Situational Awareness
Both the House and Senate are in session this week. Lawmakers in the House will consider dozens of bills this week covering various topics including academic freedom, funding for sanctuary cities, veterans/servicemember benefits, social security, telehealth and Medicare/Medicaid. Additionally, the House must come to agreement on a continuing resolution to keep the government open by Oct. 1 or face a government shutdown. Senate Majority Leader Chuck Schumer (D-N.Y.) continues to urge House GOP leadership to take up a vote on the Kids Online Safety Act, which passed the full Senate in July. On Monday, the Senate will vote on confirmation for the U.S. Circuit Judge from the Sixth Circuit. On Tuesday, the Senate is preparing to vote on the Right to IVF Act, a messaging bill some swing-state incumbents facing close re-election races hope could bolster their standing with voters.
Trump Targeted
Ryan Wesley Routh is in court today after police arrested him for what the FBI has said “appears to be an attempted assassination” of former President Trump at Trump’s West Palm Beach golf club. Secret Service agents working ahead of the former president as he played a round saw Routh armed near the edge of the course and engaged him. He was caught fleeing in a vehicle a short time later.
This incident marks the second time during the campaign that Trump has been targeted by would-be assassins. While he and his team were quick to thank the Secret Service for its efforts yesterday, that agency has come under heavy scrutiny for its actions during the first attempt on Trump’s life in July, and some lawmakers have already called for a swift accounting of this most recent security incident.
U.S. Fifth Circuit Upholds DOL Overtime Rule
Last week, the U.S. Fifth Circuit Court of Appeals issued a decision affirming the Department of Labor’s authority to use a minimum salary requirement as part of its test for determining whether an employee is exempt from federal overtime pay requirements. The ruling is a significant win for the Biden administration, which finalized an updated overtime rule in March that expands overtime eligibility. Attorneys for the DOL are expected to use the Fifth Circuit’s ruling to defend its new rule, which is facing three legal challenges in different federal courts.
The case, Mayfield v. US Department of Labor, was originally a legal challenge to the Trump administration’s 2019 overtime rule, which set the minimum salary for the executive, administrative, or professional (EAP) employee exemption requirement at $684 per week or $35,568 per year. Lawyers for the plaintiff argued that the Fair Labor Standards Act (FLSA) did not grant DOL the power to set a salary threshold. They further utilized the Supreme Court’s Loper Bright decision to demonstrate that DOL only had the authority to consider an employee’s job duties when determining overtime exemption.
At the same time, the Fifth Circuit’s three-judge panel suggested that any “minimum-salary rule could raise issues because of its size” under the major questions doctrine, under which federal courts can reject an agency’s claim of authority when it concerns an issue of “vast economic or political significance.” In this specific case, the court ruled that the major questions doctrine does not apply to the Trump overtime rule. However, the implication made in the Fifth Circuit’s decision could be interpreted as an acknowledgement that the Supreme Court could come to a different conclusion, which would pose an existential threat to the Biden administration’s overtime rule.
Lawmakers Consider Difficulties of WOTUS Post-Sackett Implementation
Lawmakers on the House Transportation and Infrastructure Subcommittee on Water Resources and Environment heard witness testimony last week criticizing the Biden administration’s response to the Supreme Court’s 2023 Sackett v. EPA ruling that significantly curtailed the number of wetlands covered by federal law. Witnesses from two business associations, including the Water Advocacy Coalition (of which NCA is a member) and the state of Alaska, argued that the current ambiguity of federal and state jurisdiction has created confusion for landowners, businesses and state regulators, who have delayed thousands of projects pending jurisdictional determination from the EPA and Army Corps of Engineers. A witness from Colorado selected by committee Democrats discussed how returning to a pre-Sackett regulatory regime would provide greater certainty for regulated industries.
On the dais, Subcommittee Chair David Rouzer (R-N.C.) and Ranking Member Grace Napolitano (D-Calif.) held two vastly different views on the current challenges imposed by the Sackett ruling and subsequent joint agency rulemaking. While the majority suggested that the EPA and Army Corps’ updated WOTUS rule doesn’t comply with Sackett, lawmakers on the other side of the aisle argued that Sackett eliminated a critical tool for protecting and cleaning waterways. During his opening remarks, Committee Ranking Member Rick Larsen (D-Wash.) advocated for the Clean Water Act of 2023, which would reverse the Sackett decision.
Witnesses asked Congress to provide clarity on the issue by codifying a definition of WOTUS based on the most recent interpretation by the U.S. Supreme Court. Members of the committee agreed with the witnesses that there is lack of clarity from the administration on an updated definition of WOTUS. For example, Rep. Michael Bost (R-Ill.) claimed that without proper guidance from the federal government, landowners are unable to determine which areas are subject to federal jurisdiction, which risks stifling growth.
Joint Economic Committee Releases Fact Sheet on Extreme Heat
Democrats on the Congressional Joint Economic Committee issued a fact sheet detailing the Biden administration and democratic lawmakers’ efforts to expand protections to workers most impacted by weather events exacerbated by climate change, such as extreme heat and wildfires. While the fact sheet primarily focuses on the importance of protecting farmworkers, it also applauds the Occupational Safety and Health Administration’s (OSHA) proposed rule that would establish guidelines to identify heat risks and provide workers with protection from heat.
The fact sheet calls on Congressional lawmakers to also pass legislation that would codify OSHA’s proposed federal heat standard and increase spending levels for the CDC, National Oceanic and Atmospheric Administration (NOAA), and the Environmental Protection Agency (EPA) to conduct research about how heat and wildfire smoke contributes to farmworker deaths.
House Small Business Committee Oversight Hearing with SBA Administrator
On Wednesday, Sept. 18, the Committee on Small Business will hold a hearing titled “Holding the SBA Accountable: Testimony from Small Business Administrator Guzman.” The hearing will provide committee members with the opportunity to conduct oversight of the U.S. Small Business Administration’s (SBA) actions during the 118th Congress and assess SBA Administrator Isabella Casillas Guzman’s compliance with Congressional requests. The hearing memorandum issued by the committee ahead of the hearing notes concern with SBA’s core lending programs, which the GOP majority suggests have been “neglected and mismanaged.” Specifically, the memorandum mentions fraudulent loans issued under COVID-19 lending programs and SBA’s 7(a) program.
A Fall Webcast Foursome
Register for four NCA-hosted webcasts covering critical club topics, including:
- Thurs., Sept. 19 | 2 pm ET. Revamping Safety: A Practical Guide for Clubs. Register Here.
- Thurs., Sept. 26 | 2 pm ET. Capital Improvements & Club Renovation Projects: The GM’s Experience. Register Here.
- Thurs., Oct. 3 | 2 pm ET. 2024 Election Briefing: Likely Outcomes and Impact on the Agenda. Register Here. (This webcast is free for all clubs.)
- Thurs., Oct. 10 | 2 pm ET. Innovations in Club Management: Shaping the Future. Register Here.