What to Know in Washington: Hawaii Fires Raise Funding Requests

President Joe Biden’s $12 billion request for disaster aid is expected to grow, as lawmakers push for additional money to rebuild after Hawaii’s destructive wildfires.

FEMA Administrator Deanne Criswell and key lawmakers have said more funding could be needed to respond to the damage in Hawaii. Biden last week had already asked Congress for $12 billion in additional funds for FEMA as part of a $40 billion package including aid to Ukraine.

The growing disaster aid costs may complicate an already difficult series of spending negotiations when lawmakers return to Washington in September, facing an end-of-month deadline to avert a government shutdown. Any delay in talks could also slow the delivery of funds to disaster victims.

Photo by Justin Sullivan/Getty Images

A view of a home in Lahaina, Hawaii, destroyed by wildfires that have killed more than 100 people.

“We are going to need a bipartisan emergency supplemental appropriations bill that includes significant funding for Hawaii,” Sen. Brian Schatz (D-Hawaii) said in a statement. “I’m working with state and local officials, the Biden administration, and my colleagues on the Senate Appropriations Committee to make sure Hawaii gets all the federal resources it needs.”

FEMA has enough money to respond to immediate needs, but it may ultimately need more than the $12 billion Biden requested, Criswell told reporters Wednesday.

Read more: Biden Sends Identification Experts to Wildfire-Stricken Maui

Biden faces a tricky path to getting disaster funding from Congress. GOP members are also broadly opposed to emergency funding that is exempt from the spending limits set under the debt limit agreement enacted in June.

Senators return from August recess Sept. 5 and House members return Sept. 12. The short runway to a spending deal may lead lawmakers to tie a supplemental spending request to a continuing resolution to keep the government from shutting down. Read the full story from Jack Fitzpatrick and Kellie Lunney.

Biden and first lady Jill Biden will travel to Maui on Monday to see firsthand the devastation and meet with state and local leaders to discuss steps to aid in the recovery effort, following criticism of the White House response to the disaster, Akayla Gardner reports.

BIDEN’S AGENDA

• Shortly before 1 p.m., Biden travels to St. Peter’s Cathedral in Scranton, Pennsylvania to privately pay respects to former Pennsylvania First Lady Ellen Casey in advance of a viewing.
• The president then heads to Camp David, arriving shortly after 3 p.m.

News From the White House

A Year Into Biden’s Climate Agenda, the Price Tag Remains Mysterious

It’s been exactly one year since Biden signed the Inflation Reduction Act, but it’s been hard to pin down precisely how much will be spent as a result of the law. Cost estimates have continued to shift upward and now span a range of more than half a trillion dollars.

• Biden celebrated the anniversary of the IRA, saying it was spurring job growth and addressing climate threats as he sought an elusive political boost from his signature legislative achievement. Read more.
• The US could halve its greenhouse gas emissions through the legislation, but reaching its net zero goal by 2050 requires more than tax credits from the IRA, according to BloombergNEF. Read more.

Lula, Biden Discuss Fight Against Climate Change, Amazon

Brazilian President Luiz Inacio Lula da Silva and Biden had a conversation Wednesday addressing the need to move forward in the debate on climate change. Lula reiterated his invitation to Biden for a visit to Brazil next year.

• The US and Brazil are discussing a possible meeting between the pair at next month’s UN General Assembly in New York, amid strains in relations. Read more.

Coming Up on the Hill

Schumer Endorses Bill to Avoid Shutdown Into December

Senate Majority Leader Chuck Schumer (D-N.Y.) said he supports passing a stopgap spending bill in late September that lasts until early December, paving the way for a potential bipartisan agreement to avoid a government shutdown after Sept. 30.

• Schumer says he met with Speaker Kevin McCarthy (R-Calif.) a few weeks ago, and they agreed Congress should do a short-term measure as negotiations on government funding continue. Read more.

Senate Poised to Act on Agriculture, Military Construction Funds

The Senate is likely to move first on fiscal 2024 spending bills in September that have the most bipartisan support, including the Agriculture-FDA and Military Construction-Veterans Affairs measures, said Sen. John Hoeven (R-N.D.).

Calpers Attacked by House GOP for Acting Like Climate ‘Cartel’

The California Public Employees’ Retirement System has turned over thousands of pages of documents in recent months to Congress as the country’s largest pension fund faces Republican scrutiny for its investment practices intended to combat climate change.

House Democrats Ask FERC to Deny Mountain Valley Extension

A group of House Democrats including Rep. Jennifer McClellan (Va.) urged FERC to deny the Southgate project extension of Equitrans Midstream’s Mountain Valley Pipeline, according to a letter.

Warner Pushes Apple, Google, Meta, Microsoft on AI Safety Steps

Sen. Mark Warner (D-Va.) urges CEOs of companies including Amazon, Google, Meta and Microsoft to take additional action to promote AI safety and prevent malicious misuse of their products, in a series of letters.

Politics & Probes

Swing-District Lawmakers Keep it Local

Lawmakers from competitive districts are honing in on local bread-and-butter items as they seek to distance themselves from the overheated and polarizing rhetoric that consumes Washington, but often alienates more independent voters who they will need to get re-elected next year.

DeSantis Braces for Brawl as Trump Mulls Skipping Debate

Florida Gov. Ron DeSantis’s campaign is bracing for a battle royale in next week’s Republican presidential debate as rivals aim their fire on the current runner-up with frontrunner Donald Trump toying with skipping the event.

Tim Scott Plans $8 Million Ad Campaign as He Rises in Polls

Sen. Tim Scott’s (S.C.) presidential campaign says it is reserving $8 million in television, radio and digital advertising as he advances in some polls.

Meadows Bid to Move Election Case to Federal Court Gets Hearing

Trump’s former chief of staff Mark Meadowswill get a court hearing on his request to move the Georgia election racketeering case against him to federal court from state court.

Santos Fundraiser Charged With Posing as McCarthy Aide

A former fundraiser for Rep. George Santos (R-N.Y.) was charged in a federal case with wire fraud and identity theft for allegedly impersonating a McCarthy aide.

What Else We’re Reading

Federal Funds Flow for Fish Passage

The Transportation Department rolled out almost $200 million Wednesday to aid the flow of fish in rivers across the country. The new spending will go toward repairing or removing 169 culvert barriers, which for years have blocked fish in waterways passing under roads and railways, Lillianna Byington reports.

The Biden administration touted the funds as the first-ever grants to fix the infrastructure woes blocking this fish passage. The program was created by the infrastructure law (Public Law 117-58), with $1 billion over five years. Washington secured the most money from this first round of funding — which Sen. Maria Cantwell (D-Wash.) said will bring more salmon back to rivers in her state. Transportation Secretary Pete Buttigieg has been touting the infrastructure spending this week in Alaska, which was the state awarded the second most dollars from the program.

Abortion Pill Access Preserved by Appeals Court

A US appeals court on Wednesday ruled that access to the abortion pill should be preserved with some limits, rejecting part of an order from a judge in Texas that would have effectively banned the sale of the drug across the country.

Fed Saw Upside Inflation Risk That May Merit More Tightening

Federal Reserve officials at their policy meeting in July largely remained concerned that inflation would fail to recede and that further interest-rate increases would be needed. At the same time, cracks in that consensus were also becoming more apparent.

Major US Blackout Anniversary Renews Call for Power Grid Updates

Transmission developers are marking 20 years since the biggest blackout in North American history with calls for energy regulators to finalize a rule to make it easier to invest in making the power grid more resilient.

US and Iran Rely on Shadow Diplomacy

The US and Iran are engaged in broad but largely unacknowledged efforts to reach agreements on everything from prisoner exchanges to oil revenue to nuclear capabilities — while avoiding deals that could be swatted down by opponents on either side.

— With assistance from Lillianna Byington.

To contact the reporter on this story: Kayla Sharpe at ksharpe@bloombergindustry.com

To contact the editor responsible for this story: Brandon Lee at blee@bgov.com