Tag: Plan

Categories
Politics

Bipartisan Senate plan faces opposition from Democrats

Bipartisan Senate plan faces opposition from Democrats

The Democratic and Republican senators who propose an infrastructure deal face the first hurdles to get their $ 1 trillion plan through Congress.

The bipartisan proposal, elaborated by 10 senators, would focus on transportation, broadband and water and not increase taxes to offset costs. A handful of Democrats seeking a broader plan to tackle climate change and social programs, paid for by raising taxes on business or the rich, have opposed the framework.

Senators have to walk a fine line because concessions to win one party jeopardize the support of the other. Despite growing opposition from Liberals, one Republican who worked on the plan is hoping the group will be supported by enough GOP senators to overcome the Democrats’ loss of votes.

“It should definitely be,” Senator Rob Portman, R-Ohio, told CNBC on Tuesday when asked if there would be enough Republican support to pass the plan. “I mean, this is a proposal for infrastructure that Republicans have traditionally supported. It is also a proposal with no increase in income taxes. … I think there will be a lot of support on both sides of the aisle. “

CNBC policy

Read more about CNBC’s political coverage:

President Joe Biden’s second major legislative initiative proposed an infrastructure and economic stimulus program worth $ 2.3 trillion. After its talks with Republicans failed due to disagreements about what to include in law and how to pay for it, lawmakers made a last-ditch effort to work out a bipartisan plan.

While the 10 Senators are trying to win support for their proposal, the Democrats have laid the groundwork to pass a bill themselves through a budget reconciliation. During a meeting with House Democrats on Tuesday, White House aide Steve Ricchetti said the government would wait “a week or 10 days” to see if a bipartisan deal was reached, the House Budget Committee chairman said , John Yarmuth, D-Ky. If not, “the Democrats go along with the reconciliation for everything,” said Yarmuth.

A Democratic-only bill seems blocked for the time being, however, as at least one Democrat involved in the talks, Joe Manchin of West Virginia, insists on wanting to pass a bipartisan support plan.

Congress leaders have a math problem. To get through the evenly split Senate in the normal process, the legislation would need the support of all Democratic factions and at least 10 Republicans – or more if Democrats are defective. If the Democrats try to legislate on budget balancing themselves, they cannot lose a single vote.

U.S. Senators Mitt Romney, Kyrsten Sinema, Susan Collins, Joe Manchin and Mark Warner are leaving after they passed away on Aug.

Evelyn Hockstein | Reuters

The bipartisan strategy faces its share of skeptics. Senator Bernie Sanders, an independent Vermonter who works with the Democrats, told reporters Monday he would not vote for the plan.

“The bottom line is that there are many needs in this country,” he said. “Now is the time to meet those needs and it has to be paid for in a progressive way as we have massive income and wealth inequality in America.”

At least two other Democrats – Sens. Ed Markey of Massachusetts and Jeff Merkley of Oregon – have signaled that they will oppose an infrastructure deal unless more is invested in fighting climate change.

Passing a bill in the Senate will also depend on whether the bipartisan group can win over Majority Leader Chuck Schumer, DN.Y., and Minority Leader Mitch McConnell, R-Ky. No senator approved the framework.

McConnell is “open-minded, as he has told the media. … I think the Democrats are talking to Senator Schumer too, and I think he’s open-minded too, ”Portman told CNBC.

While McConnell said he hopes to reach a bipartisan infrastructure deal, he has also vowed to combat Biden’s economic agenda.

Schumer said Monday that “discussions about infrastructure investments are advancing in two ways”. The Democrat added that during the bipartisan talks, the Senate committees are also working on a plan based on Biden’s proposal, “which will be considered even if he does not have bipartisan support”.

He also signaled that he would like greater investments in climate protection.

“And as a reminder of the Senate, a reminder of the Senate: As I said from the start, in order to make progress on infrastructure, we must take courageous measures to protect the climate,” he said.

The challenges are not limited to the Senate. House progressives have begun to oppose a bipartisan plan smaller than the one proposed by Biden. House spokeswoman Nancy Pelosi, D-California, also said a provision to index gas taxes to inflation would not receive the blessings of the White House.

“The President of the United States is a big factor in this, and he said he would not support taxes for those earning less than $ 400,000 a year, and that includes increasing gas taxes,” she said on Sunday opposite CNN.

Portman said Tuesday that the bipartisan framework would include a “slight increase” in the tax.

Pelosi did not rule out on Sunday that her group would support a tighter infrastructure package. She said the Democrats would likely need assurances that they will next pass a broader bill that includes more party priorities.

“If [a bipartisan deal] is something to be agreed on, I don’t know how we can sell it to our group unless we know there is more to come, “she said.

Subscribe to CNBC on YouTube.

Categories
Politics

Garland Particulars Justice Dept. Plan to Shield Voting Rights

Garland Details Justice Dept. Plan to Protect Voting Rights

Attorney General Merrick B. Garland on Friday tabled a detailed plan to protect voting rights, announcing that the Department of Justice would redouble its enforcement staff on the matter, review and act on new laws aimed at restricting voter access and take action take action if it detects a violation of federal law.

Mr. Garland announced his plan as Republican-led state lawmakers push for new restrictive electoral laws and amid dwindling opportunities for comprehensive state voter protection laws introduced by the Democrats.

“To meet the challenge of the current moment, we must devote the Justice Department’s resources to a critical part of its original mission: enforcing federal laws protecting the right to vote for all eligible voters,” Garland said in an address to the department.

The Justice Department will also review current laws and practices to see if they discriminate against non-white voters, he said. It was not clear how many people were working to enforce voting rights and what the total would be after the department added staff.

At least 22 new laws making voting harder have been passed in more than a dozen states, according to the Brennan Center for Justice, a progressive public policy institute that is part of the New York University School of Law.

Mr Garland also said the department oversees the use of unorthodox by-election checks that could undermine confidence in the country’s ability to hold free and fair elections, adding that some jurisdictions have used disinformation to justify such checks.

“Much of the reasoning given in support of these by-election reviews and electoral restrictions was based on allegations of material fraud in the 2020 elections that have been refuted by law enforcement and intelligence agencies, both this and the previous government, as well as any court – federal and state – which it took into account, ”Garland said.

The ministry’s civil rights division has sent a letter expressing concerns that any of these reviews may have violated the civil rights law, Garland said, in part because it could violate a provision of the law that prohibits voter intimidation . He didn’t state which state, but in Arizona, a week-long exam is widely viewed as a partisan exercise to cultivate complaints about Donald J. Trump’s electoral defeat.

The Department of Justice will publish guidelines explaining the civil and criminal law provisions that apply to by-election reviews, guidelines on early voting and voting by post, and will work with other agencies to combat disinformation.

Democrats have sued over some new electoral laws, but this lawsuit could take years to resolve and may have little power to prevent those laws from affecting the upcoming elections.

Two major federal election laws – the For the People Act and the John Lewis Voting Rights Act – are also the subject of heated debates in Congress.

Earlier this week, West Virginia Democrat Senator Joe Manchin III said he would speak out against the For the People Act, which dashed hopes among progressives that the sweeping anti-voter suppression bill would become law.

Mr. Garland has said protecting the right to vote is one of his top priorities as the attorney general, and his top lieutenants include high profile proxy attorneys like Vanita Gupta, the No. 3 ministry, and Kristen Clarke, the civil rights director.

Ms. Clarke’s long career as a vocal protection attorney – including with the NAACP Legal Defense and Educational Fund, the New York Attorney General, and the Lawyers’ Committee for Civil Rights Under Law – will make her a key player in the Justice Department’s work to improve access to To receive voting.

That work is made more difficult, however, by a 2013 Supreme Court ruling that struck down portions of the electoral law that forced states with a legacy of racial discrimination to obtain the approval of the Department of Justice before they could change their electoral laws.

Categories
Politics

Bipartisan Group of Senators Say They Reached Settlement on Infrastructure Plan

Bipartisan Group of Senators Say They Reached Agreement on Infrastructure Plan

But the bipartisan group of senators are part of a broader coalition of moderates who have quietly met since Mr. Biden took office, in an effort to explore avenues of compromise on a number of issues. Moderate Democrats in particular have been resistant to immediately bypassing the need for Republican votes on an infrastructure package, long seen as a particularly ripe area for a bipartisan agreement.

The five Republicans are Senators Rob Portman of Ohio, Mitt Romney of Utah, Lisa Murkowski of Alaska, Susan Collins of Maine and Bill Cassidy of Louisiana. The Democrats are key moderates: Senators Kyrsten Sinema of Arizona, Joe Manchin III of West Virginia, Mark Warner of Virginia, Jeanne Shaheen of New Hampshire and Jon Tester of Montana.

“I think it’s important that there is this initiative, that again is a bipartisan initiative,” Ms. Murkowski said before the announcement. “What is happening now is as Republicans and Democrats, we are going out to folks within our respective conferences, talking about the contours of what we put together to see what that level of support might be.”

With razor-thin margins in both chambers, Democratic leaders have begun to quietly work on the legislation needed to use the fast-track budget reconciliation process, which would allow them to move a sweeping infrastructure package with a simple majority. But the maneuver would require near unanimity from the caucus and promises to be challenging, given the strict budgetary rules that govern the process.

“We either need to do it in a bipartisan fashion that gets 60 votes, which shows no sign of occurring given the substance of the ongoing bipartisan negotiations, or we need to be prepared to use the reconciliation process,” said Senator Sheldon Whitehouse, Democrat of Rhode Island and one of the most vocal proponents for the preservation of the climate provisions. “It’s got to happen.”

Senator Chuck Schumer of New York, the Democratic leader, refused to comment on the details from the bipartisan group as he left the Capitol on Thursday, telling reporters, “We continue to proceed on two tracks — a bipartisan track and a reconciliation track — and both are moving forward.”

Categories
Politics

Offshore Wind Farms Present What Biden’s Local weather Plan Is Up Towards

Offshore Wind Farms Show What Biden’s Climate Plan Is Up Against

A constellation of 5,400 offshore wind turbines covers a growing part of Europe’s energy needs. The United States has exactly seven.

With more than 14,000 miles of coastline, the country offers plenty of places to tear down turbines. But legal, environmental, and economic obstacles and even vanity stood in the way.

President Biden wants to catch up quickly – in fact, his goals to reduce greenhouse gas emissions depend on it. Still, there are many problems, including a shortage of boats big enough to take the huge equipment out to sea, fishermen worried for livelihoods, and wealthy people feared that the turbines would take the unspoiled view of theirs Clouding villas by the water. There is even a centuries-old, politically explosive federal law known as the Jones Act that prevents wind farm developers from using American ports to launch foreign construction ships.

Offshore turbines are useful because the winds at sea are stronger and more steady than on land. The turbines can be placed so far that they are not visible from land, but still close enough to cities and suburbs that they do not require hundreds of kilometers of expensive transmission lines.

The Biden administration wants up to 2,000 turbines in the water in the next eight and a half years. Officials recently approved a project near Martha’s Vineyard that languished during the Trump administration and announced support for large wind farms off the California coast in May. The $ 2 trillion infrastructure plan proposed by Mr Biden in March would also increase incentives for renewables.

The cost of offshore wind turbines has fallen by around 80 percent over the past two decades to as low as $ 50 per megawatt hour. Although they are more expensive per unit of energy than onshore solar and wind parks, offshore turbines are often economically viable due to their lower transmission costs.

“Solar in the east is a little trickier than in the desert west,” said Robert M. Blue, chairman and CEO of Dominion Energy, a major utility working on a wind farm with nearly 200 turbines off the coast of Virginia. “We have set ourselves a net zero target for our company by 2050. This project is essential to achieve these goals. “

The slow pace of offshore wind development underscores the trade-offs between urgently tackling climate change and Mr Biden’s other goals of creating well-paying jobs and protecting local habitats. The United States could push through more projects if it were willing, for example, to remove the Jones Act’s protection for domestic shipbuilding, but that would undermine the president’s promises of employment.

These difficult questions cannot be solved simply by federal spending. As a result, it could be difficult or impossible for Mr Biden to eliminate greenhouse gas emissions from the electricity sector by 2035 and achieve net zero emissions across the economy by 2050 as he would like.

“I think the clear fact that other places have jumped on us is important,” said Amanda Lefton, director of the Bureau of Ocean Energy Management, the agency that rents federal waters to wind developers. “We won’t be able to build offshore wind power if we don’t have the right investments.”

Europe’s lead means it has built a thriving complex of turbine construction, shipbuilding and skilled labor. Therefore, the USA could be dependent on European components, suppliers and ships for years.

Installing huge offshore wind turbines – General Electric’s largest one is eight feet – is a difficult job. Ships with cranes that can lift more than a thousand tons transport large components out to sea. At their destination, legs are lowered into the water to raise the ships and make them stationary while they work. Few ships can handle the largest components, and that’s a big problem for the United States.

Lloyd Eley, a project manager, helped build nuclear submarines early in his career and has been with Dominion Energy for the past eight years. None of this prepared him properly to oversee the construction of two wind turbines off the Virginia coast.

Mr. Eley’s biggest problem was the Jones Act, which requires that ships sailing from a US port to any location within the country, including its waters, be manufactured and registered in the United States and owned by Americans and need to be occupied.

The largest ships built in the U.S. designed for offshore construction are roughly 185 feet long and can lift around 500 tons, according to a Government Accountability Office report released in December. This is far too small for the huge components that Mr. Eley’s team worked with.

So Dominion rented three European ships and operated them in the port of Halifax, Nova Scotia. One of them, the Vole au Vent from Luxembourg, is 140 meters long and can lift 1,654 tons.

Mr. Eley’s crew waited for weeks for the European ships to travel more than 800 miles each direction to the port. The installations took a year. In Europe it would be ready in a few weeks. “That was definitely a challenge,” he said.

The US shipping industry has not invested in the ships needed to transport large wind turbines because there have been so few projects here. The first five offshore turbines were installed near Block Island in 2016, with RI Dominion’s two turbines installed last year.

Had it not been for the Jones Act – it was passed after World War I to ensure the country had ships and crews that could be mobilized during war and emergencies – Dominion could have run European ships out of Virginia’s ports. The law is sacrosanct in Congress, and unions and other supporters argue that repealing it would cut thousands of jobs in shipyards and boats, and make the United States dependent on foreign companies.

Demand for large ships could increase significantly over the next decade as the US, Europe and China pursue ambitious offshore wind targets. According to Dominion, only eight ships worldwide can transport the largest turbine parts.

Dominion is spending $ 500 million on a ship built in Brownsville, Texas that can haul large wind turbines. Named after a sea monster from Greek mythology, Charybdis, the ship will be 144 meters long and lift 2,200 tons. It will be ready by the end of 2023. The company said the ship, which it will also rent to other developers, will have around 200 more turbines installed at low cost by 2026. Dominion spent $ 300 million on the first two but is hoping the others will cost $ 40 million apiece.

For the past 24 years, Tanger Island resident Tommy Eskridge has made a living catching clams and crabs off the coast of Virginia.

Among other things, he works where Dominion wants to place its turbines. Federal regulators have adjusted the distance between turbines to one nautical mile to create wider lanes for fishermen and other boats, but Mr Eskridge, 54, fears the turbines could harm his catch.

The area has produced up to 7,000 pounds of mussels a day, although Mr Eskridge said a typical day produced about half that amount. A pound can make 2 to 3 dollars, he said.

Mr Eskridge said the company and regulators had not done enough to show that installing turbines would not harm his catch. “We just don’t know what it’s going to do.”

Annie Hawkins, executive director of the Responsible Offshore Development Alliance, which includes hundreds of fishing groups and companies, fears the government will not study the proposals and plan appropriately.

“What they do is say, ‘Take what we’ve really never done here, let’s move all in, the opponents are damned,'” said Ms. Hawkins. “From a fisheries point of view, we know that there will be massive displacement. You can’t just go fishing elsewhere. “

Fishing groups refer to recent problems in Europe to justify their concerns. For example, Orsted, the world’s largest offshore wind developer, has filed for an injunction to keep fishermen and their equipment out of an area of ​​the North Sea designed for new turbines while it is exploring the area.

Orsted said it tried to “work with fishermen” but asked for the contract because its job was made difficult by equipment that a fisherman had left in the area that he could not identify. “In order to conduct the survey work safely and only as a last resort, we had no choice but to secure the right to remove this device,” the company said in a statement.

When developers first applied for approval for Cape Wind, a project between Cape Cod, Martha’s Vineyard and Nantucket, in 2001, opposition was fierce. Opponents included Senator Edward M. Kennedy, the Massachusetts Democrat who died in 2009, and William I. Koch, an industrialist.

Nobody wanted the turbines to block the view of the coast from their resorts. They also argued that the project would block 16 historical sites, disrupt fishermen, and clog waterways used by humpback whales, pilot whales, and other whales.

After years of legal and political disputes, the developer of Cape Wind gave up in 2017. But long before that happened, Cape Wind’s problems terrified energy managers considering offshore wind.

Projects along the east coast are in similar struggles. Residents of the Hamptons, the affluent enclave, opposed two wind development areas and the federal government put the project on hold. On the New Jersey coast, some homeowners and businesses are opposed to offshore wind because they fear it could increase their electricity prices, disrupt whales and affect the area’s leech fisheries.

Energy managers want the Biden government to mediate such conflicts and expedite permit approval.

“It was artificial, incrementally slow because of some inefficiencies on the federal approval side,” said David Hardy, CEO of Orsted North America.

Renewable energy advocates said they were hopeful because the country added many wind turbines onshore – 66,000 in 41 states. They provided more than 8 percent of the country’s electricity last year.

Ms. Lefton, the federal water lease regulator, said future offshore projects would move faster as more people realized the dangers of climate change.

“We have a climate crisis ahead of us,” she said. “We have to switch to clean energy. I think that will be a great motivation. “

Categories
Politics

Biden responds to the Could jobs report: ‘Our plan is working’

Biden responds to the May jobs report: 'Our plan is working'

WASHINGTON — President Joe Biden responded to the May jobs report on Friday, saying the steady growth in jobs and the decline in unemployment is evidence his economic plan is working.

“None of this success is an accident,” said Biden, who spoke in Rehoboth Beach, Delaware. “It isn’t luck. It’s due in no small part to the cooperation of the American people,” who have worn masks and gotten vaccinated for Covid-19.

“And it’s due in no small part to the bold action we took with the American Rescue Plan,” said Biden, referring to the massive Covid relief bill Democrats passed in March.

“This is progress that’s pulling our economy out of the worst crisis in the last 100 years,” Biden said.

Nonfarm payrolls added a solid 559,000 jobs in May, the Labor Department reported. But the number fell short of the 671,000 jobs that economists surveyed by Dow Jones had anticipated.

The unemployment rate fell from 6.1% to 5.8%, which was better than the estimate of 5.9%. An alternative measure of unemployment that includes discouraged workers and those holding part-time jobs for economic reasons also edged lower, to 10.2%.

“Covid cases are down. Covid deaths are down. Unemployment filings are down. Hunger is down, and vaccinations are up,” said Biden. “Jobs are up. Wages are up. Manufacturing is up. Growth is up. People gaining health-care coverage is up. Small business confidence is up. America is finally on the move again.”

Despite the gains, the U.S. is still about 7.4 million jobs shy of where it was pre-pandemic.

Even though they’re called “May jobs numbers,” the actual figure is calculated during the second week of the month, based on that week’s data. This is especially relevant for understanding May’s numbers in the context of the pandemic recovery.

As Biden noted, in the three weeks since the May jobs figures were calculated, more than 21 million working-age adults have been fully vaccinated and are now more likely to return to jobs, spend money on leisure and consumer goods and plan summer travel.

Another milestone not fully captured by the May jobs numbers is the impact of the CDC’s announcement on May 13 that fully vaccinated adults no longer need to wear masks outdoors in crowds or in most indoor settings.

The announcement had a domino effect on state-level mask mandates, helping to draw Americans back to office buildings, health-care providers and other activities they had avoided during the past year.

As Biden prepares to meet with G-7 member nations next week in England, he noted that “no other major economy in the world is growing as fast as ours. No other major economy is gaining jobs as quickly as ours.”

U.S. President Joe Biden delivers remarks on the May jobs report after U.S. employers boosted hiring amid the easing coronavirus disease (COVID-19) pandemic, at the Rehoboth Beach Convention Center in Rehoboth Beach, Delaware, U.S., June 4, 2021.

Kevin Lemarque | Reuters

One notable part of the report was an acceleration in wage gains, which rose 2% year over year from being up just 0.4% in April.

Economists had largely been dismissive of average hourly earnings numbers for much of the post-pandemic period, noting that the bulk of hires came from higher-earning positions, which made wages look like they were rising for everyone but left many low-wage workers out of gains.

With the return of more hospitality workers in May, the numbers are more relevant now and indicative of rising wage pressures across the economy, not just for higher earners.

Some economists fear that increasing wages could lead to further inflation, and they blame enhanced unemployment benefits for causing a “labor shortage” that forced huge companies such as Bank of America and McDonald’s to raise their hourly minimum wage.

Biden rejects this view of the economy. “When it comes to the economy we’re building, rising wages aren’t a bug, they’re a feature,” he said during a speech in Ohio last week.

During the same speech, Biden renewed his call for Congress to raise the federal minimum wage to $15 an hour.

The May jobs report is the first full measure of the labor market since the shock of April’s numbers, which fell far short of economists’ initial expectations.

— CNBC’s Jeff Cox contributed to this report.

Categories
Politics

The Navy’s pricey plan to improve growing older submarines

The Navy’s costly plan to upgrade aging submarines

Submarines are quiet, deadly, and expensive. Boats like the Virginia-class, a U.S. attack submarine, can cost $ 3.4 billion and take seven years to build. The Navy has ambitious goals for the future of the submarine fleet, but some issues may prevent it.

“The Navy is undergoing a 20-year plan that will cost $ 21 billion to improve its infrastructure,” said Aidan Quigley, an Inside Defense reporter who oversees the US Navy and Marines. “Right now, the infrastructure of the Navy yards is not great. They have been underfunded for the past few decades.”

The Navy currently has 68 submarines in service. And it plans to begin building two to possibly three Virginia-class attack submarines and about one Columbia-class submarine per year by about 2035 by about 2035. But, according to the Congressional Budget Office, a lack of shipyard infrastructure could delay these plans.

“The Navy is focused on improving production capacity through initiatives to increase on-time delivery and operational availability while reducing maintenance costs,” said Navy Lt. Rob Reinheimer in a statement to CNBC.

And in response to the Government Accountability Office’s January report on the Columbia Class Sourcing report, Reinheimer said: “Over the past three years, with strong support from Congress, the Navy has invested over $ 573 million in strengthening existing sources and developing new suppliers. “

The recently released defense budget proposal for the 2022 fiscal year could be less than what the Navy needs to keep up with China and Russia, according to some observers.

Check out the video above to find out how the Navy will upgrade its multi-billion dollar submarine fleet.

Categories
Politics

White Home Outlines Plan to Ship 25 Million Vaccine Photographs Overseas

White House Outlines Plan to Send 25 Million Vaccine Shots Abroad

Mr. Biden came into office vowing to restore America’s position as a leader in global health, and he has been under increasing pressure from activists, as well as some business leaders, to do more to address the global vaccine shortage. Earlier this year, he said he was reluctant to give away vaccine doses until the United States had enough for its own population, though he did promise in March to send a total of four million doses of AstraZeneca’s vaccine to Mexico and Canada.

Those doses, it turned out, were made at a Baltimore facility owned by Emergent BioSolutions, where production has since been put on hold after an incident of contamination.

Mr. Biden’s pledge to donate 80 million doses involves vaccines made by four manufacturers. Besides AstraZeneca, they are Pfizer-BioNTech, Moderna and Johnson & Johnson, the last three of which have received U.S. emergency authorization for their vaccines. The president announced last month that his administration would send 20 million doses of the authorized vaccines overseas in June — the first time he had pledged to give away doses that could be used in the United States. Officials did not say on Thursday why that number had been increased by five million.

Last month, Mr. Biden announced he would send one million doses of Johnson & Johnson’s vaccine to South Korea; a plane carrying those doses was expected to take off Thursday evening, Mr. Zients said.

Mr. Biden has also pledged to donate up to 60 million doses of AstraZeneca’s vaccine, but those doses, also made at the Emergent plant, are not authorized for domestic use and cannot be released until regulators deem them safe. In March, his administration committed to providing financial support to help Biological E, a major vaccine manufacturer in India, produce at least one billion doses of coronavirus vaccines by the end of 2022.

The president has described the vaccine donations as part of an “entirely new effort” to increase vaccine supplies and vastly expand manufacturing capacity, most of it in the United States. To broaden supply further, Mr. Biden recently announced he would support waiving intellectual property protections for coronavirus vaccines. He also put Mr. Zients in charge of developing a global vaccine strategy.

But activists say simply donating excess doses and supporting the waiver is not enough. They argue that Mr. Biden must create the conditions for pharmaceutical companies to transfer their intellectual property to vaccine makers overseas, so that other countries can stand up their own vaccine manufacturing operations.

Mr. Zients also said the United States was lifting the Defense Production Act’s “priority rating” for three vaccine makers — AstraZeneca, Novavax and Sanofi. None of those vaccines are authorized for U.S. use, and the shift means that U.S.-based companies that supply the vaccine makers will be able to “make their own decisions on which orders to fulfill first,” Mr. Zients said.

Abdi Latif Dahir contributed reporting.

Categories
Health

White Home lays out plan to share tens of millions of doses with poorer nations

White House lays out plan to share millions of doses with poorer nations

The Oxford-AstraZeneca covid vaccine.

Karwai Tang | Getty Images

The U.S. government will share the majority of its donated Covid-19 vaccine doses through COVAX, the World Health Organization-led program that provides shots to countries in need, the White House announced Thursday.

The Biden administration has committed to donating at least 20 million doses of Covid vaccines produced by Pfizer-BioNTech, Moderna and Johnson & Johnson as well as 60 million doses of AstraZeneca’s vaccines, which has not yet been authorized for use in the United States.

The U.S. plans to allocate 75% of the vaccines through the COVAX global vaccine sharing program, the White House in an email. Of the first 25 million doses, about 6 million will go to countries in South and Central America, 7 million to Asia and 5 million to Africa, the White House said. About 6 million will go to neighboring countries and U.S. allies.

At least 25% of shots will be kept for immediate U.S. needs and for “countries in need, those experiencing surges, immediate neighbors, and other countries that have requested immediate U.S. assistance,” according to the plan.

The administration is donating the shots to “save lives” and thwart the emergence of new variants,  national security advisor Jake Sullivan said Thursday.

“The United States is not doing this as some kind of back-and-forth deal where we are getting something in return,” Sullivan said at a White House briefing. “We are giving these for a single purpose. It is the purpose of ending this pandemic.”

The announcement comes as world leaders urge wealthy nations such as the U.S. to donate Covid shots to other countries. While the U.S. has returned to some form of normality as more Americans get vaccinated and new cases fall, other countries, like India, have experienced huge outbreaks.

Just last week, the WHO said Africa needed at least 20 million doses of AstraZeneca’s vaccine within six weeks to get the second round of shots to people who have received the first.

The head of the Coalition for Epidemic Preparedness Innovations told Reuters that leaders of the Group of 7 rich nations must donate shots urgently to avoid an outcome akin to the 1918 flu pandemic, which killed 50 million people.

“It’s a moral imperative if we want to avoid situations like Peru, if we want to avoid impacts that could rival those of the 1918 flu, we must send vaccine to countries to protect their health-care workers and protect the vulnerable populations now,” Richard Hatchett, chief executive of CEPI which co-runs the COVAX vaccine sharing facility, told Reuters.

In addition to donating the doses, the White House also announced it is lifting restrictions as part of the Defense Production Act that gave the U.S. priority for vaccines developed by AstraZeneca, Sanofi and Novavax.

Categories
Politics

AT&T employed ally of Commerce Secretary Raimondo to foyer Biden infrastructure plan

AT&T hired ally of Commerce Secretary Raimondo to lobby Biden infrastructure plan

John Stankey, CEO of AT&T

Mike Segar | Reuters

Telecom giant AT&T hired an ally of Commerce Secretary Gina Raimondo to lobby officials over President Joe Biden’s infrastructure plan.

A lobbying registration report shows that AT&T hired Jon Duffy, the president of Rhode Island-based marketing firm Duffy & Shanley, in April. The document doesn’t say whether he will lobby congressional lawmakers or administration officials.

Duffy was a co-chair of Raimondo’s transition team after she was first elected in 2014 to be governor of Rhode Island. Records show that Duffy had never registered to lobby until his recent agreement with AT&T.

The lobbying report says that AT&T hired Duffy to focus on “issues related to broadband and The American Jobs Plan.”

Biden’s $2 trillion infrastructure proposal includes a $100 billion investment in expanding broadband access. The Senate Republicans’ most recent counteroffer included $65 billion for broadband.

The infrastructure lobbying comes during a pivotal time for AT&T. The company announced a $43 billion deal this month to merge its WarnerMedia division with Discovery.

AT&T so far in 2021 has spent just over $2.6 million on lobbying expenditures, according to the nonpartisan Center for Responsive Politics. AT&T lobbyists have engaged with the Commerce Department, the Executive Office of the President and the Vice President’s Office, among other agencies.

In response to questions about the Duffy hire, AT&T told CNBC on Friday that it plans to focus lobbying efforts in part on working toward “accessible, affordable and sustainable broadband connectivity.”

“During the pandemic, U.S. networks performed much better than other countries,” a company spokesman said. “The country’s broadband networks rose to the challenge due to policies that promoted private sector investment in multiple technologies and networks. Americans are paying less and getting more.”  

Duffy’s public relations company already lists AT&T as a client on its website. Other corporate clients listed include Intel, Dunkin’ Donuts, Hallmark and Staples. Duffy did not respond to a request for comment.

AT&T announced in April a $2 billion commitment to help make broadband more affordable.

Raimondo has been a fierce advocate for investments into expanding broadband access.

“We need transformational investments in broadband to ensure that all Americans finally have access to affordable, reliable, high-speed Internet service. During the pandemic we have seen that high-speed broadband service is not a luxury, but a necessity for jobs, education, and health care,” Raimondo said at an April hearing in front of the Senate Committee on Appropriations.

The Commerce Department’s National Telecommunications and Information Administration announced earlier this month a $288 million grant program for wide-scale broadband infrastructure.

Categories
Politics

Biden infrastructure plan: Senate Republicans make counteroffer

Biden infrastructure plan: Senate Republicans make counteroffer

Senate Republicans unveiled their $928 billion infrastructure counteroffer to President Joe Biden on Thursday, as the sides see whether they can bridge an ideological gulf to strike a bipartisan deal.

The plan includes:

  • $506 billion for roads, bridges and major infrastructure projects, including $4 billion for electric vehicles
  • $98 billion for public transit
  • $72 billion for water systems
  • $65 billion for broadband
  • $56 billion for airports
  • $46 billion for passenger and freight rail systems
  • $22 billion for ports and waterways
  • $22 billion for water storage
  • $21 billion for safety efforts
  • $20 billion for infrastructure financing

Biden’s latest offer to Republicans came in at $1.7 trillion — $600 billion less than his original plan. He has urged the GOP to put at least $1 trillion into an infrastructure package.

The White House did not immediately respond to a request to comment on the senators’ offer.

Republicans and the White House have moved closer to agreement on an infrastructure plan but still need to resolve fundamental issues about the scope of a package and how to pay for it, a GOP senator leading the effort said Thursday. Sen. Shelley Moore Capito said the sides are “inching closer” in negotiations ahead of Memorial Day, the date by which the White House wanted to see progress in bipartisan talks.

“We’re still talking. I’m optimistic, we still have a big gap,” Capito told CNBC’s “Squawk Box.” “I think where we’re really falling short is we can’t seem to get the White House to agree on a definition or a scope of infrastructure that matches where we think it is, and that’s physical, core infrastructure.”

“The White House is still bringing their human infrastructure into this package and that’s just a nonstarter for us,” she continued, referencing Biden’s plans to put money into programs including care for elderly and disabled Americans.

U.S. Sen. Shelley Moore Capito (R-W.Va.) asks questions during a Senate Appropriations Subcommittee hearing to examine the FY 2022 budget request for the Centers for Disease Control and Prevention in the Dirksen Senate Office Building in Washington, May 19, 2021.

Greg Nash | Pool | Reuters

It is unclear if the two parties can overcome broad ideological differences over what constitutes infrastructure, and how to pay for improvements to it, to strike a bipartisan deal. If negotiations do not show promise, Democrats will have to decide whether to try to pass an infrastructure bill on their own using special budget rules.

The process would bring its own headaches, as Senate Democrats would have to both keep all 50 members of their caucus on board and comply with strict rules about what can go into a budget reconciliation bill.

Republicans have said they do not want to raise taxes to cover the costs of improving transportation, broadband and water systems. Biden has called to hike the corporate tax rate from 21% — the level set by the GOP after it cut taxes in 2017 — to at least 25%.

“We can do this without touching … those tax cuts,” Capito told CNBC.

CNBC Politics

Read more of CNBC’s politics coverage:

She mentioned that lawmakers could redirect unused coronavirus relief funds to state and local governments to infrastructure, or implement user fees on transportation like electric vehicles. Those Republican solutions could put Biden in a bind.

The president has promised not to raise taxes on anyone who makes less than $400,000 per year. User fees or an increase to the gas tax would put an extra burden on many Americans whose incomes falls under the threshold.

Capito said she sees the potential for bipartisan agreement on transportation spending. She noted that the Senate’s Environment and Public Works Committee — where she sits as ranking member — advanced a roughly $300 billion surface transportation bill that she thinks could guide a broader infrastructure deal.

In trimming his original $2.3 trillion plan, Biden cut out funding for research and development and supply chain enhancements. He also reduced proposed spending on broadband, roads and bridges.

Biden did not cut down the proposed $400 billion for home-based health care. Republicans have criticized that spending as part of an infrastructure package.

This story is developing. Please check back for updates.

Subscribe to CNBC on YouTube.