Saturday, November 9, 2024

The ‘deep state’ prepares to get Trumped

Presented by the Pharmaceutical Care Management Association: The unofficial guide to official Washington.
Nov 09, 2024 View in browser
 
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By Eugene Daniels and Rachael Bade

Presented by 

the Pharmaceutical Care Management Association

With help from Eli Okun, Garrett Ross and Bethany Irvine

DRIVING THE DAY

CALLED OVERNIGHT — DONALD TRUMP wins Nevada. Sen. JACKY ROSEN (D-Nev.) wins reelection, as do Reps. DON BACON (R-Neb.) and ANDREA SALINAS (D-Ore.). Democrat LATEEFAH SIMON claims the Oakland-based seat of retiring Rep. BARBARA LEE (D-Calif.).

TRANSITION LENSES — A huge question that has been swirling around a potential Trump administration for months is what exactly his transition would look like: Campaign insiders had pledged that Trump would break decades of precedent and skip the usual protocols of coordinating with the General Services Administration to ease the handover process over concerns about leaks and donor transparency.

But as our colleague Hailey Fuchs scoops this morning, it appears that the Trump team might come to terms with the GSA after all. Said transition spokesperson BRIAN HUGHES: “The Trump-Vance transition lawyers continue to constructively engage with the Biden-Harris Administration lawyers regarding all agreements contemplated by the Presidential Transition Act. We will update you once a decision is made.”

On the other hand: NYT’s Ken Bensinger reports this morning that Trump himself “has not yet submitted a legally required ethics pledge stating that he will avoid conflicts of interest and other ethical concerns while in office.” Such a statement was due on Oct. 1 under the Presidential Transition Act.

A man wears a MAGA hat and a shirt with an image of former President Donald Trump as he uses his phone outside an election watch party held by Trump at the Palm Beach County Convention Center in West Palm Beach, Fla., Nov. 5, 2024. (Francis Chung/POLITICO via AP Images)

Remaking the federal workforce is near the top of Donald Trump’s to-do list. | Francis Chung/POLITICO

BATTLE OF THE BUREAUCRACY — After Trump was elected in 2016, the Washington establishment was caught flat-footed and had no idea how the first president with zero record of government service would actually govern.

Now, for the first time since GROVER CLEVELAND returned in 1893, the folks who staff the agencies and handle everything from tax receipts to meat inspections to air traffic control have actually seen how the president-elect behaves. And they have good reason to be concerned.

Remaking the federal workforce is near the top of Trump’s to-do list after blaming the so-called deep state for undermining him throughout his first term. In the closing months of his administration, Trump made an effort to create “Schedule F” — a new classification of federal employment that would essentially allow presidents to replace civil servants with political appointees. Expect that to come back quickly in 2025.

A trio of stories this morning help capture the mood within the federal bureaucracy right now.

The first is a joint effort from our POLITICO colleagues, who spoke with current and former federal workers from across the federal governments who are worried that “in the coming months, amid fears that the next president will gut their budgets, reverse their policy agendas and target them individually if they do not show sufficient loyalty.”

In their own words …  

  • Department of Transportation official: “There’s a lot of anxiety among Biden appointees, like myself, who need to find new jobs — and also among career staff who are worried about Trump trying to remove career civil servants who had a policymaking role.”
  • Homeland Security official: “We do our best to make sure either administration does what’s legal. If I leave, I’d be replaced with an enabler.”
  • EPA official: “I am glad that I am retiring soon. … EPA is toast.” 

But some aren’t shaking in their boots just yet.

 

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Stop Big Pharma’s “delinking” agenda.

 

Said one State Department official, “I actually don’t see the freak-out yet, maybe it will come when the transition begins in earnest, but the folks I’ve talked to seem to have a pretty sober take that Trump’s victory means we carry out his policies. If people disagree with those policies, nobody will hold anything against anyone that opts to leave.”

An HHS official who has worked under both Republican and Democratic administrations described the vibe this week as: “Business as usual. Keep on working. It is what it is.”

Trump transition spokesperson KAROLINE LEAVITT said via email, “President-Elect Trump will begin making decisions on who will serve in his second Administration soon. Those decisions will be announced when they are made.”

Over at the NYT, Robert Draper, Michael Crowley and Zach Montague write about how Trump’s “war on the bureaucracy will be waged, and how government workers will respond to it, remain looming questions.”

Yes, the anxiety is especially profound in places like the EPA, where climate change could be suddenly off the agenda, or the intelligence agencies, which have long been a target of Trump’s conspiratorial suspicions, or the Education Department, which could be on the chopping block entirely.

But even “distinctly nonideological” agencies are worried, the trio reports: “Federal employees at the F.A.A. and elsewhere have taken notice of Mr. Trump’s close association with ELON MUSK, the billionaire industrialist and owner of the social media platform X as well as SpaceX, whose rocket launches are regulated by the agency.”

Their one possible saving grace? “Several people who were interviewed for this story pointed to Mr. Trump’s mercurial character as a factor that might ultimately come to their rescue. … [T]hey strained to imagine a 78-year-old man with a notoriously fleeting attention span poring over employee manifests and organizational charts.”

Meanwhile, at the Pentagon, the conversations are turning to particular — and potentially politically explosive — scenarios where Trump, for instance, orders the deployment of active-duty troops inside the U.S., CNN’s Natasha Bertrand and Haley Britzky write.

“Troops are compelled by law to disobey unlawful orders,” one defense official told them. “But the question is what happens then – do we see resignations from senior military leaders? Or would they view that as abandoning their people?”

Much will depend on who exactly Trump chooses to put in charge of the Defense Department and military commands — our colleagues Jack Detsch and Paul McLeary reported yesterday on growing concerns that Trump could fire Joint Chiefs of Staff Chair Gen. C.Q. BROWN over his perceived support for diversity and inclusion programs. But folks inside the Pentagon are closely studying the Insurrection Act and the Posse Comitatus Act all the same.

Good Saturday morning. Thanks for reading Playbook. Drop us a line: Rachael Bade and Eugene Daniels.

MEANWHILE AMONG THE RESISTANCE  — “How blue states are plotting to thwart Trump,” by Lisa Kashinsky and Rachel Bluth: “If Trump’s reelection represented a realignment in American politics, blue-state leaders are choosing to confront it with a return to form, resuming the counterweight roles they played during his first administration as their party reckons with a nationwide repudiation.”

WHAT HAPPENED? — “Election autopsy: 5 POLITICO reporters weigh in on what mattered”: “Hint: It wasn’t the news cycles over a comedian calling Puerto Rico ‘garbage’ at one of his closing rallies or the celebrity endorsements. It might not have even been the ground game.”

WHAT’S HAPPENING? — For an, ahem, deeper dive into what’s ahead in Trump’s Washington, Rachael sat down with Meridith McGraw, POLITICO national political correspondent and author of “Trump in Exile,” and Playbook editor Mike DeBonis, who covered Capitol Hill during the first Trump administration, for a Playbook Deep Dive conversation on what’s next for personnel and policymaking. Read the Q&AListen on Apple or Spotify

 

A message from the Pharmaceutical Care Management Association:

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Stop Big Pharma from undermining competition and increasing costs for employers, patients and taxpayers.

 
WHAT'S HAPPENING TODAY

At the White House

President JOE BIDEN and VP KAMALA HARRIS have nothing on their public schedules.

 
PLAYBOOK READS

Howard Lutnick speaks before Republican presidential nominee former President Donald Trump at a campaign rally at Madison Square Garden, Sunday, Oct. 27, 2024, in New York. (AP Photo/Evan Vucci)

Trump transition leader Howard Lutnick is in the spotlight. | Evan Vucci/AP Photo

9 THINGS THAT STUCK WITH US

1. THE PERSONNEL: There’s been a flurry of news and reporting on some of the central names in the Trump transition and potential picks for big administration roles. Here’s a roundup of the latest:

Big picture: There are major roundups from NYT’s Jonathan Swan, Maggie Haberman and Charlie Savage and Bloomberg’s Saleha Mohsin and Stephanie Lai of potential Trump picks across all the top agencies. As the Times reports, Trump is particularly focused on a handful of key roles where he wants to ensure that he can purge “deep state” civil service workers. But there are also a mix of competing impulses at play as he talks to friends and advisers, listens to different ideological camps and talks about appointees having the “right look.” There are also ongoing conflict-of-interest concerns about HOWARD LUTNICK, whose “behavior is raising alarms among governance experts,” NYT’s Kate Kelly and Ken Vogel report.

Finance: Investors SCOTT BESSENT and JOHN PAULSON are leading contenders for Treasury secretary, Reuters’ Steve Holland, Alexandra Ulmer and Lawrence Delevingne report . Bessent met with Trump yesterday at Mar-a-Lago. Former SEC Chair JAY CLAYTON, a Trump loyalist but a political moderate, is also a possibility for Treasury secretary, AG or CIA Director, Reuters’ Chris Prentice and Svea Herbst-Bayliss report. For the new SEC chair, RICHARD FARLEY and NORM CHAMP are top contenders, among several others, Bloomberg’s Lydia Beyoud, Gillian Tan and Todd Gillespie report.

Defense: For Defense secretary, House Armed Services Chair MIKE ROGERS (R-Ala.) could be a dark-horse option, Connor O’Brien and Paul report.

Trade: There’s some confusion about ROBERT LIGHTHIZER: The FT reported that Trump had asked the former USTR, a prominent protectionist, to return to the role. But Gavin Bade reports that another source calls the report inaccurate. And there are anti-Lighthizer forces at work: Daniel Lippman scooped in West Wing Playbook that Lighthizer went to an elite Bilderberg group meeting months ago.

Health: ROBERT F. KENNEDY JR. has already gotten involved in looking at resumes for leading roles across regulatory health agencies, Reuters’ Stephanie Kelly reports.

Cyber: Ohio Secretary of State FRANK LaROSE is eyeing the role of Cybersecurity and Infrastructure Security Agency director, John Sakellariadis reports.

Agriculture: BRIAN KLIPPENSTEIN and CARLY MILLER are working on the transition effort, Meredith Lee Hill reports.

Transportation: SKIP ELLIOTT and BRIGHAM McCOWN are working on the transition effort, Chris Marquette and Oriana Pawlyk report.

2. SCARY STUFF: “Iranian Agents Plotted to Kill Trump, U.S. Says in Unsealed Charges,” by NYT’s Benjamin Weiser, Devlin Barrett and Christopher Maag: “One of the plotters said that he was assigned in September to carry out the plan by the Islamic Revolutionary Guards Corps of Iran, the prosecutors said in court papers. … [T]hree men each face charges of murder-for-hire, conspiracy to commit murder-for-hire and money laundering conspiracy. [FARHAD] SHAKERI was also charged with providing material support to a foreign terrorist organization.”

This, too: “Rep. Jared Moskowitz says he was target of potential assassination plot,” by WaPo’s Maegan Vazquez: “[O]n Monday, the day before the election, he was informed by the Margate Police Department in Florida ‘about a potential plot on my life.’ ‘The individual in question was arrested not far from my home; he is a former felon who was in possession of a rifle, a suppressor, and body armor,’ [JARED] MOSKOWITZ’s statement said.”

3. IMMIGRATION FILES: Trump world is quickly ramping up plans for a massive immigration crackdown. WSJ’s Michelle Hackman and Andrew Restuccia report on a number of big ideas already under discussion: Trump may declare a national emergency at the border on Day One, which (if it holds up legally) could let him use Pentagon funds for the wall and military bases for mass detentions. Trump might undo a Biden directive that focuses deportation enforcement on immigrants who have committed other crimes. And he may revoke temporary protected status and humanitarian parole for millions of immigrants who are currently here legally.

“Should Trump realize even a fraction of his vision,” they write, he “could send shock waves across the economy and upend the lives of millions.”

Also potentially on the chopping block are the CBP One program and the Cuba, Haiti, Nicaragua, Venezuela (CHNV) parole program, NBC’s Julia Ainsley, Carol Lee and Laura Strickler scooped . Those Biden moves have allowed 1.3 million immigrants to enter legally, but if Trump axes them, hundreds of thousands who haven’t yet gotten asylum could be deported. Top priorities for deportation would be convicted criminals and others considered “threats,” including perhaps Chinese men of military age.

Wishful thinking? Some other Republicans, like Rep. MARIA ELVIRA SALAZAR (R-Fla.) and MARCO RUBIO (R-Fla.), are downplaying Trump’s rhetoric about mass deportations, saying he’ll mainly focus on dangerous criminals, NBC’s Suzanne Gamboa and Nicole Acevedo write.

4. LEGAL FALLOUT: Trump’s election could be a big break for NYC Mayor ERIC ADAMS, Joe Anuta and Jeff Coltin report. Trump has already sounded sympathetic to Adams as the mayor faces federal corruption charges, raising the prospect of a pardon if Adams is convicted. And a new Manhattan U.S. attorney could lower the temperature against Adams.

Meanwhile, Trump allies are kicking up talk about going after the president-elect’s political enemies. Yesterday, House Republicans told special counsel JACK SMITH to preserve his records, potentially teeing up investigations of the man who led two federal prosecutions of Trump, WaPo’s Isaac Arnsdorf, Perry Stein, Josh Dawsey and Spencer Hsu report. And MIKE DAVIS is openly advocating for Smith and New York AG LETITIA JAMES to be prosecuted or jailed, NBC’s Ken Dilanian reports. “We will put your fat ass in prison for conspiracy against rights,” Davis said about James on a podcast. “I promise you that.” And potential AG MARK PAOLETTA emphasized that Trump should be able to order DOJ investigations.

 

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Savings secured by PBMs are the only real check on Big Pharma’s pricing power.

 

5. MIKE DAVIS’ OTHER FOCUS: “Leonard Leo, Trump aide Mike Davis spar over Supreme Court retirements,” by WaPo’s Justin Jouvenal: “LEONARD LEO, who helped the president-elect select three Supreme Court picks during his first term, said in a statement that discussions of Justices CLARENCE THOMAS, 76, or SAMUEL A. ALITO JR., 74, stepping down are unseemly. … Told of Leo’s statement about the two justices, Davis indirectly accused him of not acting to protect members of the high court in recent years.”

6. DEMOCRATIC RECRIMINATIONS: Rep. NANCY PELOSI (D-Calif.) lamented Biden’s late departure from the presidential race — and the party’s failure to run an open process to replace him — in an interview with NYT’s Lulu Garcia-Navarro. “Because the president endorsed Kamala Harris immediately, that really made it almost impossible to have a primary at that time. If it had been much earlier, it would have been different.” Pelosi also praised Biden’s legislative record, and she rejected Sen. BERNIE SANDERS’ (I-Vt.) contention that Democrats have abandoned the working class, saying instead that the party lost those voters over cultural issues.

Meanwhile, other Democrats who warned the party about liabilities — from JAMES ZOGBY to Rep. DEAN PHILLIPS (D-Minn.) — are blasting Harris’ campaign and others for not listening, Irie Sentner reports. And a new analysis of voter data from WSJ’s John West and Kara Dapena shows that Democratic turnout faltered, especially outside of swing states. Then again, there are much bigger forces at play than specific campaign decisions, as NYT’s Roger Cohen captures: “Disillusionment with the world that emerged from the Cold War has fueled a long-gathering revolt against the established order” in many countries.

7. UKRAINE LATEST: “Biden administration to allow American military contractors to deploy to Ukraine for first time since Russia’s invasion,” by CNN’s Natasha Bertrand, Haley Britzky and Oren Liebermann: “The new policy, approved earlier this month before the election, would allow the Pentagon to provide contracts to American companies for work inside Ukraine for the first time since Russia invaded in 2022. Officials said they hope it will speed up the maintenance and repairs of weapons systems being used by the Ukrainian military.”

8. CLIMATE FILES: With DAVID BERNHARDT and ANDREW WHEELER leading Trump transition efforts on energy and environment, the incoming administration is making big plans to boost fossil fuels and turn away from the fight against climate change, NYT’s Coral Davenport and Lisa Friedman report . Trump is expected to withdraw again from the Paris Agreement. Also possibly in the mix: creating a White House “energy czar” position, moving the EPA out of D.C., removing California’s ability to set stricter pollution standards, giving the green light to more natural gas, shrinking national monuments and doing away with environmental justice offices.

One big question now is whether other countries will step in to seize the climate baton that the U.S. relinquishes. But AP’s Seth Borenstein reports that experts are worried the opposite will happen: Countries like China could take the opportunity to focus less on climate change, and “a second Trump term will be more damaging” than the first.

9. FLIP-FLOP: “Hochul moves to revive Manhattan toll plan after Trump win,” by Jeff Coltin and Ry Rivard: “In recent days, the governor’s office asked the U.S. Department of Transportation whether implementing congestion pricing with lower tolls than the planned $15 for drivers entering parts of Manhattan would require another lengthy environmental review … ‘She’s asking for it to go from $15 to $9,’ said one [source], an MTA board member. … By keeping the toll within the range that’s already been analyzed, [New York Gov. KATHY] HOCHUL appears to be hoping for a quick greenlight while Biden remains president.”

CLICKER — “The nation’s cartoonists on the week in politics,” edited by Matt Wuerker — 17 funnies

A political cartoon is pictured.

RJ Matson - CQ Rollcall

GREAT (NON-ELECTION) WEEKEND READS:

“Jonathan Haidt Started a Social-Media War. Did He Win?” by The Chronicle of Higher Education’s Stephanie Lee: “How a fight about science and screens got messy, fast.”

“Growing Up in Climate Chaos,” by Charley Locke in the NYT Magazine: “When you’re a teenager, everything can feel like a crisis. But for these teenagers living in areas around the world affected by climate change, the sense of growing crisis is real — not in some hazy future but today, disrupting their adolescence in ways both large and small.”

“The Artificial State,” by The New Yorker’s Jill Lepore: “As American civic life has become increasingly shaped by algorithms, trust in government has plummeted. Is there any turning back?”

“Untangling the Mystery of the Art God,” by Joseph Bien-Kahn in Rolling Stone: “For a decade, one writer tried to unravel the story of Dorje Chang, whose artwork sold for millions and who claimed to be the third coming of Buddha. Then he got an email: Dorje Chang and his wife were dead. What really happened?”

“Watch the Throne,” by Rachel Corbett in Vulture: “Kehinde Wiley built an empire out of painting young Black men into art history. Can it survive accusations of sexual assault?”

 

REGISTER NOW: Join POLITICO and Capital One for a deep-dive discussion with Acting HUD Secretary Adrianne Todman, Rep. Darin LaHood (R-IL), Rep. Ritchie Torres (D-NY) and other housing experts on how to fix America’s housing crisis and build a foundation for financial prosperity. Register to attend in-person or virtually here.

 
 
PLAYBOOKERS

Donald Trump said he won’t sell his Truth Social shares.

Seth Moulton’s campaign manager resigned after his comments about transgender athletes.

George Helmy doesn’t want Sonia Sotomayor to step down or Bob Casey to concede.

Mohammed bin Salman gave Trump a delighted election-night call.

Ron DeSantis is going to Italy.

Barron Trump was his father’s guide to the manosphere.

MEDIA MOVES — Justin Baragona is joining The Independent as a senior reporter. He previously was a senior reporter at The Daily Beast. … Henry Blodget announced he’s leaving Business Insider, which he founded.

TRANSITION — Josh Binderman will be comms manager for New Deal Strategies. He currently is PAC manager/senior associate at J Street.

WEDDING — Will Hackman, senior officer for environmental policy at the Pew Charitable Trusts, and Paula HuYoung, who works on corporate meeting and event planning at CWT Meetings & Events, got married Nov. 2 at Reitano Vineyards in Front Royal, Virginia. They met over drinks at Succotash. PicAnother picSPOTTED: JC Chasez and Jennifer HuYoung, Tim Brown and Tracey Roberts, Charlie Craig, Nihal Krishan, Ashwani Jain, Libby Marking and Ram Viswanathan.

WELCOME TO THE WORLD — Brianna Puccini Duff, global comms manager at Google and a Deb Fischer alum, and Larry Duff, senior manager for corporate strategy at Mars Inc., on Tuesday welcomed Lily Roberge Duff, who joins big brother Braden. PicAnother pic

BIRTHWEEK (was yesterday): Casey Hernandez of Seven Letter

HAPPY BIRTHDAY: POLITICO’s John Harris … Sen. Sherrod Brown (D-Ohio) … Nancy Jacobson of No Labels … Sarah Isgur … White House’s Robyn Patterson … Endpoints’ Zachary Brennan … AP’s Matt BrownHugh Ferguson … Sunshine Sachs’ Claire TonnesonPeter RoffHunter Hall of the Picard Group … Matthew Ellison … Wisconsin Secretary of State Sarah GodlewskiMarcus SwitzerGeoff Verhoff of Akin Gump … HuffPost’s Arthur DelaneyPeter Lichtenbaum of Covington & Burling … Glenn GerstellMatthias Reynolds of Targeted Victory … The Economist’s Idrees KahloonKendra Kostek … API’s Bethany Aronhalt WilliamsMarc Kimball … former Reps. John Katko (R-N.Y.) and Scott Tipton (R-Colo.) … Joel SeidmanMarie Baldassarre of Rep. Ro Khanna’s (D-Calif.) office … Charles Kupperman Walker Livingston David Levine of BerlinRosen … Michael Lowder of Volkswagen Group of America … Will Green of Sen. Marco Rubio’s (R-Fla.) office … Kelsey McEvoyBill ArnoneLaWanda Toney of the Education Department … EEOC’s Tara Patel … newly elected ANC Commissioner Mike Bloomberg Elise Norris

THE SHOWS ( Full Sunday show listings here):

Fox News “Sunday Morning Futures”: Sen.-elect Dave McCormick (R-Pa.) … Sen. Rick Scott (R-Fla.) … Rep. Elise Stefanik (R-N.Y.) … Karoline Leavitt. Panel: Tom Homan and Scott Bessent.

CBS “Face the Nation”: National security adviser Jake Sullivan … Sen. Bill Hagerty (R-Tenn.) … Rep. Ro Khanna (D-Calif.) … Neel Kashkari … British Ambassador Karen Pierce.

CNN “State of the Union”: Sen. Bernie Sanders (I-Vt.) … Rep. Jim Jordan (R-Ohio). Panel: Jamal Simmons, Scott Jennings, Ashley Allison and Brad Todd.

NewsNation “The Hill Sunday”: Sen. Mike Rounds (R-S.D.) … Rep. John Garamendi (D-Calif.) … Rep. Mike Lawler (R-N.Y.) … Scott Tranter. Panel: George Will, Jessica Taylor, Jasmine Wright and David Swerdlick.

NBC “Meet the Press”: Sen. John Barrasso (R-Wyo.) … Sen. Bernie Sanders (I-Vt.). Panel: Garrett Haake, María Teresa Kumar, Ramesh Ponnuru and Amy Walter

ABC “This Week”: Vivek Ramaswamy … Charlamagne tha God … Frank Luntz. Panel:  Donna Brazile, Chris Christie, Reince Priebus and Julie Pace.

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Send Playbookers tips to playbook@politico.com or text us at 202-556-3307. Playbook couldn’t happen without our editor Mike DeBonis, deputy editor Zack Stanton and Playbook Daily Briefing producer Callan Tansill-Suddath.

Correction: Yesterday’s Playbook misspelled Meridith McGraw’s name (again).

 

A message from the Pharmaceutical Care Management Association:

PBMs are working every day on behalf of employers and taxpayers, helping patients and their families access high-quality, cost-effective prescription drug coverage. But Big Pharma is working to undermine PBM savings by removing the only real check on their otherwise limitless pricing power, and boost drug company profits at the expense of patients and employers.

In fact, Big Pharma-backed legislation targeting PBMs would boost drug company profits and increase health care costs for seniors — threatening Medicare Part D beneficiaries with a staggering $13 billion increase in premiums.

A world without PBMs is a world without competition in the drug marketplace — which would increase health care costs for patients, employers and taxpayers.

Stand up for savings and competition. Stop Big Pharma’s “delinking” agenda.

 
 

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