Congress
Ron Johnson believes he will get ‘second bite of the apple’ on Medicaid cuts
Sen. Ron Johnson (R-Wis.) believes he has a commitment from the White House and Senate GOP leadership to get another chance to repeal an expansion of Medicaid offerings — a controversial proposal that failed to make it the final version of President Donald Trump’s sweeping domestic policy package.
“I think I pretty well have a commitment. They’re going to do that,” Johnson told reporters of the prospects that Republicans will reconsider a provision that would end the federal government’s 90 percent cost share of funding for new enrollees in states that expanded Medicaid under the Democrats’ 2010 health care law.
Johnson added that he ended up voting for Trump’s “big, beautiful bill” largely because he was given assurances of the proposed cuts, despite his significant concerns about the deficit projections under the bill.
“Another reason why I definitely had to vote ‘yes,’ I would have just dealt myself out of being involved in that process. And I wanted to be highly involved in that process,” said Johnson of the potential to include the Medicaid expansion cost-sharing cuts in a second party-line bill later this year. “That’s where I gained a fair amount of confidence from the White House, the President, our leadership, that we will have a second bite of the apple.”
The proposal to roll back the Affordable Care Act Medicaid expansion was floated by Sen. Rick Scott (R-Fla.) as an amendment to the GOP megabill. That amendment, which was co-sponsored by Senate Finance Chair Mike Crapo (R-Idaho), would have ended the 90 percent federal cost-share at the end of 2030. Afterwards, new enrollees would have seen their medical costs reimbursed by the federal government at rates as low as 50 percent.
Johnson, Crapo, Scott and other proponents of the amendment argued that states have gamed the system by leveraging artificial increases in Medicaid spending to draw in more federal funding. And according to estimates, the policy change would have cut spending by $313 billion — putting a major dent in the package’s overall price tag over which fiscal hawks fretted. The amendment never received a vote, however, amid fierce opposition from several moderates.
Despite Johnson’s insistence he has a promise on pursuing this proposal in the coming months, nothing is set in stone. Senior Republicans on Capitol Hill and in the White House, meanwhile, continue to deny they made any side deals as a condition of winning over holdouts.
Scott said also in a brief interview Tuesday he had not been given any commitment from the White House to include his proposal in a second or third budget reconciliation package, adding that those conversations are “just starting.”
A spokesperson for Senate Majority Leader John Thune (R-S.D.) did not immediately respond to a request for comment.
Mia McCarthy contributed to this report.
Congress
Bill Gates denied association with Epstein’s crimes in closed-door Hill interview
Tech mogul Bill Gates told the House Oversight Committee he was aware of Jeffrey Epstein’s prior sex crime conviction but that he did not know Epstein was continuing to engage in misconduct at the time of their acquaintance, according to a transcript of his testimony.
In his transcribed interview with the panel earlier this month as part of its ongoing Epstein investigation, Gates recounted details of his dealings with Epstein over the years — which extended from 2011, when he was first introduced to Epstein, to 2014, when he realized Epstein would not make good on his promise to steer donors towards Gates’ philanthropic work.
“I was aware that he had a criminal conviction,” Gates said, according to the transcript. “I knew that it was of a sexual nature, but, no, I don’t think I … dug into the specifics, although I probably should have.”
Gates’ decision to shrug off the conviction from 2008 underscored the extent to which many of those who chose to associate with the disgraced financier opted to ignore potential warning signs of impropriety. It was not until more than a decade after his first brush with law enforcement that Epstein was arrested on federal sex crimes charges; he died by suicide in jail in 2019 while his case was pending.
Gates’ relationship with Epstein has drawn new scrutiny since materials released by the Justice Department revealed new details about their relationship. In one draft correspondence contained in the so-called Epstein files, Epstein appears to have written and sent to himself a letter to Gates, where he alleged that Gates asked Epstein to “delete the emails regarding [his] std” and give him antibiotics to “surreptitiously give to Melinda [French Gates].”
Gates has denied that allegation and, during his interview with the Oversight Committee, Gates questioned whether Epstein was attempting to blackmail him.
“Now that I see the January release of documents, it appears that in many cases he, at least in emails to himself, was sort of rehearsing how either he or he coaching someone else might choose to blackmail me, but none of those messages were ever sent to me,” Gates said. “You know, I never paid Jeffrey Epstein anything.”
He also said that Epstein “certainly wasn’t a friend,” and insisted he never engaged in sexual conduct or received massages from individuals introduced to him by Epstein. And despite knowledge of his 2008 conviction, Gates said he was unaware at the time of their relationship that Epstein was a registered sex offender. He also said he never visited Epstein’s island.
The Oversight Committee also on Tuesday released a transcript of its June interview with Lesley Groff, one of Epstein’s former assistants who was among those named as a potential co-conspirator as part of Epstein’s non-prosecution agreement in 2007. She was never charged with any wrongdoing and, according to the transcript, recalled that law enforcement’s decision came as a surprise.
“I am not a conspirator, and I never would have agreed to this language,” she said, according to the transcript. “Their unilateral decision to label me as a potential conspirator remains my scarlet letter.”
Like others who have come before the panel, Groff claimed she was unaware of his crimes during the time of her employment and that Epstein, following his 2008 conviction, said that he was “set up.” Groff said she believed him, so she continued to work for him.
“I also saw the same VIPs continue to surround Epstein after his conviction,” she explained as a rationale for maintaining her own ties.
For instance, Groff told the Oversight Committee she “would connect phone calls” between President Donald Trump and Epstein multiple times a year.
Trump has not been charged with any wrongdoing tied to Epstein, but his relationship with the financier has raised eyebrows while fueling speculation that the administration has been working to cover up its connections — including by pushing back against making the Epstein files public last year and then slow-walking their release.
The Justice Department has defended its handling of the files’ release, and Trump has maintained he broke off his relationship with Epstein years before his death.
Congress
Senate votes to halt Iran war despite Trump’s push for peace deal
The Senate on Tuesday voted to cut off the U.S. military campaign against Iran, handing a fresh loss to President Donald Trump despite his attempts to convince lawmakers and the public that a deal to end the war is at hand.
Four Republicans broke ranks to help approve a resolution to block further military action unless it is green-lighted by Congress.
The war powers measure is largely symbolic — the resolution cleared Tuesday doesn’t go to the president to sign or veto. But the bipartisan 50-48 vote is a damaging milestone for the Trump administration: Both the Senate and House have now weighed in against the Middle East conflict that’s stretched on for more than 100 days. The same measure passed the House in early June after months of close calls.
Congress
Housing bill threatened in GOP elections-bill spat
The long-anticipated bipartisan housing bill is under threat from a Florida Republican who threatened to “shut the floor down” if House GOP leaders move forward with passing it Tuesday.
Rep. Anna Paulina Luna said Republicans instead need to prioritize passage of the SAVE America Act, the GOP elections bill that has been stuck in the Senate for months. Speaker Mike Johnson has scheduled a Tuesday evening vote on the housing bill in hopes of sending it to President Donald Trump for a planned Wednesday signing at the White House.
Luna posted her threat on social media Tuesday afternoon and later specified in an interview that she would oppose procedural measures teeing up GOP-backed legislation going forward if party leaders didn’t abandon their plans to hold the housing bill vote via special fast-track procedures that would effectively sideline Republican hard-liners.
Luna cannot single-handedly block those procedural votes, but she said there is “a group” of lawmakers who would join her. She separately called on Trump to veto the housing bill in a bid to force the SAVE America Act to be added to it.
Johnson plans for now to proceed with the Tuesday evening vote on the housing bill, according to two people granted anonymity to discuss internal conversations. If Luna and her unnamed allies follow through with their threats, they could derail a pair of appropriations bills set for House consideration this week and potentially freeze the floor indefinitely given the GOP’s razor-thin majority.
“I have been telling them,” Luna said of her complaints to GOP leaders.
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