The Bellevue Compass

If there’s a topic you’re interested in our analysis of, feel free to drop us a line. We’ll be doing deeper dives on the big stuff as it happens, but we’re always happy to hear what you want to know.

What They’re Talking About

Senate Democrats appear stuck between a rock and a hard place as Majority Leader Thune tees up a procedural vote on Thursday for the House-passed Defense spending bill. The GOP’s aim is to keep appropriations bills moving, hoping that Democratic appropriators will be tempted to cooperate and move bipartisan legislation. It’s looking like a lose-lose situation for the Democrats: if they refuse to advance full-year bills, the GOP will likely cast them as obstructionists. If they agree, Republicans will only argue that the Democratic Party’s united stance is disintegrating.

It’s worth noting that cracks are starting to appear in the House GOP—with members like Marjorie Taylor Greene putting the blame on Speaker Mike Johnson and Majority Leader Thune, siding with Democrats on their push for healthcare subsidies. 

GOP leadership is reportedly discussing changing the end date of funding from November 21 to mid-December, according to Politico. This, they’re hoping, will give them time to negotiate a longer-term funding deal. They're also discussing holding a vote on ACA subsidies after the government has reopened—this is assuming that it will reopen without concessions to ACA subsidies, a main Democratic sticking point—but Senate Minority Leader Chuck Schumer isn’t keen on the idea. 

That said, it does appear that Republicans might be at least preparing for negotiations, with some House GOP leadership having informal conversations about the subsidies with White House officials. The options being floated are new income limits, minimum out-of-pocket premiums, cutting off enhanced tax credits for new enrollees, and abortion restrictions. As open enrollment begins on November 1st, rates are already skyrocketing—if subsidies expire, premiums for enrollees are expected to increase by an average of 114%, with the biggest impact being felt by lower-income individuals. Republicans will feel that pressure. 

Amidst the talks about ACA subsidies, the White House Office of Management and Budget is making everything more difficult. As part of their reduction-in-force plans, Director Russ Vought eliminated all employees at the Treasury Department’s Community Development Financial Institutions Fund, effectively eviscerating the program. The program typically garners bipartisan support, and the move is “leaving Republicans feeling betrayed”.  A letter to fired employees claimed their “termination was necessary to implement the abolishment of the entire CDFI program”, which the administration has sought given the program's perceived misalignment with White House priorities. 

The impact on every state will be significant. The Pennsylvania CDFI Network in particular provides technical assistance that includes a variety of services like business counseling, financial literacy, business planning, and access to capital. The CDFI network stimulates local economies by providing affordable loans and resources to small businesses and underserved communities that lack access to traditional financing. The network's initiatives support job creation, economic recovery, and community revitalization.

Pennsylvania Update: As we move into the third week of the shutdown, the effect of it is starting to be felt across the state. Airports across the country are experiencing significant flight delays due to a shortage of air traffic controllers, with over 52,000 flights canceled ahead of Indigenous Peoples’ Day weekend. 

Many national parks in the state are operating with reduced staff, leaving outdoor areas and parks and trails open, but Visitor Centers at many have been closed. Parks can use their own reserves—or state dollars, in some cases—to keep essential operations running in an effort to avoid vandalism and damage to property. But anyone planning to visit the Liberty Bell in Philadelphia will find they can only take a peek through the glass walls. The Independence National Historical Park is closed. There’s a joke here. 

Two remote healthcare programs, a telehealth and an in-home hospital care program, expired automatically on October 1st.  Misunderstandings between offices and insurance companies is rampant, with offices under the impression that telehealth appointments are not covered by insurances—and in some cases, this is true. Telehealth and in-home hospital visits can be a lifeline, particularly for older individuals in rural areas. 

Some Pennsylvania-based federal workers who have been furloughed during the shutdown may be eligible for unemployment through the state Department of Labor & Industry—but there’s a sticky in-between. Federal employees who are required to work without pay will likely not be eligible, since they are not considered unemployed. 

🔥 What We’re Watching

Did You Know? Instead of the Liberty Bell, try heading out to Hellam, PA to visit the largest shoe in the world—the Haines Shoe House, which is a giant, functional house shaped like a work boot. Built in 1949 by shoe salesman Mahlon Haines to promote his shoe stores, it is 48 feet long and 25 feet tall. The house features living spaces in different parts of the shoe and is currently available as a short-term rental Airbnb.

Till next time,