Thursday, April 9, 2020

POLITICO NIGHTLY: Covid-2020






 
POLITICO Nightly: Coronavirus Special Edition
Presented by
CORONAVIRUS SOCIALISM — It took a pandemic to make Bernie Sanders stop running for president . The calamitous spread of the coronavirus either propped him up for an additional few weeks by delaying primaries that would have ensured his demise, or it pushed back too far what might have been his last opportunities to demonstrate a gasp of a chance. Either way, the specter of Covid-19 effectively forced Sanders' hand. "As I see the crisis gripping the nation," he said today in his announcement, "I cannot in good conscience continue."
And regardless of what you think of his prescriptions for the American economy, it's undeniable that the virus and its consequences have cast a blinding light on the inequities that have animated his lifelong political project. In the age of coronavirus, the cluster of issues the 78-year-old democratic socialist talks and talks and talks about are more at the forefront of the national conversation than they have been at any point in his half century of harping. A robust federal government. The inequality and ungenerosity of American health care. The low wages of workers who in these last few weeks have gone from unseen to "essential."
None of this, of course, means that the pandemic is going to — or should — shift popular opinion so dramatically that Congress passes Medicare for All or bumps the federal minimum wage to 15 bucks an hour. But it's clear that the economic fallout from coronavirus is hastening the arguments over the merits of the American tradition of laissez faire, even as Sanders retreats from the scene.
Five years ago, when I traveled to Vermont for the first time to report on Sanders, the conventional wisdom was to write whatever I was going to write fast. Because he wasn't going to be running for long. Because he wasn't going to matter for long. Ha.
Sanders in the last five years arguably has been the most important person in American politics not named Donald Trump. He pushed Democrats further to the left than the party's leaders ever could have envisioned. He contributed to Trump becoming president, some would say (and have said), by staying in the 2016 race as long as he did.
Now his 2020 bid is dead. But as long as this pandemic is with us — which the experts are saying will be a long, long time — his issues won't be.
Welcome to POLITICO Nightly: Coronavirus Special Edition, a nightly intelligence brief from our global newsroom on the effect of the coronavirus on politics and policy, the economy and global health. Reach out with ways to entertain an active toddler during a pandemic: rrayasam@politico.com and @renurayasam.
 
A message from PhRMA:
In these unprecedented times, America's biopharmaceutical companies are coming together to achieve one shared goal: beating COVID-19. We are sharing learnings from clinical trials in real time with governments and other companies to advance the development of additional therapies. Explore our efforts.
 
First In Nightly
WATCHMEN — As the Trump administration begins pumping trillions of taxpayer dollars into the economy, none of the built-in oversight mechanisms are even close to functional, Congress reporter Kyle Cheney writes. Congressional leaders have appointed just one of five members to a commission meant to serve as lawmakers' eyes on Trump administration decisions for a $500 billion fund for distressed industries. An inspector general nominated by Trump intended to provide a second check has already generated controversy among Democrats, and the president's sidelining of the chairman of a third independent overseer set back the one mechanism that appeared on track.
Trump has also indicated he may ignore additional protections built into the law meant to keep Congress apprised of any concerns about mismanagement, issuing a signing statement that said it would be unconstitutional to require executive branch watchdogs to report any obstruction in their investigations, unless Trump himself approves.
In addition, every pillar of the $2 trillion law — from its portal to steer $350 billion to struggling small businesses to its desperately needed relief for airlines — has already run into significant roadblocks and unintended consequences that would be tailor-made for independent review.
Talking to the Experts
What is the most important job for the military in the coming weeks?
"The priority right now should be to contribute to this campaign that has already taken more American lives than Iraq, Afghanistan and the 9/11 attacks together. I hope it doesn't come to it that we actually have to use conventional units to reinforce first responders, whose ranks have been depleted by the virus. I don't know that that's the case now. I think it probably looked a bit more alarming a week ago. But if it takes that, we need to be ready to do it." — Former CIA Director and Commander of U.S. Central Command David Petraeus, as told to senior national correspondent Bryan Bender
"Job No. 1 is keep the eye on the ball of those entities in this world that would take advantage of a crisis like this. That is hard to do when you see how ill-prepared our nation is for something like this. The government has not been doing its job in providing for the common defense and therefore they are leaning on the military far more than they ever should. When you think about the lessons you must learn from this coronavirus, one of them is that we have almost fallen asleep as a society with regard to our preparedness for those things we know will eventually happen. If you prepare for it ahead of time it does not need to be a crisis and it does not need to break the bank." — Lt. Gen. Steven Kwast, U.S. Air Force retired, former commander of the Air Education and Training Command
 
TOMORROW - MENTAL HEALTH IN THE AGE OF CORONAVIRUS: The pandemic has raised concerns about mental health as Americans cope with a new normal. Join POLITICO health care reporter Brianna Ehley for a virtual Coronavirus Special Report on mental health with Joshua A. Gordon, director of the National Institute of Mental Health and Paul Gionfriddo, president of Mental Health America, to discuss the psychological and emotional challenges that arise with social distancing, healthy coping mechanisms and how all of this and more is being incorporated into the broader public health response. They will take questions; don't miss out. REGISTER HERE TO PARTICIPATE.
 
 
On The Economy
PAYCHECK PROTECTION PAIN — Layers of bureaucracy and insufficient funding have hampered the rollout of the federal government's program aimed at helping small businesses prevent layoffs. The Trump administration says that banks have lent out $98 billion of the $350 billion that Congress has allocated to the program, but businesses are complaining that the money isn't reaching them fast enough. Senate Republicans, citing off-the-charts demand for the funds, aim to add another $250 billion to the program.
"I think some of the businesses are looking at days or weeks in terms of how long they have to survive," our Zachary Warmbrodt tells us.
The biggest question for the program is whether the loans should become grants. Businesses don't have to pay back the loans if they maintain their payrolls, but banks say that they don't have enough guidance from the feds about which businesses must pay back the funds. Some advocates are calling for the program to just formally become a grant program. They say that the government should hand out direct grants to cover not just payroll and health insurance for a few months but also rent and other expenses. Others are calling on help for businesses that have already laid off workers.
A woman wearing a mask shops for Passover items at a Kansas grocery store during the coronavirus pandemic | Getty Images
A woman wearing a mask shops for Passover items at a Kansas grocery store. | Getty Images
HOW TO SAVE A LIFE — Twitter founder Jack Dorsey has pledged $1 billion — 28 percent of his fortune — toward Covid-19 and other initiatives, joining a long list of corporate givers who are redirecting their philanthropic efforts to the pandemic. Bill Gates is supporting vaccine development, and Lionel Richie even wants to bring back "We Are The World." If you're fortunate enough to have money to give to help fight the pandemic and its economic devastation, what is the most effective way to put your charitable dollars to work?
Peter Singer and Charlie Bresler argue for spending your money far away from your neighborhood, by targeting charitable efforts in low-income countries, a strategy they've long advocated with their nonprofit The Life You Can Save. The pandemic has heightened the food shortages and housing insecurity that people in extreme poverty face in poorer countries, which are likely to see the brunt of pandemic deaths globally.
"There are very basic needs there that in more affluent countries people don't have trouble meeting, and they can be met cheaply," Singer tells us. "I'm not telling people not to give locally because the emotional pull is there, but also think about people elsewhere in the world who don't have resources." The Life You Can Save recommends charities that create radio spots in African countries urging social distancing and one that provides clean water and soap to improve hygiene and GiveDirectly , a charity that previously sent direct cash transfers to people in Kenya and Uganda but now is also giving $1,000 directly to vulnerable U.S. families in poor neighborhoods.
Dorsey should look at the long term, said Patricia McIlreavy, president and CEO of the Center for Disaster Philanthropy. The crisis will affect the country for years as people struggle with unemployment, children fall behind in school and cases of domestic violence grow, she said. "You don't need to spend all of that billion in the first week," she tells us.
Critics of billionaire philanthropy think the U.S. is too reliant on private donations during disasters. Private foundations aren't accountable to citizens, argues Stanford's Rob Reich, co-director of the Center on Philanthropy and Civil Society. People shouldn't have to rely on private money for public health supplies and humanitarian relief, he said. "The federal response has exposed the U.S. to be shockingly unprepared at the governmental level."
 
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The Global Fight
GONE MISSING — The coronavirus pandemic should have been a moment for global action. Instead, the U.N. is riven with dissension and self-doubt, and countries are going their own way. Diplomats report a sense of shame and desperation that the U.N. Security Council will discuss the pandemic for the first time Thursday, Nahal Toosi and Ryan Heath write.
ASIAN LOCKDOWN: THE SEQUEL Singapore has recorded just six deaths, but a second wave of cases is building: 142 new cases were reported today, Ryan writes. So the city-state has started a new month-long lockdown, enforceable via heavy fines and jail time. "We will now also disallow social gatherings of any size in both private and public spaces," Health Minister Gan Kim Yong told Parliament. And while Japan cannot legally enforce a lockdown, Prime Minister Shinzo Abe announced a state of emergency across the country's biggest cities Tokyo and Osaka and surrounding districts.
STUCK ON THE TARMAC — The number of flights worldwide has plummeted by 59 percent since the beginning of the year. Flights dropped considerably after March 11 (shown in dark red below), when Trump banned flights from most EU countries to the U.S.
POLITICO EU/Flightradar24
POLITICO EU/Flightradar24
Nightly Number
$646.7 million The amount the federal government will pay Philips to deliver 2,500 ventilators to the federal stockpile by the end of May, and 43,000 by the end of the year. The announcement comes after Trump invoked the Defense Production Act, a federal emergency law, last Friday for Philips and five other medical device companies. The other firms will receive similar contracts "in the coming weeks," HHS said. (h/t Tanya Snyder and Gavin Bade)
 
TOMORROW - AN IMPORTANT WOMEN RULE VIRTUAL BRIEFING: Job losses have soared and millions of Americans have filed for unemployment as the economic fallout from the pandemic deepens. Join Women Rule Editorial Director Anna Palmer tomorrow at 4 p.m. EDT for a virtual conversation with Caroline Fairchild, editor at large, LinkedIn, to learn strategies for navigating a difficult job market during this devastating generational pandemic and economic crisis. You can tweet job market-related questions to @POLITICOLive using #RuleWithUs. REGISTER HERE TO PARTICIPATE.
 
 
Parting Words
THE RESPONSE FROM SPACE — Worldwide, authorities are turning football stadiums, parks and public spaces into ad hoc hospitals and testing facilities. And the scale of such operations can best be grasped from space. EU countries are using satellite information to better plan their coronavirus responses. The technology has been used to mark medical facilities and recreational areas in Turin, Italy, to determine risk areas, and to highlight border controls affecting supply lines with maps of traffic jams on roads on the Austrian-Hungarian border.
 
A message from PhRMA:
In these unprecedented times, America's biopharmaceutical companies are coming together to achieve one shared goal: beating COVID-19. The investments we've made have prepared us to act swiftly:
· Working to protect our workforce and the communities where we live and work, having employees work from home whenever possible and keeping our salesforces out of hospitals and physicians' offices
· Remaining steadfast in our commitment to research and develop new medicines to prevent, treat and cure disease in all its forms, not just COVID-19
We all have unique roles to play and are confident that together we can be successful. And we won't rest until we are.
Explore our efforts.
 
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Renuka Rayasam @renurayasam
 
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