November 2020 Volume 2

WASHINGTON UPDATE

compete in a run-off election on January 5, 2021. If Republicans win one of those races, they will get the 51 seats needed to control the Senate. If Democrats win both, that brings the Senate to a 50-50 split, which means Democrats will control the Senate as soon-to-be Vice President Kamala Harris, as president of the Senate, will cast the 51st vote. So for the next two months, all eyes will be on Georgia as we await one last election of the 2020 cycle. House of Representatives As of this writing, the Democrats will retain control of the House of Representatives, but with a smaller majority. Republicans look like they will gain 10 seats taking the balance of the House from 235 200 to 225-210. So, What's Next? The “Lame Duck” Session of Congress Congress has come back into session following the election and will need to conclude its work to keep the government funded into next year and do so before current appropriations expire onDecember 11, 2020. Senate and House leaders have both expressed a possibility that they could complete action on the FY 2021 appropriations bills, but it remains more likely with Biden’s win that there will be a continuing resolution to continue government spending at current levels through early 2021. Congress will also look to pass the National Defense Authorization Act before this current Even though Republicans are likely to control the Senate after the January 5th, 2021, Georgia run-offs, a BidenWhite House will have a Democratic House to work with on a series of key proposals. The fate of those bills in the Senate, however, will be completely up in the air. There will also be a number of executive actions President Biden will take. Here are a few likely examples of the legislative proposals and executive orders: Federal COVIDResponse (legislation) Expect a robust Federal response to the COVID crisis to be announced during the Presidential transition. We also expect that Biden will propose legislation that would be debated and passed in the House shortly after the January 20th inauguration. This package would likely reflect much of what the House passed in its $3.4 trillion HEROES Act from May 2020, and also including other sector-specific priorities (restaurant and hospitality funding and airlines support). The Senate GOP majority will of course play a big part in determining the scope and size of any final legislation with a much smaller package than Democrats passed in the House and with the addition of some important Republican priorities such as liability protection. Rejoin the Paris Climate Agreement (executive order) In August of 2017, President Trump stated his intention to withdraw the United States from the Paris Climate Agreement. On November 4, 2020, the Trump administration formally withdrew from the Paris Climate accord as expected and President Biden will reverse congressional session ends on January 2, 2021. The First 100 Days of the Biden Administration

that in some way very soon after being sworn in (possibly on inauguration day). Policing Reform/Voting Rights (legislation) The House passed the George Floyd Justice in Policing Act (H.R. 7120) earlier this summer. This House bill will serve as a foundation for a new policing bill in 2021. In addition, the recently renamed John Lewis Voting Rights Act (H.R. 4) would be another candidate for early action in 2021. The House passed H.R. 4 last December. The legislation would restore a key part of the historic 1965 Voting Rights Act that the Supreme Court struck down in 2013. Senate Republicans may want to engage with a Biden White House and House Democrats on policing reform and secure some agreed upon compromise building on the work of Senator Tim Scott (R-SC) and expect Vice President Kamala Harris to take a leadership role in this effort. Executive Order Package to Roll Back Trump Administration Deregulatory Efforts President Trump signed a record 24 executive orders during his first 100 days in office. It is likely that President Biden will take similar action to immediately roll back much of the previous administration’s policies. These will likely address large and diverse areas of concern for Democrats. Biden has already stated that he will roll back hundreds of rules and regulations established by the Trump Administration – many addressing public health, the environment and ethics. Here is just a sample of some of the executive actions Biden has mentioned during the campaign that we can expect to be dealt with in late January and February: • Reinstate an Obama era executive order that penalized federal contractors that pursued anti-union campaigns and did not pay their workers at least a $15 per hour. • Withdraw President Trump’s travel ban executive order. • Rejoin the World Health Organization. • Repealing liability protection for gun manufacturers. • Requiring aggressive methane pollution limits for oil and gas operations. • Reducing greenhouse gas emissions from transportation by preserving and implementing the Clean Air Act and developing rigorous new fuel economy standards. • Protecting biodiversity, slowing extinction rates, and helping leverage natural climate solutions by conserving 30 percent of America’s lands and waters by 2030. • Protecting the Arctic National Wildlife Refuge and other areas impacted by President Trump’s policies on federal lands and waters. Beyond the First 100 Days – The Biden Agenda and Forging Industry Priorities Tax With a likely Republican Senate, it will be difficult for Biden tomake wholesale changes to the tax code. But count on him to propose tax reforms as a way to pay for other policy priorities with high price

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FIA MAGAZINE | NOVEMBER 2020