Each morning, Bill Scher and Terrance Heath serve up what progressives need to affect change on the kitchen-table issues families face: jobs, health care, green energy, financial reform, affordable education and retirement security.
Reid may move today to schedule final Wall St. reform vote for Wednesday. WSJ: "A spokesman for Senate Majority Leader Harry Reid said the Nevada Democrat was 'likely' to file cloture on the financial-overhaul bill Monday, which means the Senate could vote as soon as Wednesday on its final passage ... multiple other high-stakes amendments await in the next few days ... Sens. Maria Cantwell (D., Wash.) and John McCain (R., Ariz.) plan to offer an amendment that would essentially reinstate some of the rules crafted after the Great Depression that forced a division between commercial banks and investment banks ... Sens. Jeff Merkley (D., Ore.) and Carl Levin (D., Mich.) are pushing an amendment that would prohibit “proprietary” trading at banks that have access to things such as federal deposit insurance ... Sen. Sam Brownback (R., Kan.) ... which would prohibit a proposed Consumer Financial Protection Bureau at the Federal Reserve from enforcing new rules against auto dealers ..."
"Showdown On K Street" -- major rally for Wall St. reform in DC at 12 noon, led by AFL-CIO, SEIU and National People's Action: "...everyday people from across the country will descend on K Street in Washington, DC. K Street is ground-zero for the corporate lobbyists that are driving gridlock in Washington. Our plan is to draw a direct line between Wall Street CEOs, their hired guns on K Street, and the elected officials who have become addicted to Big Bank campaign contributions."
Showdown started early yesterday with protests at top bank execs' homes. HuffPost: : "Huge angry mobs converged outside bank employees' houses on Sunday afternoon to demand banks stop lobbying against Wall Street reform. 'Bank of America: bad for America!' shouted community leaders outside the house of Bank of America general counsel Gregory Baer."
HuffPost's Robert Kuttner sees a tipping point in the Wall St. reform debate:: "...for the first time since the meltdown began, drastic reform has serious momentum. ... It's not that the Republicans and corporate wing of the Democratic Party have come to Jesus -- only that Wall Street has become an albatross to the right. When Republican Senator Bob Bennett of Utah came in third at the party nominating convention last week, losing his right for a place on the primary ballot (and his three-term seat) critics held his vote for the TARP bailout against him."
As the bill strengthens on the Senate floor, Republicans are put in a "difficult spot" contends Politico: "They like the bill less with each passing day but know they risk looking like they’re siding with Wall Street if they vote no."
But will the bill get weaker after tomorrow's Arkansas primary? Time's Jay Newton-Small: The Dodd/Shelby agreement is widely expected to strip out Lincoln's most controversial piece on derivatives: a provision that would bar banks from trading derivatives and would require them to divest their current holdings.
Dems are afraid that if that piece gets taken out before Lincoln's primary [tomorrow] it'll weaken her chances..."
Auto dealer exemption for consumer protections may be voted on this week, reports NYT: "...neither side predicting victory."
Outside of new audit, little changes to Fed's reg powers. W. Post: "The Independent Community Bankers of America lobbied to keep [bank] regulation at the Fed, and the group was effective ... executives of small banks tend to be politically connected, pillar-of-the-community types."
As the NYT raises specter of major European debt crisis FT's Clive Crook argues either the European Central Bank needs to step up, or European governments to need to make them: "Economists who worry about infringing the independence of the Fed and [European Central Bank] are right to. ... But in emergencies they cannot stand aside — as the ECB has tried to ... For different reasons, funding was choked off at critical moments in both the US (Congress was unwilling to vote resources at the required scale and speed) and the eurozone (cross-border fiscal transfers are problematic). ... The legislators and treasuries ordinarily responsible for fiscal policy failed, so central banks had to step in."
Jobs For Teachers, Transit, Clean Energy In Limbo
Republican leaders seek to block aid that would prevent strapped states from laying off 300,000 teachers: "Despite a White House plea for House and Senate leaders to include a $23 billion bill aimed at saving teachers’ jobs in a supplemental war spending bill, the effort faces strong opposition from Republicans who characterize it as a bailout ... [Sen. Tom Harkin] said he planned to introduce the educators measure as an amendment to the $58.8 billion emergency supplemental appropriations bill (HR 4899) when that measure comes up on the Senate floor."
Impasse remains on funding for long-term transportation investment. Politico: "Hours after [Rep. Jim Oberstar] began circulating his plan last spring for a six-year, $500 billion investment in roads and rail, Transportation Secretary Ray LaHood simply called for an extension of the 2005 highway bill — effectively cutting off long-term expansion plans ... while the nation’s infrastructure continues to age and crumble, Washington is stuck with a neutered transportation chairman, a White House distracted by more pressing issues and congressional leaders who lack the political will to raise gas taxes for a new $500 billion measure."
This week, Commerce Sec. Gary Locke in China, with US businesses that are sending jobs to China. Bloomberg: " For 23 years, Timken Co. campaigned for U.S. tariffs on bearings from Asia. Now it’s rushing to open factories there to make parts for Chinese wind farms ... Timken’s evolution illustrates a trend among U.S. companies of embracing China for its growing economy and government support for renewable energy while fighting it less on trade policy. This emerging view will be on display this week, when Timken and 23 other U.S. companies accompany Commerce Secretary Gary Locke on a trip to China to promote clean-energy exports and investment ... 'We would like to see Timken expanding in America and exporting to China,' [Leo] Gerard, president of the United Steelworkers union, which represents workers at some Timken plants in the U.S., said in an interview. For Locke 'to go with folks who already have facilities in China and help them expand is not something I support.'"
W. Post reports on huge Chinese solar project: "The $740 million plan has attracted about 100 companies and spawned factories, a research center and wide boulevards illuminated by solar-powered lights. It highlights the promise -- as well as the limits -- of China's efforts to reconcile breakneck economic development with environmental concerns ... the manufacturing of solar devices helps local economies but won't break or even dent China's reliance on carbon-rich fossil fuels ... increased consumption of coal -- used to generate about two-thirds of electricity in China -- will offset any [clean energy] gains."
Many Deals Still Needed To Get 60 For Climate Bill
CQ lays out the Kerry-Lieberman strategy to secure 60 votes for their climate compromise: "Aides now estimate that they have only about 35 to 40 solid 'yes' votes. 'We’re going to identify those 25 that are undecided and might vote for it...' Lieberman said ... Part of their strategy is to deploy the industry groups that have endorsed the effort ... to help lobby undecided senators ... [Sen.] Brown, who led negotiations on behalf of manufacturing states’ interests, offered a lukewarm response to the bill upon its rollout and has made it clear he needs more changes ... An important coal-state Democrat to win over will be Max Baucus of Montana, who as chairman of the Finance Committee will have control over core provisions of the bill ... Kerry and Lieberman have tried to satisfy concerns from farm states by exempting agriculture from the bill’s emissions cap. But it’s not certain whether that is enough ..."
Breakfast Sides
Events planned to highlight popular provisions to skeptical public. Politico: "Polls show that about half of the public still doesn’t approve of the legislation, but certain provisions are quite popular. ... Democrats and advocacy groups in support of the new reform law already are planning to build public events around those changes to ensure voters know about them before they go to the polls ... [The prescription drug donut] hole will start to close June 15, when the first round of $250 annual rebate checks will be sent to seniors ... High-risk insurance pools, designed to help adults with pre-existing conditions obtain coverage, are scheduled to open at the state or federal levels in July ... [Sept. 23 begins] a prohibition on insurers denying coverage to children under the age of 19 because of pre-existing conditions, a mandate that recommended preventive care visits be done without co-pays and a ban on insurers’ use of lifetime financial pay-out caps and limits on the use of 'restricted' annual caps on new and existing policies"
Congress resisting Pentagon-requested spending cuts. W. Post: "Lawmakers from both parties are poised to override [Defense Sec.] Gates and fund the C-17 cargo plane and an alternative engine for the F-35 Joint Strike Fighter -- two weapons systems the defense secretary has been trying to cut from next year's budget ... Gates has repeatedly said he will urge President Obama to veto any defense spending bills that include money for the F-35's extra engine or the C-17..."
