More stories

  • in

    Senate Democrats highlight ‘terrible choice’ of Republicans’ debt ceiling plan

    Senate Democrats held a hearing on Thursday to lambaste House Republicans’ proposal to raise the US government’s borrowing limit in exchange for spending cuts, as economists testified that a federal default would bring disastrous and decades-long consequences.The hearing came a week after House Republicans narrowly passed the Limit, Save, Grow Act to raise the debt ceiling until May 2024. The legislation, championed by the House speaker, Kevin McCarthy, would also roll back federal discretionary spending to 2022 levels and cap annual increases at 1%.Mocking the bill as the “Default on America Act”, Democrats warned that the legislation would result in devastating cuts to veterans’ benefits, childcare access and infrastructure funding.“Republicans’ dangerous bill proposes a terrible choice: default on our financial obligations, causing widespread pain and wrecking our economy, or gut basic federal programs essential to our economic strength, causing widespread pain and wrecking our economy,” said Senator Sheldon Whitehouse, the Democratic chair of the Senate budget committee. “It is a false and unnecessary choice.”Republicans on the committee countered that the House bill should be interpreted as an “opening bid” to kickstart negotiations with Joe Biden, who has repeatedly called on Congress to pass a “clean” bill raising the debt ceiling without any strings attached. Biden has invited the top four congressional leaders to a meeting at the White House next week to discuss the debt ceiling.“I hope when the president sits down with the speaker, he will bring an open mind and a serious counteroffer,” said Senator Chuck Grassley, the Republican ranking member of the budget committee. “The longer the president spends dragging his feet and putting off negotiations, the closer President Biden brings us to the first ever federal default in US history.”Three economists testified to the committee that a default would prove calamitous for the country and global markets, causing America’s unemployment rate to rise and its gross domestic product (GDP) to tumble.Dr Mark Zandi, chief economist of Moody’s Analytics, predicted a “severe recession” in the US if lawmakers do not address the debt ceiling. The treasury secretary, Janet Yellen, sent a letter to congressional leaders on Monday informing them that the US government would be unable to cover its financial obligations as early as 1 June.Zandi added that this moment is “an especially inopportune time to have a political debate over the debt limit” because the current risk of an American recession is “uncomfortably high”. That risk heightens the danger of enacting House Republicans’ bill, Zandi argued.“It entails significant cuts to government spending … right at the point in time when the economy is going to be most vulnerable to going into recession,” Zandi said.But all three economists also agreed that the “unsustainable” trajectory of America’s debt must be met with urgency by policymakers.“We are sitting on a ticking timebomb,” said Brian Riedl, a senior fellow at the conservative thinktank Manhattan Institute. “Congress should be working diligently to avert an otherwise inevitable debt crisis, and raising the debt limit has historically been one opportunity to address the underlying debt problem.”Democrats expressed openness to amending the federal budget for the next fiscal year, which begins in October, but they emphasized that such a discussion must be separated from the immediate need to address the debt ceiling.“If we want to have a real discussion about revenues and spending, that’s great,” said Senator Debbie Stabenow, a Democratic member of the committee. “Don’t default. But let’s have that debate about what’s fair for the majority of American people.”Biden has similarly invited a bipartisan conversation on budgetary reform, but he has steadfastly rejected Republican efforts to tie the debt ceiling to government spending negotiations.“America is not a deadbeat nation,” Biden said on Monday. “We pay our bills, and we should do so without reckless hostage-taking from some of the [‘Make America Great Again’] Republicans in Congress.”Whitehouse noted Senate Democrats have introduced a two-page bill raising the debt ceiling until December 2024, ensuring the issue would not be revisited until after the next presidential election, but such a bill seems unlikely to pass the Republican-controlled House. Democrats in the House have simultaneously launched a long-shot bid to pass a clean debt ceiling bill through the lower chamber, but the odds of five of their Republican colleagues joining that effort seem slim to none.As the clock ticks down, lawmakers are running out of time to avoid catastrophe, Zandi testified.“We are on a certain unsustainable fiscal path. We need both additional tax revenue and we need spending restraint. Both of those things need to happen. But we can’t do that in the current environment,” Zandi told senators. “This is not the time to do it. We need to end this drama as quickly as possible.” More

  • in

    Federal Reserve increases interest rates by a quarter point to 16-year high – as it happened

    From 6h agoThe Federal Reserve is set to raise interest rates this afternoon, with an announcement coming at 2pm ET from the central bank after its most recent board meeting. Analysts expect the Fed will raise rates by a quarter point, which will bring rates up to 5% to 5.25%. This would be the central bank’s 10th interest rate increase since March 2022, when rates were at zero.The interest rate increase will come at what in hindsight may seem like an inflection point for the economy. Inflation is down, consumer spending has flattened and growth in the job market is starting to slow down, but Fed officials, especially Fed chair Jerome Powell, have been stringent on getting inflation down to their target of 2%. Inflation in March was 5%, the lowest it’s been since 2021, but still quite far from 2%.Analysts and economists will be closely watching Powell’s press conference at 2.30pm, where he will discuss the direction Fed staff see the economy going, giving hints as to whether even more interest rate hikes are to come or whether the Fed will end its rate-hike campaign.Here’s a quick summary of everything that’s happened today:
    The Federal Reserve increased interest rates by a quarter point, bringing rates up to 5% to 5.25%. Fed chair Jerome Powell said that Fed officials no longer anticipate more hikes, but will monitor economic data to see if they are necessary in coming months. The stock market dipped slightly after the Fed’s announcement.
    The debate over the debt ceiling continued today, with news that Senate majority leader Mitch McConnell will keep himself out of the specific of negotiating talks and hints that senators Joe Manchin and Kyrsten Sinema are breaking from Dems and looking to take Senate negotiations seriously.
    2024 is already gearing up: Joe Biden released his second TV ad since launching his campaign last week, while US rep. Colin Allred of Texas announced his bid to unseat Texas senator Ted Cruz. In Nevada, Jim Marchant, an election denier and staunch supporter of Donald Trump, also announced a Senate big.
    We’ll be closing this blog for today. Thanks for reading.Democratic senator Raphael Warnock from Georgia said that his two young kids were on lockdown at school because of the shooting in midtown Atlanta.“They’re there. I’m here, hoping and praying they’re safe,” he said on the Senate floor. “Thoughts and prayers are not enough.”One person has been confirmed dead and at least four injured after a gunman opened fire in a building in midtown around 12.30pm ET. Police said they are still searching for a suspect.The Washington Post just published a cheery report that the White House and lawmakers on Capitol Hill technically have just six working days together before the US government potentially defaults on its debt on 1 June.With the House and Senate in session on different days, and Biden making international trips for the G7 summit in Japan and another “Quad” meeting with Australia, Japan and India in Australia, the legislative and executive branches are scheduled to have just six more days together to figure out the debt ceiling.Of course, negotiations can take place even when a chamber is not in session, but the precariousness of negotiations and the closeness of default makes the timing a tad inconvenient.Talking about the fallout of the collapse of Silicon Valley Bank in March, Federal Reserve chair Jerome Powell said that it seems the worst of the crisis is over.“The severe period of stress, those have now all been resolved and all the depositors have been protected,” he said, adding that JPMorgan’s acquisition of First Republic bank marked the end of the worst of it all.Asked about lessons that he learned from the crisis, he noted that there needs to be stronger regulation and supervision, but declined to offer any specifics as he has tasked Fed vice chair Michael Barr with drafting specific policy proposals.“I am not aware of anybody thinking [the collapse] could happen so quickly,” Powell said. “Now that we know that was possible… it will be up to vice chair Barr to design ways to address that.”Today’s Federal Reserve interest rate hike is its second quarter-point hike in a row, after a series of half- and three-quarter point hikes over the last year. Fed chair Jerome Powell said at his press conference this afternoon that “slowing down was the right move”.“I think it’s enabled us to see more data and it will continue to do so. We have to always balance the risk of not doing enough and not getting inflation under control against the risk of maybe slowing down economic activity too much,” he said. “We thought that this rate hike, along with the meaningful change in our policy statement, was the right way to balance that.Asked about the possibility of a recession, Powell seemed optimistic that the Fed could achieve a “soft landing” – keeping interest rates high without seeing huge impacts on unemployment. He noted that even as rates have hit 5% over the last 14 months, the unemployment rate stands at 3.5%.“It’s possible that we can continue to have a cooling in the labor market without having the big increases in unemployment that have gone with many prior episodes,” he said.Of course, Powell noted earlier in the press conference that the full impacts of the interest rate increases have yet to be seen, acknowledging uncertainty about the full economic impact of rate hikes.Federal Reserve chair Jerome Powell emphasized the importance of raising the debt ceiling, though noted that the debt limit is “fiscal policy matters”.“It’s essential that the debt ceiling be raised in a timely way so that the US government can pay all of its bills when they’re due. Failure to do that would be unprecedented,” he said. “We’d be in uncharted territory.Powell noted that the Fed doesn’t “give advice to either side” and also noted that “no one should assume that the Fed can protect the economy from the potential short- and long-term effects” upon default.He also noted that debt limit standoff did not play a role in the Fed’s decision today to increase interest rates.Federal Reserve chair Jerome Powell is holding a press conference after the central bank announced a quarter-point interest rate increase. Powell’s tone in the press conference has changed since he last addressed the press in March. The Fed is no longer anticipating needing more rate increases, but will monitor the economy in determining future interest rate changes.While Powell is still reiterating the Fed’s inflation target of 2%, he acknowledged that the economy is “seeing the effects of our policy tightening on demand and the most interest-rate-sensitive sectors of the economy, particularly housing and investment”. In other words, the Fed sees its interest rate hikes taking effect in the slowing of the economy.“There are some signs that supply and demand in the labor market are coming back into balance,” Powell said. He added that the “economy is likely to face further headwinds from tighter credit conditions”, meaning the full effects of the interest-rate hikes have yet to be seen.Taking a question from a reporter on whether the Fed’s statement today should be taken as a hint that officials will pause rate hikes, Powell said the officials did not make a decision on a pause, but noted that they intentionally updated their stance in today’s press statement that removed a line suggesting more increases would be appropriate.“Instead, we’re saying that in determining the extent to which [more hikes are needed], the Committee will take into account certain factors,” he said. “That’s a meaningful change that we are no longer saying we anticipate [changes] and we will be driven by incoming data meeting by meeting.”The press statement that came with the Federal Reserve’s announcement of another interest rate hike is nearly identical to the one that was released at its last meeting on 22 March, with one key exception.In its 22 March release, Fed officials in the Federal Open Market Committee (FOMC) hinted that more interest rates are to come, saying: “The Committee anticipates that some additional policy firming may be appropriate” in order to bring inflation down to the target of 2%.In today’s statement, that line was cut.The rest of the statement was in line with FOMC’s March meeting statement. They reiterated their stance that “inflation remains elevated” and the jobs market has been strong, with the unemployment rate low. They emphasized that “the US banking system is sound and resilient” and that they are “highly attentive to inflation risks”.Analysts have been wondering whether this interest rate increase will be the Fed’s last, with pauses to come after as the interest rate is held steady at future meetings.Any more hints about what is next for interest rates after this most recent hike will likely be made at Fed chair Jerome Powell’s press conference at 2.30pm ET.The Federal Reserve just announced a quarter-point interest rate increase. This brings the interest rate to a 16-year high at 5% to 5.25%. The central bank has been on a year-long campaign to temper inflation, though it has had to delicately balance the potential of shaking the economy too much with stringent rate increases.Fed chair Jerome Powell will lead a closely watched press conference, where he will discuss the Fed’s view on the state of the economy.The United Auto Workers (UAW) union said in an internal memo that it is holding off on a Joe Biden endorsement due to the president’s electric vehicle policies.UAW president Shawn Fain said in the memo that union leaders met with Biden last week and discussed “our concerns with the electric vehicle transition”, according to the New York Times. The union is concerned that auto workers will suffer during the transition to EV as less workers are needed to assemble EVs.“The EV transition is at serious risk of becoming a race to the bottom,” the memo reads, referring to electric vehicles. “We want to see national leadership have our back on this before we make any commitments.”The union has 400,000 members across the country, though members are primarily in auto-industry heavyweight Michigan, a key election battleground state.The FBI arrested a man in Florida on Tuesday for his involvement in the January 6th Capitol riots, specifically for setting off an “explosive device” in the US Capitol tunnel that leads into the building. Daniel Ball, 38, was first arrested last week by the Citrus County Sheriff’s Office for assaulting seven people, including law enforcement officers, in Florida. Ball’s probation officer, upon being shown photos and videos of the Capitol riot, identified Ball as the person throwing an explosive device in the tunnel, where law enforcement was blocking rioters.Ball faces multiple charges related to the riot, including assaulting police officers and entering a restricted area with a deadly weapon.The justice department said in March that at least 1,000 people have been arrested on charges related to the riots, with 518 pleading guilty to federal crimes so far.Election denier Jim Marchant announced that he will be running for US Senate, challenging Democrat incumbent senator Jacky Rosen for the seat she won last year.During his announcement speech on Tuesday, Marchant said that he is running to “protect Nevadans from the overbearing government, from Silicon Valley, from big media, from labor unions, from the radical gender-change advocates,” the Washington Post reported.His election campaign was acknowledged by Rosen on Twitter, who replied to Marchant’s announcement:
    Nevadans deserve a Senator who will fight for them, not a MAGA election denier who opposes abortion rights even in cases of rape and incest…
    While far-right politicians like Jim Marchant spread baseless conspiracy theories, I’ve always focused on solving problems for Nevadans.
    Marchant has described himself as a “MAGA conservative”, the Post reports, and is an avid supporter of Donald Trump. More

  • in

    Ex-NFL player Colin Allred launches challenge to Ted Cruz for Senate seat

    The far-right Republican Texas senator Ted Cruz will be challenged for his seat next year by Colin Allred, a former NFL linebacker who launched his campaign on Wednesday with a video referencing the January 6 attack on Congress by Trump supporters Cruz called “peaceful protesters”.“I’ve taken down a lot tougher guys than Ted Cruz,” Allred said.Allred, 40, played college football for Baylor in Texas then played 32 games for the Tennessee Titans between 2007 and 2010. He entered Congress in 2019, a rare Democrat in red Texas. He has increased his majority since.Democrats control the Senate but face a tough elections map in 2024. A pick-up in Texas would be a shock but would boost activists who insist the state is turning towards progressives.On 6 January 2021, Trump supporters urged on by the then president and Republican allies including Cruz attacked Congress in an attempt to block certification of Joe Biden’s election win, which Trump baselessly claimed was the result of electoral fraud.In his announcement video, Allred took Cruz to task for being one of 147 Republicans who objected to election results even after the riot, which is now linked to nine deaths including law enforcement suicides, and for confessing to hiding in a closet during the attack.“When I left the NFL,” Allred said, walking on a football field, “I thought my days of putting people on the ground were over. Then, January 6 happened.“I remember hearing the glass breaking and the shouts coming closer. I texted my wife: ‘Whatever happens, I love you.’ Then I took off my jacket and got ready to take on anyone who came through that door.“And Ted Cruz? He cheered on the mob. Then hid in a supply closet when they stormed the Capitol. But that’s Ted for you. All hat, no cattle.”Allred also targeted Cruz for a famous flight to Cancun when Texas fell under a big freeze amid widespread power failures, and for perceived policy failings, before telling his own life story.On Twitter, Allred added: “I’ve taken down a lot tougher guys than Ted Cruz, but I can’t do this without your help.”Now 53, Cruz entered Congress in 2013. In 2016 he ran second to Trump in the Republican presidential primary. Initially a hold-out against the billionaire, who insulted his wife and father, like most of the rest of the party Cruz soon came onside. Paul Manafort, a former Trump aide, has said Trump gave Cruz a rare apology.In the usually collegial Senate, Cruz is famously unpopular. Al Franken, the former Democratic senator from Minnesota, once said: “I like Ted Cruz more than most of my other colleagues like Ted Cruz. And I hate Ted Cruz.”In 2018, the last time Cruz ran for re-election, he faced a strong challenge from Beto O’Rourke, a former Democratic congressman. Cruz won by less than three points.Speaking to the Dallas Morning News, Allred said Texas “can’t afford six more years of Ted Cruz”.He added: “The political extremism that we are becoming increasingly known for is a real risk to our business community and our path forward. It’s making some folks say they don’t want to send their kids to school in our state. We can go in a different direction.” More

  • in

    DeSantis accused of favoring insurance-industry donors at residents’ expense

    Ron DeSantis, the rightwing Republican governor of Florida and a likely 2024 presidential candidate, has handed favors to his big-money donors in the insurance industry at the expense of cash-strapped residents of his state, a new report claims.The report, “How Ron DeSantis sold out Florida homeowners”, draws on contributions from the American Federation of Teachers union, the non-profit Center for Popular Democracy, the voting rights group Florida Rising and the dark money watchdog Hedge Clippers.The report pinpoints the insurance industry as a crucial underwriter of DeSantis’s meteoric rise to the governor’s mansion and as a potential White House contender – and alleges that this may have influenced his decision making.DeSantis, who ran a successful re-election campaign last year, and Friends of Ron DeSantis, a political action committee that supported him, have taken a combined $3.9m in contributions from insurance industry players. If donations to the Republican party of Florida since 1 January 2019 – days before DeSantis assumed office – are added, this total swells to more than $9.9m.The authors’ analysis of campaign finance data also found that two property casualty insurance firms donated a combined total of $125,000 to DeSantis’s 2023 inaugural celebration, which marked the beginning of his final term as governor in the term-limited state.It is no coincidence, the report’s authors suggest, that DeSantis’s administration has put the insurance companies’ interests ahead of Florida’s own citizens, who are battling homeowner insurance rates nearly triple the national average.They write: “Instead of fixing problems with Florida’s property insurance industry, DeSantis has lavished the industry with favors and benefits while everyday Floridians suffer.”These benefits have included the creation of $2bn taxpayer-funded reinsurance fund. Such funds exist to insure the insurers and prevent them being wiped out during a catastrophic event. Usually, insurance companies buy such coverage on the open market but, in Florida, DeSantis chose to use tax dollars to provide access to a state-subsidised insurance fund.Second, the Florida legislature passed a bill that stripped policyholders of the ability to recover legal fees when suing insurance companies that refuse to honour legitimate claims. DeSantis trumpeted the signing of this bill on his official webpage.Home insurance is a hot-button issue in Florida, where communities vulnerable to the climate crisis face increasingly frequent and severe hurricanes and other weather events. Last year Hurricane Ian caused record levels of property damage and recent storms flooded some Fort Lauderdale neighbourhoods for more than a week.The report notes: “Communities of color and low-income neighborhoods with significant climate risks face crumbling infrastructure, soaring insurance premiums, and a lack of public investment. Florida cities like Jacksonville (where one in three residents is Black) and Orlando (where one in three is Latino) are at the highest risk nationally, based on the number of properties at substantial climate risk.”For many, it is getting worse. This year insurance price hikes are expected to average 40%, according to the Insurance Information Institute. This follows a reported 50% climb during the DeSantis administration, industry analyst John Rollins found. The increases are forcing Florida homeowners to forgo coverage at nearly twice the national rate or quit the state altogether.Tracy-Ann Brown, 53, said by phone from Miami: “The prices are horrendous. Our insurance went up to $1,800 per month and I could not afford it with my husband’s salary and my salary put together. We had a home that we had to take the insurance off and, unfortunately, our house caught fire on Easter Sunday and we didn’t have insurance on it.”Brown, a community liaison specialist for public schools, added: “The insurance everywhere here is crazy from Broward all the way to Dade. I’ve asked so many people and they’ve said the same thing. Their insurance has gone sky high.”The report argues that the Florida Office of Insurance Regulation is dominated by industry insiders who approved insurance price hikes at greater rates than were seen under previous governors.“Evidence is mounting that big insurance has blocked proposals that would have lowered costs for consumers,” it continues. “A 2022 proposal by state senator Jeff Brandes claimed to reduce insurance and save Floridians ‘$750 million to $1 billion a year’ by allowing smaller insurance companies to access the catastrophic reinsurance fund. The insurance-heavy business lobby reportedly blocked the plan.”The authors draw a contrast with Louisiana, which they say has a more robust property casualty insurance market despite similar hurricane risks. Unlike DeSantis’s insurance industry handouts, they contend, Louisiana conditions its subsidies to the insurance industry on increased participation in the state property insurance market.Randi Weingarten, president of the American Federation of Teachers, said: “Floridians are suffering from the threat of floods, hurricanes and other natural disasters, and homeowners are increasingly at risk of losing it all because they simply cannot afford spiraling insurance premiums.”She added: “Where is the governor? Well, he has picked sides: when given the choice of helping Florida’s working families or doing the bidding of the insurance lobby, Ron DeSantis puts his donors first. This report joins the dots. We can’t allow DeSantis to dismantle the livelihoods of millions of Floridians in the service of corporate interests.”DeSantis has not yet formally announced a 2024 campaign but is expected to do so after Florida’s legislative session ends later this month. In the meantime he has travelled to early-voting states to promote his new book, has met with donors and just returned from an overseas trade mission.The governor has also become embroiled in a legal battle with Disney. Days after the company sued him in federal court for what it described as retaliation for opposing the state’s so-called “don’t say gay” bill, members of Disney World’s governing board – made up DeSantis appointees – filed a lawsuit to countersue the entertainment giant.A CBS News-YouGov poll released on Monday showed former president Donald Trump leading a hypothetical Republican primary field with 58% of the vote, followed by DeSantis with 22%.The governor’s office did not respond to a request for comment. More

  • in

    Court upholds exclusion of transgender lawmaker from Montana legislature

    Zooey Zephyr, the transgender state lawmaker silenced after telling Republicans they would have blood on their hands for opposing gender-affirming healthcare for kids, was barred from returning to the Montana house floor in a Tuesday court ruling hours before the legislature wrapped up its biennial session.A district court judge, Mike Menahan, said it was outside his authority to overrule lawmakers who voted last week to exclude Zephyr from the house floor and debates. He cited the importance of preserving the separation of powers between the legislative, executive and judicial branches.“Plaintiffs’ requested relief would require this court to interfere with legislative authority in a manner that exceeds this court’s authority,” Menahan wrote.The ruling and lawmakers’ decision to adjourn brought a sudden end to a standoff that put a national spotlight on transgender issues and the muffling of dissent in statehouses across the US.Democrats and the transgender community were outraged over Zephyr’s treatment. Republicans were indignant over the vehemence of the response.Attorneys for the state asked the judge to reject an emergency motion from Zephyr’s lawyers. The first-term lawmaker was silenced two weeks ago for admonishing Republicans, then banished from the floor for encouraging a statehouse protest.Zephyr told the Associated Press Menahan’s decision was “entirely wrong”.“It’s a really sad day for the country when the majority party can silence representation from the minority party whenever they take issue,” Zephyr said.An attorney for Zephyr, Alex Rate, said an appeal was being considered. But with the legislative session ending, a ruling would be of little immediate consequence.The punishment against Zephyr was through the end of the 2023 session. Since the Montana legislature convenes every two years, Zephyr would have to be re-elected in 2024 before she could return to the house floor.Lawyers working under the state attorney general, Austin Knudsen, cautioned that any intervention by the courts on Zephyr’s behalf would be a blatant violation of the separation of powers. They wrote in a court filing that the statehouse retains “exclusive constitutional authority” to discipline its own members.Knudsen, a Republican, issued a statement saying the lawsuit was an attempt by outside groups to interfere with the Montana lawmaking process.”Today’s decision is a win for the rule of law and the separation of powers enshrined in our constitution,” he said.Zephyr and several of her Missoula constituents on Monday filed court papers seeking an emergency order allowing her to return to the house floor. Democrats have denounced her exclusion from floor debates as an assault on free speech intended to silence her criticism of new restrictions on gender-affirming care for minors.But lawyers for the state said the censure of Zephyr was “for good cause” following the 24 April demonstration.“One legislator cannot be allowed to halt the ability of the other 99 to engage in civil, orderly, debate concerning issues affecting Montana,” state lawyers wrote.GOP leaders under pressure from hardline conservatives silenced Zephyr from participating in floor debates and demanded she apologize almost two weeks ago, after she said those who supported a ban on gender-affirming care for youths would have blood on their hands.On 24 April, Zephyr raised a microphone in defiance on the house floor as protesters in the gallery demanded she be allowed to speak and refused to leave. Seven were arrested on trespassing charges and two days later lawmakers voted along party lines to oust Zephyr from the floor and gallery.She has since been working from a bench in a hallway or at a statehouse snack bar.The actions against Zephyr have propelled her to political prominence. But in Montana, Republicans hope to capitalize on her high profile by painting Democrats as a party of extremists.The lawsuit seeking to reverse her punishment was filed by attorneys working with the Montana American Civil Liberties Union. It named the house speaker, Matt Regier, and sergeant-at-arms, Brad Murfitt, as defendants. More

  • in

    Republicans thwart Democrats’ push to stiffen supreme court ethics rules

    Arguing that the US supreme court has “the lowest ethical standards” of a court in the country, Senate Democrats on Tuesday demanded tighter rules on the nine justices but ran into resistance from Republicans who accused them of being bitter over recent conservative rulings.Democrats had convened a hearing of the Senate judiciary committee after a series of media reports on entanglements between two of the court’s conservative justices and parties with interests in its cases. These includes Clarence Thomas’s acceptance of luxury travel and a real estate deal from Republican megadonor Harlan Crow, and Neil Gorsuch’s sale of a property to a law firm executive with business before the court. Both were interactions the two justices did not fully disclose.The committee’s Democratic chair Dick Durbin, a senator from Illinois, said: “We wouldn’t tolerate this from a city council member or an alderman. It falls short of the ethical standards we expect of any public servant in America. And yet the supreme court won’t even acknowledge it’s a problem.“Ethics cannot simply be left to the discretion of the nation’s highest court. The court should have a code of conduct with clear and enforceable rules so justices and the American people know when conduct crosses the line. The highest court in the land should not have the lowest ethical standards.”But to Republicans, the Democrats’ calls for Thomas to be investigated and for the court to accept more stringent ethics rules represent nothing more than sour grapes. Last year, the supreme court’s six conservative justices handed down decisions that upended American life by overturning the precedent established by Roe v Wade to allow states to ban abortion, expanding the ability for Americans to carry concealed weapons without a permit, and reducing the Environmental Protection Agency’s ability to regulate power plant emissions.Lindsey Graham, the top Republican on the panel, alluded to these rulings to argue Democrats were simply trying to undermine the court’s conservative majority.“This assault on justice Thomas is well beyond ethics. It is about trying to delegitimize a conservative court that was appointed through the traditional process,” Graham, a senator from South Carolina, said.Durbin had invited supreme court chief justice John Roberts to the hearing, but he declined to attend, citing the need to keep the court separate and free from congressional interference, while sending along a “statement on ethics principles and practices” signed by all of the court’s nine justices. Federal law requires judges, including supreme court justices, recuse themselves from any matter “in which his impartiality might reasonably be questioned”, but unlike other judges and federal employees, the court has no formal ethics code.Democrats say the nine highest judges in the country do not have ethics rules comparable to other judges or even many federal employees, and have introduced two pieces of legislation to impose a code of conduct and other requirements. Neither measure appears to have much of a chance in this Congress, where Republicans control the House of Representatives and could use the filibuster to block any legislation in the Senate.Before the hearing began, the Democrats’ push won an endorsement from J Michael Luttig, a former appeals court judge and noted conservative legal thinker who said Congress does have the authority to establish such standards.He wrote in a letter to the committee: “There should never come the day when the Congress of the United States is obligated to enact laws prescribing the ethical standards applicable to the non-judicial conduct and activities of the supreme court of the United States, even though it indisputably has the power under the constitution to do so, but paradoxically, does not have the power to require the court to prescribe such standards for itself.”Luttig was joined by progressive scholar Laurence Tribe, who wrote to the committee: “I regard legislation to impose ethical norms in a binding way on the justices as eminently sensible. Put simply, I see such legislation as a necessary though probably not sufficient response to the current situation.”Neither men opted to testify. Instead, Democrats heard from invited legal scholars who generally agreed that Congress had the power to implement a code of conduct on the supreme court, should they choose to do so. Experts invited by the Republican minority, meanwhile, said Congress did not have the power to impose a code of conduct on the supreme court, and downplayed the severity of the reports about the court’s ethics.Michael Mukasey, a former attorney general under George W Bush, said in the hearing, said: “It’s impossible to escape the conclusion that the public is being asked to hallucinate misconduct, so as to undermine the authority of justices who issue rulings with which the critics disagree, and thus to undermine the authority of the rulings themselves.” More

  • in

    Bipartisan US debt ceiling talks restart as deadline moves closer – as it happened

    That’s it for today’s live politics blog!Here’s what happened today:
    Senate minority leader Mitch McConnell has said he will be in the 9 May meeting on the debt ceiling, but emphasized that Biden has to negotiate with House speaker Kevin McCarthy. “There is no solution in the Senate,” said McCarthy to reporters on Tuesday.
    A Florida woman faces two charges of battery – one a felony – after allegedly throwing a drink at the far-right Republican congressman Matt Gaetz.
    Senate majority leader Chuck Schumer has said that Democrats will wait on a 9 May meeting between Biden and congressional leaders to decide if they will move forward on a clean debt ceiling push that would not include spending cuts, but added that Democrats will be pushing for a two-year full extension.
    Illinois senator Dick Durbin said that he wants to move on a bill imposing a code of ethics on supreme court justices, but wants to make sure he has the votes, as California senator Dianne Feinstein remains absent from the Senate following a bout of shingles.
    New York representative Alexandria Ocasio-Cortez said late on Monday that Feinstein should resign, joining a bipartisan chorus calling for Feinstein to step down amid absences from the Senate.
    A new poll puts Donald Trump ahead of Florida governor Ron DeSantis among Republican primary voters in a hypothetical 2024 presidential primary election, as Trump continues to outperform DeSantis in several polls.
    Thank you for reading! Check in for more updates tomorrow!The White House’s economist warned against Republicans “playing games” with the US economy through the debt ceiling debate when interest rate increases are already having an averse impact on the economy, Reuters reports.“The economy remains, it’s been strong. You don’t want to be pushing it off of the course that it’s on,” said Heather Boushey in an interview with Reuters.Boushey added: “The Fed is raising interest rates in the hope of reducing inflation. That is having this negative effect on the banking sector. Why would we add to that?”Boushey noted that raising the debt ceiling could remove the risk of a debt default, one that could take affect on 1 June.A Florida woman was charged with allegedly throwing a drink at the Florida representative Matt Gaetz. The Guardian’s Martin Pengelly reports.
    A Florida woman faces two charges of battery – one a felony – after allegedly throwing a drink at the far-right Republican congressman Matt Gaetz.
    The Walton county sheriff reportedly said Gaetz insisted on pressing charges. Gaetz maintained he was justified in doing so, saying 41-year-old Selena Jo Chambers “cross[ed] the Rubicon beyond just words to throwing stuff”.
    A previous case of a drink being thrown at Gaetz resulted in a woman being sent to prison.
    In 2019, Amanda Kondrat’yev, then 35 and a former political opponent of Gaetz, received a 15-day prison sentence for throwing a slushie at her rival.
    That beverage-blitzing brouhaha happened at an “Open Gaetz” public event at restaurant in Pensacola appropriately named the Brew Ha Ha.
    Read the full story here.Senate majority leader Chuck Schumer has said that Democrats will wait on a 9 May meeting between Biden and congressional leaders to decide if they will move forward on a clean debt ceiling push that would not include spending cuts. Schumer added that he wants a two-year extension of the debt ceiling versus a stopgap measures, the Washington Post reported.Senate minority leader Mitch McConnell has said he will be in the 9 May meeting on the debt ceiling, but emphasized that Biden has to negotiate with House speaker Kevin McCarthy.“There is no solution in the Senate,” said McConnell to reporters on Tuesday.From CNN’s Manu Raju:Many expect McConnell to ultimately help negotiate a bipartisan debt ceiling agreement, as the Kentucky senator did in 2021.But McConnell has maintained that Biden must negotiate with McCarthy and House Republicans about the debt ceiling.Illinois senator Dick Durbin said that he wants to move on a bill imposing a code of ethics on supreme court justices, but wants to make sure he has the votes.CNN’s Manu Raju noted that with California senator Dianne Feinstein out, Durbin is unsure of when he could forward such legislation.“I’d like to make sure we have enough folks to pass it,” said Durbin.Feinstein is a member of the Senate judiciary committee, but has been out due a case of shingles. Durbin confirmed to Raju that he has “not personally” spoken with Feinstein about when she would return.The defense department and the Federal Aviation Administration have been tracking a balloon that was flying off the coast of Hawaii last week, but a defense official said today there’s no indication it is connected to China or any other adversary, and it presents no threats to aviation or national security, the Associated Press reports.The balloon was first detected by radar on Friday.
    Pacific Air Forces launched three F-22s to assess the situation and visually identified a spherical object. We monitored the transit of the object and assessed that it posed no threat,” US Indo-Pacific Command said.
    The defense official said the balloon was floating at about 36,000ft (11,000 meters), and it did not fly over any critical defense infrastructure or sensitive sites.After determining that the balloon presented no threat to people on the ground or to aviation over Hawaii, the military took no action to bring it down, said the official, who spoke on condition of anonymity to discuss military operations.It’s not clear who owns the balloon, which has now passed out of Hawaii’s airspace, the official said.The latest balloon sighting comes about three months after the US military shot down what officials said was a Chinese spy balloon that crossed Alaska and part of Canada before returning to the US and triggering widespread interest as it flew across the country.It was shot down over the Atlantic off the South Carolina coast on 4 February. Large portions of the balloon were recovered by the US military.US officials said it was equipped to detect and collect intelligence signals as part of a huge, military-linked aerial surveillance program that targeted more than 40 countries. Beijing insisted the balloon was just an errant civilian airship used mainly for meteorological research that went off course due to winds and had only limited “self-steering” capabilities.The US military acknowledged there have been several other balloons that have been tracked over and near the US in recent years, but none lingered over America for as long as that one did. The incident further eroded relations between the US and China.At a press conference just now, White House press secretary Karine Jean-Pierre elaborated on what Joe Biden will discuss with House majority leader Kevin McCarthy over the debt ceiling next week:“The president is going to make it clear to them that they have to avoid a default. It is their constitutional duty to do this. It is their constitutional duty to the American people for them to do their jobs. He will also say we will have a conversation about the budget and appropriations, and that is something that he will be very clear about. We can have a conversation about that, but it is important to not default.“The president is going to continue to make that clear. He is going to make that clear and have that conversation.”The Biden administration will temporarily send an additional 1,500 troops to the US-Mexico border as pandemic-related restrictions to migration are set to expire on 11 May.An unnamed US official told Reuters on Tuesday that the additional troops will be part of a supplementary preparation for an increase in illegal immigration as Title 42 comes to an end. Title 42 allowed the US to expel migrants amid the Covid-19 pandemic.The troops will not carry out any law enforcement operations and will assist US border patrol that is currently in the area, said the US official who asked to stay anonymous.The number of Americans listing guns and crime as a top issue for them has increased, according to a new Gallup poll.Of those polled for Gallup’s Most Important Problem list, seven percent said that guns and gun control were a priority issue for them, the Hill reported. Six percent listed crime and violence.In polling done months earlier, only 3% listed crime as their top issue and 1% listed crime.Both issues were listed below problems such as government and poor leadership, immigration and the economy.House Democrats have quietly started taking steps to introduce a rare legislative procedure that could force a debt limit increase and bypass Republican legislation for cuts.The New York Times just reported that Democrats are trying to set up a discharge petition that would allow Democrats to force a bill onto the floor if they get enough signatures – 218. This would mean all 213 house Democrats would need to sign the petition, and five Republican representatives would have to join.Though the House is in recess today, House Dems held a pro forma session and introduced an emergency rule that would give them two weeks, until 16 May, to collect the 218 signatures.Though Democrats see the bill as a gamble, Hakeem Jeffries, Democratic House minority leader, sent a letter to fellow Democrats today expressing a tone of defiance and saying that House Dems “are working to make sure we have all options at our disposal to avoid default”.Oklahoma is the latest state to pass legislation banning gender-affirming care for minors, as several states pass bills targeting the rights of transgender people.The Republican governor, Kevin Stitt, signed a bill on Monday making it a felony for healthcare practitioners to provide children with gender-affirming care, including puberty-blockers and hormones, the Associated Press reported.The bill comes as parents of transgender children, healthcare workers, and transgender people say that such care is essential.“Gender-affirming care is a critical part of helping transgender adolescents succeed, establish healthy relationships with their friends and family, live authentically as themselves, and dream about their futures,” said Lambda Legal and the ACLU in a joint statement, PBS Newshour reported.At least 15 other states have taken similar measures, with over 500 bills introduced in 2023 that target aspects of life for transgender people.A Montana lawmaker is suing the state, Montana’s house speaker, and the sergeant of arms of the state’s house after she was censured, asking to be fully reinstated to her position.House GOP voted to ban representative Zooey Zephyr on Wednesday from the state’s floor, gallery and anteroom after Zephyr, who is the state’s first openly transgender representative, criticized legislators for supporting a ban on gender-affirming care for minors.Zephyr is now suing to be allowed back onto the house floor as she is only allowed to vote virtually. The lawsuit, filed on Monday, argues that limiting her ability to vote violates “free speech and expression rights,” the Washington Post reported.“House leadership explicitly and directly targeted me and my district because I dared to give voice to the values and needs of transgender people like myself,” said Zephyr in a statement.“By doing so, they’ve denied me my own rights under the constitution and, more importantly, the rights of my constituents to just representation in their own government.”We’ve reached the midpoint for today’s politics live blog.Here’s what’s happened so far:
    New York representative Alexandria Ocasio-Cortez said late on Monday that the California senator Dianne Feinstein should resign, joining a bipartisan chorus calling for Feinstein to step down amid absences from the Senate.
    Senate majority leader Chuck Schumer said during a Tuesday speech on the Senate floor that Democrats will only pass a “clean” debt ceiling increase, as a 1 June debt default looms.
    A new poll puts Donald Trump ahead of Florida governor Ron DeSantis among Republican primary voters in a hypothetical 2024 presidential primary election, as Trump continues to outperform DeSantis in several polls.
    Debt ceiling talks have gained a second wind after a warning on Monday by the US treasury secretary Janet Yellen that the US could default on its debt as soon as 1 June, as Biden confers a 9 May meeting with top congressional leaders.
    Here is reporting on the Senate judiciary committee meeting from the Guardian’s Chris Stein, who is currently in the hearing room.Partisan splits were apparent in the Senate judiciary committee today as it kicked off a hearing on the supreme court’s ethics, with Democrats accusing the nation’s highest court of believing itself to be outside the law, and Republicans defending the justices from what they said were attacks motivated by bitterness over its recent rulings.“Ethics cannot simply be left to the discretion of the nation’s highest court,” the committee’s Democratic chair Richard Durbin said. “The Court should have a code of conduct with clear and enforceable rules so both Justices and the American people know when conduct crosses the line. The highest court in the land should not have the lowest ethical standards. That reality is driving a crisis in public confidence in the supreme court.”Durbin called the hearing after a series of reports about entanglements between the court’s justices, particularly its six conservatives, and lawyers and donors with interests in the court’s outcome. Chief justice John Roberts was invited to testify, but declined, instead sending a document signed by all of the court’s nine justices that outlined their approach to ethics.Lindsey Graham, the judiciary committee’s top Republican, said the Democrats were using the hearing to retaliate against justices who authored opinions they didn’t agree with. Last year, the court’s conservatives upended nearly a half-century of precedent by overturning Roe v Wade and allowing states to ban abortion entirely, cut into the Environmental Protection Agency’s ability to regulate power plant emissions and weakened laws on possession of concealed weapons.“This is not about making the court better,” Graham said. “This is about destroying a conservative court. It will not work.”The Senate judiciary committee is holding a meeting to discuss whether the US supreme court should bolster its ethics rules following a series of reported conflicts between supreme court justices and personal interests.The Tuesday meeting comes after several scandals that have called into question the ethics of the court and diminishing public confidence in the institution, the Washington Post reported.Most recently, supreme court justice Clarence Thomas has come under fire after media organization ProPublica publicized that the longest-serving justice accepted luxury travel and vacations over two decades from the real estate mogul and Republican donor Harlan Crow.Such gifts and a real estate deal between Thomas and Crow were undisclosed by Thomas.Ahead of today’s meeting, Chief Justice John Roberts declined an invitation to appear and testify about judicial ethics. The justice instead forwarded a three page “Statement on Ethics Principles and Practices”, which is signed by all nine justices. The non-binding memo is meant to “reaffirm and restate foundational ethics principles and practices to which they subscribe”.But Roberts himself is facing scrutiny after a whistleblower alleged that Roberts’s wife, Jane Roberts, made millions through recruiting for top law firms. More

  • in

    Florida woman charged after allegedly throwing drink at far-right Matt Gaetz

    A Florida woman faces two charges of battery – one a felony – after allegedly throwing a drink at the far-right Republican congressman Matt Gaetz.The Walton county sheriff reportedly said Gaetz insisted on pressing charges. Gaetz maintained he was justified in doing so, saying 41-year-old Selena Jo Chambers “cross[ed] the Rubicon beyond just words to throwing stuff”.A previous case of a drink being thrown at Gaetz resulted in a woman being sent to prison.In 2019, Amanda Kondrat’yev, then 35 and a former political opponent of Gaetz, received a 15-day prison sentence for throwing a slushie at her rival.That beverage-blitzing brouhaha happened at an “Open Gaetz” public event at a restaurant in Pensacola appropriately named the Brew Ha Ha.The alleged case involving Chambers happened at the South Walton Beaches food and wine festival on Saturday night.According to the Pensacola News Journal, Chambers “told police she was walking and tripped and spilled her drink on Gaetz, though she recognised Gaetz before spilling her drink on him”.The sheriff said Chambers cursed Gaetz before throwing her drink, which hit the congressman and another person. A woman with Chambers said she was the one who cursed.Gaetz is a prominent ally of Donald Trump. He recently played a leading role in a rightwing rebellion that forced the California Republican Kevin McCarthy through 15 votes before he was confirmed as US House speaker.On his podcast on Tuesday, Gaetz said that he had been “enjoying catching up with new friends and old, and folks recognised me, and we were taking pictures and having polite conversations. As I was chatting with one gentleman, a lady threw a drink on the both of us.”Defending the decision to press charges, he said: “If we start allowing stuff to be thrown or hurled, if we allow people to be harmed, there is a severe risk of escalation and accident.“And we don’t want to see anyone in harm’s way, whether it’s family members, supporters or even our detractors. We want them to be safe too.“But when they really cross the Rubicon beyond just words to throwing stuff and striking me and striking a gentleman I was speaking with, with a drink, then that has really caused harm to our community. And it’s something that we want to contain and extinguish and not see going forward.”In 2019, at his assailant’s trial, Gaetz said: “I come not for any vengeance or retribution, but for the safety of the constituents who attend our public events.”In addition to her 15-day prison sentence, Kondrat’yev – a mother of two – got a year of supervised probation and was fined $500.A press release from Gatez about Chambers’ alleged attack said: “I will never allow the safety of north-west Floridians to be comprised.”He also called Chambers “a registered Democrat and self-described member of the ‘resistance’” to Trump and his far-right supporters.Chambers was booked with one count each of misdemeanor battery and battery on an elected official. The latter is a felony. More