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Financial Services Report

Looking Ahead

Near Term
On Tuesday the Financial Services Committee Meets to mark-up the following bills

  • H.R. 1309, the “Systemic Risk Designation Improvement Act of 2015”
  • H.R. 1478, the “Policyholder Protection Act of 2015”
  • An Amendment in the Nature of a Substitute expected to be offered by Mr. Posey is being distributed with this notice.  Members wishing to offer amendments are counseled to do so with reference to this text.
  • H.R. 1550, the “Financial Stability Oversight Council Improvement Act of 2015”
  • H.R. 1660, the “Federal Savings Association Charter Flexibility Act of 2015”
  • H.R. 2209, to require the appropriate Federal banking agencies to treat certain municipal obligations as level 2A liquid assets, and for other purposes
  • H.R. 3340, the “Financial Stability Oversight Council Reform Act”
  • H.R. 3557, the ‘FSOC Transparency and Accountability Act”
  • H.R. 3738, the “Office of Financial Research Accountability Act of 2015”
  • H.R. ____, the “Small Business Credit Availability Act”
  • H.R. 3857, To require the Board of Governors of the Federal Reserve System and the Financial Stability Oversight Council to carry out certain requirements under the Financial Stability Act of 2010 before making any new determination under section 113 of such Act, and for other purposes.

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Health Policy Report

The Week in Review
 
A busy week in Washington was highlighted by the changing of the guard in the top post of the House. Speaker Paul Ryan (R-WI) was elected to replace John Boehner (R-OH) by the Republican Conference on Wednesday and secured the House floor’s approval on Thursday, with just 9 Republicans voting against him. In his acceptance speech, the newly-minted Speaker struck a courteous tone and buoyed hopes of more bipartisan work being completed in the House for the remainder of the Obama Administration.

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Financial Services Report

Our Take
After a week of contemplation, and speculation, Representative Paul Ryan is set to become the next Speaker of the House of Representatives and the first person from Wisconsin to hold that position.  The House Republican Conference is set to vote Wednesday, with a vote in the full House on Thursday.  Unless another bombshell occurs, John Boehner will resign from Congress at the end of the week, but it doesn’t look like the barn will be as clean for Ryan as the former Speaker had hoped.  From trying to find a path forward on the debt ceiling, (see below), to figuring out how to pay for dueling transportation authorization proposals, to moving forward on Ex-Im, Speaker Ryan will have to face down a series of challenges from Day One.  

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Health Policy Report

The Week in Review

 Legislative action last week was highlighted by ongoing deliberation on how to raise the nation’s debt limit by a November 3 deadline – the date the Treasury Department has determined the country’s borrowing capacity will be exceeded. House Republicans have been deliberating on a solution and considered a proposal last week from the Republican Study Committee (RSC) that would link a $1.5 trillion increase in the borrowing authority with a freeze on all major regulations through July 1, 2017, and a vote on a balanced budget amendment by the end of 2015. However on Thursday, House Republicans backed away from the RSC plan, and a clear path forward has yet to emerge. The issue is expected to dominate discourse in Congress this week as the country slowly inches towards default and the financial turmoil that would likely accompany it. 

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Review Of Proposed 340B Omnibus Guidance: How We Got Here And What It Says

This post, penned by Thorn Run's Billy Wynne, originally appeared in Health Affairs Blog.

In a previous post—now almost one and a half years ago—I described “the coming storm” I anticipated would develop around the 340B drug discount program. After a brief tornado hit the House Energy and Commerce Committee when they considered including 340B reforms in their 21st Century Cures initiative, a slower, hurricane-style churn over the Administration’s proposed guidance on the topic has settled in.

With the October 27 comment window steadily approaching, let’s take a look at what the rule says and what it could mean for interested stakeholders.

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Health Policy Report

The Week in Review
 
The House and Senate were in a week-long recess for the Columbus Day holiday last week. Senate Majority Leader Mitch McConnell (R-KY) has scheduled the Senate to return this afternoon at 4:00 PM and the House is set to return tomorrow morning.

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Health Policy Report

The Week in Review 

Legislative action in Congress last week was overshadowed by the surprising announcement from Majority Leader Kevin McCarthy (R-CA) that he would no longer seek to be Speaker of the House John Boehner’s (R-OH) successor. While McCarthy’s decision caught most observers by surprise, it can be, at least partially, explained by to two key factors. First, the Republican Conference was voting on a rules change that would force candidates for leadership positions within the party to give up their previously held position, meaning that if McCarthy pursued the Speakership, he would be forced out as Majority Leader. Second, even if McCarthy won the majority of votes from the Republican Conference, it is unlikely that he would have secured the 218 votes necessary to be elected as Speaker on the House floor in a vote due later this month – Democratic abstention and opposition from the more conservative members of the Republican caucus would prevent him from reaching the necessary majority on the House floor. 

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Financial Services Report

Our Take
Last week’s turbulence in the expected ascension of Kevin McCarthy to Speaker, not only threw the House into disarray, but was also was one of those moments when you realize we are living through history.  Outside of the drama surrounding McCarthy’s decision and what it means for the Republicans in the House, the event was a reminder of the strength of the “little d” democratic process of the House of Representatives and our constitutional process.  Perhaps this is a bit counterintuitive, since both Boehner’s decision to depart, as well as part of McCarthy’s decision was based on the tyranny of the minority, but whether you agree or disagree with the goals of the Freedom Caucus, not a single actual gunshot has been fired in this leadership fight. 

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Rosenstock: GOP Chaos Good for Debt Ceiling Talks

In a follow-up to yesterday's Politico article, the Washington Bureau of The Business Journals quoted Thorn Run Partners' Jason Rosenstock on the effect chaos in the Republican Party will have on upcoming negotiations over raising the debt celing. According to Rosenstock, the scramble for the Speaker's position "will reinforce those who want to have Boehner raise the debt ceiling before he leaves." 

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In Politico, TRP’s Jason Rosenstock Comments on GOP Leadership Turmoil’s Effect on Raising Debt Ceiling

In a Politico report, Thorn Run's Jason Rosenstock provides a rosy view of the impact that turmoil within the Republican Party will have on the upcoming fight in Congress on raising the debt ceiling. "I actually think this is good for [the] debt ceiling,” Jason explained to Politico. “The chaos is being caused by the Freedom Caucus, and while they are also opposed to raising the debt ceiling, I think [Thursday’s] activity will reinforce those who want to have Boehner raise the debt ceiling before he leaves." 

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