The Bellevue Compass (1)

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Welcome back to the Bellevue Compass. The DHS shutdown has stretched into its 60th day, and Congress has returned from recess just in time for Tax Day. There’s a lot in motion this week, and a few things waiting to move. We’ll break it down below. 

The Congressional Breakdown 

Congress returned from its two-week recess to the DHS shutdown, hitting day 60. So, what comes next? All signs point to the GOP conference planning to pass a reconciliation bill to get DHS funding sometime next week. Senate Republicans intend to vote “next week” on a process that would bypass Democrats and provide an additional 3 years of funding for Immigration and Customs Enforcement and Border Patrol. It’s expected that the Judiciary Committee and the Committee on Homeland Security and Governmental Affairs will draft the bill. As usual, though, it’s not all sunshine and rainbows: some GOP members aren’t on board, and others are angling to get unrelated bills into a budget reconciliation package, majorly complicating Majority Leader Thune’s intention of an “anorexic” bill that funds only DHS. 

There’s something in the way before they can get to the DHS bill, though: a bill reauthorizing Section 702 of the Foreign Intelligence Surveillance Act (FISA), which allows the U.S. government to spy on foreign spies and terrorists located abroad without getting a warrant. The discussion surrounding the renewal is one of privacy, as the measure allows for the government to collect texts and emails of foreigners, but can “also inadvertently sweep up data on Americans”. The use of AI is also a growing concern for legislators as it relates to the FISA bill, as it dramatically reduces the time and effort required to analyze and compile millions of data points collected under the government’s authority. 

While Johnson is hoping to pass the reauthorization bill with no amendments, several conservatives have already said they oppose the measure and are demanding reforms or the attachment of unrelated legislation. Either could tank the bill, which expires on April 20th. 

In addition to the FISA bill and DHS funding, Congress is also facing renewed pressure from President Trump to get the SAVE America Act passed, and the Senate is likely to resume debates on the bill this week. 

In other House news, two House members both accused of sexual misconduct announced Tuesday that they would be resigning from their seats: Rep. Tony Gonzales (R-TX), who would have faced a House Ethics Committee investigation into his relationship with a former staffer had he not resigned, and Rep. Eric Swalwell (D-CA), who also faces allegations of sexual misconduct with staff. 

Iran and the Strait of Hormuz

Perhaps the biggest conflict facing Congress as they return is the the dead-end peace talks between Iran and the United States. According to Politico, the negotiations failed as the two countries couldn’t reach agreement on six red-line issues for the U.S.: ending all uranium enrichment; retrieving highly enriched uranium; dismantling all major nuclear enrichment facilities; establishing a peace framework including regional allies; ending funding for Hamas, Hezbollah and the Houthis; and fully opening the strait, with no tolls for passage. 

The ongoing conflict and the president’s subsequent blockade of ships leaving the Strait of Hormuz is driving oil prices higher and higher, heading into a season where prices typically spike due to summer travel. This complicates the GOP’s affordability message, and doesn’t bode well for November’s upcoming elections, especially for the GOP.

A potential war powers resolution is rumored to be introduced in the House, but like its predecessors, is likely to fail. The War Powers Resolution of 1973 stipulates that the president must notify Congress within 48 hours of committing U.S. troops to military operation, and that those forces must withdraw within 60 days unless Congress authorizes the use of military force (AUMF) or declares war. There’s a likelihood that Congress is reserving its vote on a war powers measure for the time at which the conflict stretches past 60 days, which it has not yet. 

The Sector Breakdown

The PA Impact

Like last week, the ongoing DHS shutdown is continuing to impact Pennsylvanians at the airport. Though there have been a few positives, such as President Trump directing DHS to begin paying TSA officers from emergency funds. At PHL, TSA reopened the checkpoint in Terminal C that had been closed due to staffing shortages, but Terminals F and A-West remain closed. As the spring break travel rush winds down, there’s been some relief at TSA lines, but there’s still concern and no clarity as to how long emergency funds paying TSA officers will last. Late last week also saw the departure of ICE agents who had been deployed to PHL to assist with TSA operations during the shutdown.

States across the nation are also seeing the impacts of the Iran conflict at the gas pump, and prices are likely to spike again before they fall due to the blockade. Prices are high nationally, with the average gallon of gas at $4.118 (as of Tuesday, April 14) and gas at stations across PA is at the highest rate in the Mid-Atlantic region at $4.144 a gallon. Pennsylvania has a high state fuel tax at 58.7 cents per gallon; combined with the federal gas tax, drivers pay 77.1 cents per gallon in total fuel taxes. PA Congressman Brendan Boyle has introduced a a bill that aims to pause the 18.4 cents per gallon federal tax when the national average exceeds $4, along with the “Gas Prices Relief Act of 2026”, which may suspend the tax through October 1, 2026. How long prices will remain high, and if they’ll remain high through the summer, depends on a number of factors, including regularly-scheduled increased demand and the Strait of Hormuz blockade that will impact the gas supply-chain. 

Another thing of interest: While the Trump Administration remains reluctant to inhibit or regulate AI companies and growth, Pennsylvania is taking steps to help the state and local governments deal with the impacts of data centers popping up. Electricity and water consumption, greenhouse gas emissions, and other parameters are laid out in the first of two PA House-passed bills that would require data centers to file annual reports with the state Department of Environmental Protection. The second is intended to give municipalities guidance on how address zoning for data centers, and instructs the Local Government Commission to “develop a model zoning ordinance, providing municipalities with a template to develop their own rules on where data centers can go, what setback and landscape buffers they’re subject to, what noise limits they must meet, and similar land-use issues.” (Via PennLive)

What We’re Watching

Did You Know? The World’s Largest Paint Can is located on Interstate 83 between Harrisburg and York, outside of a Shippensburg Benjamin Moore.

Till next time,