbia Journalism School, writes for NYT Opinion about how reporters and editors mishandled the Steele dossier: "Newsrooms that can muster an independent, thorough examination of how they handled the Steele dossier story will do their audience, and themselves, a big favor. They can also scrutinize whether, by focusing so heavily on the dossier, they helped distract public attention from Mr. Trump's actual misconduct. Addressing the shortcomings over the dossier doesn't mean ignoring the corruption and democracy-shattering conduct that the Trump administration pushed for four years. But it would mean coming to terms with our conduct and whatever collateral damage these errors have caused to our reputation."

 

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PLAYBOOKERS

MAKING LIGHT OF EXILE — Liz Cheney called out to John Katko on the House floor Monday night: "Hey, it's the RINO!" she said, nodding at the shellacking he's taking from Donald Trump for backing BIF. "Takes one to know one," Katko shot back. (h/t Daniel Flatley)

Meanwhile, AP reports that the Wyoming Republican Party is no longer recognizing Cheney as a Republican.

Peter Navarro unloaded on Kevin McCarthy for allowing the Jan. 6 committee to be composed of all Democrats and Trump critics. "Kevin McCarthy made arguably the dumbest checkers move in a chess game I've ever seen," Navarro told Yahoo News' Jon Ward after Steve Bannon surrendered to authorities Monday. "He lost control."

David Schweikert, Republican congressman from Arizona, overheard talking on his cellphone in the Capitol on Monday: "You know, sometimes it's hard to express how much I hate this place." (h/t Andew Solender)

Don Young, Republican congressman from Alaska, on a hot mic at a cold BIF signing ceremony, speaking to Joe Biden : "We were wondering when you were gonna stop. We damn near froze to death."

Biden, at the signing ceremony, called Kyrsten Sinema "Kristin" — twice.

Stacey Abrams didn't say "no" when Erin Burnett asked her whether she'd run for president in 2024 if Biden does not.

SPOTTED at an event for the Migration Policy Institute's 20th anniversary on Monday with a reception at Planet Word Museum: DHS Secretary Alejandro Mayorkas, International Organization for Migration Director General Antonio Vitorino, EU Ambassador Stavros Lambrinidis, Canadian Ambassador Kirsten Hillman, Spanish Ambassador Santiago Cabanas, Guatemalan Ambassador Alfonso Quiñónez and Michael Chertoff.

SPOTTED at an early screening of "King Richard" and Q&A with Venus Williams at the National Museum of African American History and Culture on Monday night: Rep. Joaquin Castro (D-Texas), Symone Sanders and Shawn Townsend, Jonathan Capehart and Nick Schmit, Abby Phillip, Tammy Haddad, Patrick Steel and Lee Satterfield, Charlie Rivkin, Kevin Young, Doug Williams, April Ryan, Mark Ein, Michael Falcone, Cathy Merrill Williams, Carol Melton, Adrienne Elrod, Amy Jeffress and Christopher Cooper, D.C. A.G. Karl Racine and David Leiter.

FIRST IN PLAYBOOK — Kara Voght is joining Rolling Stone as politics reporter. She previously was a politics reporter at Mother Jones.

We have the first look at photos of Harry Hamlin as Tom Brokaw in the new Nat Geo limited series "The Hot Zone: Anthrax," which is inspired by the events of the 2001 anthrax attacks and recounts Brokaw's role as both a target and an influential figure in getting the FBI to take the threats to the press seriously. It premieres Nov. 28. Pic Another pic

American University's Sine Institute of Policy & Politics is announcing its next group of spring fellows: former HUD Secretary Julián Castro, former Rep. Barbara Comstock (R-Va.), Richard Fontaine, Michele Norris, Mustafa Santiago Ali and Shannon Watts.

STAFFING UP — The White House announced several new nominations, including Elizabeth Richard as coordinator for counterterrorism at the State Department and Robert Storch as inspector general at the Department of Defense.

— Karen Friedman has been appointed director of criminal justice innovation, development and engagement at DOJ, per Jewish Insider.

TRANSITIONS — Will Baskin-Gerwitz is now comms director for Sen. Chris Coons (D-Del.). He previously was a regional press secretary for the DNC, and is a Joe Donnelly alum. … Mike Gill is joining the Housing Policy Council as SVP of capital markets. He previously was chief of staff, head of strategy and SVP at Common Securitization Solutions. …

Morning Consult is adding Jessica Cuellar as managing director for content operations (previously at POLITICO), Amy He as deputy team lead in the analyst division (previously at Reid & Wise), Amy Cesal as senior director of design: data visualization (previously at the GSA), Brenna Thanner as media partnerships manager (previously at Fox News), Anna Rose Pardue as comms manager (previously at Red Fan Communications) and Mel Robb as social media coordinator.

HAPPY BIRTHDAY: Reps. Eric Swalwell (D-Calif.), Beth Van Duyne (R-Texas) and Scott Fitzgerald (R-Wis.) … Hannah Hankins of Barack Obama's office … Matt Brooks of the Republican Jewish Coalition … Lisa Camooso Miller of Reset Public Affairs … Elizabeth Drew … CNN's Fredreka SchoutenCarly Coakley of Seven Letter … Kevin HerzikAdrienne Schweer … Heritage's Ken McIntyreEmily Ackerman of Rep. Guy Reschenthaler's (R-Pa.) office … Melissa WinterKathy Gilsinan of The Atlantic … Zerlina Maxwell of Peacock, MSNBC and Sirius XM (4-0) … Mike Reynard Shanti Shoji Jennifer GiglioDavid Pepper … GMMB's Madalene MilanoTim KeatingMichael Smith of the My Brother's Keeper Alliance … Timothy Lowery Jay Newton-SmallJames JoynerSeth Obed Michelle Nunn of CARE USA … Oliver-Ash Kleine David Peikin of Bloomberg Industry Group (5-0) … Dylan Lizza

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