The Dictatorship
Tillis says he’s ready to move ahead with confirming Warsh as Fed chair
WASHINGTON (AP) — The Republican senator who had effectively blocked confirmation of President Donald Trump’s pick to lead the Federal Reserve said Sunday he was dropping his opposition after the Department of Justice ended its investigation of the current central bank chair.
The announcement by Sen. Thom Tillis of North Carolina removes a big hurdle to Trump’s effort to install Kevin Warsha former high-ranking Fed official, in the job in place of Jerome Powell, long under White House pressure to lower interest rates. Tillis’ opposition was enough to stall the nomination in the GOP-controlled Senate Banking Committee as Powell neared the scheduled end of his term on May 15.
“I am prepared to move on with the confirmation of Mr. Warsh. I think he’s going to be a great Fed chair,” Tillis told NBC’s “Meet the Press,” two days after the U.S. attorney for the District of Columbia said her office’s investigation of the Fed’s multibillion-dollar building renovations was over. Powell’s brief congressional testimony last summer about that work was also under review.
The Fed’s internal watchdog is scrutinizing a project, now at $2.5 billion after earlier estimates had put it at $1.9 billion, that the Republican president has criticized for cost overruns. Powell had asked in July for the inspector general’s review.
“I believe that there will not be any wrongdoing. Maybe we find a little stupid here in terms of somebody responsible for the project making a decision they shouldn’t? Maybe. But it doesn’t rise to a criminal prosecution. That was my problem to begin with because I feel like there were prosecutors in D.C. that thought this was going to be a lever to have Mr. Powell leave early,” he said.
Tillis, who infuriated Trump in June for opposing his big tax and spending cuts bill over Medicaid reductions and then announced he would not seek reelection in 2026, added that he had received assurances from the Justice Department that “the case is completely and fully settled … and that the only way an investigation would be opened would be a criminal referral from one of the most respect inspector generals.”
Important week for Fed leadership
The committee on Saturday said it planned to vote Wednesday on Warsh’s nomination. The ranking Democrat, Massachusetts Sen. Elizabeth Warren, responded with a statement that “no Republican claiming to care about Fed independence should support moving forward the nomination of Kevin Warsh, who proved in his nomination hearing to be nothing more than President Trump’s sock puppet.”
Also Wednesday, Fed policymakers will meet and are expected to keep their key interest rate unchanged for the third straight meeting, shrugging off Trump’s demands for a cut. At a news conference, Powell could indicate whether he will remain on the Fed’s board of governors after his term as chair ends, an unusual but not completely unprecedented step that would deny Trump the opportunity to fill another seat on the seven-member board. Powell’s term as a governor lasts until January 2028.
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At a hearing last week, Warsh told senators he never promised the White House that he would cut interest rates and pledged to be “an independent actor” if confirmed as chair. Hours before that, Trump had been asked in a CNBC interview whether he would be disappointed if Warsh did not immediately cut rates. “I would,” the president said.
Without the constraints of a political campaign, Tillis has spoken out forcefully about Powell, decrying the inquiry by U.S. Attorney Jeanine Pirro, a longtime Trump ally, as a “vindictive prosecution” and suggested it threatened the Fed’s longtime independence from day-to-day politics. Tillis told NBC that he had gotten assurances from the Justice Department that he needed “to feel like they were not using DOJ as a weapon to threaten the independence of the Fed. So this will allow Mr. Warsh to move on with his confirmation.”
On Saturday, Trump was asked by reporters whether there was now smooth sailing for Warsh with the end of the Justice Department’s investigation. “I imagine it’s smooth,” Trump said, adding that his nominee “is going to be fantastic.” The president said he still wanted to find out “how can a building of that size cost … whatever it’s going to be.”
Trump visited the Fed building in July and, in front of television cameras, said the renovations would run $3.1 billion. Powell, standing next to him, said after looking at a paper presented to him by Trump, that the president’s latest price tag was incorrect.
Justice Department pursues Trump adversaries
The investigation was among several undertaken by the Justice Department into Trump’s perceived adversaries. For months it had failed to gain traction as prosecutors struggled to articulate a basis to suspect criminal conduct. Other efforts by the department to prosecute Trump’s adversaries, including New York state Attorney General Letitia James, a Democrat, and former FBI Director James Comey, have also been unsuccessful.
Last month, a federal judge quashed Justice Department subpoenas issued to the Fed in the investigation, describing their purpose as “to harass and pressure Powell to resign” and open the path for a new chair. A prosecutor handling the Powell case had acknowledged at a closed-door court hearing that the government had not found any evidence of a crime.
Pirro said Friday on X that she “will not hesitate to restart a criminal investigation should the facts warrant doing so.” The acting attorney general, Todd Blanche, told NBC on Sunday that ”there is no doubt that we will investigate” if the inspector general finds evidence of criminal conduct.
Warsh is a financier and former member of the Fed’s board of governors. Trump nominated him in January.
The Dictatorship
Trump wants a Supreme Court do-over on birthright citizenship, but he won’t get one
For months, Donald Trump made clear that he expected the Supreme Court to rule against him on birthright citizenship, and his expectations were correct: Last week, a narrow majority of the high court ruled that the Constitution’s 14th Amendment means what it says.
Hours after the decision came down, the president downplayed the importance of his defeat, saying that he would pursue a legislative solution through Congress, but eight days later, the Republican published a very different kind of message to his social media platform that approached the issue in a more hysterical way. The missive read, in its entirety:
Signs and Billboards are being put up all over our Southern Border, and Mexico, advertising BIRTHRIGHT CITIZENSHIP, with “Deliveries starting at $4000.” Likewise, similar signs going up all over our Country. Billions of Dollars will be illegally made by this SCAM, with Citizenship going to anyone willing to pay. It will be, by far, the number one way of becoming a citizen, and then the entire family will be allowed to follow. Not sustainable.
NOBODY SAW THIS COMING!!! AMERICAN CITIZENSHIP IS NOT FOR SALE! In fact, that is a crime, and therefore, the Supreme Court’s ruling is wrong. I will be asking for a Rehearing by the United States Supreme Court, IMMEDIATELY. This miscarriage of justice will destroy America if they don’t change their absolutely insane decision. Thank you for your attention to this matter!
Even by Trump standards, this one’s a doozy.
The New York Times reported“The president appeared to be referring to a Fox News report that identified a hospital in Texas that had advertised paying for ‘Birth Packages in South Texas’ on billboards in Mexico. The outlet reported that Gov. Greg Abbott of Texas, a Republican, had ordered an investigation into the hospital, which told Fox News that “marketing materials regarding maternity services are no longer in use due to any unintended misunderstanding.”
Trump apparently took this report and ran with it, inventing various other details, including the amusing idea that cross-border birth tourism will somehow become “the number one way of becoming a citizen” (“by far,” the president added), as opposed to simply being born on U.S. soil to American parents.
But even if such an advertising campaign existed, it wouldn’t generate a rehearing from the Supreme Court. There is no scenario in which justices would say, “Sure, we ruled last week that the unambiguous language of the 14th Amendment means what it says, but if there are billboards going up, that changes everything.”
For good measure, let’s not forget that, according to Trump, his administration has effectively ended illegal border crossings, so as a practical matter, he really shouldn’t be that concerned.
The president’s online rant said he intends to ask for an immediate rehearing. If he orders administration lawyers to go through with such a pointless exercise and they bother to do the paperwork, they should keep their collective expectations low.
Steve Benen is a producer for “The Rachel Maddow Show,” the editor of MaddowBlog and an MS NOW political contributor. He’s also the bestselling author of “Ministry of Truth: Democracy, Reality, and the Republicans’ War on the Recent Past.”
The Dictatorship
Democrats’ scramble to replace Graham Platner ramps up in Maine
Maine Democrats are scrambling to replace Graham Platner a day after their nominee for U.S. Senate ended his bid following an allegation of sexual assault.
There’s a July 27 deadline set by state law for the party faithful to pick a new standard bearer in a race that is expected to be instrumental when it comes to whether Republicans can keep control of the Senate in this fall’s midterms.
Incumbent Republican Sen. Susan Collins may be vulnerable, but she has won five straight races for the seat dating back to 1996, and trying to defeat her was likely to carry challenges for Democrats even in the best case scenario.
Their new candidate will have to essentially start from nothing in the race, mend the divisions sown by Platner, introduce (or reintroduce) themselves to the broader electorate and corral support from the ex-candidate’s outsider-minded current and former followers, all in less than four months.
That amounts to a daunting task with massive implications not only for Maine Democrats, but potentially for the final two years of President Donald Trump’s time in the White House. Democrats need to flip at least four GOP-held Senate seats, and maintain all their current ones from several competitive states, to vault themselves into the majority in the midterms. A loss in Maine would be a significant setback.
Maine Democratic Party leaders announced plans “to hold a nominating convention to choose a new nominee,” while stating that “transparency is of the utmost importance.”
Already, several major voices are in the race, including unsuccessful candidate for governor and past Platner supporter Troy Jackson. The former state senate president made his bid clear less than an hour after Platner left the race. One major Bernie Sanders-aligned group, Our Revolution, has quickly rallied around Jackson.
Dan Kleban, co-founder of Maine Beer Company,”https://x.com/mainebeerbrewer/status/2075028234962677872?ref_src=twsrc%5Egoogle%7Ctwcamp%5Eserp%7Ctwgr%5Etweet”>is also in the fray, along with former governor candidate Nirav Shah, who worked as Director of the Maine Center for Disease Control and Prevention during the pandemic. Maine Secretary of State Shenna Bellows who also ran for governor this summer is among other potential contenders.
Platner’s exit also brings difficulty for Collins and Republicans as well, however. Instead of facing a Democratic rival with a string of alarming controversies even before the sexual assault allegationan accustation Platner has denied, Collins instead will have to try to keep her seat in a blue state against someone far less defined, and potentially with far fewer vulnerabilities, in November.
Across the country this year, Democrats have navigated a political environment rife with divisions over how to sway voters in these strange times, with tension between more entrenched party leaders and an energetic and angered left wing often spilling out into the open.
What happens in Maine over the coming weeks may prove to be no different.
Hunter Woodall covers politics for MS NOW. He’s reported on politics and presidential campaigns for The Associated Press and CBS News and reported on Congress for The Minnesota Star Tribune.
The Dictatorship
Platner’s exit amplifies a key difference between Democrats and Republicans
It’s been almost three years since Kevin McCarthy became the first sitting House speaker to be ousted in the middle of a congressional sessionbut the California Republican has nevertheless tried to maintain a public profile and has routinely appeared on conservative media to push partisan talking points.
So it wasn’t too surprising to see McCarthy on Fox News on Monday night, responding to the latest sexual assault allegations against Graham Platner, still a candidate for Senate at the time.
As part of an apparent effort to contextualize the scandals surrounding the Maine Democrat, the former GOP leader said, “One thing I know about Republicans is when we had a very bad candidate and found out, we didn’t vote for that person. We walked away.”
Moments later, McCarthy added, “When Matt Gaetz came forward, we got rid of him.”
As is too often the case, the failed former House speaker not only had it backward, but his mistake also offered a timely reminder of details that made him and his party look worse, not better.
Indeed, Gaetz offers a rather extraordinary example. The Justice Department investigated the Florida Republican over allegations of alleged sex trafficking, and while Gaetz repeatedly denied any wrongdoing and the prosecutors’ probe ended without charges, his House GOP colleagues made no effort to “get rid of him” as the scandal intensified.
What’s more, the House Ethics Committee found “substantial evidence” that Gaetz “regularly” paid women for sex, had sex with a 17-year-old during his tenure on Capitol Hill and possessed illegal drugs. Nevertheless, as that evidence came together, he remained a GOP member in good standing; he won re-election in 2024 with the Republican Party’s backing; and President Donald Trump thought it would be a good idea to nominate Gaetz to serve as the U.S. attorney general — a nomination endorsed by Republican senators such as South Carolina’s Lindsey Graham and Alabama’s Tommy Tubervilleeven after they had seen the House Ethics Committee’s findings.
This is what McCarthy cited as an example of the GOP maintaining the highest standards and throwing “very bad candidates” to the curb. That’s ridiculous.
But there’s no reason to stop with Gaetz. Indeed, the list of scandal-plagued Republicans who continued to enjoy the party’s backing long after ugly allegations had reached the public is not short. Trump is obviously the most glaring example, but the list includes other contemporary figures, including Rep. Cory Mills of Florida and Texas Attorney General Ken Paxton.
There’s no reason to limit the list to electoral candidates, either: Former Fox News host Pete Hegseth faced an avalanche of scandals during his confirmation fight early last year, but Senate Republicans decided to ignore the allegations and make him defense secretary anyway.
As the Hegseth fight unfolded, political scientist Jonathan Bernstein published a smart piece that remains relevant: “I do not believe that Republicans or conservatives are any more prone to [scandals] than Democrats. What has changed, however, is the incentive structure. Once upon a time both parties were equally likely to rid themselves of bad actors; now Republicans are far more likely to tolerate, and in some cases even celebrate, behavior they once would have shunned.”
When Democrats learned of serious allegations against then-Illinois Gov. Rod Blagojevich, the party abandoned him. When then-New Jersey Sen. Bob Menendez faced serious criminal charges for which he was later convicted, the party abandoned him, too.
In Maine, the Platner example followed the same path, as evidenced by his decision to withdraw from the Maine race after Democratic officials left him with no other choice.
Former U.S. Attorney Joyce Vance, an MS NOW legal analyst, explained this week“The contrast here is hard to ignore. Democrats have shown that when credible allegations of sexual misconduct emerge against one of their own, the conversation turns quickly to accountability. Republicans have made a different choice. That’s not a partisan talking point, it’s a difference in how the two parties have approached questions of character and fitness for office over the last 10 years.”
That’s true, whether McCarthy wants to acknowledge it or not.
Steve Benen is a producer for “The Rachel Maddow Show,” the editor of MaddowBlog and an MS NOW political contributor. He’s also the bestselling author of “Ministry of Truth: Democracy, Reality, and the Republicans’ War on the Recent Past.”
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