Latest news with #JCT
Politico
3 days ago
- Business
- Politico
Dueling JCT scores on ESOP legislation
With help from Lawrence Ukenye QUICK FIX SCORE SETTLING: A bill to make it more attractive for businesses to offer employee stock ownership plans, or ESOPs, would cost well over $100 billion over the next decade according to Congress' nonpartisan bean counters. An estimate from the Joint Committee on Taxation obtained by POLITICO found that S. 1727 would run $155.6 billion over 10 years, as employers and workers take advantage of the bill's 'unique' tax treatment compared to more traditional pay and investment vehicles by diverting money toward ESOPs. 'Compared to wages, this form of compensation would be less expensive: there is no limitation on deductions, and there is no application of employment taxes to employer contributions to retirement plans,' the JCT's analysis, which notes that tax collectors would likely recoup some of these costs in the long term. The estimate, dated July 24, was conducted at the request of Sen. Bernie Sanders (I-Vt.), the top Democrat on the Senate HELP Committee. A parallel estimate JCT prepared for HELP Chair Bill Cassidy (R-La.) shows that total would shrink to just $7.4 billion over that 10-year period if KSOPs — a set-up that blends aspects of ESOPs and 401(k)s — are excluded from the legislation. Cassidy sponsors the legislation, along with a companion measure S. 1728, which is part of a batch of bills the Senate HELP Committee is scheduled to take up on Wednesday. A HELP spokesperson said that the KSOP tweak is one of several changes that will ultimately bring the legislation's price tag far below the version of the bill that the JCT relied upon. 'The JCT score in question is from an analysis of the incomplete framework of the bill and does not include key elements like exclusion of KSOPS, contribution limits and others that will almost completely reduce this score and will be a part of the legislation considered during the markup,' Ty Bofferding said in a statement. 'This also ignores the fact that the economic benefits of any retirement legislation would be realized after the limited 10-year scoring window. Portraying this JCT report as representative of the legislation set to be marked up this week is maliciously misleading.' A spokesperson for Sanders declined to comment beyond the JCT report. Business groups and ESOP proponents argue the Labor Department and federal law has been stacked against these plans for decades and see a window of opportunity with Republicans in full control of Congress and the White House. Cassidy has fashioned himself as a champion of ESOPs as a way for employees to build equity in the companies they work for. ESOP detractors say guardrails are necessary to ensure that workers are not taken advantage of and left with worthless or overpriced stock. GOOD MORNING. It's Monday, July 28. Welcome back to Morning Shift, your go-to tipsheet on labor and employment-related immigration. Send feedback, tips and exclusives to nniedzwiadek@ lukenye@ rdugyala@ and gmott@ Follow us on X at @NickNiedz and @Lawrence_Ukenye. And Signal @nickniedz.94. Want to receive this newsletter every weekday? Subscribe to POLITICO Pro. You'll also receive daily policy news and other intelligence you need to act on the day's biggest stories. LEGAL BATTLES STRIKE TWO: A second federal judge has ruled against the Labor Department in its attempt to suspend operations at Job Corps centers across the country. U.S. District Judge Dabney Friedrich, a Trump appointee in D.C., ruled Friday that DOL's plan violated the Administrative Procedure Act and the Workforce Innovation and Opportunity Act in a case filed by several Job Corps enrollees. 'At bottom, DOL's position is entirely circular: So long as the agency uses the term 'pause' and never makes a final decision to 'formally close' a center, it is authorized to shutter any Job Corps center indefinitely,' Friedrich wrote. Friedrich's preliminary injunction follows a similar ruling by a district court judge in Manhattan that was narrowed last week to comply with the Supreme Court's CASA decision limiting the courts' ability to block government policies nationwide. Friedrich's injunction is notable because it sidesteps the Supreme Court's restriction by tying it to the APA, an argument that Judge Andrew Carter Jr. rejected Wednesday in the other case. A DOL spokesperson did not respond to a request for comment on the ruling. Unions HONEY, NOT VINEGAR: The head of the North America's Building Trades Unions is hoping to stanch setbacks in construction projects his members are working on by appealing to the president's image as builder-in-chief. 'We're talking about red states that are really being hammered by some of these decisions,' NABTU President Sean McGarvey told POLITICO. 'I want to give the president the benefit of the doubt. … If he had the time to see the net effects of this, I think the president would call a time out and bring in his team and say: 'Whoa let's take a look at what we're doing here. I'm a builder — I know what it takes to build projects and this is not good.'' NABTU has been tracking a host of actions taken by agencies in recent months to scuttle or impede projects that it says are worth billions of dollars and thousands of jobs, such as the Grain Belt Express transmission line that recently saw a conditional loan guarantee cancelled by the Energy Department. McGarvey said that there's no guarantee that other projects will sprout up to replace those job opportunities. 'There's so many people involved in a project, both on the public side and the private side, that once you shut the machine down, it takes a long time to get the machine running again,' he said. Though the strategy may be a stretch, given Trump's deep-seated opposition to things like wind energy and the allure of big-name companies promising to invest in U.S. manufacturing, NABTU has proven to be one of the few unions to demonstrate traction with the White House. To wit, the Office of Management and Budget last month instructed agencies to adhere to a Biden-era policy requiring project labor agreements on most federally funded construction projects after the Defense Department and General Services Administration attempted to circumvent the policy. NABTU won a court victory in May and lobbied the Trump administration to reverse course. Related: 'Boom fades for US clean energy as Trump guts subsidies,' from Reuters. AROUND THE AGENCIES NEW ADDITIONS: The Equal Employment Opportunity Commission last week added three senior personnel to work with acting Chair Andrea Lucas' leadership team. Sharon Rose is joining the EEOC as chief operating officer after previously serving as senior counsel at DOL's Office of the Solicitor. Shannon Royce will serve as Lucas' chief of staff and previously worked at the Department of Health and Human Services. Amanda Smith was appointed to serve as director of communications and legislative affairs; she previously served as a senior adviser at the Republican National recently, she co-led government affairs communications at Lockheed Martin. PLAYING NICE: DOL last week rolled out an expansion of self-audit programs across its workforce protection arms, which can help employers correct problems and head-off the possibility of government investigations. As part of the initiative, the Wage and Hour Division is reviving a payroll audit program launched in 2018 that was scuttled early in President Joe Biden's tenure, while the Occupational Safety and Health Administration is expanding Voluntary Protection Programs. DOL's mining regulator and veterans employment office are also offering new resources. In the Workplace SIGN OF THE TIMES: A steel plant in J.D. Vance's hometown is shutting down an experiment in clean energy and doubling down on coal, Scott Waldman reports for POLITICO's E&E News. The Biden administration's plan to transform the clean energy economy relied on hundreds of billions of dollars in subsidies and incentives, which in turn would help generate additional private investment. The Trump administration has almost completely reversed that approach, undercutting both the Inflation Reduction Act and the bipartisan infrastructure law — and pledging to increase the nation's reliance on coal and other fossil fuels. More workplace news: 'Working Grandmas Are Redefining Grandparenthood,' from The Wall Street Journal. In the States GOV'T EFFICIENCY, Pt. 1: New York is one of the slowest states to process workers' unemployment insurance claims and begin paying out benefits, New York Focus reports. 'New York paid 64 percent of eligible people within [21 days] in the first half of this year — far below the 87 percent benchmark that the federal government considers 'acceptable.'' The delays have also gotten worse in recent months, dipping as low as 55 percent on-time in May. The state Labor Department said it has fewer employees handling UI claims than before the pandemic. — Pt. 2: A flaw in a New York City youth jobs program's direct-deposit system allowed scammers to fraudulently draw millions from ATMs, The New York Times reports. More state news: 'In Las Vegas, Republicans take victory lap on 'no tax on tips' policy; Democrats decry its details,' from the Las Vegas Sun. WHAT WE'RE READING — 'Intel to Lay Off 15% of Workers, Cancel Billions in Projects in Bid for Rebound,' from The Wall Street Journal. — 'AI intensifies battle for talent, housing and investments in San Francisco,' from The Washington Post. — 'ICE Took Half Their Work Force. What Do They Do Now?' from The New York Times. THAT'S YOUR SHIFT!
Asahi Shimbun
17-07-2025
- Politics
- Asahi Shimbun
U.S. forces team partnering with SDF in peactime to react to crises
Col. Paul Bartok, director of the Japan Self-Defense Force Joint Operations Command Cooperation Team (Provided by U.S. Forces Japan) A new U.S. Forces Japan (USFJ) team is seeking a closer working relationship with the Self-Defense Forces in peacetime to ensure that both countries 'seamlessly coordinate in a contingency,' its director said. 'In order to respond in a time of crisis, we first need to be ready in peacetime,' Col. Paul Bartok told The Asahi Shimbun in a recent interview. He leads the Japan Self-Defense Force Joint Operations Command Cooperation Team (JCT), which was installed at the Akasaka Press Center, a U.S. military compound in Tokyo's Roppongi district, in April. Bartok said his team is dedicated to enhancing operational coordination between USFJ and the Japan Self-Defense Force Joint Operations Command (JJOC), which was established to better integrate the SDF's ground, maritime and air branches in March. 'The JCT's mission is to streamline communication and drive interoperability with the JJOC to facilitate faster decision making and a more effective joint response in crisis,' he said. Bartok said the team is focused on partnering with the Japanese command in peacetime, 'by building those relationships with the JJOC, testing the communication systems and developing bilateral processes, so that we can seamlessly coordinate in a contingency.' The Defense Department plans to grant operational command authority to USFJ, which is currently under the command authority of the U.S. Indo-Pacific Command, based in Hawaii. The JCT's formation is seen as the first step toward the new command-and-control structure. 'The upgrade of USFJ into a dedicated war fighting headquarters will integrate many new capabilities to enhance the alliance's ability to deter threats and respond to crises together,' Bartok said. 'The JCT will facilitate that collaboration and synchronization with the JJOC on those capabilities.' In Japan, doubts have been raised over whether the SDF can maintain the independence of its operational command authority in a contingency if the SDF and the U.S. military align their command-and-control functions more closely. Bartok brushed aside those concerns. 'U.S. forces and Japanese forces will remain under their respective national commands,' he said. 'Through the JCT, we'll enhance interoperability between those separate command structures and find ways to efficiently and effectively support each other.' * * * Koji Sonoda is a deputy editor at The Asahi Shimbun's Political News Section.
Eyewitness News
03-07-2025
- Eyewitness News
Witness says Mbenenge and Mengo mostly used emojis representing joy, happiness in their conversations
JOHANNESBURG - A new witness before the Judicial Conduct Tribunal (JCT) investigating allegations of sexual harassment against Eastern Cape Judge President Selby Mbenenge, said that the judge and high court secretary, Andiswa Mengo, mostly used emojis that represented happiness and joy in their conversations. Expert in information communication technology (ICT), Dr Vincent Mello, told the tribunal that the "rolling on the floor, laughter" emoji was used 20 and 28 times by the parties during their conversations on the social media platform, WhatsApp. Earlier this year, forensic and legal linguist, Dr Zakeera Docrat, was called to testify by evidence leader, Advocate Salome Scheepers and said that the judge president used emojis with explicit sexual connotations in his interactions with the junior staffer. However, the legal team for the Eastern Cape's highest judge is continuing its quest to discredit this testimony. It called on Mello to provide his expertise on emojis and their use before the fact-finding body sitting in Sandton, Johannesburg. When probed on the use of the laughing emojis, Mello said the parties used them in the same way, with this meaning ascribed to them. "Crying, funny, ha ha, happy, hey hey, hilarious, joy, laughter, lol, lots of laugh." Advocate Griffiths Madonsela also quizzed Mello on the use of the emoji with its hands covering its eyes. Mello said it was used approximately 20 and 24 times and had different meanings attached to it. "The ascribed meaning would be embarrassed, hide, also you can see in terms of forbidden and OMG shortened to be 'oh my God.'"
Asahi Shimbun
28-06-2025
- Politics
- Asahi Shimbun
U.S. Forces Japan chief calls new command ‘historic' shift
The commander of U.S. Forces Japan said the recent decision by the Self-Defense Forces to establish a joint operations command was a 'historic development' that would be matched by greater coordination on the part of the U.S. military. Lt. Gen. Stephen Jost submitted an opinion piece to The Asahi Shimbun in which he explained the aim of the recently initiated Japan Self-Defense Force Joint Operations Command Cooperation Team, or JCT. During his late March visit to Japan, U.S. Defense Secretary Pete Hegseth announced that the first steps had been taken to give U.S. Forces Japan operational command authority to eventually better coordinate with the SDF Joint Operations Command. Jost explained that the role of the JCT would be 'to further strengthen our bilateral ability to respond to crises or contingencies.' The team would serve as the 'primary interlocutor and liaison' between the SDF and U.S. Forces Japan, he said. He added that the team, 'marks the first tangible step we're taking to enhance our operational synergy with Japan.' Based in Tokyo, the JCT is 'a small team today, but it will continue to grow as USFJ expands its capabilities and authorities,' Jost said. He added that the primary mission of U.S. Forces Japan would result in a switch from 'alliance management' to integrating and synchronizing 'operations that span the spectrum ... from humanitarian assistance, disaster relief and armed conflict.' U.S. Forces Japan currently comes under the U.S. Indo-Pacific Command, based in Hawaii, but will gradually increase its command authority over the next few years, Jost said. Touching on recent moves by Tokyo to possess the capability to strike at enemy bases preparing to launch missiles against Japan as well as sharply increase defense spending, Jost said they illustrate 'Japan's determination to serve in a leading role' in regional security. In the context of China's continuing military buildup, Jost said the decision to integrate the command-and-control structures would lead to 'deeper security cooperation while signaling a clear-eyed resolve to uphold stability, deter aggression and ensure a prosperous future' in the region. *** The following op-ed piece by Lt. Gen. Stephen Jost appeared in The Asahi Shimbun on June 28 under the headline, Advancing the Alliance: USFJ, JSDF transform future of Indo-Pacific Security The U.S.-Japan security alliance has entered a transformative era, most recently marked by Japan's establishment of the Japan Self-Defense Forces Joint Operations Command and the ongoing evolution of our U.S. Forces, Japan headquarters. The security, freedom and prosperity in the Indo-Pacific face increasing challenges from adversarial nations, primarily the People's Republic of China, and I can tell you firsthand that these threats are only intensifying. The security developments now in motion underscore a growing urgency to prioritize combat credible forces and reinforce our readiness to protect peace in the Indo-Pacific, and I welcome this new phase of our enduring alliance. During the recent Defense Ministerial meeting in Tokyo, Secretary of Defense Pete Hegseth and Defense Minister Gen Nakatani reaffirmed the necessity of our collective transformation efforts, highlighting the increasingly severe security environment. 'We have a robust alliance agenda that will strengthen our deterrence posture, keep the enemy guessing, creating dilemmas for them, and ensure that we achieve peace through strength,' said Hegseth. I join both defense officials in celebrating the establishment of the Japan Self-Defense Force Joint Operations Command; a historic development reflecting Japan's commitment to a more integrated and agile security posture. But what is the Japan Self-Defense Force Joint Operations Command and why does it matter to USFJ and the broader alliance? The answer is an organization with increased functionality and requisite authorities. In other words, the new joint operations command will operate much like a Joint Force Headquarters to unify operational commands across the Japan Self-Defense Force. Japan's ability to provide a more comprehensive and timely response to emerging threats and natural disasters will significantly increase. This crucial step forward represents a key structural evolution and is being done in tandem with a growing defense budget marked by fundamental reinforcements in Japan's defense capabilities, including the acquisition of counterstrike capabilities. The combination of these measures signifies Japan's determination to serve in a leading role in providing regional security. Parallel to these changes, USFJ is transforming to better protect peace and security in the region. As we transition to a Joint Force Headquarters in the years ahead, we will integrate new capabilities across the joint warfighting functions, signaling an important shift to a more distributed and resilient force posture. Moving from a headquarters primarily charged with an alliance management mission to one that, in time, will integrate and synchronize operations that span the spectrum of operations from humanitarian assistance, disaster relief and armed conflict is a monumental task. Our aim is to field a capability that significantly enhances the depth of connectivity and warfighting effectiveness with our Japanese partners to strengthen the Alliance's deterrence. Growing USFJ in parallel with the Japan Self-Defense Force Joint Operations Command requires a collective vision and shared commitment, and I could not be more encouraged by the opportunities ahead. The most recent and visible commitment to the transformation is USFJ's launch of the Japan Self-Defense Force Joint Operations Command Cooperation Team, or JCT. This team is now serving as the primary interlocutor and liaison between our two independent command structures. It's a small team today, but it will continue to grow as USFJ expands its capabilities and authorities as part of our deliberate headquarters transformation efforts. The cooperation team's primary purpose is to further strengthen our bi-lateral ability to respond to crises or contingencies. This team marks the first tangible step we're taking to enhance our operational synergy with Japan. The team is operating from Tokyo and focused on daily, in-person collaboration opportunities across both parallel command structures. Additional organizational and structural changes to USFJ are also being developed in close consultation with U.S. Indo-Pacific Command. These shifts in command and control are occurring against the backdrop of intensifying regional concerns, including a rise in coercive and unprofessional military maneuvers in all domains of operations. These activities emphasize the necessity for a more robust U.S.-Japan security alliance. By modernizing our collective command and control structures, we are achieving deeper security cooperation while signaling a clear-eyed resolve to uphold stability, deter aggression, and ensure a prosperous future for the peace-loving people of Japan and the Indo-Pacific region. It is an honor to be a part of this alliance at such a pivotal moment, and I am confident that together we will rise to meet the challenges ahead.
Politico
25-06-2025
- Business
- Politico
Senate GOP's tax cuts projected to cost $4.2T — with costly SALT deal pending - Live Updates
Senate Republicans' tax package would cost $4.2 trillion, according to a new estimate that will likely create additional complications for Republicans as they race to get their megabill to President Donald Trump's desk. That's already more than the $4 trillion that House Republicans say they're willing to spend on tax cuts, and it doesn't include the cost of a hoped-for deal to loosen a controversial cap on state and local tax deductions that would likely add hundreds of billions of dollars more. It's unclear whether the House will be willing to swallow the higher price tag. The estimate from the official Joint Committee on Taxation also comes as Senate Republicans are scrambling to salvage a number of provisions meant to offset some of the cost of the legislation after they were rejected by the Senate parliamentarian. Though Republicans have been debating their tax, immigration and defense bill for months, lawmakers in the two chambers have not yet settled on how much they can spend in total on the legislation — an impasse set to soon come to a head. And, confusingly, the estimate is the second official analysis of the legislation in recent days — and is radically different from the first. At the insistence of Republicans, the JCT also estimated the cost of the legislation using an alternative methodology that showed the plan only costing $442 billion. Critics call that 'current policy baseline' analysis a budget gimmick that's designed to hide the true cost of the legislation. Democrats demanded the second estimate using the conventional methodology forecasters use to project the cost of legislation. 'Republicans claim their plan costs only $440 billion, but this new analysis shows it actually costs 10 times that much,' said Senate Minority Leader Chuck Schumer (D-N.Y.) and Sen. Ron Wyden (D-Ore) in a joint statement. 'The Republicans want to rig the process and flout the rules.' The dueling analyses only cover the tax portion of the package. The other parts will be analyzed by JCT's sister agency, the Congressional Budget Office. The new estimate comes as Senate leaders hope to push their draft of the legislation through the chamber this weekend, with an eye toward getting it to Trump's desk by their July 4 recess. On Tuesday, Trump urged lawmakers to stay in session until the bill is passed. 'NO ONE GOES ON VACATION UNTIL IT'S DONE,' he wrote on Truth Social. Amid mounting concern over federal red ink, House Republicans have been adamant that lawmakers spend no more than $4 trillion on tax cuts — their tax cuts clock in at $3.8 trillion — unless they can simultaneously come up with more than $1.5 trillion in spending cuts. Senate Republicans' budget allows $5.3 trillion in tax cuts and is vague about how much in spending they intend to cut. Normally lawmakers would settle on a common approach as part of a budget plan adopted in the spring, but they were unable to find an agreement. The tax portion of the Senate's draft is now being scrubbed for violations of the chamber's arcane procedural rules for budget reconciliation, and it's possible that some of the bill's tax increases — designed to help defray the cost of the bill — could be thrown out by the parliamentarian, which would exacerbate budget pressues. Reconciliation measures, which are immune to filibusters, are supposed to be strictly focused on budgetary matters, though lawmakers frequently try to include other provisions that can be deleted by the parliamentarian. Behind closed doors, lawmakers are still massaging the tax portion of the plan, and it's possible they will add new offsets to help bring down the cost. Much of the difference between the cost of the House and Senate plans is driven by Finance Committee Chair Mike Crapo's drive to make many more of the provisions a permanent part of the tax code. He'd do that not only with a trio of business provisions projected to cost $566 billion, but a number of other tax breaks as well. At the same time, he added new provisions like a new charitable break for people who don't itemize that's projected to cost $63 billion. Crapo (R-Idaho) partly makes up the difference by squeezing or throwing out altogether a number of proposals approved by the House. His draft includes smaller breaks for tips and overtime demanded by Trump while dumping plans to expand health savings accounts and spending less on a deduction for owners of unincorporated businesses. Crapo has also antagonized House Republicans by phasing out green energy credits created during the Biden administration more slowly than they'd like while cutting more out of the politically sensitive Medicaid program.
