The Full Belmonte, 4/27/2023
Releasing leak suspect a national security risk, feds say
By ALANNA DURKIN RICHER and ERIC TUCKER
FILE - This image made from video provided by WCVB-TV, shows Jack Teixeira, in T-shirt and shorts, being taken into custody by armed tactical agents on Thursday, April 13, 2023, in Dighton, Mass. A judge is expected to hear arguments Thursday, April 27, over whether Teixeira, accused of leaking highly classified military documents about the Ukraine war and other issues, should remain in jail while he awaits trial. (WCVB-TV via AP, File)
“Federal prosecutors will urge a judge Thursday to keep behind bars a Massachusetts Air National guardsman accused of leaking highly classified military documents, arguing he may still have access to secret national defense information he could expose.
In court papers filed late Wednesday, the Justice Department lawyers said releasing 21-year-old Jack Teixeira from jail while he awaits trial would be a grave threat to the U.S. national security. Investigators are still trying to determine whether he kept any physical or digital copies of classified information, including files that haven’t already surfaced publicly, they wrote….” Read more at AP News
“The Air National Guardsman charged with the most damaging intelligence disclosures in a decade tried to cover his tracks by destroying computer equipment and warning an online gaming associate to delete their messages, US prosecutors said.” [Bloomberg]
House GOP passes its debt bill, upping pressure on Biden
It’s a symbolic victory, since the legislation is DOA in the Senate, but Republicans hope it will force the president to the negotiating table.
The vote followed a frantic day of eleventh-hour wrangling as Speaker Kevin McCarthy and his allies sought to lock down potential defectors ranging from conservatives to Midwesterners. | AP Photo/J. Scott Applewhite
“House Republicans passed their sweeping debt-limit and spending-cuts plan after a tumultuous 24 hours. Now, they have to see if it will bring President Joe Biden to the negotiating table.
The vote followed a frantic day of eleventh-hour wrangling as Speaker Kevin McCarthy and his allies sought to lock down potential defectors ranging from conservatives to Midwesterners.
In the end, only four Republicans voted against the legislation — though the victory is merely symbolic given the bill’s DOA status in the Senate.
And it was a hard-fought victory, at that. The conference had been in talks over the bill for months, yet McCarthy was still negotiating with on-the-fence members shortly before the vote. Still, GOP lawmakers cheered the bill’s passage, hoping it will give them some leverage to force leading Democrats to back down from assertions they would not negotiate at all over the debt limit.
‘I think everybody is focused on solving this problem and finally getting the president … to come to the table,’ said Majority Leader Steve Scalise (R-La.), adding that Republicans want to give McCarthy the ‘opportunity to go and negotiate with the president.’
Reps. Andy Biggs (Ariz.), Ken Buck (Colo.), Tim Burchett (Tenn.) and Matt Gaetz (Fla.) were the Republicans who opposed the bill, along with all Democrats.
It’s still far from clear that the House GOP plan will change the calculus either at the end of Pennsylvania Avenue or across the Capitol with Senate Democrats. Both have stressed for months, along with their less influential House colleagues, that they want a ‘clean’ debt ceiling increase, with no spending cuts attached.
Senate Majority Leader Chuck Schumer lambasted McCarthy ahead of the vote on Wednesday, accusing him of having ‘capitulated to the hard right once again’ as he worked to lock down the votes to pass the debt plan.
‘It’s a bill that might as well be called the Default On America Act. Because that’s exactly what it is — DOA, dead on arrival,’ Schumer said.
The House Republican bill combines across-the-board spending cuts with other conservative proposals, including stricter rules for social safety net programs and energy production incentives. But after vowing for days that they wouldn’t open the bill for negotiations, worried it would create a tidal wave of demands, Republican leadership cut a middle-of-the-night deal to try to win over two critical holdout groups: Midwesterners and conservatives.
For Midwestern members, GOP leadership agreed to kill changes to incentives structures for renewable diesel, second generation biofuel, carbon dioxide sequestration and biodiesel. For conservatives, they beefed up the work requirements and sped up the implementation timeline. Rep. Nancy Mace (R-S.C.), who flipped to backing the bill on Wednesday, also said McCarthy committed to working on balancing the budget in a conversation with her.
House Freedom Caucus Chair Scott Perry (R-Pa.) acknowledged that his conservative members weren’t sold on all the bill’s provisions but argued that passing the proposal was crucial to keeping Republicans at the table.
‘It is not perfect. It’s a step in the right direction. We’ve got to be in the arena and stay on offense,’ Perry said.
The next phase won’t get any easier for Republicans, though, who barely scraped by this time on a 217-215 vote. McCarthy eventually needs to cut a deal with Biden and Senate Democrats that somehow would also win over both the centrist and conservative factions of his conference.
‘It’s gonna have to be a conservative package if it’s going to win the support of the Republican conference, but I don’t think it serves anyone’s interest by talking about red lines right now,’ said Rep. Dusty Johnson (R-S.D.), the chair of the business-oriented Main Street Caucus.
Driving the debt-limit talks is still relatively new for House Republicans, who largely left it up to Senate Minority Leader Mitch McConnell to negotiate agreements on the debt ceiling during the first two years of the Biden administration. Those deals sparked fierce pushback not only from House Republicans but also Senate conservatives.
And Republican senators are warning they aren’t preparing to step into the breach again, at least not yet. Plus, it’s far from clear that a Senate GOP negotiated deal would even find favor in the more raucous House GOP conference.
The House bill ‘forces the administration to come to the table,’ Senate Minority Whip John Thune (R-S.D.) said Wednesday. ‘The pressure really ought to be on the White House.’” [POLITICO]
Supreme Court seems to favor woman who got $0 in condo sale
By MARK SHERMAN
FILE - The Supreme Court is seen on Friday, April 21, 2023, in Washington. The Supreme Court on April 26 will hear the case of a 94-year-old woman who lost her one-bedroom condo over unpaid taxes. (AP Photo/Jacquelyn Martin, File)
“WASHINGTON (AP) — The Supreme Court seemed likely Wednesday to give a 94-year-old Minneapolis woman another day in court to try to recoup some money after the county kept the entire $40,000 when it sold her condominium over a small unpaid tax bill.
The justices seemed in broad agreement with arguments by the lawyer for Geraldine Tyler that Hennepin County, Minnesota, violated the Constitution’s prohibition on the taking of private property without ‘just compensation.’
‘At bottom, she’s saying the county took her property and made a profit on her surplus equity. It belongs to her,’ Justice Clarence Thomas said.
Tyler, who now lives in an apartment building for older people, owed $2,300 in unpaid taxes, plus interest and penalties, when the county took title to the one-bedroom apartment in 2015. The county said she did nothing to hold onto her one-time residence. The apartment sold the next year.
Justices Elena Kagan and Neil Gorsuch said the county’s position appeared to be that it could seize million-dollar properties over tiny tax bills. ‘So a $5 property tax, a million dollar property, good to go?’ Gorsuch asked Neal Katyal, representing the county.
Katyal essentially said yes, noting that the Supreme Court in 1956 upheld New York City’s decision to keep the $7,000 it received for selling a property it seized over a $65 water bill….” Read more at AP News
“Justice Neil Gorsuch sold property to a prominent lawyer nine days after the Senate confirmed him to the Supreme Court, raising further concerns about judicial ethics and corruption.” [Vox / Ian Millhiser]
Disney sues DeSantis, calling park takeover ‘retaliation’
By ANTHONY IZAGUIRRE
“TALLAHASSEE, Fla. (AP) — Disney sued Florida Gov. Ron DeSantis on Wednesday over the Republican’s takeover of its theme park district, alleging the governor waged a ‘targeted campaign of government retaliation” after the company opposed a law critics call ‘Don’t Say Gay.”
The lawsuit was filed in Tallahassee minutes after a Disney World oversight board appointed by DeSantis voted to void a deal that gave the company authority over design and construction decisions in its sprawling properties near Orlando.
‘Disney regrets that it has come to this,’ the case said. ‘But having exhausted efforts to seek a resolution, the Company is left with no choice but to file this lawsuit to protect its cast members, guests, and local development partners from a relentless campaign to weaponize government power against Disney in retaliation for expressing a political viewpoint unpopular with certain State officials.’
The legal filing is the latest salvo in a more than year-old feud between Disney and DeSantis that has engulfed the governor in criticism as he prepares to launch an expected presidential bid in the coming months.
DeSantis, who has framed himself as a Republican firebrand able to deftly implement his conservative agenda without drama, has dived headlong into the fray with the beloved company and major tourism driver, as business leaders and White House rivals bash his stance as a rejection of the small-government tenets of conservatism.
‘We are unaware of any legal right that a company has to operate its own government or maintain special privileges not held by other businesses in the state,’ said DeSantis spokeswoman Taryn Fenske. ‘This lawsuit is yet another unfortunate example of their hope to undermine the will of the Florida voters and operate outside the bounds of the law.’
The fight began last year after Disney, in the face of significant pressure, publicly opposed a state law that bans classroom lessons on sexual orientation and gender identity in early grades, a policy critics call ‘Don’t Say Gay.’
As punishment, DeSantis took over Disney World’s self-governing district and appointed a new board of supervisors that would oversee municipal services in the sprawling theme parks. But before the new board came in, the company pushed though an 11th-hour agreement that stripped the new supervisors of much of their authority….” Read more at AP News
Trump
“Former President Donald Trump has lost an emergency attempt to block former Vice President Mike Pence from testifying about their direct conversations after the 2020 election. Trump has repeatedly tried and failed to close off some answers from witnesses close to him in the special counsel's investigation. This latest order from the DC Circuit Court of Appeals likely will usher in Pence's grand jury testimony quickly — an unprecedented development in modern presidential history. Analysts say Pence's testimony could reveal details about his many conversations with Trump from Election Day up until January 6, when Trump and his allies were pressuring Pence to block the congressional certification of the vote. Trump could try to appeal again or even press the issue at the Supreme Court.” [CNN]
Writer tells jury in lawsuit trial: ‘Donald Trump raped me’
By JENNIFER PELTZ and MICHAEL R. SISAK
Former advice columnist E. Jean Carroll, second from right, arrives to federal court in New York, Wednesday, April 26, 2023. Jurors have been seated in the trial over Carroll's claim that former President Donald Trump raped her nearly three decades ago in a department store dressing room. (AP Photo/Seth Wenig)
“NEW YORK (AP) — At first, she thought helping Donald Trump shop for a women’s lingerie gift at a luxury department store would simply be ‘a funny New York thing.’
Even when, according to E. Jean Carroll, the then-businessman motioned her to a dressing room as they dared each other to try on a see-through bodysuit, she imagined something like a ‘Saturday Night Live’ sketch she’d written.
But soon, ‘my whole reason for being alive in that moment was to get out of that room,’ Carroll testified Wednesday in the trial of her rape lawsuit.
‘I’m here because Donald Trump raped me, and when I wrote about it, he said it didn’t happen. He lied and shattered my reputation, and I’m here to try and get my life back,’ Carroll told jurors.
As she took the stand to describe the alleged 1996 attack, Trump, from afar, repeated his insistence that Carroll’s claim is utter fiction. He wrote on his social media site that the case ‘is a made-up scam,’ and more.
‘This is a fraudulent & false story — Witch Hunt!’ Trump wrote on his Truth Social platform. His comments prompted the judge to warn Trump’s lawyers that he could bring more legal problems upon himself.
Trump hasn’t attended the trial thus far, but his lawyers said Tuesday he still could decide to testify.
The trial comes as Trump again seeks the Republican nomination for president, and weeks after he pleaded not guilty to unrelated criminal charges that involve payments made to silence a porn actor who said she had a sexual encounter with him.
Carroll, 79, testified that she crossed paths with Trump at the revolving door to Bergdorf Goodman on an unspecified Thursday evening in spring 1996. At the time, she was writing a long-running advice column in Elle magazine, having also written for ‘SNL.’ Trump was a real estate magnate and social figure in New York.
She said he asked her advice about selecting a gift for a woman, and she was delighted to oblige. As an advice columnist, to have Trump ask for gift guidance ‘was a wonderful prospect,’ and Carroll figured she would end up with a funny story, she said.
She testified that she suggested a hat, but he pivoted to lingerie, and soon they were bantering about the bodysuit. Amused and flirting with him, she went along, laughing even as he closed the door to the dressing room, perhaps even as he pushed her against a wall.
But then, she alleges, Trump stamped his mouth onto hers, yanked down her tights and shoved his hand and then his penis inside her while she struggled against him.
She said she finally kneed him off her, fled and, for years, blamed herself.
‘I always think back to why I walked in there to get myself in that situation,’ she said, her voice breaking.
Carroll said that for decades, she told no one except two friends because she was afraid Trump would retaliate, because she ‘thought it was my fault’ and because she thought many people blame rape victims for what happened to them.
The alleged attack happened long before the #MeToo movement forced a reckoning with how sexual assault victims are treated by law enforcement and the public. Carroll has said #MeToo fueled her decision to come forward in a 2019 memoir and accompanying magazine excerpt….” Read more at AP News
Montana transgender lawmaker barred by GOP from House floor
By AMY BETH HANSON, SAM METZ and MATTHEW BROWN
Thom Bridge/Independent Record/AP
“HELENA, Mont. (AP) — Montana Republicans barred transgender lawmaker Zooey Zephyr from the House floor for the rest of the 2023 session on Wednesday in retaliation for her rebuking colleagues – and then participating in protests – after they voted to ban gender-affirming care for children.
The punishment marks the first time in nearly half a century that Montana lawmakers have sought to censure one of their own. It caps a weeklong standoff between her and House Republican leaders and formalizes their decision to not let Zephyr speak since she said those supportive of such a ban would have blood on their hands.
Zephyr will be able to vote and participate in committees, but not discuss proposals and amendments that are under consideration with the full House. The legislative session is set to end in early May.
The fight over Zephyr’s remarks has brought the nationwide debate over democracy to Montana, where lawmakers punished her voicing dissent, an increasingly common effort, In supporting Zephyr’s attempts to regain her voice, protesters have interrupted proceedings by chanting and unfurling banners that read ‘Democracy Dies Here.’
After days of rebuffing her request to speak, Republican leaders finally granted Zephyr the opportunity to give a statement before they voted to censure her Wednesday. She said her initial ‘blood on your hands’ remark and subsequent decision to hoist a microphone into the air toward protesters in the House gallery were an effort to stand up for the LGBTQ+ community and her 11,000 constituents in Missoula.
House Speaker Matt Regier’s decision to turn off her microphone, she said, was an attempt to drive ‘a nail in the coffin of democracy.’
‘If you use decorum to silence people who hold you accountable, then all you’re doing is using decorum as a tool of oppression,’ Zephyr told her colleagues.
House Republicans who supported barring Zephyr from the floor have accused her of placing lawmakers and staff at risk of harm for disrupting House proceedings and inciting protests in the chamber on Monday.
But lawmakers were on the floor Monday when protesters were in the gallery, and there have been no reports of damage to the building….” Read more at AP News
Tucker's flex
Screenshot from Twitter
“At 8 pm ET last night, just two days after being fired, Tucker Carlson counterprogrammed his longtime slot on Fox News by posting a Twitter video that ends with a teasing: ‘See you soon.’
Why it matters: The video, which was viewed 11 million times within two hours, showed Carlson can draw a massive crowd even without Fox — and made it clear he wants to continue talking to his fans as soon as his lawyers figure out what his contract will allow.
Views of the video passed Tuesday's viewership of his old cable news slot in less than an hour, Mediaite points out.
‘Good evening! It's Tucker Carlson!’ the video begins. ‘One of the first things you realize when you step outside the noise for a few days is how many genuinely nice people there are in this country — kind and decent people, people who really care about what's true.’
‘The other thing you notice when you take a little time off is how unbelievably stupid most of the debates you see on television are. They're completely irrelevant. They mean nothing. In five years, we won't even remember that we had them. Trust me, as someone who's participated.’
‘[T]he undeniably big topics — the ones that will define our future — get virtually no discussion at all: War. Civil liberties. Emerging science. Demographic change. Corporate power. Natural resources.’
‘Our current orthodoxies won't last. They're brain-dead. Nobody actually believes them. ... The people in charge know this — that's why they're hysterical and aggressive. They're afraid. ... As long as you can hear the words, there is hope. See you soon.’” [Axios]
Storm chaser Matthew Waters was two miles east of Waco, Texas, on Wednesday when he took photos of hail measuring nearly 4 inches wide.
Extreme weather
“A storm system that already pounded parts of the South this week with tennis ball-sized hail is now on track to bring more dangerous weather to the region today. Portions of southern Texas and southern Louisiana into the Florida Panhandle are at risk of scattered severe storms set to bring the triple threat of large hail, damaging winds and possible tornadoes, the Storm Prediction Center said. This comes after more than 60 reports of hail came in across the South on Wednesday, including hail about 4.5 inches in diameter in Bellmead, Texas, and 4 inches in Waco, Texas. Some communities along the Gulf Coast are also bracing for the possibility of flash floods today with rain set to fall occasionally at 2 inches per hour.” [CNN]
We Build The Wall founder sentenced to 4 years in prison
By JAKE OFFENHARTZ
Brian Kolfage leaves court after being sentenced for defrauding donors to the ‘We Build the Wall’ effort, Wednesday, April 26, 2023, in New York. The co-founder of a fundraising group linked to Steve Bannon that promised to help Donald Trump construct a wall along the southern U.S. border has been sentenced to four years and three months in prison. (AP Photo/John Minchillo)
“NEW YORK (AP) — The co-founder of a fundraising group linked to Steve Bannon that promised to help Donald Trump construct a wall along the southern U.S. border was sentenced to four years and three months in prison on Wednesday for stealing hundreds of thousands of dollars from donors.
Brian Kolfage, a decorated Air Force veteran who lost both of his legs and an arm in the Iraq War, previously pleaded guilty for his role in siphoning donations from the We Build the Wall campaign.
A co-defendant, financier Andrew Badolato, was also sentenced to three years for aiding the effort. He had also pleaded guilty. A third man involved in siphoning funds from the wall project, Colorado businessman Tim Shea, won’t be sentenced until June.
Kolfage and Badolato were also ordered to pay $25 million in restitution to the victims.
Absent from the case was Bannon, Trump’s former top political adviser. He was initially arrested aboard a luxury yacht and faced federal fraud charges along with the other men, but Trump pardoned him during his final hours in office….” Read more at AP News
Elizabeth Holmes delays going to prison with another appeal
By MICHAEL LIEDTKE
FILE - Former Theranos CEO Elizabeth Holmes arrives at federal court in San Jose, Calif., March 17, 2023. The disgraced Theranos CEO has avoided starting her more than 11-year prison sentence on Thursday, April 27, by deploying the same legal maneuver that enabled her co-conspirator in a blood-testing hoax to remain free for an additional month. Holmes' lawyers on Wednesday, April 26, told U.S. District Judge Edward Davila that she will not be reporting to prison as scheduled because she had filed an appeal of a decision that he issued earlier this month ordering her to begin her sentence on April 27. (AP Photo/Jeff Chiu, File)
“SAN FRANCISCO (AP) — Disgraced Theranos CEO Elizabeth Holmes has avoided starting her more than 11-year prison sentence on Thursday by deploying the same legal maneuver that enabled her co-conspirator in a blood-testing hoax to remain free for an additional month.
Holmes’ lawyers on Wednesday informed U.S. District Judge Edward Davila that she won’t be reporting to prison as scheduled because she had filed an appeal of a decision that he issued earlier this month ordering her to begin her sentence on April 27.
The appeal, filed with the Ninth Circuit Court of Appeals late Tuesday, automatically delays her reporting date because she has been free on bail since a jury convicted her on four counts of fraud and conspiracy in January 2022. The verdict followed a four-month trial revolving around her downfall from a rising Silicon Valley star to an alleged scam artist chasing fame and fortune while fleecing investors and endangering the health of patients relying on Theranos’ flawed blood tests….” Read more at AP News
Ukraine’s Zelenskyy upbeat after talk with China’s Xi
By DAVID RISING and JOE MCDONALD
“KYIV, Ukraine (AP) — Ukrainian President Volodymyr Zelenskyy said he and Chinese leader Xi Jinping had a ‘long and meaningful’ phone call Wednesday, their first known contact since Russia invaded Ukraine over a year ago, and Beijing appointed an envoy to pursue a ‘political settlement.’
The hour-long call came two months after Beijing, which has long been aligned with Russia, said it wanted to act as a mediator and a month after Xi visited Moscow. The call also coincided with indications that Ukraine is readying its forces for a spring counteroffensive.
Zelenskyy was upbeat about the conversation, which offered him the chance to insert his views into what had been a bilateral dialogue between Moscow and Beijing. Russian President Vladimir Putin is eager to keep Xi close as a counterweight to the United States, which has sided with Ukraine.
‘I believe that this call, as well as the appointment of Ukraine’s ambassador to China, will give a powerful impetus to the development of our bilateral relations,’ Zelenskyy said on Facebook.
An official readout on his website called the conversation ‘productive’ and said it leads the way toward ‘possible interaction with the aim of establishing a just and sustainable peace for Ukraine.’
Zelenskyy emphasized the need to regain all Ukrainian lands and stated, ‘There can be no peace at the expense of territorial compromises.’ In an indirect reference to U.S. reports that China had considered supplying weapons to Russia for its war, Zelenskyy’s office said he asked countries to refrain from doing so because ‘any support -- even partial -- is converted by Russia into the continuation of its aggression, into its further rejection of peace.’ China has said it won’t supply weapons to either side in the conflict….” Read more at AP News
“The US and South Korea announced a tougher nuclear deterrence plan, bolstering the response to North Korea’s provocations in the region. The deal includes deploying a nuclear-armed submarine to the country for the first time since the 1980s, and in turn securing a pledge from Seoul to honor commitments to not pursue its own atomic arsenal.” [Bloomberg]
South Korean President Yoon Suk Yeol, left, and US President Joe Biden meeting in Washington on Wednesday. Photographer: Al Drago/Bloomberg
April 27, 2023
Continue reading the main story
By German Lopez
Good morning. House Republicans are putting the economy at risk to push spending cuts.
Kevin McCarthy, the House speaker.Kenny Holston/The New York Times
Capital showdown
Since they won a majority in the midterm elections, House Republicans have promised to use a debt-limit bill as leverage to achieve their policy priorities. But it was not until yesterday that they confirmed what those priorities are, passing legislation that they plan to use in debt-limit negotiations.
The House approved the bill in a close vote, 217-215, with no Democratic support. The legislation, championed by House Speaker Kevin McCarthy, would raise the limit on money the government can borrow through next year, reel back President Biden’s climate agenda and force sweeping, unspecified spending cuts. The bill is dead on arrival in the Senate, which Democrats control, and Biden has already said he would not sign it. But Republicans hope it will push Democrats to negotiate. “We lifted the debt limit; we’ve sent it to the Senate; we’ve done our job,” McCarthy said.
The stakes are high. If the U.S. breaches the debt limit, it could be forced to default on its debts. A default could set off global economic calamity because U.S. debt, which underpins much of the financial system, would collapse in value (as I’ve explained before). The U.S. hit the debt limit in January, but the Treasury Department has used so-called extraordinary measures to keep the government from defaulting. Those measures will run out in the coming months.
Republicans are leaning on the economic threat to try to force Democrats to negotiate. Today’s newsletter will look at why Republicans are pursuing this strategy and why Democrats see it as reckless.
What Republicans want
Republicans say the U.S. government has grown too large, that it spends too much and that its debt and deficits are unsustainable. More recently, Republicans have argued that spending cuts will ease inflation. Reducing spending would also give Republicans more leeway in the future to extend tax cuts passed under Donald Trump, which disproportionately benefited wealthy Americans.
But Republicans have failed to act on a smaller-government vision when they have been in power. When they controlled the House, Senate and White House in 2017 and 2018, they increased federal spending and deficits. Pointing to that history, some liberals have argued that House Republicans are simply trying to undercut Biden even at the cost of damaging the economy.
Republicans also face difficult politics. In the debt-limit showdown, they have promised to shield Social Security, Medicare and military spending from cuts. Those programs make up the bulk of federal spending. Without them, balancing the budget or even just reducing spending would require steep cuts to other policies, potentially including Medicaid, food stamps, border security and grants to local police departments.
Some of those programs are popular, and slashing them could upset constituents who rely on them to make ends meet.
The political reality has prompted Republicans to take smaller steps. Originally, McCarthy said he wanted to put the U.S. ‘on a path towards a balanced budget’ within 10 years. His current proposal falls short of that goal. But it would cap some federal spending, reclaim unspent Covid relief funds, roll back the Biden administration’s efforts to boost clean energy, block student loan forgiveness and impose more stringent work requirements for food stamps and Medicaid.
Why Democrats refuse
Democrats have largely resisted negotiating over the debt limit. They have likened Republicans’ tactics to hostage taking, arguing that McCarthy and his allies are using the threat of economic catastrophe to force Biden to agree to draconian spending cuts. Democrats warn that negotiating would set a bad precedent — one that could ultimately hurt Republican administrations, too. Democrats could, for example, refuse to raise the debt limit to try to force a Republican president to agree to increase the minimum wage.
But there is already precedent. Barack Obama’s administration negotiated with Republicans during similar debt-limit showdowns. Some Democrats, including then-Senator Biden, also voted against increasing the debt limit in 2006 to protest the costs of the Iraq war and tax cuts.
Biden and his allies argue that it is time to break that cycle. They say they will negotiate with Republicans on spending after they increase the debt limit, but not before. This matches what other countries do. (Denmark is the only other country with a similar debt limit, but it raises its cap well in advance of reaching it.)
Democrats also object to Republicans’ proposed cuts, which they say would particularly hurt poor and middle-class Americans. They also point out that some proposals, like reducing funding for the I.R.S., would increase the deficit.
Still, Democrats may be forced to negotiate. As long as Republicans control the House, there may be no other way out of a potential economic crisis.
For more
The House legislation would raise the debt limit in exchange for cutting government spending nearly 14 percent over a decade.
The vote was the first big test of McCarthy’s speakership. These are the four Republicans who opposed the bill.
Here’s what’s in the bill.” [New York Times]
UK blocks Microsoft-Activision gaming deal, biggest in tech
By KELVIN CHAN
FILE - The Activision Blizzard Booth during the Electronic Entertainment Expo in Los Angeles, June 13, 2013. British regulators have blocked Microsoft's $69 billion deal to buy videogame maker Activision Blizzard over worries that it would stifle competition in the cloud gaming market.. (AP Photo/Jae C. Hong, File)
“LONDON (AP) — British antitrust regulators on Wednesday blocked Microsoft’s $69 billion purchase of video game maker Activision Blizzard, thwarting the biggest tech deal in history over worries that it would stifle competition for popular titles like Call of Duty in the fast-growing cloud gaming market.
The Competition and Markets Authority said in its final report that ‘the only effective remedy’ to the substantial loss of competition ‘is to prohibit the Merger.’ The companies have vowed to appeal.
The all-cash deal announced 15 months ago faced stiff opposition from rival Sony, which makes the PlayStation gaming system, and also was being scrutinized by regulators in the U.S. and Europe over fears that it would give Microsoft and its Xbox console control of hit franchises like Call of Duty and World of Warcraft….” Read more at AP News
Pension era ends
Illustration: Shoshana Gordon/Axios
“Americans retiring now are going it alone: They're the first generation to rely on private savings instead of pensions to navigate the financial vortex of retirement.
Why it matters: 401(k) plans and IRAs don't generate steady and predictable income like pensions or Social Security. The result is a feeling of perpetual insecurity, even among those who've amassed substantial savings, Axios' Felix Salmon reports.
Catch up quick: When your retirement relies on a fixed pool of money like a 401(k), it becomes almost impossible to answer a simple question: How much income do you have?
The retiree, rather than any fund administrator, ultimately decides how much money to withdraw each month.
And a paycheck isn't just income — it also serves as a simple way of setting a monthly budget.
The big picture: When paychecks go away, retirees with savings find it very difficult to know how much money it's safe to spend every month — especially since none of us know how many months we have left to live.
Resurgent inflation makes such calculations even harder, since none of us know how much more expensive our spending habits will become.
Zoom in: For most retired Americans, many of whom retired as long ago as the last century, guaranteed income still covers more than half of their total monthly spending.
Today's retirees find themselves in a much more uncertain situation, with a host of spending needs — some foreseeable, some coming out of the blue — all needing to be funded out of a volatile and unpredictable retirement portfolio.
By the numbers: In a Goldman Sachs survey, 45% of current retirees — including 54% of females — said they found entering retirement to be somewhat or very stressful in terms of financial anxiety.
The No. 1 unexpected financial challenge in retirement is ‘understanding what my income will be.’ But the most important feature of retirement income is that it be ‘consistent and stable month over month.’
What's next: Those numbers will rise as guaranteed incomes make up an ever-smaller proportion of retirement income.” [Axios]
Schools scrap homework
Illustration: Aïda Amer/Axios
“Schools are rethinking homework — and whether it’s a fair way to grade students, Axios' Erica Pandey writes.
The big picture: America’s kids come from all sorts of backgrounds.
Digital divide: 6% of school-age kids — that's millions of students — only have access to the internet at home through smartphones, according to the National Center for Education Statistics. The share rises to 14% when looking just at students from lower-income families.
After-school responsibilities: 3.4 million kids under the age of 18 are caregivers for members of their families, AARP notes.Millions also work part-time jobs after school.
Homework help: Some students lean on parents, siblings or tutors for help on assignments, while others don't have that option.
All of these factors affect the time and effort students can give to assignments. And placing importance on homework favors those with a stable home life and more hands-on parents, The Wall Street Journal reports.
Case in point: School districts in Nevada, Iowa, Virginia, California and other states are embracing ‘equitable grading,’ which minimizes the importance of daily homework and focuses on final projects and tests, The Journal notes.
Students are also given multiple opportunities to complete final assignments and aren't necessarily penalized for missing deadlines or missing class.
Reality check: Some teachers say students are gaming the new system, according to The Journal. The emphasis on final assignments is leading some kids to ignore homework and classwork along the way and skip class frequently.
What to watch: Schools deprioritizing homework mirrors colleges doing away with standardized test requirements. Institutions are increasingly considering how kids' performance can be impacted by factors outside of their control.” [Axios]
13-year journey to "The Show"
Drew Maggi makes his Major League debut in Pittsburgh last night. Photo: Joe Sargent/Getty Images
“13 years after Drew Maggi was drafted, the career minor leaguer finally achieved his dream of playing in the big leagues last night, Axios' Jeff Tracy and Kendall Baker write.
After getting called up by the Pittsburgh Pirates earlier this week, the 33-year-old infielder appeared as a pinch hitter in the eighth inning of an 8-1 win over the Dodgers.
Maggi — after 1,154 games and 4,494 plate appearances in the minors — got a standing O from teammates and the PNC Park crowd.
The Phoenix native ended up striking out, and getting called for a pitch clock violation. But that's beside the point.
Zoom out: It's exceedingly hard to make the major leagues — just 10% of minor leaguers get to "The Show."
It's even rarer for a player Maggi's age to be grinding it out in Double-A, where the average player is roughly nine years younger than him.” [Axios]
“Lives Lived: Emily Meggett never measured ingredients or wrote down a recipe until she published a cookbook last year that became a best seller. She died at 90.” [New York Times]