Week of June 12, 2023

If you managed to avoid being indicted by federal prosecutors, you likely had a better weekend than former President Donald Trump. While the indictment of a former president, and current leading contender for his party’s nomination in 2024, is certainly unprecedented; it is worth considering the more cynical (realistic?) theory that this helps Trump politically as it plays into his long-running narrative that he is being persecuted by the “Deep State.”

And, if the perpetual three ring circus that is the Trump political world is not enough for you, the House of Representatives returns this week seemingly in the same predicament that stalled out last week’s legislative process. The reality is that there is a legitimate hangover for some Republicans over the debt ceiling deal that Speaker Kevin McCarthy (R-CA) cut with President Joe Biden. Given the very narrow majority the McCarthy has to work with in the 118th Congress, it only takes a handful of Members to throw a wrench in the gears, and in this case there are approximately 10-12 Freedom Caucus-aligned Republicans who are refusing to vote in favor of a the rule that would govern debate, so the House cannot consider any bills under regular order until this is resolved.

What We’re Watching: 

  • NDAA Markups Are A Go: After postponement in May, the House Armed Services Committee will begin its annual subcommittee markups for the National Defense Authorization Act, tackling defense spending on a number of issues. The hearings will be rigidly held this week, with the full Committee Markup taking place next Wednesday. The NDAA traditionally includes a myriad of tech provisions surrounding cybersecurity and R&D on emerging tech like AI and quantum. This kicks off the annual defense authorization process, and the expectation, per usual, is that a final, negotiated product will be at the President’s desk in Q4.

  • Senate Judiciary to Consider Intersection of AI and Human Rights: The Senate Judiciary Committee continues their hunt for information into the ever-evolving AI industry with a hearing this week to explore the intersection of AI and human rights. The Subcommittee on Human Rights and the Law will hear from witnesses ranging from academics, to human rights advocates, as well as a victim of a deep fake extortion and kidnapping scam. Prior to the hearing, Subcommittee Chair Ossoff (D-GA) tweeted an ad promoting the panel, which featured his own voice impersonated by AI. The steady cadence of hearings is indicative of Congress’ focus on the emerging field and appetite for regulation.

  • Financial Services Takes Its Turn on Crypto Regulations: Following the House Agriculture Committee hearing last week examining the discussion draft to regulate digital assets, the House Financial Services Committee will take a stab at it this week, with a different panel of witnesses. The Committee will hear from industry stakeholders and experts on digital assets, and, in addition to considering the discussion draft, will also focus on proposed legislation to regulate payment stablecoins. Some Democrats on the Committee have expressed opposition to the legislation over the narrowed oversight role given to the SEC. Members on the Agriculture Committee, however, are said to be working on bipartisan negotiations to refine the bill.

What’s Happening This Week:

Tech Hearings

  • House Armed Services Cyber Subcommittee NDAA Markup - Tuesday, June 13 at 11:00 AM ET

  • House Financial Services hearing on Treasury oversight - Tuesday, June 13 at 10:00 AM ET

  • Senate Banking hearing on Semi-annual Report of CFPB - Tuesday, June 13 at 10:00 AM ET

  • Senate Judiciary Hearing on Section 702 Oversight - Tuesday, June 13 at 10:00 AM ET

  • House Financial Services hearing on digital assets - Tuesday, June 13 at 2:00 PM ET

  • House Science Subcommittee hearing on Fusion - Tuesday, June 13 at 2:00 PM ET

  • Senate Judiciary Subcommittee hearing on AI and human rights - June 13 at 2:30 PM ET

  • Senate HSGAC Markup - Wednesday, June 14 at 10:30 AM ET

  • House Financial Services hearing on Semi-annual Report of CFPB - Wednesday, June 14 at 10:00 AM ET

  • U.S.-China Economic and Security Review Commission hearing on "Europe, the United States, and Relations with China: Convergence or Divergence?" - Thursday, June 15 at 9:30 AM ET

Tech Events

What’s Interesting This Week:

It’s All Just Space Junk…. On June 13, 1983, the NASA space probe Pioneer 10 crossed the orbit of Neptune, becoming the first man-made object to leave the Solar System. It was launched on March 2, 1972 toward the red star Aldebaran, which forms the eye of the constellation Taurus. The last contact with Pioneer 10 was on January 23, 2003.

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