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Capitol agenda: Shutdown endgame gets real

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The Senate is grinding toward an end to the shutdown — and there are new signs for optimism this week.

A swing group of Democrats is signaling they could accept a GOP offer including a continuing resolution, a package of appropriations bills and a vote on Affordable Care Act subsidies.

At the same time, the Trump administration warned the nation’s air travel could be plunged into chaos without a deal. Meanwhile, Republicans are zeroing in on key details, including how long a CR might keep the government open and what their legislative vehicle will be.

A turning point could be tomorrow’s high-stakes Democratic caucus lunch. Party firebrands are likely to push to hold out longer, emboldened by Tuesday’s Democratic victories across the country — and voters’ apparent repudiation of President Donald Trump.

But many Democrats feel a sense of fatigue with the standoff and its impacts on food aid and travel. Democratic

senators involved in bipartisan negotiations such as Sens. Jeanne Shaheen (D-N.H.) and Gary Peters (D-Mich.) celebrated their party’s electoral wins but said talks won’t be affected.

Senate Majority Leader John Thune said Wednesday that Republicans are close to finalizing the “minibus” that would serve as the vehicle for any CR to open the government, though obstacles remain on both sides of the aisle in terms of getting the votes to overcome procedural hurdles.

As for the CR itself, Sen. Markwayne Mullin (R-Okla.) said House and Senate Republicans are close to settling on an end date for the extension of government funding — likely sometime in January.

With so much still up in the air, leadership will have to make some scheduling calls, too. They could opt to stay through the weekend if a deal seems imminent, leave Washington this weekend, or as some Republicans have privately threatened, go into the scheduled recess next week.

In the meantime, political pressure points are growing. Transportation Secretary Sean Duffy warned of widespread flight cancellations and the possibility that some airspace might be closed if air traffic controllers miss their second paychecks next week. Lawmakers are also warning that the Low-Income Home Energy Assistance Program, a major safety net which helps households cover energy costs, could lose funding by the end of the week.

And both parties are still processing a bruising election loss for the GOP. Trump renewed his calls for Republicans to nuke the filibuster to end the shutdown. So far, the Senate GOP has shown little interest in the president’s demands when it comes to the nuclear option, as it sinks in that Trump will be gone in just over three years, while they’ll still be around, Jordain Carney and Meredith Lee Hill report this morning.

Instead, Republicans insist the political pain and realities of a shuttered federal government will eventually force the Democrats to capitulate.

Across the Capitol, Democrats showed little interest in backing down. House Minority Leader Hakeem Jeffries told Democrats on a caucus call Wednesday they would continue “to urge the Senate to stay the course and hold the line.”

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Congress

No DHS talks expected until Mullin is confirmed, White House official says

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The White House is holding off on further DHS funding negotiations until the Senate confirms Oklahoma Sen. Markwayne Mullin to lead the agency, according to a White House official, granted anonymity to share internal thinking.

Democrats have previously canceled meetings, and given Mullin is close to confirmation, the official said, aides to President Donald Trump believe it’s better to wait so he can be a “full and active” participant in funding talks from the DHS side.

The White House earlier in the day rejected a Monday morning meetingwith a bipartisan group of senators who have been negotiating to end the DHS shutdown. Democrats had previously canceled a Saturday meeting.

The Senate is scheduled to vote on Mullin’s confirmation shortly before 8 p.m. Monday.

Some Senate Republicans are aiming to meet with Trump on Monday night to discuss the DHS funding situation, although no meeting has been officially scheduled.

The meeting, according to two people with knowledge of the matter, would be to try to pitch Trump on a plan to fund all of DHS except specific pieces of ICE, which have already been funded through last year’s megabill.

Trump was in Memphis, Tenn., earlier in the day, attending an anti-crime event and paying a visit to Graceland, Elvis Presley’s former home.

Senate Majority Leader John Thune said he expected additional meetings Monday but declined to say who was involved: “Conversations continue,” he said.

Meredith Lee Hill contributed to this report.

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Hawley investigates FICO for mortgage credit scoring

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Sen. Josh Hawley is launching an investigation into how the dominant player in credit scoring prices its services for the mortgage market.

The Missouri Republican sent a letter Monday to Fair Isaac Corp., known more widely by its acronym FICO, announcing his intention to investigate the company’s price increases for credit scores. The lawmaker also sent a letter to the Federal Trade Commission urging the agency to do the same. Hawley argues that the increasing cost of credit scores is straining homebuyers in an already unaffordable market.

“These price increases are most damaging to the Americans who can least afford them. First-time homebuyers bear a disproportionate burden of the cost,” Hawley wrote in the letter to FICO, which was obtained exclusively by Blue Light News.

Hawley, who chairs a Judiciary Committee subpanel, added in his letter to the FTC that he wants the agency to “investigate unfair methods of competition and unfair or deceptive acts or practices” and that he believes it’s well-positioned “to investigate anticompetitive behavior at FICO” separate from his own probe.

FICO did not immediately return a request for comment.

Hawley has weighed in on the issue of rising credit score pricing before, but Monday’s letters draw one of the GOP’s key populist messengers further into a battle between FICO’s near-monopoly power and what some call an oligopoly of the three major credit bureaus, TransUnion, Equifax and Experian.

He is requesting FICO hand over a slew of documents and records as part of the investigation, which he said could meld into a separate, larger Judiciary Committee investigation into “potentially anticompetitive practices in the credit scoring market.”

FICO sells its algorithm for determining credit scores to the three bureaus, which collect consumer data to produce a larger credit report. (The bureaus are rolling out a competitor model, VantageScore.) Lenders use credit reports to determine potential homebuyers’ eligibility for a loan and charge those homebuyers for the cost of purchasing that information.

The credit bureaus raised alarm last year over significant increases in FICO’s prices — from 60 cents to $10 over the last five years. Lenders say that those costs can inflate to hundreds of dollars added to a homebuyer’s mortgage.

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No DHS meeting today

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The White House turned down a Monday morning meeting with a bipartisan group of senators who have been negotiating an end to the Department of Homeland Security shutdown, according to three people granted anonymity to disclose private discussions.

“Hopefully, a meeting gets set soon once Senate Republicans and the White House get on the same page. This comes as there’s been some positive headway in talks, particularly on body-worn cameras, sensitive locations, officer IDs, and training standards, with conversations continuing on masks, warrants, and use of force standards,” one of the people said.

Senators had hoped to meet Monday with Trump’s border czar Tom Homan morning after a Saturday meeting was canceled by Democrats.

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