Harris Working to Wrangle Democrats: What to Know in Washington

The pressure campaign to dethrone Joe Biden from the Democratic presidential ticket finally won out . Now the fractured party has to figure out who to take his place — and how — but first you should know:

• Vice President Kamala Harris speaks at 11:30 a.m. at the White House for a pre-scheduled annual event celebrating the National Collegiate Athletic Association championship teams.
• Secret Service Director Kimberly Cheatle testifies in the House today on the agency’s handling of the assassination attempt against Donald Trump.
• House Republicans meet to tee up four spending bills for floor votes in the Rules Committee this afternoon.

Biden Out, Harris Up

Many congressional Democrats already rallied behind Vice President Kamala Harris to cap the Democratic ticket in November — but notable holdouts and a short tenure in Congress mean its far from a lock.

The vice president’s first task to formally secure the Democratic presidential nomination will be corralling former congressional colleagues. That could be a big task — Harris barely touched down in the Senate in 2017 before launching her first presidential bid. Additionally, Senate Majority Leader Chuck Schumer (N.Y.) and House Minority Leader Hakeem Jeffries (N.Y.) didn’t explicitly back Harris in statements Sunday.

Harris wasted no time, making calls to Hill Democrats Sunday to shore up support. “This is a sprint,” Harris ally Sen. Laphonza Butler (D-Calif.) said in an interview. “She is making the calls to make sure that people know what she said in her statement: that she’s ready to earn this nomination.”

There’s no playbook for Harris’ scenario. She’s been a supporting character in the Biden administration with a ding on he record for heading up Biden’s border policy as crossings at the US-Mexico border surged. Her voting record is cautiously centrist and her career as a prosecutor makes many progressives skeptical. Republicans will try to present her as a villain. Read More

Democrats are about to do something no party has since primaries and caucuses replaced smoke-filled rooms as the method of selecting presidential nominees. By jettisoning a candidate who already clinched the nomination, they’re gambling a new ticket will energize a race that until lately seemed a numbing repeat of the past. Harris’s team was already contacting delegates Sunday to win them over to her side, according to people familiar with the effort. Read More

Potential rivals, including Illinois Gov. J.B. Pritzker, focused their statements on praise for Biden without commenting on who his replacement should be. Michigan Gov. Gretchen Whitmer hasn’t yet endorsed Harris, but she doesn’t intend to compete for the nomination, said a person with knowledge of the matter. Pennsylvania Gov. Josh Shapiro and California Gov. Gavin Newsom both endorsed Harris, while some donors called for an open nominating process to determine the ticket. Read More

• Sen. Joe Manchin (I-W.Va.) didn’t rule out a presidential run when asked if he’s considering running as an Independent. Manchin says he will not consider running for Vice President with Harris at the top of the ticket. Read More

Biden’s campaign still has nearly $96 million left in the bank. Harris can access to that cash. If another candidate emerges, that person would likely have to start fundraising from $0. Read More

Democrats raised more than $50 million online Sunday, since Biden announced his exit, according to a Bloomberg review of ActBlue data. Read More

• Podcast: Biden Stepped Down. Will Democratic Donors Step Up?
• Video: A Look at President Joe Biden’s Political Legacy
• Also Read: Key Moments From Biden’s Debate Debacle to Dropping Out

Potential for Lawsuits: In recent days Republicans suggested they could go to court to try and keep an alternate Democratic candidate off the ballot. Prior to Biden’s announcement, the conservative think tank The Heritage Foundation said it was plotting possible legal challenges.

• “Small armies of lawyers” would be needed to sort out the legal ramifications of any change in the Democratic ticket, Speaker Mike Johnson (R-La.) said at an event on the sidelines of last week’s GOP convention. “I think they have got legal hurdles in some of these states, and it’ll be litigated,” he said.

How Biden’s exit will affect campaigns for the House and Senate, who Harris might pick for her VP running mate, and what can still get done in Congress this year are the questions that will dominate Capitol Hill in the weeks to come.

• For down-ballot Democrats, the party’s biggest liability — Biden’s age — is now off the table, but there’s still work to do to counter Donald Trump’s momentum.
• A new VP could mean an opening for someone in Congress, though the odds seem long for pulling from Senate Democrats’ slim majority.
• Any hope for serious legislation before Election Day just went from faint to almost nonexistent. Biden just became a lame duck whose competence is in widespread doubt.
• For details on how these questions will play out as lawmakers return today, Read More

Meanwhile, Trump must now deal with a harsh reality: The 2024 race has gotten dramatically trickier. His campaign has been developing contingency plans to take on Harris, but those plans now have to address some fresh challenges.

• His campaign risks losing traction with some key constituencies, including young people and voters of color, where it had made inroads with some who now might be receptive to Harris or another Democrat. One of the strategies Trump allies plan to employ against Harris — to paint her as less likable personally — holds particular risk of alienating suburban women and Black voters. Read More

BIDEN’S SCHEDULE

• The president has no public events scheduled.

CONGRESS’ AGENDA

• The House is back today to tee up four GOP spending bills for floor votes later this week.
• Senators are back tomorrow to vote on Biden nominees.
• For the full agenda read BGOV’s Congress Tracker.

What to Know About Harris’ Policies

Biden Moves to Project Strength Abroad Despite Lame-Duck Status

Benjamin Netanyahu’s office said he’ll meet Biden in Washington tomorrow, a day before the Israeli prime minister is due to address a joint session of Congress. Efforts to bring an end to Israel’s nine-month war on Hamas are likely to top the agenda of Netanyahu’s visit. Read More

Hours after Biden announced that he won’t seek a second term, Blinken wrote on X that the president had restored US leadership around the world. The post was an unmistakable message to allies and adversaries that he has no intention of letting up on US efforts to broker an Israel-Hamas peace deal, press for more weapons and funding for Ukraine, and push back against Chinese support for Russian forces fighting there. Read More

World leaders paid tribute to Biden yesterday, as the prospect of a second Trump administration has US allies in Europe bracing for a more abrasive and transactional foreign policy, with the focus away from Ukraine and with tariffs deployed as a geo-economic weapon on China and Europe. Read More

• Also Read: China Social Media Embraces Trump After Harris Steps Into Race

Politics & Probes

Crypto’s Biggest Winners, Losers in a Trump White House

Bitcoin miners and crypto companies that have been stonewalled in efforts to go public in the US may ultimately be the biggest winners in the digital-asset world under a second Donald Trump presidency. Foreign companies at risk of losing market share may end up being the biggest losers.

Crypto Industry Wants Trump to Win and Call Off the SEC

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Trump Has ‘Very Good’ Phone Call With Ukraine’s Zelenskiy

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Hunter Biden Wants Courts to Toss Tax Charge After Trump Ruling

Hunter Biden is asking courts in Delaware and California to throw out charges of tax evasion, a felony gun conviction, and other charges given a new ruling on President Donald Trump.

What Else We’re Watching

Secret Service Head Faces Lawmaker Grilling on Trump Attack

The US Secret Service’s embattled leader is about to field a barrage of questions from hostile lawmakers who want her out of a job after the attempted assassination of former President Donald Trump.

Secret Service Chief Ducks Homeland Panel’s Demand for Testimony

The Department of Homeland Security declined the call for Cheatle to testify at a second oversight hearing on July 23, according to an agency official who spoke anonymously to discuss internal matters.

Secret Service Review to Be Led by Napolitano, Bipartisan Group

Former Homeland Secretary Janet Napolitano and Frances Townsend, a homeland security adviser to President George W. Bush, will lead an independent review of the July 13 shooting that injured former President Donald Trump.

Sheila Jackson Lee, Veteran Texas Congresswoman, Dies at 74

Representative Sheila Jackson Lee of Texas, who introduced legislation to make Juneteenth a national holiday, has died. She was 74.

US Plans Sanctions Over China’s Russia Aid, Top Biden Aide Says

US National Security Adviser Jake Sullivan said the US is preparing new sanctions on Chinese entities that support Russia’s war in Ukraine, and hinted that banks may be in the cross-hairs.

White House Raises US Growth, Inflation Projections for 2024

The White House boosted its forecasts for growth and inflation for 2024, while continuing to project outsize budget deficits for coming years.

How Routine CrowdStrike Update Crashed the World’s Computers

A tiny file ricocheted around the globe, exposing the global IT network’s fragility and the risks of industry consolidation.

EPA Awards $4 Billion in Climate Funds for Emissions Reductions

The Biden administration on Monday will announce it’s awarding more than $4.3 billion to fund climate projects across the nation.

Biden AI Rules Face Heightened Scrutiny in Post-Chevron World

The landmark reversal comes as the Biden administration has been relying on broad existing statutes to address novel AI-driven threats involving impersonation, discrimination, and safety.

To contact the reporter on this story: Giuseppe Macri in Washington at gmacri@bgov.com

To contact the editor responsible for this story: Kayla Sharpe at ksharpe@bloombergindustry.com