In a single day On The Cash — Introduced by Wells Fargo — GOP senator: It is ‘silly’ to purchase Treasury bonds

Have a nice Monday and welcome to On The Money, Your nightly guide to everything related to your bills, bank account, and bottom line. Subscribe here: thehill.com/newsletter-signup.

Today’s big deal: Republicans dig deeper into raising the debt ceiling, regardless of the ramifications. We’ll also look at a difficult path in the house for Biden’s massive expense account and the latest inflation information.

But first find out why Angelina Jolie and I was in the same building today.

For The Hill, I’m Sylvan Lane. Write to me slane@thehill.com or @SylvanLane. You can reach my colleagues in the finance team Naomi Jagoda at njagoda@thehill.com or @NJagoda and Aris Folley afolley@thehill.com or @ArisFolley.

McConnell Says GOP “United Against Raising Debt Ceiling”

Senate Democrats are generally expected to pass laws to raise the country’s debt ceiling with a government funding measure to put maximum pressure on Republicans to support raising the credit limit or risking the blame for a government shutdown.

But Senate minority leader Mitch McConnell (R-Ky.) Said Tuesday that Republicans Vote unanimously thwart any government funding bill that would also raise the country’s debt ceiling.

“Republicans agree against raising the debt ceiling,” McConnell said when asked after a GOP conference whether Republicans would vote for a funding gap that extends the federal government’s ability to borrow, which is expected to be exhausted by October.

McConnell stated that Republicans oppose raising the debt ceiling “not because it doesn’t have to be done,” but because it would pave the way for Democrats to pass a $ 3.5 trillion human infrastructure bill that does much of it previous would undo President TrumpDonald TrumpBiden stumbles for Newsom on the eve of the recall: “The nation’s eyes are on California” On The Money: House Democrats cut Biden’s tax hikes Abortion providers warn of “chaos” if the Supreme Court Roe versus Wade. overrides MORETax cut in 2017.

Fact check:

  • Raising or suspending the debt ceiling alone does not permit or prohibit new spending, nor does it increase or decrease the level of national debt.
  • Raising the debt ceiling will only allow the US to issue new government bonds, which it currently cannot, and generate cash to pay for expenditures already approved by Congress.
  • The US has never defaulted on its debt, and experts say any loss of confidence and creditworthiness in the federal government could cause the financial system to collapse.
  • Countries, financial institutions and investors hold trillions of dollars in government bonds, the value of which could fall if the US fails to remain solvent.

“I want every single Republican senator to answer the question, ‘Are you ready to bankrupt the government?'” Asked the Senate majority leader Charles SchumerChuck SchumerSchumer points to debts incurred under Trump to highlight the need for bipartisan action Warner Says “Under” 0.5 Trillion Housing Aid Package Some say he cannot support Biden’s $ 0.5 trillion spending plan MORE (DN.Y.) on Tuesday.

“Leader McConnell, as I said, is playing dangerous political games by not stepping on the stage as he asked us to and we did when Trump was president,” he added.

Even so, other Republicans, including the moderate Sens. Mitt RomneyWillard (Mitt) Mitt RomneyCan Biden make a comeback? What history teaches us (and not) Republican leaders misjudged the January 6 committee New Hampshire Democrat wins GOP seat MORE (Utah) and Rob PortmanRobert (Rob) Jones PortmanTrump administration sales representative supports JD Vance in Ohio Senate race Crypto debate should come back into force GOP hopefuls fight for Trump’s favor in the Ohio Senate race MORE (Ohio), also ruled out a vote on Tuesday for a government funding resolution that also extends the country’s borrowing authority.

And that’s why Senator Rick Scott (R-Fla.) Told reporters today that it did would be “foolish”“To buy government bonds – an asset believed to be almost as safe as cash – amid the stalemate.

“If you buy government bonds today, [you] don’t understand that American taxpayers are unwilling to levy taxes on it, ”said Scott, although surveys have shown solid support for aspects of Biden’s tax plan

“If you are stupid enough to buy this stuff now, you are stupid”

I have more on that Showdown here.

PRESENTED BY WELLS FARGO

DC Diner is being remodeled with help from nonprofit & Wells Fargo

Sandra Foote, owner of Flip-It LJ Diner, didn’t think her restaurant in Columbia Heights could survive COVID-19.

Wells Fargos Open for Business Fund made a grant to the District Bridges charitable organization, which then helped Sandra meet bills.

LEAD THE DAY

The house isn’t an easy walk for Biden, Democrats with a 3.5 ton package

Democrats say getting the $ 3.5 trillion welfare spending plan through the house will be a tough road Nancy PelosiNancy PelosiWashington is increasing security ahead of the September 18 rally How social media is fueling political polarization in the US – what can be done about it The 12:30 report from The Hill – Presented by Facebook – Man with machete, swastika in front of DNC headquarters before the rally on January 6th MORE (D-Calif.) Can only afford three defectors to enforce the measure.

While Senate debate Having received more attention, centrists are also vocally suspicious of the plan in the lower chamber, while progressives are not at all interested in bending.

Some are already pushing privately President BidenJoe BidenBiden stumbles for Newsom on the eve of the recall: “The nation’s eyes are on California” Biden is looking to the climate to sell the economic agenda The family of an American who has been taken hostage by the Taliban is calling on the government to release the peace negotiator for Afghanistan MORE In order to be even more involved in the negotiations on the package with Pelosi, it will be crucial for the signing of the bill to argue that he supports his own agenda. Hanna Trudo from the hill explained here.

A MESSAGE FROM WELLS FARGO

How a DC Florist Remodels with PPP Credit

Le Printemps DC flower shop was able to stay open during the pandemic with two Paycheck Protection Program (PPP) loans booked through Wells Fargo.

85% of the PPP loans booked through the bank went to companies with fewer than 10 employees.

MAYBE YOU CAN BUY MY CAR?

Consumer prices rose 0.3 percent in August and 5.3 percent in the past 12 months, according to data released Tuesday by the Labor Department.

Monthly growth in the consumer price index (CPI), a closely watched indicator of inflation, declined for the second straight month after rising 0.5 percent in July. (Economists expected the CPI to grow 0.4 percent last month.)

Annual CPI growth – one of several ways to measure annual inflation – also declined from 5.4 percent in July, the highest since August 2008.

What happened?

  • Airline tickets, used cars and trucks, and auto insurance prices all fell in August after soaring for much of spring and summer.
  • The used car CPI, which accounted for much of the summer’s inflation spike, fell 1.5 percent in August but is still 31.9 percent above the same point in 2020.

I break everything off here.

AOC’S MET GALA DRESS, BUT IN THE LEGISLATION

The House of Representatives Democrats’ plan would impose the biggest tax hikes on high earners: analysis

The House Democrats’ tax proposals would impose the largest tax hikes on households with an income of $ 1 million or more, according to an analysis by the Joint Tax Committee (JCT) released Monday.

The analysis takes into account the Democrats’ proposals to increase taxes for high-income individuals and businesses and to extend the expansion of tax credits for low- and middle-income households.

  • In 2023, households with incomes greater than $ 1 million would see federal taxes increase by 10.6 percent and their average tax rate from 30.2 percent under current law to 37.3 percent.
  • Households with incomes less than $ 200,000 would lower their taxes, the JCT said.

Much of the child tax credit expansion proposed by the Democrats would expire after 2025 – at the same time, the individual tax provisions in the Republican Tax Act of 2017 would expire. Naomi has the details here.

Good to know

Chairman of the Securities and Exchange Commission Gary GenslerGary GenslerOn The Money – The Democratic Tax Divide According to Coinbase, the SEC is investigating its crypto loan product Climate hawks are pushing Biden to replace the Fed chairmanship MORE said Tuesday that the rapid proliferation of cryptocurrencies and related investment products is similar the wild West.”

We still have an eye on:

  • There was a record-breaking number of players on the opening weekend of the 2021 NFL season Place bets online As more and more states legalize sports betting.
  • Job searches are expected to increase in the fall as more schools Resumption of personal learning Amid the ongoing pandemic, Indeed’s Hiring Lab forecast in its latest survey.

That’s it for today. Thanks for reading and check out The Hill’s Finance side for the latest news and coverage. We will see you tomorrow.

Our view: 2nd District election for state senator attracts curiosity and cash | Newest Headlines



MP Vince Mazzeo, D-Atlantic, left, and State Senator-elect Vince Polistina, R-Atlantic are the contestants in one of the most competitive and watched legislative races this fall.

When Senator Chris Brown announced that he would not run for re-election, those who followed the policy knew immediately that competition for the open seat would be intense and therefore a lot of money would be spent to win it.

Even so, South Jersey Democratic leader George Norcross was shocked to raise and spend $ 5 million on a contest in Atlantic County. That’s more than a third of what the Democrats spent on all legislative competitions in 2019.

The Norcross money will go to MP Vince Mazzeo, D-Atlantic’s campaign for the Senate seat of the 2nd, left by Brown. His opponent, Vince Polistina, a former Republican MP for the district, said the New Jersey Democrats would always be Republicans surpass, but he was surprised that so much money was announced so early. Polistina said he and his party had the resources to campaign effectively.

Partisans often think that money is a problem in politics when their enemies have more of it. Spending is useful in a campaign, no question about it, but increasing it leads to a decreasing return at a certain point. And funding is only one factor, and often not the most important. Campaigns that are expected to be successful can receive money from groups and people trying to support the winner. Well-funded campaigns often fail to change voters’ minds.

Consider the recent efforts of the New Jersey Education Association. In 2017, they were among the stakeholders who spent millions on Phil Murphy’s behalf. But the former Goldman Sachs financier was not short of money, and his contest ended with the highest spend since the record election for his Goldman Sachs predecessor, Jon Corzine.

Key Pennsylvania state senator backs Arizona-style election audit · Highlight PA

Spotlight PA is an independent, bipartisan newsroom operated by The Philadelphia Inquirer in association with PennLive / The Patriot-News, TribLIVE / Pittsburgh Tribune-Review and WITF Public Media. Sign up for our free newsletter.

HARRISBURG – The Pennsylvania state senator, responsible for a key electoral committee, backs a November presidential contest review similar to the Arizona partisan ballot review four days after former President Donald Trump called him out and claimed he was hesitant.

Despite two reviews and assurances from all levels of government that the election was free from widespread fraud, Senator David Argall (R., Schuylkill) told Spotlight PA that he saw no “harm in trying to answer the question again” . Worries people have. “

But such an endeavor, especially when driven by a single political party, is sure to attract criticism and raise critical questions, including the cost of who would pay for it and why it would be more trustworthy than the widely accepted audits already completed .

Argall’s counterpart in the State House declined an additional review, but the Senate can order its own review, and Argall’s committee has the power to summon ballot papers.

“The results are the results,” Argall said during the Spotlight PA Capitol Live event Friday when asked if he recognized the November results as legitimate. “The electoral college has spoken, you know the president was sworn in. I understand that this is the reality.”

District election and state officials, as well as Trump’s own attorney general, have repeatedly said there is no evidence of widespread fraud in Pennsylvania and that the results are accurate and reflect the will of voters across the state.

Still, Pennsylvania was and is the focus of Trump and his most ardent supporters, who falsely claim the 2020 elections were stolen. Many Republican lawmakers, including leadership in the House, signed a letter urging Congress to turn down the state election for President Joe Biden, while prominent senators, including Argall, asked the panel to postpone certification of the electoral college because “inconsistent and questionable activity. “

On Monday, Trump targeted Argall and the President of the Senate of the state Pro Tempore Jake Corman (right, center), requested an examination and asked whether they were “stupid, corrupt or naive”.

“I am sure that if Corman continues on this path of resistance with its lack of transparency, it will be preferred and will lose in large numbers,” the former president said in a statement.

Despite continued efforts by Trump and some US Republicans to question the election results, Argall said, “I don’t know why people are so suspicious of the results.”

“I just know it’s you,” he said.

Argall said he was focused on the process, including rulings by the state Supreme Court and the Wolf Administration, which “completely ignored” the legislature’s intentions when they passed a major election overhaul in 2019, including the universal one Introduced postal voting.

Experts previously informed Spotlight PA and Votebeat that there are State Department guidelines on issues such as “healing” postal ballot papers with issues such as a missing privacy envelope was the result of loopholes in the law. In rulings by the state Supreme Court, including one that allowed postal ballot papers to be received beyond the standard deadline, the pandemic has been identified as a need for exceptional relief.

“Do I have 100 percent confidence … that everything was perfect? No, I really want us to look into this in detail, ”Argall said. “So we’re looking at changing parts of the electoral law, and I also think it wouldn’t hurt to go back, do that check and say, ‘How exactly did that work?'”

These concerns, and how to address them, have been the subject of 10 State House Panel hearings, culminating in one Comprehensive GOP proposal to change voting in Pennsylvania. Argall said he couldn’t be sure what further examination would reveal, if anything.

When asked if he thought the election was fair and safe, he said, “Can’t we take the test and respond so that we can all have a definitive answer?”

“So is that a yes or a no?” answered the interviewer.

“That means let’s do the audit and find out.”

Argall chairs the Senate’s powerful government committee, which is considering redistribution of laws in addition to electoral laws. In an in-depth interview with Spotlight PA, the Senator said there were talks to move forward with an amended version of a bill that would add additional barriers to the ten-year process of drawing new political maps.

The statement, proposed by Senator Lisa Boscola (D., Northampton), would make the process of redistributing laws and conventions more transparent. But Joe Kelly, their chief of staff, told Spotlight PA and Votebeat on Friday that Argall’s proposed change would only focus on the process by which the map of Congress is created.

Kelly said the Senator was disappointed that the bill would not include reforms to the way the State House and Senate maps were drawn up. In contrast to the congress card, only a five-member committee made up of leaders of the General Assembly and an appointed third chairman can approve the legislative cards.

Boscola was not involved in drafting the amendment, Kelly said, and was briefed on Thursday.

Argall declined to provide details on which provisions were included in the change and which could be removed, but said there seemed to be a consensus that the parish, county and school district boundaries should be kept intact. When asked why he has not given priority to laws or similar reallocation reform laws in the past, Argall said he was not interested in postponing actions that will not happen through the House.

This chamber is currently focused on a major overhaul of the elections that includes stricter rules for voter ID, signature verification requirements for postal votes and personal early voting.

Rep. Seth Grove, chairman of the government committee of the House of Representatives, said earlier this month the chamber would “not approve further reviews of previous elections” and instead focus on amending the state’s electoral law.

But Argall said Friday he thinks it would be “not a bad idea to move on to an exam” and hopes to “close” the issue in the next few weeks. He said he wanted the review to be independent, whether through the state audit office or an investigation commissioned by the Senate.

There are also options when it comes to paying for an additional exam, he said.

“One would be to do it with public funds,” he said. “The other would be the Arizona model, where I think they found private donors willing to pay the cost.”

A private option contradicts electoral legislation urging Argall’s GOP colleagues in the House of Representatives, which would prohibit counties from taking private dollars to pay for the voting administration.

WHILE YOU ARE HERE … If you have learned anything from this story, keep paying and join Spotlight PA allow someone else to contribute in the future Spotlightpa.org/donate. Spotlight PA is funded by Foundations and readers like you who are committed to accountable journalism that gets results.

Massachusetts senator desires to let student-athletes earn cash from third-party endorsements as NCAA pushes off determination

While March Madness brings in more than $ 1.1 billion in revenue for top universities and college sports regulators, Senator Barry Finegold says it’s time to give athletes a piece of the pie.

“Who are the real winners?” Finegold, a Democrat from Andover, asks about the lucrative business of college sports.

In 2019, college sports programming raised $ 18.9 billion through ticket sales, television deals, clothing stores, and merchandise sales, according to the NCAA. Some of the money goes to schools, where it covers the salaries of six-figure coaches and state-of-the-art stadiums, but none of that goes into players’ pockets as per NCAA rules.

It’s a funding formula that Finegold – once an amateur soccer player himself – says it’s time to change. This is the second term that Finegold has tabled its bill to legalize endorsements for physical education students in Massachusetts. However, he says this is more relevant today than ever.

“There’s a lot of talk about justice and fairness right now – most of these athletes have lower socio-economic status,” Finegold told the Herald in a recent interview. “In D1, high-priced recruits make all this money for these schools and what is the ultimate benefit? So many drop out of school early, not getting the full benefit from college and hoping for professional careers, but that can be a tough road to hacking. ”

Finegold’s bill would allow student-athletes to receive compensation for using their name, image, or likeness without affecting the student’s eligibility – something that is currently not allowed under NCAA rules. College players could also participate in professional sport drafting without compromising their college status and gaming ability, and would allow them to keep scholarships. It also allows student-athletes to hire agents and would set up a “Catastrophic Sports Injury Fund” to compensate student-athletes who suffer retirement injuries.

The latest NCAA data shows that the graduation rate among athletes has slowly increased over the past two decades. Around 90% of athletes who started college in 2013 have graduated. However, according to the Institute for Diversity and Ethics in Sport, there is still a significant racial gap in graduation rates for black athletes, with graduation of about 73% last year.

Public support to provide student-athletes with name, image, and likeness opportunities has increased in recent years. The NCAA itself has now committed to changing the rules as a patchwork of state laws emerges. Finegold’s bill is modeled on California’s Fair Pay to Play Act, which was passed by lawmakers in 2019. Florida passed a similar bill last year.

“The NCAA is best positioned to offer a consistent and fair approach to name, image and likeness to all athletes at the national level,” the organization said in a statement. A vote in January to pass a new set of rules that extends the rules for names, image and likeness to athletes was postponed indefinitely.

The NCAA Board of Governors backed rule changes last April to allow athletes to receive compensation for third-party endorsements. The then chairman of the NCAA Board of Governors, Michale V. Drake, described the issue of endorsement for sports students as “uncharted territory” at the time.

Pa. to get billions in federal reduction, however do states “want” that cash? One U.S. Senator says no

HARRISBURG, PA (WHTM) – Cash will be on its way to the States shortly as part of the $ 1.9 trillion COVID-19 bailout plan. While any state could probably use the money, do the states really need the money? One of the US Senators from Pennsylvania told abc27 News, “No way.”

A pandemic, two very different ones, assume how sick it has made the Pennsylvania economy.

Democratic Senator Vincent Hughes (D-Montgomery, Philadelphia), who chairs the funds, says the state is a wreck.

“Everything in Pennsylvania has been devastated,” said Hughes.

It is safe to say that US Senator Pat Toomey, Pennsylvania, disagrees.

“We are now in 2021 and revenues have increased again. So there is no financial crisis, there is just a desire to spend a lot of free money on who knows what, ”Toomey said.

Toomey criticizes the $ 350 billion for state and local governments, which he believes will bring in $ 20 billion more nationwide in 2020 than in 2019.

And this fiscal year, the state’s revenue has increased by 14%. He calls the aid an unnecessary gift from President Biden.

“To save badly run blue states,” Toomey said.

Hughes questioned Toomey’s decision about the Pennsylvania tax cut, which benefited certain groups more than others.

“He had no problem voting for a $ 1.7 billion tax cut that would only benefit the dirty rich. Not just the rich – the dirty rich too, ”said Hughes.

Hughes insists the bailout plan will shake up poor neighborhoods and the middle class, who will spend the money and boost the economy.

“If you get people back to work, they’ll pay their taxes. You’re making a contribution, ”said Hughes.

Governor Wolf’s spokeswoman said, “As Sen. Toomey has repeatedly said, Pa. Needs these funds to avoid either massive tax hikes or draconian service cuts.”

However, Toomey continues to reiterate that there is no financial crisis caused by COVID in the Commonwealth.

“If you thought that was the case, you should ask yourself, ‘Why is Governor Wolf proposing an 11% increase in spending on the budget for the next year?’ Obviously he’s not too worried about revenue, ”Toomey said.

State officials hope the federal money will flow to Pennsylvania in the next few weeks.