On the Money — Congress one vote away from averting a shutdown
Lawmakers eager to get back on the campaign trail are close to finishing off a bill to avoid a shutdown. We’ll also look at a notable clawback in President Biden’s student loan forgiveness plan and Democrats scrapping their plans to vote on a stock trading ban.
But first, find out why a romance cover model pleaded guilty to assaulting police on Jan. 6.
Welcome to On The Money, your nightly guide to everything affecting your bills, bank account and bottom line. For The Hill, we’re Sylvan Lane, Aris Folley and Karl Evers-Hillstrom. Someone forward you this newsletter? Subscribe here.
Senate passes short-term funding bill
The Senate on Thursday approved a short-term government funding bill, less than two days ahead of a looming shutdown deadline on Friday night.
Senators voted 72-25 to advance the bill, sending the must-pass legislation to the House, where it is expected to pass swiftly before heading to President Biden’s desk for signature.
The bill, which is a continuing resolution, will temporarily allow the government to remain funded at the current spending levels through mid-December, giving negotiators and leadership more time to work out a larger agreement over how to fund the government for fiscal 2023, which begins on Saturday.
The legislation also includes more than $12 billion in security and financial assistance for Ukraine to defend itself from Russia’s ongoing invasion, as well as funding for disaster relief, following a White House request for emergency funding in both areas weeks back.
However, the package excludes supplemental funding for the nation’s coronavirus and monkeypox response, despite a request by the White House for billions of dollars, over staunch GOP opposition.
Aris has the latest here.
MAJOR CHANGE
Biden’s student borrower forgiveness program updated to exclude private loans
President Biden’s student loan forgiveness plan was abruptly updated on Thursday to exclude borrowers with privately held federal student loans, according to Education Department guidance.
As of Thursday, borrowers with federal student loans not held by the Education Department are no longer eligible to obtain one-time debt relief by consolidating those loans into direct loans, the guidance said.
The change will affect millions of Americans who have private loans and were expecting relief.
It comes as the rule faces legal challenges that could upend all student debt relief.
Alex Gangitano has more here.
STOCK BAN DELAY
Democrats scrap plan to vote on stock trading ban before elections
House Democrats have scrapped a tentative plan to move this month on legislation barring lawmakers from trading stocks — a vote sought by some Democrats heading into the midterm elections.
House Majority Leader Steny Hoyer (D-Md.) said Thursday that there was not enough time for lawmakers to study the details of the proposal, which had been introduced just two days earlier, before the House leaves Washington Friday for the long midterm recess.
That’s a reversal from recent comments: Speaker Nancy Pelosi (D-Calif.) had said that the House would likely vote on the bill this month.
The decision is certain to anger those Democrats who were pressing to vote on a reform proposal — one that’s popular among voters — before November’s elections.
Mike Lillis has the details here.
BLAME GAME
Republicans pounce on ailing markets to criticize Biden
President Biden’s economic woes have largely been tied to inflation, with his lowest approval ratings coinciding with surging gas prices over the summer.
While Biden has so far been able to dodge blame for the recent stock market declines in the wake of interest rate hikes by the Federal Reserve, Republicans are increasingly tying the faltering markets to the White House.
They are warning Americans not to vote for Democrats in November’s midterm election if they value their portfolios.
“The stock market has plummeted below where it was when President Biden took office, cutting the value of America’s retirement savings just as the cost of living has soared,” Minority Leader Mitch McConnell (R-Ky.) said on the Senate floor Wednesday.
Economic experts, however, are less eager in general to tie the stock market directly to the president.
“While the economy is always the No. 1 issue for voters, there’s little historical correlation between stock market returns and election returns,” said Bruce Mehlman, former assistant secretary at the Commerce Department under President George
W. Bush. “Inflation and the price of gas, unemployment and consumer confidence have proved more predictive.”
The Hill’s Alex Gangitano and Tobias Burns break it down here.
SEE ALSO: Dow down more than 450 points on recession fears
Good to Know
House Democrats on Thursday urged airlines to refrain from resuming stock buybacks until they overcome flight delays and cancellations stemming from a shortage of workers.
When lawmakers provided airlines with over $50 billion in relief to keep them afloat at the height of the coronavirus pandemic, they restricted them from repurchasing their own shares — a prohibition that expires Friday.
Here’s what else we have our eye on:
Senate Majority Leader Charles Schumer (D-N.Y.) announced Thursday that senators will not return to Washington, D.C., to vote until Monday, Nov. 14, clearing the decks for vulnerable colleagues to campaign for five solid weeks until Election Day.
Meta CEO Mark Zuckerberg announced at a weekly Q&A session that the company plans to decrease budgets across most teams and cut staff for the first time amid lingering economic concerns.
All new vehicles purchased in New York will need to be zero-emission models beginning in 2035, Gov. Kathy Hochul (D) announced.
That’s it for today. Thanks for reading and check out The Hill’s Finance page for the latest news and coverage. We’ll see you tomorrow.
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