Harris to Unveil Economic Proposals: What to Know in Washington

Kamala Harris heads to Raleigh, N.C. today, where she will unveil sweeping economic proposals focused on the core expenses of American life. The trip will be her eighth visit to the Tar Heel state this year. But first, you should know:

• Harris pitched a second debate with Donald Trump in October.
• Rep. Matt Gaetz is among incumbent lawmakers facing primary challenges in Florida, Alaska, and Wyoming next week.
• Many voters in Michigan say the swing state’s economy is on the wrong track.

Harris Economic Proposals Envision Tax Cuts and Subsidies

Vice President Kamala Harris will propose sweeping new federal subsidies for parents, homebuyers, and Americans with low-incomes at a rally in North Carolina today as she seeks to convince voters that she would act swiftly to address rising consumer costs.

• Tax Credits: Harris’ plan would expand the child tax credit to $3,600 from $2,000 per dependent, with a $6,000 credit for newborns. She also proposes expanding the Earned Income Tax Credit for childless low-wage workers and increasing subsidies for those who purchase insurance on federal health exchanges.

• Homeowner Assistance: Harris will propose offering as much as $25,000 for first-time homeowners. Under the program, more than one million first-time home buyers who have a two-year history of on-time rent payments would be eligible for “down-payment support.” Read More

• Price Controls: The vice president also envisions new price controls on groceries, and expanding limits on out-of-pocket prescription drug prices to all Americans. Harris says she would push the government to negotiate additional drug savings faster, and cap the monthly cost of insulin at $35 for all Americans.

Economists are divided on the practicality and efficacy of some of Harris’ proposals, elements of which would carry a substantial price tag. Meanwhile, Donald Trump held a press conference yesterday where he labeled Harris’ plan as “communist” and warned efforts to control grocery prices would lead to “food shortages, rationing, hunger, dramatically more inflation.” Read More

BGOV at the DNC: BGOV’s Congress Tracker crew is heading to Chicago for next week’s Democratic National Convention and covering the event via a special edition Convention Tracker newsletter. Send your tips to Maeve Sheehey ( msheehey@bloombergindustry.com ), Jonathan Tamari ( jtamari@bloombergindustry.com ), and Angela Greiling Keane ( agreilingkeane@bloombergindustry.com ).

BIDEN’S SCHEDULE

• 11:15 a.m. — The president will sign a proclamation to designate the Springfield 1908 Race Riot National Monument, as he’s joined by civil rights leaders, community members, and elected officials.

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Trump Reveals $513 Million From Golf Clubs and Resorts

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Harris Campaign Floats Second Debate With Trump in October

Democratic presidential nominee Kamala Harris’ campaign is proposing a second debate with Republican counterpart Donald Trump if he follows through with their already agreed-to showdown on ABC News.

Trump Return No Risk to Aukus, House Foreign Affairs Chair Says

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Gaetz Test Coming in Florida Primary

Florida Rep. Matt Gaetz is facing Republican voters for the first time since he led the unprecedented ouster of his party’s speaker last fall. He heads into Tuesday’s primary with Donald Trump’s endorsement and the knowledge that four of his five GOP compatriots who voted to ditch Kevin McCarthy (R-Calif.) and then ran for re-election won renomination.

Gaetz’s opponent, Navy veteran Aaron Dimmock, received campaign contributions from a few of Gaetz’s colleagues in the House Republican Conference and from billionaires Paul Singer and Stan Druckenmiller. There’s also more than $3 million in anti-Gaetz super PAC spending. In other Florida primaries, Democrats will choose nominees against Sen. Rick Scott and Reps. Anna Paulina Luna and Maria Elvira Salazar.

Alaska and Wyoming also have primaries next week. Alaska’s all-parties system puts all candidates on a single primary ballot with the top four finishers advancing to the general election. Rep. Mary Peltola (D) is irunning in a 12-candidate race on an Alaska-centered platform of “fish, family, and freedom.”

The other candidates include Lt. Gov. Nancy Dahlstrom (R), who’s backed by Trump and House Republican leaders, Greg Giroux reports.

Harris Likely Needs a Huge Win to Avoid a Senate Flip

Kamala Harris’ nascent presidential campaign has the wind at its back right now—but what does that mean for Senate Democrats and their narrow majority?

In a new episode of the On The Merits podcast, Bloomberg Government senior reporter Greg Giroux explains it will be tough for Democrats to hold onto the Senate unless Harris scores a surprisingly large victory and some downballot candidates ride her coattails to victory. Listen Here

What Else We’re Reading

Medicare Drug Price Savings Obscured by Health-Care Complexities

The lowered drug prices negotiated between the Biden administration and major pharmaceutical companies and announced Thursday are leaving industry observers skeptical about the extent of savings and benefits to patients.

Conservative Groups Call on Congress to Roll Back Climate Law

A coalition of nearly five dozen free-market groups on Friday will call on Congress to prioritize the demolition of the 2022 climate law, one of the Biden administration’s signature achievements.

Fed Payouts Add Another $100 Billion to Soaring Cost of US Debt

The Treasury shelled out some $861 billion in net interest on the national debt over the 12 months through July, the department’s latest release showed this week. That’s almost double what it was two years earlier.

Gaza Truce Talks Continue in Doha Amid Israel-Iran Tensions

International mediators are holding a second day of negotiations with Israel to pause the war with Hamas in Gaza, a development that could help defuse tensions with Iran.

NYC Mayor Eric Adams Subpoenaed as Part of DOJ Investigation

New York Mayor Eric Adams was subpoenaed as part of a corruption probe by the Justice Department, the New York Times reported.

To contact the reporters on this story: Kayla Sharpe at ksharpe@bloombergindustry.com; Jeannie Baumann in Washington at jbaumann@bloombergindustry.com

To contact the editor responsible for this story: Giuseppe Macri at gmacri@bgov.com