What to Know in Washington: GOP Shares Demands to Avert Shutdown

Speaker Kevin McCarthy announced demands to hold off an Oct. 1 government shutdown for a month, including an 8% temporary spending cut for domestic agencies and a resumption of border wall construction.

McCarthy (R-Calif.) scheduled a call with all GOP lawmakers at 8 p.m. last night in Washington to present the plan after negotiators representing key factions within the House GOP settled on the demands to temporarily fund the government for 31 days. A vote on the bill released Sunday is planned this week.

Photographer: Al Drago/Bloomberg

The demands, which also include provisions curtailing the ability of migrants to claim asylum in the US, are anathema to most Democrats and aren’t likely to be accepted by the Democratic-led Senate, Erik Wasson reports. The bill also doesn’t contain emergency Ukraine war funds or disaster aid requested by President Joe Biden’s administration.

But if McCarthy and the plan’s authors can unite Republicans behind the strategy, it would clear the way for the House to vote on a proposal for temporary funding. Efforts to pass funding measures have ground to a halt in the House amid clashes between GOP hardliners and moderates.

The GOP strategy is turning an impending shutdown into a clash with Democrats over border enforcement as New York, Chicago, and other major cities struggle with a migrant influx.

The approach is intended to temporarily set aside differences among GOP lawmakers over how deeply and where to cut federal spending while maintaining a collision course with Democrats.

Read more: McCarthy Says Shutdown Would Be Self-Defeating for GOP

Architects of the plan hope the cause will have broader public appeal as concerns about immigration rise in new areas of the country. Democratic New York City Mayor Eric Adams said this month an increase in migration would “destroy” his city, seeking federal support as Republican governors bus migrants into northern cities. Wasson and Laura Litvan have more on the strategy.

BIDEN’S AGENDA

• The president will attend two campaign receptions in New York shortly after 6 p.m. and 7 p.m., the latter along with First Lady Jill Biden.

CONGRESS’ SCHEDULE

• The House returns a 2 p.m. to tee up a continuing resolution to fund the government for a vote later this week.
• Senators return today with plans to vote this week on a package of several spending bills.
• For the a detailed agenda read BGOV’s Congress Tracker.

Happening on the Hill

Zelenskiy to Meet Senators in D.C.

Top Senate leaders will host an all-members meeting with Ukrainian President Volodymyr Zelenskiy on Thursday, as House Republicans are preparing to block a Biden administration request for another $24 billion in Ukraine assistance.

• Four top Senate Republicans prodded Biden to provide Ukraine with long-range missiles to help its counteroffensive against Russia, saying only a small part of US stockpiles would be needed. Read more.

Marijuana Bill Set Up for Vote

The Senate Banking Committee has scheduled marijuana banking legislation for a vote on Sept. 27, a much-anticipated move that would advance one of Senate Majority Leader Chuck Schumer’s (D-N.Y.) top priorities to the Senate floor.

SALT Republicans Search for Unity While Blocking GOP Tax Bill

New York and California Republicans are plotting a way forward while the House GOP tax package remains stalled over the state-and-local tax deduction cap.

People, Power and Politics

Biden Says ‘Lots of Luck’ to Republicans Looking to Impeach Him

Biden derided the House’s impeachment probe against him, responding with sarcasm when asked about the inquiry launched last week.

• With their push to impeach Biden and their threat to shut down the government, Republican hardliners in Washington made clear this week who’s setting their agenda: Donald Trump. Read more.

Hunter Biden Charges Wade Into Supreme Court Fray Over Guns

Hunter Biden’s defense against the latest federal charges puts the president’s son at the center of a roiling debate over who is allowed to have a gun after the Supreme Court upended the Second Amendment legal landscape a year ago.

Trump Plans Fundraisers for Campaign, Legal Fees

Trump is planning separate fundraisers at Mar-a-Lago in October for his election campaign and to help pay legal fees for himself and his supporters.

• Trump also signaled he might pick a woman as a running mate if he won the 2024 Republican nomination. Read more.

DeSantis Courts Texas Conservatives for Donations in Cash Crunch

Florida Gov. Ron DeSantis has reeled in wealthy Texas donors once loyal to Trump, and he’s heading to the state this week to make another pitch for his struggling campaign.

Home Buyers Squeezed Like Never Before Threaten Biden

Record-low housing affordability is squeezing homebuyers and renters. That could shape voters’ views of their own prosperity and the wider economy, creating a political vulnerability for Biden — especially with young voters, who are hard-hit by declining housing affordability.

What Else We’re Watching

UAW Chief Fain Rejects 21% Pay Increase Offer as a ‘No-Go’

United Auto Workers President Shawn Fain said he’s unmoved by an offer of a 21% pay raise from Stellantis. Fain’s comments signal the union and Detroit executives are still far apart. Stellantis’ COO for North America said Saturday that he was “disappointed” the union rejected what the automaker considers a “compelling offer.”

NYC Climate Protests Draw Thousands Ahead of UN Gathering

Tens of thousands of protesters took to New York City streets on Sunday to call for an end to the use of fossil fuels ahead of the annual UN General Assembly and to urge Biden to do more to fight climate change.

US-Iran Prisoner Exchange to Happen Today

Iran and the US will exchange prisoners later today, Iran’s Foreign Ministry said, the culmination of negotiations that could lay the ground for further talks on Iran’s nuclear program.

• Talks on Iran’s nuclear program are “possible” via intermediaries on the sidelines of the UN General Assembly in New York, the foreign ministry also said. Read more.

DACA’s Fate in Doubt as Case Starts Path Back to Supreme Court

The recent federal court ruling declaring DACA unlawful jump-starts the immigration program’s eventual pathway back to the Supreme Court, three years after the justices stymied a Trump administration attempt to end it and seven years after a split court declined to rule on its legality.

To contact the reporters on this story: Brandon Lee in Washington at blee@bgov.com; Giuseppe Macri in Washington at gmacri@bgov.com

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