Congress
Moment of truth nears on green credits, climate cuts
The fate of hundreds of billions’ worth of clean energy tax credits is among the last unresolved big-ticket items Republicans are hashing out before a series of planned committee markups on their big budget bill.
The Agriculture, Energy and Commerce, and Ways and Means committees are hoping to advance their portions of the party-line tax and spending package next week. Language could begin trickling out as soon as Friday.
But negotiators say haggling is still happening on what to do with renewable energy incentives and other credits from the Democrats’ 2022 climate law, which are benefitting red districts and states across the country. Ways and Means has jurisdiction over those programs.
“I’ve heard from people in Ways and Means there is a lot of disagreement in the room,” said Rep. Andrew Garbarino (R-N.Y.), who has been helping lead the charge to protect at least some of the credits. “It’s one of the things that’s the most contentious in the room.”
Seeking to put a marker down for where Republicans across the conference might be willing to compromise, Garbarino and Rep. Jen Kiggans (R-Va.) have introduced the “Certainty for Our Energy Future Act.” It would phase out solar and wind incentives, disqualify companies tied to foreign adversaries and preserve the ability of businesses to buy and sell certain clean energy credits — a practice known as “transferability.”
Republican Reps. Dan Newhouse of Washington, David Valadao of California and Mark Amodei of Nevada have also signed onto the legislation.
“The goal was to find a place that people could live with,” said a Kiggans aide granted anonymity to speak about internal deliberations. The aide also called it a “starting point” and a “best case scenario” as this group of Republicans and nearly two dozen others go up against hard-liners who want a full repeal of the suite of clean energy tax credits codified by the Inflation Reduction Act, which President Donald Trump likes to call the “Green New Scam.”
Every vote counts for Speaker Mike Johnson as he seeks to pass a hyper-partisan bill through his razor-thin Republican majority, giving members an inordinate amount of power to make demands. A major question, however, is how far Republicans are willing to go in expending political capital to defend the energy incentives.
There are other priorities Republicans are fighting for, too, and they could take precedence — for instance, there’s overlap among the lawmakers who want to protect the tax credits and those who are simultaneously locked in a fierce battle to increase the income tax deduction for state and local taxes.
“I’m much more passionate about SALT; it is a hill I’m willing to stake my entire congressional career on,” said Rep. Nick LaLota (R-N.Y.). Asked whether that applied to clean energy incentives, too, he said, “No.”
“I’m interested in them; I don’t think we should throw out the entire IRA,” LaLota said. “There are provisions in it which I think are good for the country, are good for my constituents. But I am all in on SALT.”
Senate Republicans confirmed dozens of President Donald Trump’s nominees Friday, just before they leave for a five-week congressional recess.
Senators voted 51-47 to approve officials at the Departments of Defense, Energy, State and other agencies.
They included David Cummins to head the Transportation Security Administration, Cameron Hamilton to lead the Federal Emergency Management Agency, Hal Duncan to be OMB deputy director and Francis Brooke to be Treasury deputy secretary. Among the group were several ambassadors, including former Rep. David Brat to be ambassador to Australia.
Senate Republicans changed the chamber’s rules last year to be able to confirm lower-level nominees as a package instead of having to hold a vote on each.
After finishing the expedited procedure Friday, Senate Republicans estimate they will only have a small number of civilian nominees awaiting confirmation.
President Donald Trump said voters may seek to punish Republicans — but not him — in the November midterm elections, as GOP lawmakers sweat that affordability concerns and the war in Iran could mean Democrats flip the House and perhaps even the Senate.
“They’re angry at Republicans,” Trump said in an interview with Punchbowl News that aired Friday. “But they’re not angry at me. They’re not angry at me, but they are angry at Republicans.”
The GOP faces the prospect of heavy losses this November, as gas and grocery prices remain stubbornly high due in part to the White House’s five-month-long war in Iran. The administration’s guidance on campaign trail messaging has been “tone deaf,” House Republicans fear.
Meanwhile, the president’s approval rating has tumbled since he returned to the Oval Office last year, and even his biggest supporters have grown frustrated over his Middle East war.
And with a messy, jam-packed slate of primaries now all but in the rearview mirror, Democrats are determined to go on offense. The Democratic Congressional Campaign Committee has 58 seats on its midterm target map that stretches into redder territory — while still facing an uphill climb to take the Senate.
Trump has a massive war chest at his disposal. His MAGA Inc. super PAC reached $400 million in June. The president told Punchbowl he plans to use it to “help Republicans,” but he stressed that he faces no pressure in this campaign cycle.
“I said to somebody, ‘Wait a minute, you don’t understand, I won,’” Trump said, referencing his 2024 presidential election victory. “I’m not campaigning.”
The biggest issue for Republicans this year? That Trump himself is not on the ballot, he said.
“If I don’t run, will those people go out and vote? And that’s the one thing I can’t tell, I’m going to ask them to,” he said.
The Senate’s plan to get out of town is coming together.
Majority Leader John Thune teed up a final vote on the Russia sanctions legislation for this morning, as well as a confirmation vote for dozens of nominees and a procedural step on a stopgap funding bill.
But there’s still a number of questions that need to be answered if Thune wants to adjourn for recess by the end of the day:
— BLANCHE’S FATE: President Donald Trump’s pick for attorney general needs to secure at least one more vote to be confirmed before the break.
It looks like it’s all up to Sen. Bill Cassidy after Sen. Lisa Murkowski announced Friday morning she is opposed. Thune indicated Thursday night Blanche’s fate was uncertain and that leaders were “still working to get the final vote.”
— SAVE AMERICA ACT: Thune said to expect a vote related to the SAVE America Act as well as an initial vote on a budget blueprint for a third party-line spending bill — which includes elements of Trump’s election security legislation.
The decision to hold the budget vote comes after two Republican senators, granted anonymity to speak candidly, told Blue Light News Thursday they believed Sen. Mike Lee or another member of the GOP’s right flank would have otherwise forced a vote on the framework.
But as we’ve previously reported, Republicans don’t believe the budget resolution has the votes within the conference to be adopted — meaning the expected initial vote today will fail to clear a simple majority threshold.
And it’s not clear Lee or like-minded senators will be satisfied and allow for lawmakers to adjourn for recess without more action on the elections measure. The senator has made similar threats over the past year but has never followed through.
— TIME AGREEMENT: GOP leaders need to strike an agreement to finish other business, including passing the stopgap government funding bill and advancing a college sports bill.
At this point, any single senator could still object to expediting the chamber’s agenda, which would derail Thune’s goal of getting members out of town by the end of the day.
“We’ve been having these conversations with Democrats trying to figure out what’s the path,” Thune said.
“We’ll see how it goes,” he added.
What else we’re watching:
— GOP EXPECTS CRYPTO BILL DELAY: The Senate will leave for the chamber’s August recess without holding a vote on a landmark cryptocurrency bill, according to three people with knowledge of the matter. Thune may still file cloture on the bill, but it likely won’t come to the floor until lawmakers return to Washington next month, two of the people said.
— COLLEGE SPORTS BILL STUMBLES: Sens. Ted Cruz and Maria Cantwell’s legislation to impose new guardrails on college sports is looking increasingly unlikely to hit the floor this week. Eleven senators objected to expedited consideration of the Protect College Sports Act after Thune filed cloture earlier this week, two people familiar with discussions told Blue Light News.
— OGLES OUSTED: GOP House leaders lost an incumbent — and a perennial headache — with Rep. Andy Ogles’ primary defeat in Tennessee Thursday night. His loss to former Tennessee Agriculture Commissioner Charlie Hatcher represents the second Trump-endorsed candidate to lose a primary this week.
Jordain Carney, Mia McCarthy, Andrew Howard and Jacob Wendler contributed to this report.
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