Our founding members Jeffrey Forbes and Dan Tate Jr. sent this note to clients earlier today regarding the latest on DC’s response to COVID19.

Friends,

With the number of COVID-19 cases continuing to surge, national, state and local policymakers are working to address and mitigate the effects of this public health crisis. Forbes Tate Partners (FTP) has put together a short summary of what is happening in Congress, what measures are being taken to stabilize the economy, and a brief preview of future plans.

We will continue to send these updates out on a regular basis.

The Federal Reserve continues to look for ways to provide support to the U.S. economy via monetary stimulus, having already dropped rates to zero, loosened balance sheet requirements for banks, added liquidity to the overnight repo market, and pulled forward $700 billion in asset purchases in Treasuries ($500 billion) and mortgage-backed securities ($200 billion). Yesterday the Fed announced two financial-crisis-era programs to support commercial paper in an effort to unclog the short-term lending market. Even with those steps, the Fed and other leaders look to Congress to facilitate fiscal stimulus.

In an effort to provide a lifeline to businesses and families as a growing number of cities come to a virtual halt in an attempt to flatten the curve, Congress thus far has responded with a first tranche of $8.3 billion to fight COVID-19 directly. This tranche provides federal agencies money for vaccines, tests and potential treatments, and funding to help state and local governments respond to the threat. The second tranche now heads to the President’s desk for signature and guarantees free coronavirus testing, secures paid emergency leave, enhances Unemployment Insurance, strengthens food security initiatives, and increases federal Medicaid funding to states.

We expect a third tranche of stimulus (“Phase 3” or “Stimulus 3”) to support industries hit the hardest, including the travel and hospitality industry. Details are still being negotiated as both parties and the White House work to rapidly address the needs of the American public. At this time, Senate Minority Leader Chuck Schumer and other top Democrats recommend at least a $750 billion package, while President Trump and Senate Republicans have come back with a $1 trillion stimulus proposal, including $500 billion in direct payments to taxpayers, according to a recent Department of Treasury white paper. Any Phase 3 stimulus will include measures to support small to medium-sized businesses. The sheer size and complexity of Phase 3 is likely to require longer negotiations. However, driving the sense of urgency is that fear about the economy is nearly even across party: 86% of Democrats and 84% of Republicans are concerned about the impact on the economy.

At this point, everything is on the table. Members of Congress and the media are comparing this to 9/11 and the Great Recession of 2008, and both responses took months to come together and had many iterations. To that end, as news and updates are changing hourly, FTP will continue to monitor and flag key moments and opportunities for our clients. Additional stimulus measures will be moving over the next few weeks and your client leads will be working closely with you and your teams. While this is an unprecedented time, FTP will be here to work step by step with our clients, as we always have. 

Please do not hesitate to reach out with any additional questions and stay healthy and safe.

Jeff Forbes and Dan Tate Jr. 

While millions look towards the federal government to respond to the ongoing coronavirus outbreak, state legislatures throughout the country are confronting serious questions about keeping their citizens safe. As states consider emergency supplemental funds, enhanced public health measures, and even whether to officially encourage individuals to fist bump rather than shake hands (Alabama SJR 40), legislators must also get the normal business of the year completed in a shortened election year — all while protecting themselves from contracting COVID-19. 

In this unconventional environment, several states have taken extraordinary steps to end legislative sessions early. While four states did not have legislative sessions this year and eight adjourned on schedule (or with slight adjustments for unrelated reasons), below are some of those states taking measures to wrap up activity early over coronavirus concerns. This does not include the many other legislatures which have decided to close public facilities or events to the public to limit exposure.

• Colorado – The General Assembly fast-tracked a proposal to give state parties flexibility to delay assemblies and conventions, which legislators viewed as must-pass before a potential temporary shutdown. 
• Connecticut – Lawmakers ended activity early last week to make way for intensive, four-day cleaning. While legislative activity is set to resume this week, lawmakers are already discussing moving up consideration of the state budget in case the virus forces a permanent closure. The legislature also extended some committee deadlines and voted to allow legislators to vote by phone at the committee level.
• Delaware – The Delaware General Assembly postponed legislative sessions for this week, with the expectation that legislators will return March 24 after re-evaluating conditions at that time.
• Georgia – Initially scheduled to adjourn April 3, the Georgia General Assembly indefinitely suspended activity following the adoption of a budget, with 11 legislative days to be made up in the future.
• Illinois – Both chambers of the Illinois General Assembly canceled their sessions for a week, with plans to resume on March 24.
• Kentucky – The state canceled two days of scheduled meetings on Friday and Monday, with the expectation that legislative business will resume on Tuesday.
• Missouri – The Missouri Senate postponed legislative activity through this week, while the House is accelerating budget consideration to facilitate an extended leave.
• Vermont – The Vermont Legislature will adjourn for the entirety of this week with a plan to return on March 24, with the option to extend that date further if necessary.

The results of the Iowa caucuses and New Hampshire primary reveal that Democratic voters have clear ideals going into the 2020 general election, but no clear candidate has emerged thus far to personify those ideals. Caucus and primary-goers reported that health care was their top concern, followed by climate change and income inequality. Specifically on health care, a majority of voters supported a government health care plan over continuing private coverage. This progressive bent to the early state electorate might contradict the ultimate goal of over 60 percent of early state voters, however: defeating Donald Trump in November.

All in all, the Iowa caucuses and New Hampshire primary showed that there are myriad interests at stake when selecting the Democratic presidential candidate. Additionally, the crowded news cycle around the Iowa and New Hampshire votes, paired with late results out of Iowa, muddied the waters even further in terms of clear frontrunners. As Nevada, South Carolina, and Super Tuesday draw closer, when 38 percent of delegates will be awarded proportionally, small wins might very well keep many candidates in the race and continue this theme of noncommittal primaries.  

For full analysis, see FTP’s 2020 Democratic Primary Results: Iowa and New Hampshire here.

Read the full article by POLITICO Influence here.

PHRMA LOBBYIST HEADS FORBES TATE: Scott Olsen, a top lobbyist for the pharmaceutical industry, is heading to Forbes Tate Partners. Olsen is currently Pharmaceutical Research and Manufacturers of America‘s senior vice president of federal advocacy, but isn’t expected to lobby in his new role. He’ll be a partner at Forbes Tate, working in the venture capital and emerging biotech division and advising health care clients.

NEW BUSINESS: Former Rep. Jeff Miller (R-Fla.), who recently left McDermott Will & Emery for Mercury, has signed his first clients at his new firm. He’ll lobby for GovernmentCIO and Maxor National Pharmacy Services, according to disclosure filings. Miller, who left Congress in 2017, lobbied for both clients at his old firm. McDermott Will & Emery filed paperwork last month terminating its relationship with 10 lobbying clients that Miller represented — including GovernmentCIO, Maxor and Salesforce — that collectively brought in $370,000 in revenue in the fourth quarter.

Good afternoon, and welcome to PI. Tips: tmeyer@politico.com. Twitter: @theodoricmeyer.

HOW TO HOLD FUNDRAISERS WITHOUT RAISING MONEY: The New York Times’ Alexander Burns and Nick Corasaniti have new details about the events Mike Bloomberg is holding with Democratic donors in cities such as New York, Philadelphia, San Francisco and Los Angeles. “Resembling fund-raisers in every aspect but one, Mr. Bloomberg’s events are organized under the auspices of a division of the campaign known as the Committee for Mike, a unit that closely resembles the structure of a traditional fund-raising operation — except that it does not actually solicit donations.”

— “Unveiled last month, the Committee for Mike was described by the campaign as a network of influencers committed to Mr. Bloomberg’s candidacy. … Among the people managing the operation are former top fund-raisers for Senators Kamala Harris of California and Cory Booker of New Jersey.”

AN AWARD FOR IVANKA: The National Association of Manufacturers will give Ivanka Trump a new honor it’s created, the Alexander Hamilton Award. “Like no one in government has ever done, she has provided singular leadership and shown an unwavering commitment to modern manufacturing in America,” Jay Timmons, the trade group’s president and chief executive, said in a statement. (The clothes in Ivanka Trump’s own line were made in countries such as Bangladesh, China, India, Vietnam and Indonesia, according to The Washington Post. She shut down the line in 2018.)

— This isn’t the first award a trade group has bestowed upon Ivanka Trump since her father took office and she became one of his top aides. The Internet Association last year gave her its Internet Freedom Award, which had previously been awarded to lawmakers such as Senate Minority Leader Chuck Schumer; House Minority Leader Kevin McCarthy; former House Speaker Paul Ryan; Sens. Ron Wyden (D-Ore.), Mark Warner (D-Va.), Cory Gardner (R-Colo.), Maria Cantwell (D-Wash.) and John Thune (R-S.D.), Rep. Anna Eshoo (D-Calif.) and former Rep. Darrell Issa (R-Calif.) as well as Maureen Ohlhausen, the acting chairwoman of the Federal Trade Commission at the time.

YES, THERE’S A TRADE GROUP FOR THAT: The Academy of Model Aeronautics has started a new coalition to persuade lawmakers that the “industry has taken a hit from a growing number of rules that deter people from buying and flying model aircraft,” POLITICO’s Brianna Gurciullo reports. Tyler Dobbs, the trade group’s head of government affairs, said the Federal Aviation Administration has been focused on drones and needs to “‘remember that there’s a traditional, legacy-style model aircraft community that doesn’t necessarily fit in the same bucket as what the quadcopter or the drone community fits in.’ The coalition sent a letter Thursday to the leaders of congressional committees with jurisdiction over the FAA, saying that hobby shops have seen their sales decline in recent years as ‘regulations have steadily increased on model aviation hobbyists.’”

JOBS REPORT

— The Clyde Group has promoted Aubrey Quinn to partner. She was previously a managing director. The firm also hired Mary Rollins as senior vice president of talent and culture and Kristen Voorhees as a manager. Rollins was previously a senior vice president at Discovery Communications. Voorhees previously worked for the Leadership Conference on Civil and Human Rights.

— Rachel Goldberg is now head of U.S. government affairs at TransUnion. She was previously vice president of government affairs at Guardian Life.

NEW JOINT FUNDRAISERS

Michgan [sic] 2020 (Peters for Michigan, Elissa Slotkin for Congress, Haley Stevens for Congress)
Michigan 2020 (Peters for Michigan, Elissa Slotkin for Congress, Haley Stevens for Congress)

NEW PACS

Carolina Blue (Super PAC)
Dickinson Wright PLLC PAC (PAC)
Indivisible Chicago Alliance Political Action Committee (PAC)
Make My Day PAC (PAC)

NEW LOBBYING REGISTRATIONS

Cassidy & Associates, Inc.: Campion Advocacy Fund
GrayRobinson PA: City of St. Cloud FL
GrayRobinson PA: Kasasa Ltd.
Greater America LLC: GreenPoint Resources, Inc.
Holland & Knight LLP: MarineMax, Inc.
K&L Gates LLP: Axiom Space, Inc.
Kadesh & Associates, LLC: MATSYS, Inc.
Lewis-Burke Associates, LLC: Purdue University
Mercury Public Affairs, LLC: GovernmentCIO
Mercury Public Affairs, LLC: Maxor National Pharmacy Services, LLC
Ms. Laura Lawlor: NewLight Healthcare
O’Rourke and Associates, LLC: International Game Technology, and its subsidiaries
The Ingram Group LLC: The Hermitage Hotel
The Russell Group, Inc.: SAS Institute, Inc.

NEW LOBBYING TERMINATIONS

The Colling Group, LLC t/a Colling Swift & Hynes: White Pigeon Paper Company

Legislatures in 46 states are set to meet in regular sessions this year. While the time each will spend in session varies dramatically (and is usually shorter in odd-numbered years), every state returns to business facing pressing policy issues. Based on our tracking of priorities in statehouses and governors’ mansions nationwide, we believe major areas of debate are likely to include topics such as health care coverage and pricing, the legalization of cannabis, data privacy, the future of transportation, and the environment. 

Our state and local team is engaged across the country looking after client interests. For more information, please reach out to Steven Palmer (spalmer@forbes-tate.com), Peter O’Keefe (pokeefe@forbes-tate.com), or Paul Dioguardi (pdioguardi@forbes-tate.com). For a complete calendar of 2020 state legislative sessions, please see our document here.

Health Care

Medicaid expansion and the nature of state Medicaid and exchange programs will continue to be a priority issue, with several developments already taking place early into the year. After Governor Andy Beshear (D-KY) rescinded proposed Medicaid work requirements, the Supreme Court officially declared the Kentucky-related lawsuit over these requirements moot. Even so, states are likely to continue considering such requirements and courts are still expected to weigh in this year, as a similar lawsuit from Arkansas remains pending on the Supreme Court’s docket. Meanwhile, the debate over expanding Medicaid continues, with Kansas being the latest to release a bipartisan proposal to expand the program. Expansion could also be considered on ballot initiatives at the end of the year, including in Missouri and Oklahoma.

Health care costs, especially in relation to prescription drugs, will also be discussed at length. Under a new proposal from the Trump Administration, states would be permitted to allow the importation of brand-name medicines from Canada after they get their plans approved by the federal government. States seeking to avail themselves of this potential policy are expected to consider bills establishing — or directing the establishment of — such plans. Many states are also going to step in on issues being considered at the federal level, such as the use of an international drug pricing index or addressing surprise medical billing. Finally, response to the opioid crisis will continue to be a priority.

Cannabis

The continued regulatory debate on the legalization of cannabis products will also be a leading issue. As the year begins, 19 states are actively considering legalizing adult use, while eight states may establish medical use programs. Should these states move to legalize cannabis for either medicinal or recreational purposes, the U.S. population living in states and jurisdictions with legal cannabis will increase to 54 percent of the country’s population. States to watch this year include Arizona, Arkansas, Idaho, Missouri, Nebraska, and New Jersey. Hemp production will also be an issue as state governments are expected to work closely with the U.S. Department of Agriculture to establish and certify plans allowing farmers to produce industrial hemp.

Transportation

While Congress faces the expiration of its major surface transportation law, the Fixing America’s Surface Transportation (FAST) Act, states will be busy on infrastructure, highway funding, mass transit, and micromobility. On highway funding, states will continue their efforts to bring in new revenues to fix crumbling infrastructure. For example, Governor Gretchen Whitmer (D-MI) and the Michigan Legislature have backed increases in funding for fixing roads and highways in the state. Proposals are likely to include considerations of increases to the gas tax and imposing additional costs on the use of electric vehicles. States are also going to consider the issue of micromobility (electric scooters, bicycles, etc.). New York, for example, will likely follow up on vetoed legislation from last year which would have legalized electric bikes and scooters after Governor Andrew Cuomo (D-NY) indicated he remains open to compromise. Other states, such as Massachusetts, are also likely to consider legislation that would broaden the ability of electric scooters to be legally operated.

Technology

On the heels of the January 1 implementation of California’s major privacy law, the California Consumer Privacy Act, states are likely to continue considering their own privacy bills as Congress fails to act. In doing so, legislators will likely take into account lessons learned in California and Europe to craft proposals which address current and future issues as technology continues to pervade daily life. Outside of privacy, other pressing technology issues at the forefront of states are election security, especially in the lead-up to the 2020 elections, and cybersecurity.

Energy & Environment

The lack of federal action on climate change has led to red and blue states pulling in opposite directions on environmental and energy issues. With the Trump administration continuing to roll back environmental protections at the federal level, Democratic-led states have already worked to respond. Last year, several states, including California, New Mexico, and New York, passed legislation aimed at targeting carbon emissions. Meanwhile, Ohio bailed out several coal and nuclear-fired power plants while reducing renewable energy standards for certain utilities and energy efficiency programs. 2020 will likely see a continued legislative divergence between red and blue states as there will likely be little change in federal oversight.

Lobbying Business Booms Despite Gridlock and Investigations
Bloomberg Government | By Megan R. Wilson | October 22, 2019

 Lobbying revenue continued to increase throughout 2019, despite turbulence surrounding the Trump administration and partisan gridlock on Capitol Hill.

The third quarter of 2019 was lucrative for many K Street firms, with 20 reporting an uptick in revenue, compared to the same time last year, according to figures provided to Bloomberg Government. In addition, 16 of those firms also had increased lobbying fees from January through September of this year, compared to 2018. It’s a continuation of a growth in lobbying fees since President Donald Trump took office.

…

Firms such as…  Forbes Tate Partners are among the firms that had the biggest jump of revenue on K Street so far this year.

Forbes Tate, that handles both public affairs and lobbying for clients, earned nearly $11 million in the first three quarters — 14% more than 2018.

Zach Williams, a partner at the firm, credits the success to diversifying its “issues expertise while maintaining the campaign-like approach that is focused on driving outcomes.”

“Understanding what is driving Congress and the administration’s decision-making processes, and building campaigns that address it from both political and policy-based perspectives is key to getting anything done during what are nothing if not crazy times here in town,” he said.

To read the full article on Bloomberg Government click here.