Ethics probe hangs over Gaetz

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Nov 14, 2024 View in browser
 
POLITICO Playbook PM

By Eli Okun

Presented by 

America’s Credit Unions and the Independent Community Bankers of America
THE CATCH-UP

JOHN FETTERMAN SPEAKS — The Pennsylvania Democratic senator sat down with Holly Otterbein to talk about why DONALD TRUMP won (the assassination attempt, ELON MUSK, his “special connection” to the state) and what Democrats need to do differently. “I love people that are absolutely going to vote for Trump. They’re not fascists,” Fetterman says. “Scolding harder or clutching the pearls harder, that’s never going to work for Democrats.”

Matt Gaetz talks.

The House Ethics report about Matt Gaetz is top of mind in Washington. | Francis Chung/POLITICO

GAETZ CRASHERS — MATT GAETZ’s resignation from the House was made official today (and he says he “does not intend to take the oath of office” next term, either). Meanwhile, the fight over his future nomination as AG is just beginning.

Will Trump’s most controversial pick yet be able to get through the Senate GOP? Many, if not, most elected Republicans in Washington have little personal love lost for Gaetz. But the early signals are mixed: Despite shock at the nomination, some senators told CBS’ Robert Costa that they “don’t have a lot of energy for pushing back” against Trump’s nominees. Gaetz and VP-elect JD VANCE have already been making calls to feel out Senate Republicans, NBC’s Kristen Welker, Henry Gomez, Frank Thorp V and Julie Tsirkin report.

One thing seems clear: The House Ethics Committee’s pending report from its investigation into Gaetz could be critical. Sens. SUSAN COLLINS (R-Maine) and THOM TILLIS (R-N.C.) said they expected the probe’s findings to emerge somehow, per NBC’s Ryan Nobles. Sen. JOHN CORNYN (R-Texas) told reporters he “absolutely” wants to see the report and get the information “by whatever means necessary.” And Democrats are applying the squeeze: Senate Judiciary Chair DICK DURBIN (D-Ill.) called on House Ethics to share their report with the panel, per Anthony Adragna.

The report, examining allegations of sexual misconduct and drug use, was due to come out imminently, but Gaetz’s abrupt departure from the House ended the probe. And it may not be so easy for senators to obtain its conclusions now: House Ethics Chair MICHAEL GUEST (R-Miss.) reiterated today that “we’re going to maintain that confidentiality,” per Daniella Diaz. Now the question is whether it will leak or get to senators by some other means.

Outside pressure could ramp up, too. JOHN CLUNE, the lawyer for the then-minor who was the focus of the Gaetz sex trafficking investigation (which Gaetz has said ended without charges), posted on X, “We would support the House Ethics Committee immediately releasing their report. She was a high school student and there were witnesses.” The Miami Herald’s Julie Brown reports that her sources call the report “highly damaging” and a leak could come soon.

MORE NOMINEE CHATTER — At the Labor Department, leadership contenders include ANDREW PUZDER, PATRICK PIZZELLA, JOHNNY TAYLOR JR. and KEITH SONDERLING, Bloomberg Law’s Rebecca Rainey scooped. You may recall Puzder as Trump’s Labor secretary nominee last term — who withdrew after he admitted to having an undocumented housekeeper and after our colleagues Marianne LeVine and Timothy Noah revealed that his ex-wife appeared on a 1990 Oprah episode about domestic abuse. Puzder denied the allegations, and she retracted them afterward.

Odds and ends: ALINA HABBA won’t be White House press secretary. … Sen. CHUCK GRASSLEY (R-Iowa) raised concerns about LEE ZELDIN’s stance on biofuels. … Female combat veterans are concerned about PETE HEGSETH, CNN’s Emma Tucker, Taylor Galgano and Zenebou Sylla report.

MIKE JOHNSON LANDS THE PLANE — “House GOP lawmakers hang on to critical rules deal,” by Jordain Carney, Olivia Beavers, Meredith Lee Hill and Eleanor Mueller: “House Republicans have salvaged an agreement on their internal rules … after it appeared to be on shaky ground for hours earlier on Thursday.”

Good Thursday afternoon. Thanks for reading Playbook PM. Drop me a line at eokun@politico.com.

MARK YOUR CALENDARS — The Gridiron Club announced the Republican and Democratic speakers for its winter dinner, taking place Dec. 7: NIKKI HALEY and Sen. MICHAEL BENNET (D-Colo.) will entertain Washington journalists with their best jokes.

 

A message from America’s Credit Unions and the Independent Community Bankers of America:

CREDIT UNIONS & COMMUNITY BANKS IN All 50 STATES OPPOSE THE DURBIN-MARSHALL CREDIT CARD BILL: America’s approximately 9,000 credit unions and community banks are united in opposition to the Durbin-Marshall Credit Card Bill because credit card routing mandates harm local financial institutions and the communities they serve. Durbin-Marshall jeopardizes access to credit for 140 million credit union and community bank customers. Congress should make no mistake about our adamant opposition.

 
9 THINGS YOU NEED TO KNOW

FILE - Right-wing conspiracy theorist Alex Jones speaks outside the federal courthouse after a bankruptcy hearing Friday, June 14, 2024, in Houston. (AP Photo/David J. Phillip, File)

Alex Jones' Infowars has now fallen into the hands of The Onion. | David J. Phillip, File/AP Photo

1. REAL NEWS: The Onion has bought Infowars at bankruptcy auction, planning to turn ALEX JONES’ far-right font of conspiracy theories into a satirical site that mocks those very fringe ideas, BEN COLLINS tells NYT’s Benjamin Mullin. This isn’t a joke: The Onion worked with Everytown for Gun Safety, which will launch a major advertising partnership on the new Infowars when it relaunches in January, and the Sandy Hook victims’ families, whose defamation lawsuit against Jones led to Infowars going under. The price tag wasn’t revealed. Collins says the new Infowars’ parodies will be “mocking ‘weird internet personalities’ like Mr. Jones who traffic in misinformation and health supplements.”

Or as Global Tetrahedron CEO ‘BRYCE P. TETRAEDER’ put it: “let’s enjoy this win and toast to the continued consolidation of power and capital.”

2. THE LAME DUCK QUACKS: Senate Majority Leader CHUCK SCHUMER today outlined his priorities for Democrats’ final period of control in Washington this year, per Semafor’s Burgess Everett. Avoiding a government shutdown in December by passing a funding bill is paramount, but Schumer didn’t indicate he’d be opposed to a short-term continuing resolution, per States Newsroom’s Jennifer Shutt. He also highlighted the National Defense Authorization Act, natural disaster aid and maybe the farm bill.

Getting through more confirmations of JOE BIDEN appointees is also a top priority, of course, as Schumer said. He’s facing pressure on the left to confirm as many Democratic picks for judicial vacancies as possible before Trump arrives: Demand Justice is launching a new campaign urging Dems to work overtime to make it happen, AP’s Dan Merica reports.

3. BIG MOVE FROM ROHIT CHOPRA: “CFPB looks to place Google under federal supervision, setting up clash,” by WaPo’s Tony Romm: “[It’s] an extraordinary move that could subject the technology giant to the regular inspections and other rigorous monitoring that the government imposes on major banks. Google has fiercely resisted the idea over months of highly secretive talks … setting up what may ultimately be a major legal clash with vast implications for the CFPB’s powers in the digital age. … The exact scope of the CFPB’s concerns is not clear, and its order does not appear to be final. The political fate of the bureau’s work under Director Rohit Chopra is also in doubt.”

4. THE MAHA AGENDA: If ROBERT F. KENNEDY JR. indeed plays a big role in the Trump administration’s food policy, the country could be in for a major change from how Republicans typically regulate the industry, WaPo’s Rachel Roubein, Lauren Weber, Michael Scherer and David Ovalle report . Kennedy wants to make food more healthful, cracking down on food dye or ultra-processed foods in school lunches — and the 2025 version of Dietary Guidelines for Americans could present an opportunity to effect change. One industry lobbyist warns that Kennedy’s plans would be like the Biden administration “on steroids.” But other Kennedy health priorities worry everyone from Democrats to public health experts.

Related reads: “RFK Jr. has big asks of Washington. Republican lawmakers say they’re open,” by Daniel Payne, Chelsea Cirruzzo, Brittany Gibson, Annie Snider and Ben Leonard … “FDA employees consider how to handle RFK Jr., including leaving,” by NBC’s Berkeley Lovelace Jr.

 

REGISTER NOW: Join POLITICO and Capital One for a deep-dive discussion with Acting HUD Secretary Adrianne Todman, Rep. Darin LaHood (R-IL), Rep. Ritchie Torres (D-NY) and other housing experts on how to fix America’s housing crisis and build a foundation for financial prosperity. Register to attend in-person or virtually here.

 
 

5. DEBT RECRIMINATIONS: “Clashes, confusion and secrecy consume the Harris campaign's finances,” by NBC’s Natasha Korecki: “Two campaign officials said [fundraising] requests are for money meant to eventually flow to the Democratic National Committee to help assist with efforts such as state recounts or curing ballots. One of the officials acknowledged there was some debt but downplayed its significance … But several campaign officials questioned that contention, saying it appeared the requests were meant to pay down debt. … The overarching challenge at this point for what is left of [KAMALA] HARRIS’ campaign is that the financial picture is shrouded in mystery — even for those within the organization.”

6. CLIMATE FILES: An alarming new report from the Climate Action Tracker research group warns that the world has not bent the curve toward avoiding devastating effects of climate change, NYT’s Brad Plumer and Mira Rojanasakul report . Under current policies, the world would hit an increase of 2.7 degrees Celsius by 2100 over pre-industrial temperatures — way above the Paris Agreement’s imperative of limiting warming to 1.5 degrees. The estimate has stayed about the same for three years now, as growing green energy sources are outstripped by booming energy demand.

Related read: “Fed Refuses to Back Basel Climate Plan, Leaving Talks in Limbo,” by Bloomberg’s Alastair Marsh and Nicholas Comfort: “The group is now bracing for a scenario in which its work on adding climate considerations to global bank reporting regulations may be shelved indefinitely.”

7. PAGING MARCO RUBIO: “How China Capitalized on U.S. Indifference in Latin America,” by WSJ’s James Areddy, Ryan Dubé and Roque Ruiz: “China has replaced the U.S. as the dominant trading partner for most big economies, with the exceptions of Mexico and Colombia. Beijing has signed up most of Latin America and the Caribbean to an infrastructure program that excludes the U.S. … The $286.1 billion in Chinese projects in the region tallied by the AidData research lab at William & Mary … is approaching the value of China’s work in Africa, but with a revamped lending model and less backlash. … Few see Latin America as the U.S.’s backyard anymore.”

8. FED UP: In remarks in Uruguay today, Fed Board of Governors member ADRIANA KUGLER delivered a forceful argument for the Fed’s independence from political interference, AP’s Christopher Rugaber reports . It was a striking message amid concerns that Trump may try to upend the norm that insulates the central bank from White House pressure. “It has been widely recognized — and is a finding of economic research — that central bank independence is fundamental to achieving good policy and good economic outcomes,” especially on inflation, Kugler said.

9. TAKING EFFECT NEXT WEEK: “New FDA rules for TV drug ads: Simpler language and no distractions,” by AP’s Matthew Perrone: “New rules require drugmakers to be clearer and more direct when explaining their medications’ risks and side effects. The U.S. Food and Drug Administration spent more than 15 years crafting the guidelines, which are designed to do away with industry practices that downplay or distract viewers from risk information. … But while regulators were drafting them, a new trend emerged: thousands of pharma influencers pushing drugs online with little oversight.”

 

The lame duck session could reshape major policies before year's end. Get Inside Congress delivered daily to follow the final sprint of dealmaking on defense funding, AI regulation and disaster aid. Subscribe now.

 
 
PLAYBOOKERS

Craig Melvin is joining the “Today” show.

Rand Paul will chair the Homeland Security and Governmental Affairs Committee.

Tim Ryan is newly open to running for Senate in 2026.

Sarah Elfreth is running for freshman class representative.

Nikki Haley told Steve Witkoff she wasn’t interested in joining the Trump administration.

Nancy Pelosi may be teeing up another reelection bid.

OUT AND ABOUT — SPOTTED at an evening with comedian James Donald Forbes McCann and opener Amos Gill, hosted by Ben Domenech at Arlington Drafthouse last night: Meghan McCain, Billy Binion, Ellie Bufkin, Billy McMorris, Vanessa Santos and David Marcus.

— SPOTTED at an event honoring Rep. Barbara Lee (D-Calif.) hosted by In Our Own Voice: National Black Women’s Reproductive Justice Agenda last night: Regina Davis Moss, Marcela Howell, Reps. Maxine Waters (D-Calif.), Ayanna Pressley (D-Mass.), Steven Horsford (D-Nev.), Joyce Beatty (D-Ohio), Jasmine Crockett (D-Texas), Lucy McBath (D-Ga.), Emilia Sykes (D-Ohio) and Gabe Amo (D-R.I.), and Rep.-elect Lateefah Simon (D-Calif.).

— SPOTTED at the Dao Prize awards dinner hosted by the Young America’s Foundation’s National Journalism Center last night: Miranda Devine, Spencer Brown, Mary Margaret Olohan, Katie Pavlich, Mia Cathell, Amber Athey Duke, Spencer Lindquist, Vanessa Santos, Gloria Taylor, Brent Scher, Tim Rice, Larry and Meredith O’Connor, Anna Giaritelli, T. Becket Adams, Susan Crabtree, Sean Spicer and Eliana Johnson.

TRANSITIONS — Alberto Martinez is joining Continental Strategy as managing partner. He most recently helped lead the public affairs division at Targeted Victory, and is a Marco Rubio alum. … Matt Perault is joining Andreessen Horowitz (a16z) as head of AI policy in the D.C. office. He most recently was director of the Center on Technology Policy at UNC-Chapel Hill. … Jacob Preiserowicz is rejoining Schulte Roth & Zabel as a partner. He most recently was VP and managing counsel at T. Rowe Price, and is a CFTC alum.

WELCOME TO THE WORLD — Mari Johnson, who most recently was director of coalitions for the Larry Hogan Senate campaign and is a Firehouse Strategies alum, and Chase Johnson, who works at Toyota, welcomed Filomena Lamar Johnson on Monday. She’s named for her great-grandmother. Pic

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