It’s now a House vs. Senate spending race

Presented by Citi: An evening recap of the action on Capitol Hill and preview of the day ahead

Sep 11, 2023 View in browser   By Daniella Diaz and Jordain Carney Presented by With assists from POLITICO’s Congress team Speaker Kevin McCarthy wants to go into negotiations with the strongest position ahead of Sept. 30’s shutdown deadline. | Francis Chung/POLITICO THE HOUSE v. SENATE CONTEST TO FUND THE GOVERNMENT Start your engines, Capitol Hill — it’s now a spending race between the two chambers. Senate Democrats are aiming to pass a package of three spending bills as soon as this week, while House Republicans prepare to take up one of their own, to fund the Pentagon. But you should think of this as something of a proxy for the much bigger question: Will the House or Senate be first to release a plan for staving off a Sept. 30 shutdown? First passage votes in Congress are like first impressions; they matter a lot. Just ask Speaker Kevin McCarthy, who effectively pushed the Biden White House to the negotiating table on the debt limit after he secured a House GOP plan in April. The opening bids: The Democratic-controlled chamber is set to move three bipartisan spending bills (one on agriculture, another on transportation and housing, and a third on military construction and veterans’ affairs). The Republican-run House has already passed its veterans’ spending bill but had to yank its agriculture funding bill, as we first reported — so it’s hoping to rebound with successful passage of a Pentagon spending plan. Each chamber, and the party in power there, wants to go into negotiations in a stronger position ahead of Sept. 30’s shutdown deadline. Translation: This week’s votes might be on specific spending bills, but the upper hand on a stopgap spending plan is what’s really at stake. “We know that the Senate is going to come back with a different position, so we should put together the most conservative position with 218 Republican votes and get it done,” one senior House GOP lawmaker said. The big House Republican problem: A group of conservatives, most in the House Freedom Caucus, have made clear they will tank any spending bills on the floor unless there are steep cuts to topline spending numbers across the board. And they may well make a statement by dragging their own leaders’ defense funding bill to a halt this week. McCarthy has privately indicated to Republicans that he plans to attach disaster aid to a short-term spending bill that could last into mid-November. But he hasn’t gone public with specifics, and for good reason — conservatives in and out of the Freedom Caucus told us that McCarthy will need to do more to get to 218 votes for that plan. High on the right flank’s list to add: Border policy changes and steeper spending cuts. “A 24 hour CR in order to keep negotiations going” might be acceptable, Rep. Chip Roy (R-Texas) told reporters Monday. “But I'm not going to do a 60-day, 90-day, 180-day [continuing resolution], rubber-stamping the status quo from last December's debacle of an omnibus spending bill.” The Zen Senate: Majority Whip Dick Durbin (D-Ill.) told reporters he expects his chamber to move quickly on its spending bills … and there will be amendments. He also suggested that a stopgap spending patch likely won’t be attached to whatever passes this week. "That's a separate consideration. … I'm not party to it, but I think that would be unusual,” he said. The Senate GOP’s top appropriator, Susan Collins of Maine, was spotted huddling with her party leaders on Monday during their weekly meeting. Stay tuned: The Freedom Caucus is holding a press conference at 3 p.m. tomorrow on the looming spending fight. — Daniella Diaz and Jordain Carney, with an assist from Burgess Everett    A message from Citi: Asia adopts new technologies an estimated 8-12 years ahead of the West. Early adoption of mobile technologies has enabled Asia to explore and develop new forms of digital commerce before other regions. In doing so, Asia provides a glimpse of what the future could look like in more developed, Western economies. Learn more in the recent Citi GPS Report, Asia as a Time Machine to the Future.   GOOD … EVENING! Welcome to Huddle, the play-by-play guide to all things Capitol Hill, on this Monday, Sept. 11, where we hope you enjoy our first ever early-evening edition of Huddle. First-day vibes! Send us your feedback as we shape the next generation of your must-read congressional newsletter. HUDDLE EXCLUSIVE: BLACK CAUCUS CHAIR’S MESSAGE TO NEWSOM One day after California Gov. Gavin Newsom likely closed the door to naming Rep. Barbara Lee (D-Calif.) as a successor to Sen. Dianne Feinstein (D-Calif.) should her seat become vacant, the head of the Congressional Black Caucus is calling on him to name Lee. "Governor Newsom had it right when he first committed to appoint a Black woman to the U.S. Senate, where sadly today not one Black woman is represented in the 100-member body,” Black Caucus chair Steven Horsford (D-Nev.) told POLITICO. “The CBC stands with many others when we declare that Rep. Barbara Lee remains the most eminently qualified to serve in this role should an opportunity to appoint someone come to the Governor’s desk,” he added. Why this is a touchy topic: Newsom’s comments on Sunday about appointing an “interim” senator should Feinstein’s seat come open angered Lee supporters. They had viewed the governor’s promise to name a Black woman as a potential boost to Lee, who’s running for a full six-year Senate term. Their reasoning was simple — if the retiring Feinstein did not finish her term, Lee getting an interim appointment could make her a frontrunner in next year’s Senate race. Lee, who has generally trailed Reps. Adam Schiff (D-Calif.) and Katie Porter (D-Calif.) in the polls, said in a statement Sunday she was “troubled” by Newsom’s remarks about an interim appointment and found them “insulting” to Black women.  — Nicholas Wu and Daniella Diaz   A message from Citi:   22 YEARS LATER, INTRA-PARTY TENSION OVER 9/11 LEGAL LIABILITY The anniversary of the Sept. 11 terrorist attacks is bringing a new, bipartisan push to revisit the 2016 law that allowed victims’ families to sue Saudi Arabia in response. Why it started: The original 9/11 legislation became law in 2016 after Congress overrode a veto by then-President Barack Obama. But subsequent judicial rulings made clear that the bill’s bid to undo “sovereign immunity” for a foreign nation that’s allegedly tied to terrorism has its limits — and so members of both parties are pushing for tweaks. Where the fault lines are: Senate champions of the proposal to tweak the 2016 9/11 bill are led by John Cornyn (R-Texas) and Bob Menendez (D-N.J.), with House efforts led by Reps. Jerry Nadler (D-N.Y.) and Jeff Van Drew (R-N.J.). Cornyn told Huddle that some defendants in post-9/11 cases “are making the misleading argument that” the 2016 bill wouldn’t cover damage to businesses or property. “That wasn't our intention,” he added, describing the latest 9/11 bill as “one way to sort of cut that argument off and to return this to what Congress originally intended.” But Sen. Tom Cotton (R-Ark.) has held up consideration of the bill in the Judiciary Committee. A spokesperson told Huddle that he “has concerns about unintended national-security consequences at this time and in the bill’s present form.“ What happens next? Terry Strada, the national Chair of 9/11 Families United, told Huddle that she wants to see the Biden administration clarify where it stands on the proposal to correct a 2016 law that sparked significant diplomatic concerns on Obama’s team. “It’s very upsetting to see a president ignoring us, never taking a meeting, not replying to our requests,” Strada said of the Biden administration. “It's been a really long time, two decades, trying to achieve accountability and justice,” she added. — Daniella Diaz   A message from Citi: Asia adopts new technologies an estimated 8-12 years ahead of the West, making it much like a time machine to the future. While its infrastructure has historically been underdeveloped relative to the West’s, Asia’s high internet connectivity, young and increasingly affluent and urban demographics, and entrepreneurial spirit have driven the region to adopt many technologies at a faster pace. For example, early adoption of mobile tech has enabled Asia to explore and develop new forms of digital commerce before other regions. In 2021, digital/mobile wallets accounted for nearly 70% of the e-commerce transaction value in Asia, more than double that of North America or Europe. Looking ahead, the trends and technologies seen across the region today can provide a glimpse of what the future could look like in Western markets in years to come. Learn more in the recent Citi GPS Report, Asia as a Time Machine to the Future.   HUDDLE HOTDISH *Eyes emoji* Rep. Matt Gaetz’s communications director Joel Valdez gave Tony Gonzales' primary challenger Brandon Herrera a tour of the Capitol Sunday afternoon. Herrera even went as far as to take a photo in front of Gonzales’ plaque. QUICK LINKS  John Cornyn’s fundraising prowess could be edge in eventual contest to succeed McConnell, from Joseph Morton Barbara Lee is criticizing Gavin Newsom after he indicated he would appoint a caretaker Senate appointee should a vacancy arise, from Anthony Adragna House Oversight Democrats prepare Biden defense amid impeachment threats, from Ryan Nobles at NBC News House offices are spending less of their annual budgets but a higher proportion on staffer pay, from Keturah Hetrick at Legistorm   GROWING IN THE GOLDEN STATE: POLITICO California is growing, reinforcing our role as the indispensable insider source for reporting on politics, policy and power. From the corridors of power in Sacramento and Los Angeles to the players and innovation hubs in Silicon Valley, we're your go-to for navigating the political landscape across the state. Exclusive scoops, essential daily newsletters, unmatched policy reporting and insights — POLITICO California is your key to unlocking Golden State politics. LEARN MORE.     TRANSITIONS  Calley Hair is now deputy comms director for Sen. Maria Cantwell (D-Wash.). She was previously press secretary. Sophia Swain is now press secretary for the senator. She was previously deputy press secretary. Eyang Garrison is now the majority staff director of the Senate Committee on Agriculture, Nutrition, and Forestry, replacing Erica Chabot, who is moving off the Hill later this month. TODAY IN CONGRESS The House convenes at noon for morning hour debate and 2 p.m. for legislative business. First and last votes are expected at 6:30 p.m. The Senate convenes at 10 a.m. with a recess for caucus lunches until 2:15 p.m. AROUND THE HILL 11 a.m. Rep. Sara Jacobs (D-Calif.) is holding a press conference on protecting gender-affirming and reproductive health care in NDAA and appropriations bills. (House Triangle) 2 p.m. Rep. Chris Smith (R-N.J.) will hold a press conference on anti-human trafficking legislation. (House Triangle) 7 p.m. Rep. Robert Garcia (D-Calif.), Democratic freshman class, et al on the government funding deadline. (House Triangle)   GO INSIDE THE WORLD’S BIGGEST DIPLOMATIC PLATFORM WITH UNGA PLAYBOOK: The 78th Session of the United Nations General Assembly will jam some of the world's most influential leaders into four city blocks in Manhattan. POLITICO's special edition UNGA Playbook will take you inside this important gathering starting Sept. 17 — revealing newsy nuggets throughout the week and insights into the most pressing issues facing global decision-makers today. Sign up for UNGA Playbook.     TRIVIA FRIDAY’S ANSWER: David Cavicke correctly guessed that Franklin D. Roosevelt and Richard Nixon are the only two people to run on a national presidential ticket five times. TODAY’S QUESTION from David: This sitting Senator, a former Governor, resigned his seat after serving less than three years, to become an associate justice of his state’s supreme court. He was replaced by a Senator of a different party. Hint: The main bridge crossing the state’s eponymous river is named for him. The first person to correctly guess gets a mention in the next edition of Huddle. Send your answers to huddletrivia@politico.com. GET HUDDLE emailed to your phone each morning. Follow Daniella on X, the platform formerly known as Twitter, at @DaniellaMicaela.   Follow us

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