Week of June 20, 2023
The Swamp is in full effect this week, both metaphorically and meteorologically, as DC’s wonderful combination of heat and humidity has finally arrived. Lobbying pro tip: that blue shirt that you think looks really good with your suit should stay in your closet until October, when the humidity finally breaks.
The annual defense authorization (NDAA) process, as well as the annual appropriations process, continue to plod along this week with legislative mark-ups at the subcommittee and full committee levels. And, while it is probable that the NDAA package will be debated in the House and Senate in July, it is just as likely that we will not see any appropriations pass either the House or Senate until at least September.
Finally, Senate Majority Leader Chuck Schumer (D-NY) is expected to roll out his Artificial Intelligence (AI) policy agenda later this week. This is the next step in Schumer’s push to make AI policy the successor to his work in the last Congress on semiconductors, which ultimately resulted in the CHIPS Act being signed into law.
Congress heads into an unusually long two-week recess for the Fourth of July holiday, so the Franklin Square Group newsletter will return to your inbox on Monday, July 10.
What We’re Watching:
AI Hearing Deja Vu: Congress’ focus on AI continues, as it seems there is at least one committee holding AI-specific hearings every week. This week, the House Science Committee takes its turn on the issue, as Members will hear from subject matter experts, representatives from private companies, as well as advocates for responsible AI. The hearing will be of particular interest as congress continues to ponder legislation to regulate AI development in light of Ranking Member Zoe Lofgren’s (D-CA) recent comments that the House Science Committee has primary jurisdiction over the issue. While Senate Majority Leader Schumer (D-NY) has made clear he intends to work on AI legislation, there has not been the same legislative push in the House.
News Competition Policy Inches Along in Senate Judiciary: Although competition policy has been relatively quiet so far this congress, last week we saw some movement on the antitrust front. The Senate Judiciary Committee on Thursday passed S.1094, “the Journalism Competition and Preservation Act (JCPA),” with a vote of 14-7. Led by Senator Amy Klobuchar (D-MN), the JCPA provides a temporary collective bargaining safe harbor for news publishers of online content to negotiate with large online platforms regarding the terms on which content may be distributed. Senator Alex Padilla (D-CA) was the lone Democratic “no” vote on the bill, suggesting it does not adequately ensure that revenue increases will go to journalists. Timing for if and when the legislation will receive time on the floor is unclear, as the same legislation was met with resistance last congress. However, the action demonstrates a slightly renewed focus on willingness to tackle competition policy.
House Members Focus On Cybersecurity Workforce: Committees of jurisdiction continue to keep cyber in the frame, especially in light of recent cyberattacks on government agencies. One main challenge: ensuring a cyber workforce. The House Homeland Cyber Subcommittee this Thursday will hear from industry experts on how they are ramping up their cyber workforces and the ongoing challenges they face in employment. Chair Andrew Garbarino (R-NY) suggested that the nearly 700,000 cybersecurity job openings leaves “public and private entities, including our nation’s risk advisor, the Cybersecurity and Infrastructure Security Agency, with a persistent workforce shortage,” noting the Committee’s commitment to ameliorating the issue.
What’s Happening This Week:
Tech Hearings
House Energy and Commerce Subcommittee hearing on FCC Oversight - Wednesday, June 21 at 10:30 AM ET
House Agriculture hearing on closing the digital divide - Wednesday, June 21 at 10:00 AM ET
House Armed Services NDAA Markup - Wednesday, June 21 at 10:00 AM ET
House Science hearing on AI - Thursday, June 22 at 2:00 PM ET
House Financial Services hearing on the Federal Reserve’s Semi-annual Monetary Policy Report - Thursday, June 22 at 10 AM ET
Senate Banking hearing on the Federal Reserve’s Semi-annual Monetary Policy Report - Thursday, June 22 at 10 AM ET
House Financial Services hearing on Oversight of the SEC - Thursday, June 22 at 9 AM ET
House Financial Services hearing on Oversight of the SEC Division of Trading and Markets - Thursday, June 22 at 10:30 AM ET
Tech Events
National AI Advisory Committee Meetings - June 20, 22, and 27 (see link for times)
The Government Executive Media Group - "Mission to Modernize: Best Practices for Data Center Transformation" - Tuesday, June 20 at 2:00 PM ET
The Brookings Institution - "Promoting Competition in Banking" - Tuesday, June 20 at 10:00 AM ET
New America - "Section 230 and the Public Interest: Proceed with Caution" - Tuesday, June 20 at 12:30 PM ET
The Hudson Institute - "U.S. Leadership in Tech Diplomacy" - Wednesday, June 21 at 9:30 AM ET
The Information Technology and Innovation Foundation - "How Can the Global South Benefit from AI (Artificial Intelligence) Innovation?" - Wednesday, June 21 at 11:00 AM ET
The Cato Institute - "Financial Stability and Systemic Risk: What Recent Bank Failures Say about the U.S. Regulatory Framework" - Tuesday, June 21 at 11:30 AM ET
The Atlantic Council - "Scaling trust on the web," focusing on "the national security implications of the future web and the growth of generative AI (artificial intelligence)" - Tuesday, June 21 at 3:00 PM ET
The Peterson Institute for International Economics - "The Basel III Endgame" - Thursday, June 22 at 9:00 AM ET
The American Enterprise Institute for Public Policy Research - "System Error: Where Big Tech Went Wrong and How We Can Reboot" - Thursday, June 22 at 3:30 PM ET
The Brookings Institution and Urban Institute's Tax Policy Center - "The Prescription: Fiscal Policy for Today's Economy," focusing on "how the growing popularity of artificial intelligence and tools like ChatGPT could impact tax policy and administration" - Thursday, June 22 at 12:00 PM ET
What’s Interesting This Week:
Move Over SpaceX…. On June 21, 2004, financed by Microsoft co-founder Paul Allen, SpaceShipOne became the first spacecraft developed by the free market to enter spaceflight. Launched from a mothership named White Knight, SpaceShipOne flew just beyond the atmosphere into the threshold of space then glided back to Earth. SpaceShipOne would later win the $10 million Ansari X Prize for the first non-government organization to launch a reusable manned spacecraft.
