Bret Manley (bret@elevatega.com) and David Marten (david@elevatega.com)
Senate: 53 Republicans, 45 Democrats, 2 Independents Caucusing with Democrats
House: 217 Republicans, 212 Democrats, 1 “Independent”, 5 Vacancies
Planes, Trains, and Automobiles: House T&I was originally planning on marking up a Highway reauthorization in April, but that (obviously) didn’t happen. We are told they’re still committed to marking a bill up and will hold a markup in May. We hear Labor is pushing on the Democratic side to not strike a deal since they’re confident of a Dem majority in 2027 and want to wait for Democrats to have the pen. Whether that will make a difference or not ignores the reality that the surface reauthorization hasn’t been passed “on time” in over 30 years, so we’re expecting an extension. Complicating matters is the White House’s push to add a rail title focused on the Railway Safety Act. There are lots of reasons this won’t happen, but a big one is Chairman Graves would like to avoid a lot of Labor votes a rail title would bring in committee that the GOP would likely lose (shoutout Don Young and the two-person crew fight). Getting away from terrestrial matters, the House and Senate still need to reconcile ROTOR/ALERT Act, the legislative responses to the Washington D.C. plane crash. One thing to watch: how much GA pilot and Chairman Sam Graves insists on sticking with a little-discussed provision in ALERT on using ADS-B to track aircraft which has strong opposition from airports.
Online Safety is Still Offline: Chairman Guthrie told us something interesting…legislation addressing the need to keep children safe online would serve as a vehicle for AI regulation, not the other way around. Additionally, kids’ privacy will remain separate from larger data privacy efforts. The most promising bill remains a rewrite of COPPA. House E&C pulled their Republican-only bill from its markup when the Senate UC’d its COPPA reform during the House markup (quite the powerplay). Guthrie told us this was because they like a lot of what’s in the Senate bill so this is a bright spot in the kids’ safety debate. All of that said, in this environment, getting any legislation across the floor of either chamber dealing with big tech is going to be a herculean effort by leadership in both chambers. We remain skeptical that any major reforms reaching the President’s desk this year.
AI(n’t) Gonna Happen, Right?: House Leadership told us that the House can’t pass AI legislation under a rule. Because rule votes are considered procedural, it’s always partisan (unless you’re the Freedom Caucus that is so conservative they sometimes vote with the Democrats, fulfilling the horseshoe theory of American politics). What that means then is AI legislation will not reach the floor unless 2/3rds of the House will support it. The two main issues holding up AI are federal pre-emption and private right of action, a/k/a the same holdups for pretty much any tech issue in Congress over the past decade. There are not 286 Members of the House and 60 Members of the Senate that agree on both of these issues independently, let alone together. House Republicans (ghost)wrote the WH AI framework, so they have the ball in the debate. Leader Schumer, for his part has made the Dem ask, which House Republicans say is excessive (hey…shooters shoot). We understand Leader Jefferies has not made asks for the House Dems. HOWEVER, Senate Commerce is rumored to be considering an AI markup in May on a package of smaller bills that could eventually wind up in a more comprehensive package.
Fed Up: Much like the House having to accept that the Senate always wins, DOJ and the WH finally came to the same realization and dropped the investigation of Federal Reserve Chairman Jay Powell’s handling of the Fed’s massive renovation project. This cleared the way for Senate Banking to advance Kevin Warsh’s nomination to be the next Chairman, with the full Senate set to take up his nomination when they’re back from recess. Despite lingering questions about Warsh’s commitment to the Fed’s independence from the Administration, we expect the President’s most consequential nominee of this term to date to easily get through the Senate.
Coast Guard: Always the bridesmaid, never the bride. The Coasties will finally get paid now that the DHS shutdown ended just shy of its 3rd month. Senate Commerce is preparing the next authorization with stakeholder language requests due May 15th. There will be a big push to treat the Coast Guard like the rest of the uniformed services during shutdowns (so…pay them). The big impediment to this is of course the Appropriations Committee, who won’t publicly oppose but privately hates any spending that doesn’t have to go through the Committee first.
OK…you surely remember way back at the beginning of the 119th Congress seven years (feels like) ago we ran through the workings of the Congressional Review Act (CRA) and how Congress had effectively until May/June 2025 until they ran out of runway to repeal Biden era rulemakings. Well…you may have asked yourself then how it is that President Trump last week signed a repeal of BLM Public Land Order No. 7917 which banned mining in Northern Minnesota way back in January of 2023. You didn’t notice that? Oh…well we promise it’s a big deal in Minnesota.
Doesn’t the CRA provide a 60 legislative day window to look back for rule makings? Yes…it does. BUT (yes there’s always a “but”), there are some loopholes. Big ones as it turns out, and it all rests on the fact that under the CRA, the 60-day clock doesn’t start running until the rulemaking is submitted to Congress. We’ll explain…
OK, Give Me a Quick Refresher on the CRA: Basically, the CRA imposes a set of requirements on Agency/Administration actions (similar, but different, to the Administrative Procedures Act). The CRA adopts the APA’s definition of “rule” and requires what is in effect a cooling off period before these rules go into effect so Congress can…um…review them and decide if they’d like to repeal it. The CRA process avoids the Senate 60 vote threshold and if an agency ruled is repealed in this way it permanently bars future rules that are substantially similar.
Right, I Remember, But What Does That Have To Do With Mining?: Well…the CRA on the Minnesota mining ban repealed a Public Land Order by the Bureau of Land Management…
And?: BLM public land orders aren’t considered rulemakings…
So?: So it was never “submitted to Congress”…
What Changed?: Rep. Pete Stauber successfully convinced the Department of the Interior to submit the order to Congress as a rule, which then triggered the CRA process. DOI has now effectively told Congress that all BLM Public Land Orders are considered rulemakings so it’s possible we’re going to see quite a few more CRAs on this topic in the coming months.
I Feel Like This Is Where You Tell Me There’s More: There is! In addition to agencies like DOI elevating previous actions that weren’t rulemakings and submitting them to Congress, GAO can issue legal opinions and reports on rules triggering the CRA.
How Does GAO Do This?: Two ways, by issuing a report saying an agency action is subject to the CRA, or issuing a legal opinion of the same effect. Here’s a report on a major rule, the IRS 45Z production credit. The 45Z credit was revised but the first reconciliation bill, so new rules related to the credit were promulgated to an already existing rule from 2022, so GAO concluded that this triggers the CRA. Here’s a legal opinion saying the BLM Grand Staircase RMP should be considered a rulemaking and thus triggers the CRA. Members can simply ask GAO for these and you can see what’s top of mind here.
But the GAO Isn’t Notifying Congress of the Rule So How Does That Work?: According to CRS, it is up to the Senator/Member to submit the GAO opinion for publication in the Congressional Record.
Simplify It For Me: An Agency can tell Congress we goofed, we should have submitted this action as a rule, which triggers the CRA. Or GAO can issue an official opinion/report that an Agency action is subject to the CRA, and a Member submits that for the record, triggering the CRA.
So This Effectively Makes the CRA Limitless: Well, not really. Any rulemaking that complied with the notification requirements of the APA, and hasn’t been subsequently modified via legislation, is safe…probably. The fall of Chevron in the Loper Bright decision could create openings to amend existing rules. But any agency action that didn’t follow the Congressional notification requirements when promulgated is at risk, and that is the majority of Agency actions.
Isn’t Anyone Suing to Stop This?: Funny that…the CRA explicitly prohibits judicial review of CRA actions.
What Is the Long Term Practical Effect of This?: Well…we should note the obvious that none of this is relevant if one party doesn’t have the trifecta and control the House/Senate/White House. George W. Bush was the last President who had a trifecta that lasted more than one Congress. What Administrations will likely do in the future is submit more and more things to Congress, even if it isn’t a rule under the APA to spend the 60 day clock, thus inoculating the action from a future Congress.
So the CRAs Will Continue Until Morale Improves?: It seems that way.
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