capital thinking ~ april 22, 2013
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Patton Boggs Capital Thinking Weekly Update | April 22, 2013 1 of 18
April 22, 2013
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Capital Thinking: Contents (Press ctrl + left click to follow link to section) General Legislative ....................................................................................................... 3 Agriculture and Food .................................................................................................... 3 Budget and Appropriations .......................................................................................... 4 Cybersecurity ................................................................................................................ 5 Defense .......................................................................................................................... 6 Energy ........................................................................................................................... 7 Environment .................................................................................................................. 9 Financial Services ....................................................................................................... 10 Health Care .................................................................................................................. 12 Homeland Security...................................................................................................... 14 International ................................................................................................................ 16
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General Legislative Tomorrow, Tuesday, April 23, the House will meet at 12:00 pm for morning hour and 2:00 pm for legislative business. Votes will be postponed until 6:30 pm. Legislation Considered Under Suspension of the Rules will include: (1) H.R. 1067 - To make revisions in title 36, United States Code, as necessary to keep the title current and make technical corrections and improvements; and (2) H.R. 1068 - To enact title 54, United States Code, "National Park Service and Related Programs", as positive law. On Wednesday, April 24, the House will meet at 10:00 am for morning hour and 12:00 pm for legislative business. Legislation Considered Under Suspension of the Rules will include: (1) H.R. 360 - To award posthumously a Congressional Gold Medal to Addie Mae Collins, Denise McNair, Carole Robertson, and Cynthia Wesley, in recognition of the 50th commemoration of the bombing of the Sixteenth Street Baptist Church where the 4 little Black girls lost their lives, which served as a catalyst for the Civil Rights Movement, as amended ; and (2) H.R. 1071 - To specify the size of the precious metal blanks that will be used in the production of the National Baseball Hall of Fame commemorative coins. H.R. 1549 - Helping Sick Americans Now Act, Rules Committee Print, may also be considered. On Thursday, April 25, the House will meet at 10:00 am for morning hour and 12:00 pm for legislative business. On Friday, April 26, the House will meet at 9:00 am for legislative business, and last votes are expected no later than 3:00 pm. Legislation under consideration will include H.R. 527 - Responsible Helium Administration and Stewardship Act, Rules Committee Print (Subject to a Rule).
The Senate will convene today, April 22, at 2:00 pm and being a period of morning business. Thereafter, the Senate will resume consideration of a motion to proceed to S. 743, the Marketplace Fairness Act.
Agriculture and Food LEGISLATIVE ACTIVITY Farm Bill Timeline. The House Agriculture Committee has scheduled its markup of the Farm Bill for
Wednesday, May 15.
Immigration Reform. Last Wednesday, the Senate Gang of Eight released its 844-page comprehensive immigration bill. The bill would create a new farmworker visa program that would provide green cards in five years for those workers who have already spent two years in the U.S. agricultural industry. This would mean a faster path to citizenship for farmworkers. The bill has already faced some resistance from Senators Jeff Sessions (R-AL) and David Vitter (R-LA), who denounced the bill in a news conference and said that they would not rule out a filibuster on it.
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House Judiciary Committee Chairman Bob Goodlatte (R-VA) has signaled that he intends to modify the legislation to strengthen provisions on border security, and to change the guest worker program to better meet farmers’ needs.
This Week’s Hearings:
o Wednesday, April 24: The House Agriculture Subcommittee on Horticulture, Research, Biotechnology and Foreign Agriculture will hold a hearing on the “2013 Farm Bill: Horticulture Priorities.”
o Wednesday, April 24: The House Appropriations Subcommittee on Agriculture, Rural Development, and FDA will hold its hearing on “2014 Appropriations: Agriculture, Rural, FDA.”
o We expect the Senate Judiciary Committee to mark up the Senate’s comprehensive immigration bill in May. Senator Charles Schumer (D-NY) has said Majority Leader Harry Reid (D-NV) would bring the legislation to the floor in June.
Contact Information
For additional insights about likely policy developments, please feel free to contact the authors of this section: Dana Weekes at 202-457-6307 or [email protected], and Karen Kudelko at 202-457-5132 or [email protected].
Budget and Appropriations Congressional FY 2014 Appropriations Activity. Senate and House Appropriations
Subcommittees will continue to hold FY 2014 budget hearings on their agencies of jurisdiction this week. The Senate Appropriations Committee hearing schedule can be found at: www.appropriations.senate.gov. The House Appropriations Committee hearing schedule can be found at: www.appropriations.house.gov.
Office of Management and Budget Director Nomination. Following Senate Budget Committee and Homeland Security and Governmental Affairs Committee approvals last week, the Senate is poised to vote on – and likely approve – the nomination of Sylvia Matthews Burwell as Director of the White House Office of Management and Budget (OMB) as early as this week. Ms. Burwell served as deputy director of OMB under President Bill Clinton and most recently served as president of the Walmart Foundation.
Contact Information
For additional insights about likely policy developments, please feel free to contact the author of this section: Pam Welsh, at 202-457-6493 or [email protected].
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Cybersecurity LEGISLATIVE BRANCH ACTIVITY House Cybersecurity Action. Last week, the House passed four pieces of legislation related to
cybersecurity. Three non-controversial bills were easily passed on a widely bipartisan basis, including the Cybersecurity Enhancement Act (H.R. 756); the Advancing America’s Networking and Information Technology Research and Development Act (H.R. 967); and the Federal Information Security Amendments Act (H.R. 1163).
The final bill was the Cyber Intelligence Sharing and Protection Act (CISPA/H.R. 624) which has been very controversial as evidenced by the veto threat that the White House issued for the second year in a row. The White House Statement of Administration Policy (SAP) stated that the President’s advisors would recommend that he veto the bill if it were to reach his desk. Several amendments were adopted on the floor in order to address the White House’s concerns over privacy and civil liberties but these changes are likely not enough to persuade the President to support the bill. As in the last Congress, the Senate said it will not take up the CISPA bill but Senate Intelligence Committee leaders have indicated that the Committee will be drafting its own information sharing bill in the coming weeks.
This Week’s Hearings:
o Thursday, April 25: The House Homeland Security Committee is also currently working to draft a cybersecurity bill this Congress. In order to inform its efforts, the Subcommittee on Cybersecurity, Infrastructure Protection, and Security Technologies will hold a hearing to discuss issues related to the cybersecurity of critical infrastructure. The hearing is titled “Striking the Right Balance: Protecting our Nation’s Critical Infrastructure from Cyber Attack and Ensuring Privacy and Civil Liberties.” The Subcommittee has not yet named the witnesses that will testify at the hearing.
EXECUTIVE BRANCH ACTIVITY
Department of Commerce Notice of Inquiry. As the National Institute of Standards and Technology develops its Cybersecurity Framework for critical infrastructure as part of the President’s Executive Order, the Department of Commerce is seeking industry comments on how best to incentivize companies to participate in this voluntary cybersecurity program. Comments are due on Monday, April 29.
Contact Information
For additional insights about likely policy developments, please feel free to contact the authors of this section: Norma Krayem, 202-457-5206 or [email protected]; or Amy Davenport, at 202-457-6528 or [email protected].
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Defense EXECUTIVE AND LEGISLATIVE BRANCH ACTIVITY
North Korea. Chairman of the Joint Chiefs of Staff Gen. Martin Dempsey departed Washington last weekend for his planned trip to China. He included a stop in South Korea last Sunday. The main focus of Gen. Dempsey’s discussions in Beijing and Seoul will be North Korea.
Pentagon Budget. In testimony before Congress last week, Pentagon officials indicated the Department of Defense is reassessing and shifting its acquisitions approach. Chairman of the Joint Chiefs of Staff Gen. Dempsey testified before the House Defense Appropriations Subcommittee, telling Rep. Jo Bonner (R-AL): “You’re going to see some pretty dramatic changes based on the early indicators, of things that are not multi-role will be very difficult to invest in.” Currently, the Pentagon is in the process of reviewing and establishing new priorities and standards for future weapons acquisitions investments. According to Secretary of Defense Chuck Hagel who testified before the Senate Armed Services Committee, the investment and force structure review being conducted by Deputy Defense Secretary Ash Carter and Gen. Dempsey is expected to be completed by May 31. Keeping the sequester-level cuts in mind, Secretary Hagel said, “I directed a strategic choices and management review in order to assess the potential impact of further reductions.”
This Week’s Hearings:
o Tuesday, April 23: The Senate Armed Services Committee will hold a hearing on the “Department of the Army and the Fiscal Year (FY) 2014 National Defense Authorization Budget Request.”
o Tuesday, April 23: The Senate Armed Services Subcommittee on Emerging Threats and Capabilities will hold a hearing on “Proliferation Prevention Programs at the Department of Energy and at the Department of Defense in review of the Defense Authorization Request for FY 2014 and the Futures Years Defense Program.” Note: Following the open session to the public, there will be a closed session.
o Tuesday, April 23: The House Armed Services Subcommittee will hold a hearing on “Post Iraq and Afghanistan: Current and Future Roles for UAS and the FY 2014 National Defense Authorization Budget Request.”
o Wednesday, April 24: The Senate Armed Services Subcommittee on Personnel will hold a hearing on “Active, Guard, Reserve, and Civilian Personnel Programs and the FY 2014 National Defense Authorization Budget Request.”
o Wednesday, April 24: The Senate Armed Services Subcommittee on Readiness and Management Support will hold a hearing on “Military Construction, Environmental, and Base Closure Programs in review of the Defense Authorization Request for FY 2014 and the Futures Years Defense Program.”
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o Wednesday, April 24: The Senate Armed Services Subcommittee on Strategic Forces will hold a hearing on “Military Space Programs and Views on DoD Usage of the Electromagnetic Spectrum and the FY 2014 National Defense Authorization Budget Request FY 2014 National Defense Authorization Budget Request.”
o Wednesday, April 24: The Senate Armed Services Subcommittee on Airland will hold a hearing on “Tactical Aircraft Programs and the FY 2014 National Defense Authorization Budget Request.”
o Wednesday, April 24: The House Armed Services Subcommittee on Seapower and Projection Forces will hold an oversight hearing of “U.S. Naval and U.S. Air Force Acquisition Programs in the FY 2014 National Defense Authorization Budget Request.”
o Wednesday, April 24: The House Armed Services Subcommittee on Readiness will hold a hearing on “The Readiness Posture of the U.S. Air Force.”
o Wednesday, April 24: The House Armed Services Subcommittee on Military Personnel will hold a “Status of Implementation of the Requirements of the VOW Act and the Recommendations of the Presidential Veteran Employment Initiative Task Force for the DOD Transition Assistance Program.”
o Thursday, April 25: The Senate Armed Services Committee will hold a hearing on the “Department of the Navy and the FY 2014 National Defense Authorization Budget Request.”
o Thursday, April 25: The House Armed Services Committee will hold a hearing on the “Department of the Army and the FY 2014 National Defense Authorization Budget Request.”
Contact Information
For additional insights about likely policy developments, please feel free to contact the authors of this section: Stacy Swanson, at 202-457-5627 or [email protected]; and Mary Beth Bosco, at 202-457-6420 or [email protected].
Energy LEGISLATIVE ACTIVITY Energy Secretary. The Senate Energy and Natural Resources Committee favorably reported the
nomination of Dr. Ernest Moniz to be the next Secretary of Energy to the full Senate. He is expected to be confirmed.
This Week’s Hearings:
o Tuesday, April 23: The Senate Energy and Natural Resources Committee will hold a legislative hearing to consider pending energy efficiency and hydropower bills.
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o Wednesday, April 24: The House Natural Resources Committee will markup H.R. 3, to expedite approval of the Keystone XL pipeline.
o Thursday, April 25: The Senate Energy and Natural Resources Committee will explore the effects of drought on energy and water management practices.
o Thursday, April 25: A Subcommittee of the House Natural Resources Committee will hold an oversight hearing on the U.S.-Mexico Transboundary Hydrocarbon Agreement (H.R. 1613).
o Thursday, April 25: A House Foreign Affairs Subcommittee will hold a hearing on the economic and geopolitical opportunities from natural gas exports.
REGULATORY ACTIVITY
Nuclear. The Nuclear Regulatory Commission’s Advisory Committee on Reactor Safeguards meeting has been moved from April 24 to April 23.
PCAST. The President’s Council of Advisors on Science and Technology will next meet at the Department of Energy’s Office of Science on May 3 to provide information on research initiatives in neuroscience and technology’s impact on productivity and employment.
CTAC. The Chemical Transportation Advisory Committee will next meet May 7-9 in Arlington, Virginia to discuss marine transportation of hazardous materials – including recommended safety standards for the design of vessels carrying natural gas.
Coal. The National Coal Council will next meet May 16-17 in Washington, DC.
Pipelines. The Pipeline and Hazardous Materials Safety Administration has revised the maximum and minimum civil penalty amounts for known violations of federal hazardous material transportation rules.
Distribution Transformers. DOE has adopted more stringent energy conservation standards for distribution transformers. The final rule becomes effective on June 17; compliance is required by January 1, 2016.
Contact Information
For additional insights about likely policy developments, please feel free to contact the author of this section: Tanya DeRivi, at 202-457-6504 or [email protected].
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Environment LEGISLATIVE ACTIVITY This Week’s Hearings:
o Tuesday, April 23: The Senate Committee on Commerce, Science and Transportation, Subcommittee on Oceans, Atmosphere, Fisheries and Coast Guard, will hold a hearing to review the President's Fiscal Year 2014 budget requests for the National Oceanic and Atmospheric Administration and the U.S. Coast Guard
o Tuesday, April 23: The Senate Committee on Energy and Natural Resources will hold a hearing to examine bills concerning hydropower: S.306 would authorize all Bureau of Reclamation conduit facilities for hydropower development under Federal Reclamation law, and S.545, would promote hydropower projects and include a study on the improvement of hydropower.
o Wednesday, April 24: The Senate Committee on Appropriations, Subcommittee on Department of the Interior, Environment and Related Agencies, will hold a hearing to examine proposed budget estimates for fiscal year 2014 for the U.S. Environmental Protection Agency (EPA).
o Thursday, April 25: The Senate Committee on Energy and Natural Resources will hold a hearing to examine drought and the effect on energy and water management decisions.
o Thursday, April 25: The House Committee on Natural Resources, Subcommittee on Energy and Mineral Resources, will hold an oversight hearing entitled, “U.S.-Mexico Transboundary Hydrocarbon Agreement and Steps Needed for Implementation.” The Subcommittee will also hold a legislative hearing on H.R. 1613, which would amend the Outer Continental Shelf Lands Act to provide federal management and oversight of transboundary hydrocarbon reservoirs.
o Thursday, April 25: The House Committee on Natural Resources, Subcommittee on Water and Power, will hold an oversight hearing on water rights in conjunction with job creation.
REGULATORY ACTIVITY
Greenhouse Gas Emissions Report. EPA has published its 18th annual report of overall U.S. greenhouse gas (GHG) emissions showing a 1.6 percent decrease in 2011 from the previous year, and a 6.9 percent drop in GHG below 2005 levels. Titled, The Inventory of U.S. Greenhouse Gas Emissions and Sinks: 1990-2011 the report is the latest that the United States has submitted to the United Nations Framework Convention on Climate Change since it was ratified by the United States in 1992. The report tracks total annual U.S. emissions and removals (sinks) by source and economic sector to provide an accounting of total greenhouse gas emissions for all man-made sources in the
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United States. The report addresses trends in GHG across the following areas: energy, industrial processes, solvents, agriculture, land use and waste. The report also takes into consideration “sinks”, which account for carbon dioxide emissions removed from the atmosphere through the uptake of carbon by forests, vegetation, soils and other natural processes. An executive summary of the report can be accessed at: http://www.epa.gov/climatechange/Downloads/ghgemissions/US-GHG-Inventory-2013-ES.pdf The full report can be accessed at: http://www.epa.gov/climatechange/Downloads/ghgemissions/US-GHG-Inventory-2013-Main-Text.pdf
National Forest System Land Management Planning. The U.S. Department of Agriculture has announced that the National Advisory Committee for Implementation of the National Forest System Land Management Planning Rule will meet in Fort Collins, Colorado on May 7-9. The purpose of the committee is to provide advice and recommendations on the implementation of the National Forest System Land Management Rule, and the meeting is open to the public. The following business will be conducted: (1) Initial deliberations on formulating advice for the Secretary on the Proposed Land Management Planning Directives, (2) discuss findings from committee working groups, and (3) administrative tasks. Related matters are welcome, and must be provided in advance by filing written statements with the committee staff before the meeting. Comments can be sent via email to Chalonda Jasper at [email protected]. The meeting will be held on May 7–9, 2013, from 8:30 a.m. to 6:00 p.m. on Tuesday, 8:30 a.m. to 5:30 p.m. on Wednesday, and 8:30 a.m. to 1:30 p.m. on Thursday, Mountain Time. The meeting will be held at the Hilton Fort Collins, 425 West Prospect Road, Fort Collins, Colorado 80526.
Contact Information
For additional insights about likely policy developments, please feel free to contact the author of this section: Sarah Vilms, at 202-457-5248 or [email protected].
Financial Services LEGISLATIVE ACTIVITY
Senate Minority Leader McConnell Questions Legitimacy of CFPB Actions. Senate Minority Leader Mitch McConnell (R-KY) stated that a recent court decision that found President Obama’s recess appointments to the National Labor Relations Board to be unconstitutional also raises questions about the legitimacy of regulatory actions taken by the CFPB, which has been led by recess-appointed Richard Cordray. Chairman of the House Financial Services Committee Jeb Hensarling (R-TX) indicated he plans to offer legislation that would change the structure of the CFPB from director-led to a multi-person committee.
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This Week’s Hearings:
o Tuesday, April 23: The Senate Banking Committee will hold a hearing on the Consumer Financial Protection Bureau’s Semi-Annual Report. CFPB Acting Director Richard Cordray will deliver the report and answer questions from the Committee.
o Wednesday, April 24: The House Financial Services Committee will hold a hearing titled, “Building a Sustainable Housing Finance System: Examining Regulatory Impediments to Private Investment Capital.”
o Wednesday, April 24: The House Financial Services Subcommittee on Monetary Policy and Trade will hold a hearing titled, “Evaluating U.S. Contributions to the International Monetary Fund.”
o Thursday, April 25: The House Appropriations Subcommittee on Financial Services and General Government will hold a hearing to review the Treasury Department’s budget. Treasury Secretary Jack Lew will testify at the hearing.
REGULATORY ACTIVITY
Chairman White’s Former Debevoise & Plimpton Colleague to be New SEC Enforcement Chief. Media reports indicate that newly installed Securities and Exchange Commission Chairman Mary Joe White will soon appoint Andrew J. Ceresney, her former colleague at Debevoise & Plimpton LLP, to be the Commission’s Director of Enforcement.
Treasury Official Says Dodd-Frank Marked the End of “Too Big To Fail.” In a speech on Thursday, April 18, Treasury Undersecretary for Domestic Finance Mary Miller stated that the Dodd-Frank Act put a definitive end to “too big to fail” institutions and that taxpayers would no longer be held responsible for bailouts for financial firms. Miller’s comments follow those made by Federal Reserve Governor Jeremy Stein on Wednesday, who stated that it would still be some time before the issue of “too big to fail” was solved.
FSOC Expected to Make First Nonbank SIFI Designations Before Year End. Treasury officials have indicated that the Financial Stability Oversight Council is in the final stages of evaluating an initial set of nonbank financial companies to determine which companies will be designated as systemically important financial institutions, and subject to oversight by the Federal Reserve Board and enhanced prudential standards including capital and liquidity requirements.
Contact Information
For additional insights about likely policy developments, please feel free to contact the author of this section: Caroline Cauley at 202-457-6625 or [email protected].
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Health Care LEGISLATIVE ACTIVITY
HHS Basic Health Plan Program Timeline Released. Sen. Maria Cantwell released a timeline from HHS that shows that the Federal Basic Health Plan will begin enrollment in October 2014 and operations in January 2015. It shows that proposed regulations are expected in September 2013 and final rules are planned for release in 2014.
This Week’s Hearings:
o Tuesday, April 23: The Senate Committee on Health, Education, Labor and Pensions Subcommittee on Primary Health and Aging has scheduled a hearing on “Successful Primary Care Programs: Creating the Workforce We Need.” Panelists include Rebecca Spitzgo , HRSA Associate Administrator, George S. Rust, MD, MPH , Professor of Family Medicine at the Morehouse School of Medicine and Co-Director of the National Center for Primary Care, Atlanta, GA, Dan Hawkins , Senior Vice President, Public Policy and Research at the National Association of Community Health Centers, Paul R. G. Cunningham, MD, FACS , Dean and Senior Associate Vice Chancellor for Medical Affairs at the Brody School of Medicine, East Carolina University, Greenville, NC, Deborah Wachtel, NP, MPH, MS , President of the Vermont Nurse Practitioner Association and Vermont State representative for the American Association of Nurse Practitioners, Essex, VT , and Bruce Koeppen, MD, PhD , Founding Dean of the Frank H. Netter MD, School of Medicine at Quinnipiac University, Hamden, CT.
o Wednesday, April 24: The House Committee on Veterans’ Affairs will hold a hearing on “Examining the Implications of the Affordable Care Act on VA Healthcare.”
o Wednesday, April 24: The Senate Committee on Homeland Security and Governmental Affairs Subcommittee on Financial and Contracting Oversight will hold a hearing on “Oversight and Business Practices of Durable Medical Equipment Companies.”
o Wednesday, April 24: The Senate Committee on Appropriations Labor, Health and Human Services, and Education Subcommittee has scheduled a hearing on the Administration’s Fiscal Year 2014 Budget Request for the Department of Health and Human Services. HHS Secretary Kathleen Sebelius will testify.
o Thursday, April 25: The House Committee on Energy and Commerce Subcommittee on Health has scheduled a hearing on “Securing our Nation’s Prescription Drug Supply Chain.”
o Thursday, April 25: The House Committee on Oversight and Government Reform Subcommittee on Energy Policy, Health Care, and Entitlements has scheduled a hearing on “Examining the Lack of Transparency and Consumer Driven Market Forces in U.S. Healthcare.”
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o Thursday, April 25: The House Committee on Appropriations will hold a budget hearing on the Administration’s FY 2014 Department of Health and Human Services (HHS) budget proposal. The Honorable Kathleen Sebelius, HHS Secretary, will testify.
o Friday, April 26: The House Committee on Appropriations has also scheduled a budget hearing on the Food and Drug Administration (FDA) proposal. Witnesses include Dr. Margaret Hamburg, FDA Commissioner, James Tyler, FDA Chief Financial Officer, and Norris Cochran, FDA Deputy Assistant Secretary.
REGULATORY ACTIVITY
CMCS Oral Health Initiative Information Bulletin. The Center for Medicaid & CHIP Services (CMCS) released the attached informational bulletin for more information about setting baselines and goals under the CMS Oral Health Initiative and other dental updates. CMCS named two goals for its Oral Health Initiative, both of which the agency aspires to achieve at a national level as well as in individual states: increase by ten percentage points, from FY 2011, the percentage of children ages 1-20 enrolled in Medicaid for at least 90 continuous days that received a preventive dental service (the target date for this goal is FY 2015); and increase by ten percentage points the percentage of children ages 6-9 enrolled in Medicaid for at least 90 continuous days that received a sealant on a permanent molar. CMS has not set a target date for this goal as of yet. CMCS has invited state Medicaid agencies to develop Oral Health Action Plans as a roadmap to achieving these goals.
OTHER HEALTH NEWS
OMB Reg Review. The following regulations are currently under review at the Office of Management and Budget (OMB): State Long-Term Care Ombudsman Program Proposed Rule, Prospective Payment System and Consolidated Billing for Skilled Nursing Facilities-Update for FY 2014 (CMS-1446-P) Proposed Rule, FY 2014 Hospice Rate Update (CMS-1449-P) Proposed Rule, Requirements for the Medicare Incentive Reward Program and Provider Enrollment (CMS-6045-P) Proposed Rule, Changes to the Hospital Inpatient and Long-Term Care Prospective Payment System for FY 2014 (CMS-1599-P) Proposed Rule, Proposed Revisions To Implement Portions of Title XI of the Medicare Prescription Drug, Improvement, and Modernization Act of 2003 and Other Changes Proposed Rule, Infant Formula: Current Good Manufacturing Practices; Quality Control Procedures; Notification Requirements; Records and Reports; and Quality Factors Final Rule, 340B Orphan Drug Exclusion Final Rule, Add Vascularized Composite Allografts to the Definition of Organs Covered by the Rule Governing the Operation of the Organ Procurement and Transplantation Network (OPTN) Final Rule, HIPAA Privacy Rule and the National Instant Criminal Background Check System (NICS) Prerule, and Revision to Prohibition on FFP for "Data Mining" by Medicaid Fraud Control Units Final Rule.
GAO Report on OSHA Response to Challenges in State-Run Programs. The Government Accountability Office (GAO) released a report examining (1) what challenges states face in administering their safety and health programs; and (2) how the Occupational Health and Safety Administration (OSHA) responds to state-run programs with performance issues. GAO found that although OSHA has taken steps to improve issues among state-run programs, the agency needs a mechanism that allows the agency to intervene more quickly when a state is struggling with
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performance issues. GAO recommends that Congress consider giving OSHA a mechanism to expedite assistance to states experiencing challenges. In addition, OSHA should take a number of actions, including facilitating access to training; establishing time frames for resuming enforcement if states do not address challenges in a timely manner; and documenting lessons from its past experiences in resuming federal enforcement of state-run programs. In response, OSHA agreed with the recommendations and said it will explore ways to implement them.
BPC Health Care Cost Containment Report. The Bipartisan Policy Center (BPC) released a report entitled “A Bipartisan Rx for Patient-Centered Care and System-Wide Cost Containment.” The report identifies promising health care policy recommendations that will both contain cost growth and enhance value throughout the health care system. BPC’s recommendations span four broad categories: (1) Improve and Enhance Medicare to Incent Quality and Care Coordination; (2) Reform Tax Policy and Clarify Consolidation Rules to Encourage Greater Efficiency and Competition; (3) Prioritize Quality, Prevention, and Wellness; and (4) Incent and Empower States to Improve Care and Constrain Costs Through Delivery, Payment, Workforce, and Liability Reform.
IOM Meeting. Institute of Medicine’s Board on Population Health and Public Health Practice will meet on Monday April 22, 2013 on “Achieving Health Equity via the Affordable Care Act: Promises, Provisions and Making Reform a Reality for Diverse Patients. ” This workshop will look at the following issues: expansion of coverage, patient centered medical home, public/private partnerships, safety net challenges, and consumer engagement.
Contact Information
For additional insights about likely policy developments, please feel free to contact the author of this section: Eugenia Edwards, at 202-457-5622 or [email protected].
Homeland Security Boston Terrorist Attack: The Federal Bureau of Investigation and Boston Police Department are
working with the Department of Homeland Security (DHS) and other federal agencies to investigate the vicious bombing of the Boston Marathon last week. DHS Secretary Janet Napolitano has directed her agency to provide “whatever assistance” necessary to the investigation. DHS had issued a memo in 2004 on bombs fashioned from pressure cookers, such as those used in the attack. President Obama signed an emergency declaration for Massachusetts and traveled to Boston last week. Washington, D.C. remains on increased security alerts as officials intercepted poisonous ricin-laced letters intended for Senator Roger Wicker (R-MS) and President Obama.
Budget and Appropriations: Secretary Napolitano and DHS officials continue to disagree with Congressional homeland security leaders over the impact of sequestration on the agency’s budget and activities. For example, although the Transportation Security Administration has been able to avoid furloughs, the agency has predicted that a hiring freeze could result in losing more than 1,000
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workers by Memorial Day. However, the House Homeland Security and Governmental Affairs Committee debated whether the President’s FY 2014 Budget Request for DHS is sufficient in light of the Boston Marathon bombing. DHS Secretary Napolitano defendant her agency’s support of state and local intelligence fusion centers. She also pledged that security grants in port cities such as Boston would get serious consideration.
Border Security: The bipartisan “Gang of Eight” Senators introduced their comprehensive immigration reform package (S. 744) last week. To gain Republican support, it appropriates funds for extensive improvements in border security over the next decade and requires certain benchmarks be met before undocumented immigrants can seek permanent residence or citizenship. The bill creates a Southern Border Security Strategy to achieve effective control of the border, utilizing surveillance and detection capabilities, additional border patrol agents, and unmanned and fixed-wing aircraft. With the exception of DREAM Act youth and agriculture workers, no undocumented immigrant may achieve provisional legal status until the DHS Secretary notifies Congress that the strategy has been implemented and completed, among other triggers. If a 90 percent effective apprehension rate of illegal border crossings is not achieved within five years, the bill would create a Border Commission of border security experts, members of Congress, and the four border state governors to establish and meet border security standards.
National Bio and Agro-Defense Facility: President Obama requested $714 million in FY 2014 for the National Bio and Agro-Defense Facility (NBAF), which would replace an aging DHS lab located on an island off the coast of New York by 2020. Last week, House appropriators noted that the money dedicated to the NBAF would necessitate cuts elsewhere. Senate Homeland Security and Government Affairs Committee Chairman Thomas Carper (D-DE) urged Congress to appropriate funds gradually for the multi-year construction project, rather than provide full funding in the first year at the expense of Coast Guard, Federal Emergency Management Agency, and Immigration and Customs Enforcement budgets.
This Week’s Hearings:
o Monday, April 22: The Senate Judiciary Committee will hold a hearing on “Comprehensive Immigration Reform Legislation.”
o Tuesday, April 23: The Senate Appropriations Committee, Subcommittee on Homeland Security, will hold a hearing on “2014 Appropriations: Homeland Security.” DHS Secretary Napolitano will testify.
o Thursday, April 25: The House Homeland Security Committee, Subcommittee on Counterterrorism and Intelligence, will hold a rescheduled hearing on “Counterterrorism Efforts to Combat a Chemical, Biological, Radiological, and Nuclear (CBRN) Attack on the Homeland.” Two panels of witnesses from the New York City Police Department, DHS, and academia will testify.
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Contact Information
For additional insights about likely policy developments, please feel free to contact the authors of this section: Alexis Early, at 202-457-5105 or [email protected]; and Norma Krayem, at 202-457-5206 or [email protected].
International EXECUTIVE AND LEGISLATIVE BRANCH ACTIVITY
Boston Marathon Bombing. Last Monday, two bombs exploded near the end of the annual Boston Marathon, killing three – two U.S. citizens and one Chinese national – and injuring more than 170 bystanders. U.S. federal law enforcement resources responded to the incident, with President Obama classifying the bombing as a terrorist attack. The President flew to Boston last Thursday to attend a non-denominational memorial service for those killed and injured. At the service, President Obama had a warning for the perpetrators of the attack: “Yes, we will find you. And, yes, you will face justice.” Early last Friday morning, after a shootout with police, Tamerlan Tsarnaev (26-year old), one of the two identified bombing suspects, was killed. A massive manhunt ended Friday night for his brother, 19-year old Dzhokhar Tsarnaev, who was taken into police custody. That same day, President Obama spoke with Russian President Vladimir Putin and thanked him for unspecified cooperation in the investigation into the Boston bombings. Shortly after the arrest, President Obama addressed the nation. He thanked local, state and federal law enforcement for their collective efforts. The President also acknowledged many questions remain and said the Government will continue to press for answers.
North Korea. Coming on the heels of Secretary of State John Kerry’s recent visit to Beijing, China’s Special Envoy to North Korea, Wu Dawei, will visit Washington next week to meet with his counterpart, U.S. Special Envoy to North Korea Glyn Davies, to discuss North Korea. Since Secretary Kerry’s visit to Beijing, where the Secretary opened the door to possibly resuming a dialogue with North Korea, North Korea has insisted that in order for talks to resume, economic sanctions against North Korea need to end and the United States needs to end joint military exercises with South Korea. Analysts generally have acknowledged the hostile rhetoric from North Korea appears to have lessened. On Saturday, however, North Korea said it will not give up its nuclear weapons, rejecting a U.S. condition for talks, and instead shifted two more missile launchers to its east coast. In testimony before Congress last week, Secretary Kerry affirmed the United States will not reward North Korea for returning to the Six-Party Talks. He also shared that China remains concerned about the provocative actions of North Korea. According to the media, South Korean Foreign Minister Yun Byung-se will meet in Beijing next week with the Chinese Foreign Minister Wany Yi to discuss North Korea. Meanwhile, U.S. Chairman of the Joint Chiefs of Staff, Army Gen. Michael Dempsey departed Washington last weekend for Beijing, with a stop in Seoul, South Korea. The Chairman’s agenda is expected to focus on North Korea, among other topics.
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Syria. This past weekend, Secretary Kerry travelled to Istanbul, Turkey, and joined the Friends of Syria meeting. The Secretary announced the United States will double its non-lethal assistance to the Syrian Opposition. E.U. diplomats last week indicated the European Union may ease its oil embargo on Syria in order to allow the sale of crude from territory held by the Syrian opposition. A formal decision is expected Monday after the E.U. Foreign Ministers meeting in Luxembourg. Meanwhile, Syria continues to deny access to a U.N. forensics team after allegations by the British and French governments that the Syrian government has used chemical weapons in the civil war. President Obama has previously said any use of chemical weapons by the Assad regime would be a “game changer;” but he has not said how the United States would respond.
State Department. Last week, Secretary Kerry testified before the Senate Foreign Relations and House Foreign Affairs Committees, as well as the Senate and House Appropriations State-Foreign Operations Subcommittees regarding the requested $47.8 billion FY 2014 Budget for the State Department. Before the House Foreign Affairs Committee, the Secretary shared his belief that “the window for a two-state solution is shutting” with respect to a potential Palestinian state. He further warned that $3.1 billion earmarked for military aid to Israel could be cut if the mandatory sequestration reductions go into effect. Secretary Kerry also fielded a number of questions on the September 11, 2012, terrorist attack on the U.S. Consulate in Benghazi; and he faced questions on North Korea and Syria. In testimony before the Senate Foreign Relations Committee, the Secretary requested the Senators pressing for tougher Iran Sanctions to be patient, citing uncertainty in Iran with the upcoming June 14 presidential election.
Last Friday, the State Department issued its 2012 Country Reports on Human Rights Practices (Report). The Report highlights the following themes during 2012: (1) shrinking space for civil society activism around the world; (2) ongoing struggle in the Middle East for democratic change; (3) emerging democracy and space for civil society in Burma; (4) threats to freedom of expression; and (5) the continued marginalization of vulnerable groups, such as lesbian, gay, bisexual, and transgender (LGBT) persons.
Venezuela. Nicolás Maduro, Hugo Chavez’s heir apparent and acting Venezuelan President, won the April 14 presidential election by less than two percentage points against his challenger, Henrique Capriles. While the White House congratulated the Venezuelan people for peacefully participating in the election, it noted “the acceptance by both candidates for an audit of the ballots.” Secretary Kerry in testimony before Congress last week said about the recent election: “Obviously, if there are huge irregularities, we are going to have serious questions about the viability of that government.” Last Friday, Nicolás Maduro was sworn-in as the next President of Venezuela.
Trade. While the United States has announced its support for Japan to join the Trans-Pacific Partnership (TPP) negotiations, there has not been across the board acceptance by the other TPP member countries. On Wednesday, the Senate Finance Committee will hold a hearing on TPP opportunities and challenges.
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This Week’s Hearings:
o Tuesday, April 23: The House Foreign Affairs Subcommittee on Global Health will hold a hearing on Meeting the Challenge of Drug-Resistant Diseases in Developing Countries. Dr. Tom Frieden, Director of the Centers for Disease Control and Prevention, is scheduled to testify.
o Wednesday, April 24: The Senate Foreign Relations Committee will hold a hearing on International Development Priorities in the Fiscal Year (FY) 2014 Budget. U.S. Agency for International Development Administrator Rajiv Shah is scheduled to testify.
o Wednesday, April 24: The Senate Finance Committee will hold a hearing on The Trans-Pacific Partnership: Opportunities and Challenges. The Administration is not scheduled to testify.
o Wednesday, April 24: The House Foreign Affairs Committee will hold a hearing on Export Control Reform: The Agenda Ahead. Testifying from the Administration will be: Principal Deputy Assistant Secretary of State for Political-Military Affairs Thomas Kelly; Assistant Secretary of Commerce for Export Administration Kevin Wolf; and Principal Deputy Assistant Secretary of Defense for Policy Kathleen Hicks.
o Wednesday, April 24: The House Foreign Affairs Subcommittee on Europe will hold a hearing on Kosovo and Serbia: A Pathway to Peace. Testifying from the Administration will be Mr. Jonathan Moore, Director of the State Department’s Office of South Central European Affairs.
o Thursday, April 25: The Senate Foreign Relations Subcommittee on East Asian and Pacific Affairs will hold a hearing on the Rebalance to Asia II: Security and Defense: Cooperation and Challenges. Testifying from the Administration will be Acting Assistant Secretary of State for East Asian and Pacific Affairs Joseph Yun and Assistant Secretary of Defense for Asian and Pacific Affairs Mark Lippert.
Contact Information
For additional insights about likely policy developments, please feel free to contact the author of this section: Stacy Swanson, at 202-457-5627 or [email protected].