Business lobbyists prepare for Biden’s SOTU incoming

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Mar 07, 2024 View in browser
 
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By Caitlin Oprysko

Presented by the National Association of Broadcasters

With Daniel Lippman

DOWNTOWN PREPARES FOR BIDEN’S JABS: Business lobbyists are already rolling out rebuttals to President Joe Biden ahead of tonight’s State of the Union, during which corporate America is poised to be one of Biden’s top punching bags on any number of policy issues.

— “With respect to some of the particulars that we expect may be included in the State of the Union, we've heard many of these claims before,” Neil Bradley, the chief policy officer at the U.S. Chamber of Commerce, said of the White House’s push to attribute higher prices to corporate greed. “In every instance that just hasn't been supported by the data or the facts — and in many cases by the government's own data,” he argued.

— The Chamber this week published a listicle of “Five Times the Administration Wrongly Blamed Business for High Prices,” which went on to list five areas where the business lobby blamed what it called the White House’s “price control” agenda.

— Biden is expected to call for additional tax hikes on businesses and warn against permanently extending a slew of tax breaks set to expire next year, while going after corporate consolidation and continuing to hammer so-called junk fees, “shrinkflation,” drugmakers (and pharmaceutical middlemen) and more.

— “Companies should be prepared for a potential callout and have a plan for telling their side of the story quickly and aggressively,” the lobbying firm Monument Advocacy said in a primer for clients, noting that “in a bygone era, a positive mention of your brand by the President in a nationally televised address would have been a badge of honor, but with today’s hyper-partisan, and increasingly populist electorate, it is far more likely your brand or industry will be the target of an attack.”

— Some familiar players that the firm said should be on notice include tech companies, private equity and the fossil fuel industry, along with banks and credit cards, the travel and entertainment industries, landlords and other consumer brands.

— The firm also warned that “if you have supply chains that touch China, watch for arrows” from Biden tonight, when the president “very well could try to out-hawk the China Select Committee and Trump with new or continued attacks on imports and Chinese ties. Some of these targets could be domestic but more likely Chinese companies doing business in the U.S.,” such as Shein and Temu.

— Some business groups called for policymakers to drop the political theater tonight — though we wouldn’t suggest holding your breath — and to take action on their priorities. “The great irony is that there's a good news story to tell … about American business, and rather than telling that story, it looks like it may be more of an attempt to kind of lay blame,” Bradley lamented.

— The Chamber is urging lawmakers to stop sniping at one another long enough to pass full-year funding bills, bipartisan tax legislation and the Ukraine, Taiwan and Israel aid supplemental (while eschewing new regulations and “government micromanagement”).

Michael Hanson of the Retail Industry Leaders Association called for Washington to “defy conventional election year distractions and instead support policies that protect consumers and ensure a strong and vibrant economy,” such as lifting tariffs, addressing retail theft and credit card swipe fees, skipping tax increases and bolstering the workforce.

Happy Thursday and welcome to PI. Let us know what you’ll be watching out for in tonight’s SOTU: coprysko@politico.com. And be sure to follow me on X, the platform formerly known as Twitter: @caitlinoprysko.

 

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NOT THE KIND OF VIRAL YOU WANT: TikTok dropped a public hammer on Washington on Thursday, sending a direly worded alert to users urging them to call Congress and stop a bill designed to cut China’s ties to the app,” our Rebecca Kern reports, signaling “how seriously the video-sharing giant is taking Congress’ latest effort to rein in a platform that has long been under fire from Washington with little regulation to show so far.”

— “The move recruited TikTok’s vast user base as a new kind of influence weapon — a maneuver that some tech companies have tried before, this time boosted by the power of immediate alerts, precision targeting and millions of hyper-enthusiastic fans.”

— “The alert was sent to the phones of TikTok users whose House members were on the Energy and Commerce Committee, according to a person familiar with the campaign. The committee was voting on the bill Thursday. Users got a pop-up alert saying, ‘TikTok is at risk of being shut down in the US. Call your representative now.’ They also got a link to a website describing the law as ‘the TikTok ban.’ The measure would force Beijing-based ByteDance to sell TikTok or face a ban on U.S. app stores.”

— “TikTok users flooded some congressional offices with dozens of calls. Results were mixed: Some staffers dismissed the callers as uninformed, or as pranksters, or as ‘teenagers and old people saying they spend their whole day on the app.’ Some predicted it could cause a backlash.” The blitz apparently did not work on the House Energy and Commerce Committee, which voted 50-0 to send the bill to the House floor.

AI DOOMSAYER GROUP HIRES AKIN GUMP: The Center for AI Safety Action Fund, a new organization pushing policymakers to address possible catastrophic risks posed by artificial intelligence, has hired several outside lobbyists to put more pressure on Washington — including Reggie Babin, the longtime former chief counsel to Sen. Majority Leader Chuck Schumer, per Brendan Bordelon and your host.

— Babin, Hans Rickhoff, former Nancy Pelosi aide Arshi Siddiqui, former Obama administration aide Ed Pagano and former Paul Ryan aide Casey Higgins of Akin Gump Strauss Hauer & Feld began working last month to press Capitol Hill and federal agencies on AI legislation and regulation. All of those lobbyists save for Siddiqui were hired by OpenAI in November to lobby on much the same set of issues.

— The hire adds to an escalating lobbying effort by groups that warn about existential risks posed by AI, and comes as Congress prepares to enter a new phase in its efforts to regulate the technology — with the help of a Schumer-led bipartisan Senate working group.

— Some AI researchers and industry lobbyists worry that groups like CAIS are pushing Washington to impose restrictive safety rules that would make it tougher for tech companies to compete with OpenAI, Anthropic and other leading AI labs.

THE NEW(ISH) GUN LOBBY ON THE BLOCK: “The top advocate for the gun industry in Washington is spending more than ever to influence the federal government. The group accuses President Joe Biden of waging war on the Second Amendment. It resists any effort to create universal background checks and argues that attempts to crack down on untraceable ‘ghost guns’ are unnecessary,” NBC News’ Suzy Khimm reports. “And it’s not the National Rifle Association.”

— “The NSSF, founded more than 60 years ago to promote hunting and recreational shooting, has grown into the country’s largest firearms trade association. The organization spent more than $5.4 million on federal lobbying last year, more than in any other year in its history and more than twice as much as the NRA, according to federal records.”

— “The NRA — long seen as synonymous with the gun-rights movement — has struggled with declining membership and revenue, as well as internal scandals. The latest blow came when its longtime leader, Wayne LaPierre, was found liable for corruption in a New York court last month. As the NRA cuts back on federal lobbying, its troubles have created an opportunity for other gun-rights advocates to expand — especially the NSSF,” formerly known as the National Shooting Sports Foundation.

A NEW YEAR’S RESOLUTION THAT CAME TRUE: IHRSA, the primary trade association representing the fitness industry, debuted its new name today: the Health & Fitness Association. The rebrand is the culmination of a yearslong process that started with the trade group’s hiring of a new CEO, former candy lobbyist Liz Clark, back in 2021, and stemmed from a desire to grow the industry’s influence in the halls of power by making its mission more clear.

— The 40-year-old trade group had been using its old name, the International Health, Racquet & Sportsclub Association, since 1994, but it started to become a source of confusion among some policymakers who weren’t always clear on the group’s mission and membership, Jeff Solsby, a spokesperson for the group, told PI.

— Changing the name “is the clearest and most effective way for Liz and [chief lobbyist Mike Goscinski] as advocates on the Hill and in state capitals to explain who the industry is, and what the mission of the industry is, in a way that in a way that resonates with policymakers,” Solsby added.

— Following the rebrand, the trade group plans to focus on “making the industry a part of the conversation as an advocate for the transition from prescriptive health care to preventative health care,” Solsby said, positioning the fitness industry as one with “a central role in that conversation and that policy discussion.” One of the group’s top priorities in recent years has been working to pass legislation to let people use pre-tax accounts like HSAs and FSAs to help pay for fitness-related expenses.

MEA CULPA: Yesterday’s newsletter misstated Rep. Debbie Dingell’s (D-Mich.) retirement status — she is not retiring. PI regrets the error.

 

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Jobs Report

MissionWired is elevating Ambika Subramanyam to president of the agency and Bob Albrecht to chief of marketing and brand. Subramanyam previously was chief product officer, and Albrecht was COO.

Maggie Moran is the new campaign manager for Tammy Murphy’s New Jersey Senate bid, Daniel Han reports. She previously worked at Kivvit and managed New York Gov. Andrew Cuomo’s 2018 reelect.

Andrea Surratt has joined Crowell & Moring in the firm’s white collar and regulatory enforcement group. Surratt most recently was an assistant U.S. attorney for the District of Colorado.

Anna Hughes is now vice president of communications at the U.S. Council for International Business. She is a former head of policy communications at Twitter.

Ashley Harrington has joined the Project on Predatory Student Lending as the organization’s senior director of policy and advocacy, Morning Education reports. Harrington previously worked as senior adviser to the chief operating officer at the Education Department’s Office of Federal Student Aid.

RXN Group hired Kathy Orellana as senior director of public affairs and Emma O’Rourke as a senior research analyst. Orellana was previously a senior regional director for government affairs at the American Psychiatric Association and O’Rourke was previously with Nathan Associates.

Walt Cronkite is joining the Structured Finance Association as communications director. Cronkite most recently handled public relations for Latham & Watkins and is an FTI Consulting alum.

Caroline Behringer is now head of communications and partner engagement for Potential Energy Coalition. She previously was founder of CB Strategies and is a Nancy Pelosi and EPA alum.

— The Chertoff Group has added Ted Singer and Bill Schieder as senior advisers. Singer previously was with the CIA and Schieder, who is an FBI alum, was previously vice president of global security at Flexport.

Alexa Roberts is joining VillageMD as director of government relations. She was previously deputy legislative director for Rep. Michael Burgess (R-Texas).

Richard Kahlenberg is joining the Progressive Policy Institute as director of housing policy and director of the American Identity Project. He previously was a consultant on education and housing policy.

New Joint Fundraisers

Hudson Valley Majority Makers (Reps. Mike Lawler, Marc Molinaro, MVL PAC, Red Hook PAC, NRCC)

 

A message from the National Association of Broadcasters:

More than 82 million Americans depend on AM radio for always-on news, sports, talk, traffic and weather. AM radio stations also serve as the backbone of the Emergency Alert System, delivering lifesaving emergency information when your community needs it most. More than 250 members of Congress are supporting the AM Radio for Every Vehicle Act to ensure AM radio remains available in cars to keep Americans safe. When cell and internet services fail, free AM radio service is critical. Congress should pass the AM Radio for Every Vehicle Act now. Learn more at DependonAM.com.

 
New PACs

American Ukraine PAC (PAC)

Buckeye Patriot Alliance (Super PAC)

Drag PAC (Hybrid PAC)

MAKE AMERICA JUST AGAIN (Hybrid PAC)

MF FED PAC (PAC)

PENNSYLVANIA 9TH CONGRESSIONAL DISTRICT REPUBLICAN DELEGATES COMMITTEE (PAC)

SOUTHERN ILLINOIS WORKING FAMILIES PAC (Super PAC)

Vermin United (Hybrid PAC)

 

On the ground in Albany. Get critical policy news and analysis inside New York State. Track how power brokers are driving change across legislation and budget and impacting lobbying efforts. Learn more.

 
 
New Lobbying REGISTRATIONS

Akin Gump Strauss Hauer & Feld: Center For Ai Safety Action Fund, Inc.

Balfour Beatty Investments: Balfour Beatty Investments

Capitol Counsel LLC: Captive Insurance Companies Association

Cornerstone Government Affairs, Inc.: Lumen Bioscience, Inc.

Dentons US LLP: Upper Westside Community Improvement District

Empire Consulting Group: Miami-Dade County

Kellogg, Brown And Root (Kbr): Kellogg, Brown And Root (Kbr)

Norsk Hydro USa, LLC: Norsk Hydro USa, LLC

Smart Policy Group LLC: Comcast Corporation

Washington Advocacy Group: Amgen Inc.

New Lobbying Terminations

Buchanan Ingersoll & Rooney Pc: Carlow University

Liberty Government Affairs: Honduras Prospera Inc.

 

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