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1 Weekl ly Legislative Update Week of July 27, 2015 Congressional Outlook Week of July 27 The House and Senate are in session this week. The House will vote on 17 non-controversial of the week, the House will vote on H.R. 427, the "Regulations from the Executive in Need of Scrutiny (REINS) Act of 2015," which would require that federal agenciess submit major regulations to Congresss for approval and to submit to Congress a cost-benefit analysis of every rule before the rule could take effect, and H.R. 1994, the "VA Accountability y Act of 2015," which would permit the Veterans Affairs Department to fire or demote any employee because of findings of poor performance or misconduct. The House may also consider the "VA Budget and Choice Improvement Act" and the Conference Report to accompany H.R. 1735, the "National Defensee Authorization Act for Fiscal Year 2016." bills under suspension of the rules on Monday evening. For the remainder The Senate this week will complete consideration of the "DRIVE Act," a $350 billion six-year transportation reauthorization bill unveiled last Tuesday by Senate Majority Leader Mitch McConnell (R-KY) and Sen. Barbara Boxer (D-CA). The DRIVE Actt would guarantee funding for only three years and would authorize transportation programs for six. An amalgamation of budget offsets pays for the proposal, and the specific pay-fors have been the subject of intense negotiations since Sens. McConnell and Boxer announced the deal. The Congressional Budget Office said late Friday that evenn so, the McConnell-Boxer bill falls $1 billion short of its i funding goal. House leaders havee already expressed little interest in diverging from their bill (H.R. 3038)-a 5-month short-term extensionn designed to buy time for negotiators to agree on a six-year bill funded by repatriating offshore corporate profits. With the House adjourning on Thursday afternoon and funding for the Highway Trust Fund expiring on Friday night, time is quickly running out. Sen. McConnell has hinted at a possible stopgapp solution by offering a two-month extension of transportation programs as an amendment to the highway bill. Upon completion of the highway funding bill, the Senate may consider S. 754, the

2 "Cybersecurity Information Sharing Act of 2015," a measure that aims to prevent large-scalee hacks by sharing classified threat information with the private sector, which in turn would share customer data with government agencies. Participating companies would receivee legal liability protections. House Speaker John Boehner (R-OH) recently told reporters that given Democratic and White House opposition to the Republican budget blueprint,, a continuing resolution (CR) will be necessary to fund the federal government past September 30, The administration has said that President Obama will veto any appropriations bill that adheres to existing discretionary spending caps and Democrats have blocked all spending bills on the Senatee floor. Top congressional Republicans say they don't want to pass a full-year CR, though, and will continue negotiating on appropriations measures after the immediate need to fund the government passes. Week in Review Senate Introduces and Moves Forward on DRIVE Act On July 21, Sen. McConnell released the 1,030-page text for the DRIVE Act. A cloture vote on July 21 failed by a vote, with all present Democrats and eleven Republicans voting no in order to give themselves more time to read the legislation. On July 22, the Senatee voted on the motion to proceed to debate on the DRIVE Act, after successful negotiations weree reached on a slightly revised version of the bill, which includes several changes to the ratio of funding for highway vs. transit funding and eliminating the Social Security-related offsetss contained in the original version of the bill. On July 24, the Senate voted on the motion to proceed directly to the legislative vehiclee to consider the DRIVE Act (H.R. 22). On Sunday, July 26, the Senate voted on cloture for two amendments to the bill, including repealing the Affordable Care Act, which failed by a vote of 49-43, and reauthorizing the Export-Import Bank, which passed by a vote of It is likely that the earliest the Senatee will be able to pass an amended version of the legislation will be the evening of Wednesday, July 29, where it would then be sent back to the Housee for consideration. The Highway Trust Fund is set to expire on Friday, July 31. Read more... House Passes Bill Punishin ng "Sanctuary Cities" On July 23, the House passed, by a vote of , the "Enforce the Law for Sanctuary Cities Act" (H.R. 3009). Under the bill, state and local governments would be made ineligiblee for assistance under the State Criminal Alien Assistance Program (SCAAP) and would lose the ability to receive Community Oriented Policing Service (COPS) and/or Edward Byrne Memorial Justice Assistance (Bryne-JAG) grants if they have "sanctuary" laws or policies in effect that bar law enforcement from inquiring about an individual's immigration status or exchanging status informationn with federal officials. The SCAAP program reimburses statess and local authorities for the costs of ncarcerating undocumented criminals; the COPS Program provides grants to state and local law enforcement agencies to cover hiring costs, support community policing programs, aid anti-gang task forces and further anti-drug initiatives; and the Byrne-JAG Program provides assistance to states and local governments to combat violent crimes, such as aggravated assault, homicide, rape and robbery. The White House issued a Statement of Administratio n Policy threatening to veto H.R Read more...

3 House Passes Food Labeling Bill On July 23, the House passed, by a vote of , the "Safe and Accurate Food Labeling Act of 2015" (H.R. 1599). The bill would pre-empt any state or local laws regarding the sale in interstate commerce of foods containing genetically modified organisms (GMOs), including current or future state or local laws requiring labels on foods containing GMOs. The bill directs the U.S. Department of Agriculture (USDA) to establishh a new voluntary certification program, modeled on the existing organic certification program,, to allow food manufacturers to labell products as GMO-free. Read more... Senate Appropriations Committee Passes FY 2016 Financial Services Appropriations Bill On July 23, the full Senate Appropriations Committee passed, by a vote of 16-14, the $20.6 billion FY 2016 Financial Services and General Government Appropriations bill. The bill is $1.3 billion below the FY 2015 enacted level and $4 billion below President Obama's budget request. The bill funds the U.S. Treasury Department, the Judiciary branch, the Smalll Business Administration, the Securities and Exchange Commission, the Commodity Futures Trading Commission, and several other agencies. The bill also incorporates the "Financial Regulatory Improvement Act of 2015" (S. 1484), which would overhaul the Dodd-Frank Act and which was approved by the Senate Banking Committee in May on a party-line vote. Passage of the bill marks the 12th and final bill the Committee has marked up during this cycle. Read more... Senate Finance Committeee Advances $95 Billion Tax Break Package On July 21, the Senate Finance Committeee voted to extend the roughly $95 billion collection of 52 tax breaks, known as "extenders," through 2016 by a 23-3 vote. Congress last enacted the group of preferences, which includes the popular credit for business research and a more controversial incentive for wind energy, at the end of only to watch the tax breaks expire less than two weeks later. On the House side, lawmakers are expected to address tax extenders when Congress returns from August recess. Notably, when the House does move forward on tax extenders, they are likely to focus on making tax extenders permanent, ratherr than simply passing a two-year extension. Presently, it is uncertain whether the Senate or House approach will prevail; however, the process will likely be influenced by how Congresss chooses to approach the highway bill and international tax reform. Should the House path ultimately prevail, however, President Obama has indicated he will veto any legislation thatt makes tax extenders permanent without providing offsets. Read more... Congressional Schedule Monday, July 27 Full House Rules Committee meets to formulatee a rule on H.R. 427, the "Regulations from the Executive in Need of Scrutiny Act of 2015." Tuesday, July 28 Full House Rules Committee meets to formulate a rule on H.R. 1994, the "VA

4 Accountability Act of 2015." Full House Budget Committee hearing entitled "First Principles of Congressional Budgeting." Joint Economic Committee hearing entitled "Dynamic Scoring: How Will It Affect Fiscal Policymaking?" Full House Education and Workforce Committee hearing entitled "Reviewing the Policies and Priorities of the U.S. Department of Health and Human Services." House Energy and Commerce Subcommittee on Energy and Power roundtable discussion entitled "EPA's Proposed Ozone Rule: Potential Impacts on Manufacturing and Jobs." Full Senate Energy and Natural Resources Committee business meeting to consider: the nomination of Jonathan Elkind to be Assistant Secretary of Energy (International Affairs); the "Energy Policy Modernization Act of 2015"; S. 133, the "Klamath Basin Water Recovery and Economic Restoration Act of 2015"; S. 145, the "National Park Access Act"; S. 146, the "Public Access to Public Land Guarantee Act"; S. 329, the "Lower Farmington River and Salmon Brook Wild and Scenic River Act"; S. 403, the "North Country National Scenic Trail Route Adjustment Act"; S. 521, the "President Street Station Study Act"; S. 538, the "Sawtooth National Recreation Area and Jerry Peak Wilderness Additions Act"; S. 593, the "Bureau of Reclamation Transparency Act"; S. 610, the "Thurgood Marshall's Elementary School Study Act"; S. 720, the "Energy Savings and Industrial Competitiveness Act of 2015"; S. 873, the "Jay S. Hammond Wilderness Act"; S. 1103, "A bill to reinstate and extend the deadline for commencement of construction of a hydroelectric project involving Clark Canyon Dam"; S. 1104, "A bill to extend the deadline for commencement of construction of a hydroelectric project involving the Gibson Dam"; S. 1240, the "Cerros del Norte Conservation Act"; S. 1305, "A bill to amend the Colorado River Storage Project Act to authorize the use of the active capacity of the Fontenelle Reservoir"; S. 1483, the "James K. Polk Presidential Home Study Act"; S the "Yakima River Basin Water Enhancement Project Phase III Act of 2015"; and the "Offshore Production and Energizing National Security Act of 2015." House Energy and Commerce Subcommittee on Energy and Power markup of H.R. 985, the "Concrete Masonry Products, Research, Education, and Promotion Act of 2015"; H.R. 3154, the "E-Warranty Act of 2015"; H.R. 1344, the "Early Hearing Detection and Intervention Act of 2015"; H.R. 1462, the "Protecting Our Infants Act of 2015"; H.R. 1725, the "National All Schedules Prescription Electronic Reporting Reauthorization Act of 2015"; and H.R. 2820, the "Stem Cell Therapeutic and Research Reauthorization Act of 2015." House Transportation and Infrastructure Subcommittee on Coast Guard and Maritime Transportation hearing on the "Federal Radionavigation Plan, H.R. 1684, the 'Foreign Spill Protection Act'; and H.R., the 'National Icebreaker Fund Act of 2015.'" Full Senate Banking, Housing, and Urban Affairs Committee hearing entitled "Lifting the Crude Oil Export Ban." House Homeland Security Subcommittee on Cybersecurity, Infrastructure Protection, and Security Technologies hearing entitled "Promoting and Incentivizing Cybersecurity Best Practices." House Judiciary Subcommittee on Crime, Terrorism, Homeland Security, and Investigations hearing entitled "America's Growing Heroin Epidemic." House Natural Resources Subcommittee on Energy and Mineral Resources hearing entitled "Federal Implementation of the Coastal Zone Management Act." House Natural Resources Subcommittee on Oversight and Investigations hearing entitled "Accountability, Policies, and Tactics of Law Enforcement within the Department of Interior and Forest Service." Full House Science, Space, and Technology Committee hearing entitled "Exploration of

5 the Solar System: From Mercury to Pluto and Beyond." House Energy and Commerce Subcommittee on Oversight and Investigations hearing entitled "Continuing Concerns with the Federal Select Agent Program: Department of Defense Shipments of Live Anthrax." House Energy and Commerce Subcommittee on Communications and Technology hearing entitled "Continued Oversight of the Federal Communications Commission." Full House Financial Services Committee hearing entitled "The Dodd-Frank Act Five Years Later: Are We More Prosperous?" Full House Financial Services Committee markup of H.R. 766, the "Financial Institution Customer Protection Act of 2015";H.R. 1210, the "Portfolio Lending and Mortgage Access Act"; H.R. 1317, a bill "To amend the Commodity Exchange Act and the Securities Exchange Act of 1934 to specify how clearing requirements apply to certain affiliate transactions, and for other purposes"; H.R. 1553, the "Small Bank Exam Cycle Reform Act of 2015";H.R. 1737, the "Reforming CFPB Indirect Auto Financing Guidance Act";H.R. 1839, the "Reforming Access for Investments in Startup Enterprises Act of 2015"; H.R. 1941, the "Financial Institutions Examination Fairness and Reform Act";H.R. 2091, the "Child Support Assistance Act of 2015";H.R. 2243, the "Equity in Government Compensation Act of 2015";H.R. 2643, the "State Licensing Efficiency Act of 2015"; H.R. 2912, the "Centennial Monetary Commission Act of 2015"; H.R. 3032, the "Securities and Exchange Commission Reporting Modernization Act"; H.R. 3189, the "Fed Oversight Reform and Modernization Act of 2015"; and H.R. 3192, the "Homebuyers Assistance Act." Wednesday, July 29 Full House Natural Resources Committee hearing entitled "Federal Agencies' Selective Enforcement of ESA Consultation." Full House Oversight and Government Reform Committee hearing entitled "EPA Mismanagement, Part II." House Science, Space, and Technology Subcommittee on Energy hearing entitled "A Review of the Nuclear Regulatory Commission's Licensing Process." Full Senate Commerce, Science, and Transportation Committee hearing entitled "Wireless Broadband and the Future of Spectrum Policy." Full Senate Health, Education, Labor, and Pensions Committee hearing entitled "Reauthorizing the Higher Education Act: Combating Campus Sexual Assault." Senate Banking, Housing, and Urban Affairs Subcommittee on Financial Institutions and Consumer Protection hearing entitled "The Role of Bankruptcy Reform in Addressing Too-Big-To Fail." Senate Armed Services Subcommittee on Readiness and Management Support hearing entitled "Best Practices at Public and Private Shipyards." House Oversight and Government Reform Subcommittees on Information Technology and Government Operations joint hearing entitled "DATA Act Implementation." House Judiciary Subcommittee on Courts, Intellectual Property, and the Internet hearing entitled "Internet of Things." Full House Agriculture Committee hearing entitled "Dodd-Frank Turns Five: Assessing the Progress of Global Derivatives Reform." Full House Homeland Security Committee hearing entitled "Aviation Security Challenges: Is TSA ready for the threats of today?" Senate Judiciary Subcommittee on Oversight, Agency Action, Federal Rights and Federal Courts hearing entitled "Revisiting IRS Targeting: Progress of Agency Reforms and Congressional Options." Full Senate Veterans' Affairs Committee hearing entitled "Ending Veteran Homelessness."

6 Full Senate Small Business and Entrepreneurship Committee business meeting to consider: S. 1400, the "Veterans Small Business Enhancement Act of 2015"; S. 1756, the "Small Business Energy Efficiency Act of 2015"; S. 1857, "A bill to amend the Small Business Act to provide for expanded participation in the microloan program"; and an original bill entitled "A Sense of the Committee on the Small Business Tax Compliance Relief Act of 2015." Full Senate Homeland Security and Governmental Affairs Committee business meeting to consider: the nomination of Denise T. Roth to be Administrator of the U.S. General Services Administration; S., the "Department of Homeland Security Border Security Metrics Act of 2015; "S., the "Critical Infrastructure Protection Act of 2015"; S., the "EINSTEIN Act of 2015; S. 1073, the "Stop Improper Payments to Deceased People Act"; S., the "Quarterly Financial Reporting Reauthorization Act of 2015"; S. 1607, the "Independent Agency Regulatory Analysis Act of 2015"; S. 1526, the "Construction Consensus Procurement Improvement Act of 2015"; S. 1820, the "Early Participation in Regulations Act"; S. 1817, the "Smarter Regulations Through Advance Planning and Review Act"; S. 1808, the "Northern Border Security Review Act"; S. 779, the "Fair Access to Science and Technology Research Act of 2015"; S. Res. 104, "A resolution to express the sense of the Senate regarding the success of Operation Streamline and the importance of prosecuting first time illegal border crossers"; S. 708, the "Regulatory Improvement Act of 2015"; S. 1170, the "Breast Cancer Research Stamp Reauthorization Act of 2015"; and H.R. 1531, the "Land Management Workforce Flexibility Act." Full Senate Indian Affairs Committee business meeting to consider S. 383, the "Indian Trust Asset Reform Act"; and S. 732, "A bill to amend the Act of June 18, 1834, to reaffirm the authority of the Secretary of the Interior to take land into trust for Indian tribes." Full Senate Indian Affairs Committee hearing entitled "Examining the True Costs of Alcohol and Drug Abuse in Native Communities." Full House Veterans' Affairs Committee markup of H.R. 3106, the "Construction Reform Act of 2015"; H.R. 2360, the "Career-Ready Student Veterans Act"; H.R. 1338, the "Dignified Interment of Our Veterans Act of 2015"; H.R. 1384, the "Honor America's Guard-Reserve Retirees Act"; H.R. 677, the "American Heroes COLA Act of 2015"; H.R. 3016, the "VA Provider Equity Act"; and H.R. 2915, the "Female Veteran Suicide Prevention Act." Thursday, July 30 Senate Homeland Security and Governmental Affairs Permanent Subcommittee on Investigations hearing entitled "Impact of the U.S. Tax Code on the Market for Corporate Control and Jobs." House Science, Space, and Technology Subcommittees on Oversight and Energy joint hearing entitled "Examining Vulnerabilities of America's Power Supply." Full House Oversight and Government Reform Committee hearing entitled "Violence on the Border: Keeping U.S. Personnel Safe." House Agriculture Subcommittee on Livestock and Foreign Agriculture hearing entitled "Examination of Federal and State Response to Avian Influenza." Senate Appropriations Subcommittee on Military Construction and Veterans Affairs hearing "to examine whistleblower claims at the Department of Veterans Affairs." Full House Permanent Intelligence Committee hearing entitled "World Wide Cyber Threats."