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Postmaster General David Steiner has said that USPS would not deliver ballots in states that don’t hand over their voter rolls to the Trump administration for purging under a since-blocked executive order.
A Democratic congressman is calling for Postmaster General David Steiner to be removed from office for allowing the US Postal Service to turn into what he called "a partisan instrument of voter suppression" for President Donald Trump.
Rep. Raja Krishnamoorthi (Ill.), a senior Democrat on the House Oversight Committee, sent a letter to Steiner and members of the USPS board of governors on Monday criticizing the postmaster general for refusing to clarify if he intends to follow an executive order signed by Trump in March ordering the Postal Service to halt the delivery of mail-in ballots in states that do not turn over lists of voters to be checked against a federal citizenship list.
A federal judge has blocked the administration from implementing the order's provisions that create federal citizenship lists and allow USPS to condition ballot delivery on states submitting voter information, ruling that Trump had usurped powers belonging to the states and Congress.
Last week, the administration and a group of 12 Republican states filed emergency applications asking the US Supreme Court to allow the order to take effect prior to November’s midterms.
Krishnamoorthi said that this filing contains "a troubling contradiction." It argues that Trump had merely issued “general policy guidance” to agencies rather than concrete directives, and that it's therefore premature for courts to rule on its constitutionality.
"USPS's apparent implementation efforts over the past four months tell a different story," Krishnamoorthi wrote.
He pointed out that USPS had sent the rule to the White House Office of Management and Budget for review and had begun to create a federal ballot portal, state voter participation lists, and procedures on accepting ballots.
Steiner, meanwhile, said during a hearing in June—while the order was facing litigation but had not yet been struck down—that he fully intended to block mail-in ballots from states that don't hand over their voter rolls.
Krishnamoorthi also wrote that the administration's argument before the Supreme Court that blocking the order would cause "irreparable harm" does not withstand factual scrutiny.
He noted that noncitizen voting, which the administration claims the order is meant to prevent, is not only already a federal crime, but exceedingly rare. One analysis by the Brookings Institution last year found that in general elections between 2016-22, there were approximately four instances of mail-in voting fraud per 10 million mail ballots cast—about 0.000043% of them.
"The administration has not produced evidence of fraud on a scale capable of affecting an election outcome," Krishnamoorthi wrote. "Disenfranchising millions of eligible voters—including military personnel serving overseas, seniors, rural voters, individuals with disabilities, and working families—is not a proportionate response to fraud rates of this magnitude."
He also wrote that Steiner had repeatedly refused his requests for information about how USPS has implemented the executive order and whether it is still doing so despite the court's order to stop.
"A postmaster general who will not tell Congress whether his agency is complying with a federal court order, and who will not appear to answer for that silence, has already forfeited the trust the office requires," wrote Krishnamoorthi. "I am therefore calling on the Postal Service Board of Governors to remove you as Postmaster General, and I will urge my colleagues on the committee to join that call."
There is already evidence that a voter citizenship registry run by the Trump administration could disenfranchise lawful voters.
In June, a federal judge found that states using an expanded version of the federal government's Systematic Alien Verification for Entitlements, which is used by the federal government to track immigration status, led local voting officials to wrongly cancel the voter registrations of naturalized citizens.
In Travis County, Texas, an investigation found that 25% of the people flagged as "noncitizen matches" had already proven their US citizenship.
Jasleen Singh, a senior counsel and manager in the Brennan Center’s Democracy Program, wrote in June that the administration "has been engaged in a concerted campaign to undermine elections."
"Part of that involves collecting state voter files and using federal data sources to lend pseudolegitimacy to false claims of widespread fraud," she said. "While there may be valid ways to use federal data to support election officials’ efforts to keep voter rolls accurate and up to date, there are notable shortcomings in such data, and it may be misused to spread misinformation."
"While Republicans slash healthcare and other programs Americans depend on, President Trump is reportedly using hundreds of millions of taxpayer dollars for a White House ballroom," said US Rep. Raja Krishnamoorthi.
Democratic lawmakers are reacting with disgust amid new reporting on how the White House has been using sneaky budget maneuvering to get US taxpayers to fund President Donald Trump's luxury ballroom that was never approved by Congress.
According to a Thursday report in The Washington Post, the White House Office of Management and Budget (OMB) mysteriously shifted $352 million within the US Secret Service budget that had been earmarked for training and recruitment, but that will now be spent on White House security measures.
An insider familiar with the process told the Post that the redirected funds were related to the construction of the ballroom.
A White House spokesperson did not deny that the money was going toward the ballroom project, while insisting that "the East Wing Modernization Project is inextricably tied to the security of the president, the White House grounds, and the certain security infrastructure assets."
Sen. Jeff Merkley (D-Ore.), ranking member of the Senate Budget Committee, told the Post he was concerned that money "intended to pay Secret Service agents and ensure they have the technology and resources they need to keep individuals under their protection safe" is now being spent on the president's "vanity project."
In a Wednesday interview with NOTUS, Sen. Chris Coons (D-Del.) said it appears Trump "was just flat out lying when he said the taxpayers will not pay a dime for his ballroom," adding that it appears "he is now trying to find ways to funnel public money into it."
In a Thursday social media post, Rep. Raja Krishnamoorthi (D-Ill.) contrasted Trump's willingness to use taxpayer cash for his ballroom with cuts he and the GOP made to vital healthcare and food assistance programs.
"While Republicans slash healthcare and other programs Americans depend on," Krishnamoorthi wrote, "President Trump is reportedly using hundreds of millions of taxpayer dollars for a White House ballroom he claimed would be privately funded."
Rep. Jonathan Jackson (D-Ill.) similarly argued that while the GOP's 2025 budget law "kicked 4.3 million people off SNAP and 5 million people off [Affordable Care Act] health insurance coverage," the administration is now "dishonestly spending millions of dollars of YOUR money to fund a ballroom instead of helping struggling Americans put food on the table and receive essential medical care."
Rep. Jamie Raskin (D-Md.) linked the ballroom money to other Trump schemes to enrich himself through the presidency, including his acceptance of a luxury jet from the government of Qatar and his $1.8 billion slush fund for political allies.
"Now we learn that Trump’s bad architecture obsession is costing us all $600 million," Raskin wrote, in reference to earlier reporting on how the ballroom project has ballooned in costs from the White House's early estimates. "Turn your illegal Qatari jet over to the people and we’ll sell it for $400 million and we’ll take the rest out of other illegal emoluments and slush funds, including the $1.776 billion fund for insurrectionists, and the Board of Peace, another unauthorized Trump fund bankrolled by money misallocated from the State Department."
"If Trump wants to take his ego trip on tour, he picked the wrong city," said one senior Illinois official. "Chicago doesn't bow down to kings or roll out the red carpet for dictators."
US President Donald Trump said Friday that Chicago is the next city in his crosshairs for the kind of federal invasion and occupation currently underway in Washington, DC—a threat that sparked defiant pushback from officials in the Windy City and beyond.
"After we do this, we'll go to another location, and we'll make it safe also," Trump told reporters in the Oval Office, referring to his federalization of Washington's Metropolitan Police Department and deployment of National Guard troops from the district and five Republican-controlled states.
"We're going to make our cities very, very safe. Chicago's a mess. You have an incompetent mayor. Grossly incompetent and we'll straighten that one out probably next," the president said, referring to progressive Brandon Johnson. "That will be our next one after this. And it won't even be tough."
On August 11, Trump dubiously declared a public safety emergency in Washington, DC, despite violent crime being down 26% from a year ago, when it was at its second-lowest level since 1966, according to official statistics. Critics have noted that Trump's crackdown isn't just targeting criminals, but also unhoused and mentally ill people, who have had their homes destroyed and property taken.
On Friday, Trump threatened to completely take over Washington and oust Mayor Muriel Bowser if she does not stop pointing out that crime has decreased in the city, which the president called a "crime-infested rat hole."
In addition to Chicago, Trump has threatened to send federal forces into cities including Baltimore, Los Angeles, New York, Oakland, and San Francisco. Violent crime is trending downward in all of those cities—with some registering historically low levels.
Unlike in Washington, DC, where home rule laws allow the federal government to take control of local police, Trump would face greater obstacles to intervention in other cities.
"President Trump can't seize control of the Chicago police or any other local department outside of DC," Congressman Raja Krishnamoorthi (D-Ill.) noted on social media Friday. "The military cannot and will not patrol the streets of Chicago, and I will work with state and local officials to ensure that doesn't happen."
Mayor Johnson said in a statement that "the problem with the president's approach is that it is uncoordinated, uncalled for, and unsound."
"If the Trump administration is serious about driving down violence in Chicago, or anywhere else in America, then he should not have taken over $800 million away from violence prevention," he added.
Other elected officials in Illinois also expressed anger and alarm at the prospect of a Trump intervention in Chicago.
Illinois Attorney General Kwame Raoul issued the following statement in response to comments President Trump made today threatening to deploy federal law enforcement to perform civilian law enforcement duties in the city of Chicago: tinyurl.com/5n89nt86
[image or embed]
— Illinois Attorney General Kwame Raoul (@ilattygeneral.bsky.social) August 22, 2025 at 5:01 PM
"After using Los Angeles and Washington, DC as his testing ground for authoritarian overreach, Trump is now openly flirting with the idea of taking over other states and cities," Democratic Illinois Gov. JB Pritzker said on X.
"Trump's goal is to incite fear in our communities and destabilize existing public safety efforts—all to create a justification to further abuse his power," the governor continued. "He's playing a game and creating a spectacle for the press to play along with."
"We don't play those games," Pritzker added. "Our commitment to law and order is delivering results. Crime rates are improving. Homicides are down by more than 30% in Chicago in the last year alone. Our progress in lowering crime has been made possible with [community violence intervention] programs that they’re defunding."
Lt. Gov. Juliana Stratton, a Democrat running for US Senate, said that "if Trump wants to take his ego trip on tour, he picked the wrong city."
"Chicago doesn't bow down to kings or roll out the red carpet for dictators," she added. "As a Black woman from the South Side, I can assure you... your political circus isn't welcome here."
Congresswoman Robin Kelly (D-Ill.) wrote on social media, "President Trump: You are not welcome in Chicago."
"Sending the National Guard endangers Black communities already overpoliced and under-invested in," she added. "If you cared about saving lives, you'd pass gun safety laws and fund community violence intervention."
Sen. Raphael Warnock said he was "heartbroken to see the news of an active shooter incident at Fort Stewart today" and that he would "join all of Georgia as we pray for the safety of our service members, staff, and their families."
A U.S. Army sergeant is in custody as a suspect in a mass shooting at Fort Stewart, Georgia.
As reported by The Associated Press, the suspect opened fire on Wednesday morning and shot five of his fellow military personnel at Fort Stewart, one of the largest military bases in the U.S.
At this time, law enforcement officials have not identified the name of the suspect nor have they released specifics about the current conditions of the five soldiers who were shot. However, the base announced in a social media post that those wounded in the shooting have since been treated and transferred to Winn Army Community Hospital.
The shooting caused the entire base to go into lockdown for roughly an hour before law enforcement officials apprehended the suspect and determined there was no further threat to the community.
Several elected officials weighed in on the shooting shortly after the news broke. Sen. Raphael Warnock (D-Ga.) said he was "heartbroken to see the news of an active shooter incident" and that he would "join all of Georgia as we pray for the safety of our service members, staff, and their families."
Rep. Joaquin Castro (D-Texas) also commented on the shooting in a post on X.
"My heart is with the loved ones of the victims from the shooting that took place at Fort Stewart in Georgia," he said . "Our service members deserve to be safe in the country they sacrifice so much for. We must work to end the gun violence epidemic that has reached every corner of our society."
Rep. Raja Krishnamoorthi (D-Ill.) said he was "heartbroken" to learn of the shooting and that his thoughts were "with the injured soldiers, their families, and the entire military community during this difficult time."
"If congressional Republicans think these burdens are appropriate for struggling families, then members of Congress should shoulder them too," said BURDEN Act sponsor Rep. Raja Krishnamoorthi.
In response to Republicans' new law giving tax breaks to the rich while gutting the social safety net, U.S. Congressman Raja Krishnamoorthi on Thursday introduced legislation that would force members of Congress "to personally comply with the same burdensome work requirement paperwork they imposed on low-income Americans."
Under the Illinois Democrat's Bringing Unfair Reporting Duties to Electeds Now (BURDEN) Act, federal lawmakers "would be barred from enrolling in the Federal Employees Health Benefits Program unless they submit monthly proof of 'community engagement,' the same bureaucratic reporting required of Medicaid recipients," his office said.
Krishnamoorthi's two-page bill would also force members of Congress to file the same paperwork as Supplemental Nutrition Assistance Program (SNAP) recipients to verify eligibility, employment, and income. The proposal comes less than two weeks after President Donald Trump signed congressional Republicans' budget reconciliation package.
During the debate over the GOP megabill, Matt Bruenig, founder of the People's Policy Project, argued in The New York Times that "refusing medical care to people in their time of need based on how much they happened to work the month before is a cruel and pointless policy."
The so-called One Big Beautiful Bill Act is expected to leave 17 million Americans without health insurance, and, according to an Urban Institute analysis, an estimated 22.3 million families are projected to lose some or all of their SNAP benefits.
"President Trump's reckless 'Large Lousy Law' forces millions of vulnerable Americans to jump through hoops just to keep food on the table or get the medical care they need," Krishnamoorthi said in a statement. "If congressional Republicans think these burdens are appropriate for struggling families, then members of Congress should shoulder them too. The BURDEN Act simply says, if you want taxpayer-funded health coverage, prove you meet the same standards you're imposing on the American people."
Krishnamoorthi's bill is unlikely to go anywhere in either the House of Representatives or the Senate, both controlled by the GOP, but it sends a message to the public. His office said that "by exposing the double standard in how burdensome requirements are applied, the BURDEN Act seeks to restore basic fairness and highlight the real-world consequences of Republican policies that target working families."
He introduced the bill amid intense debates among Democratic politicians and their supporters about how to battle Trump and the GOP's agenda and prepare for the 2026 midterm elections, following devastating losses for Democrats in the last cycle.
On Wednesday, the Congressional Progressive Caucus—of which Krishnamoorthi is not a member—announced four task forces as part of an effort to "reclaim the House majority in 2026—with a sharp, populist, pro-working-class agenda that meets the moment."
Similarly but separately, a coalition of labor groups and other progressive organizations on Wednesday launched the Battleground Alliance PAC, a political action committee that plans to pour at least $50 million into flipping the lower chamber for Democrats.
"Five price hikes since 2020, continual service delivery problems, and constant declines in mail volume are all indicators that the business model of the Postal Service needs careful attention."
Scores of U.S. House Democrats on Thursday urged President Joe Biden to "swiftly" nominate two members to the Postal Service Board of Governors to fill empty seats amid delayed deliveries and higher customer prices.
"Given the fundamental role that the Postal Service plays in the lives of countless Americans, there must be great care taken to choose those who influence its direction," Reps. Jamie Raskin (D-Md.) and Raja Krishnamoorthi (D-Ill.) said in a letter to Biden signed by 80 other Democratic lawmakers.
"Unfortunately, the Postal Service currently suffers from slow rates of delivery service and increased costs," the lawmakers asserted. "Despite the passage of the Postal Service Reform Act, the Postal Service still faces a litany of challenges. Five price hikes since 2020, continual service delivery problems, and constant declines in mail volume are all indicators that the business model of the Postal Service needs careful attention."
Noting the vacancy left by the expiration last month of Postal Govs. Lee Moak and William Zollars, the letter asks Biden to:
"Now more than ever, it is important [to] have a full, diverse, and future-oriented Postal Board of Governors in place that will uphold its mission of public service," the lawmakers wrote.
Last October, Rep. Rashida Tlaib (D-Mich.) asked the head of the Postal Service's accountability unit to launch an investigation into the impacts of Postmaster General Louis DeJoy's 10-year austerity overhaul plan. Critics argue the plan is ultimately a privatization scheme championed by Republicans including former President Donald Trump, the 2024 GOP front-runner. DeJoy donated at least hundreds of thousands of dollars to Trump's 2016 campaign prior to his appointment.
A Thursday
statement from Krishnamoorthi's office took aim at the USPS chief.
"Under Postmaster General Louis DeJoy, far too many Americans, including rural Americans, small businesses, seniors, and tribal communities, have experienced increased costs and diminishing service," the statement said, "harming those who depend on the USPS for both personal and business correspondence."
"We have taken the view that geopolitics and countering China is more important to us right now than the values-based diplomacy the Biden administration came in saying they would prioritize," said one critic.
Human rights defenders this week condemned President Joe Biden's upcoming state dinner for Indian Prime Minister Narendra Modi—who was once banned from entering the United States for supporting violent Hindu supremacists who massacred Muslims—as part of an ongoing U.S. "whitewash" of the right-wing leader's extremism.
Modi—who represents the ruling Bharatiya Janata Party (BJP)—is set to meet with Biden and speak before Congress this week in a visit the White House says "will strengthen our two countries' shared commitment to a free, open, prosperous, and secure Indo-Pacific."
However, rights groups and activists are condemning Biden's embrace of Modi while underscoring the grave human rights violations committed by the prime minister, his party, and their allies.
"Increasingly in recent years, BJP leaders have used toxic and hateful speech targeting religious minorities, inciting violence or discrimination against them."
"For almost a decade now, human rights activists and others have regularly brought to the White House—Democrats or Republicans—that Modi's regime is authoritarian, it's right-wing, it's anti-Muslim, and it's anti-minority" Suchitra Vijayan, author of Midnight's Borders: A People's History of Modern India, told HuffPost.
"The fact that they continue to whitewash him by giving them a platform is very worrying," she added.
Vijayan noted that "despite who is in the White House, the U.S. has a long history of propping up authoritarian regimes for its own personal ends."
John Prabhudoss, chairman of the Federation of Indian American Christian Organizations, told HuffPost that Indian pastors and their families live in constant terror.
"Their family could be jailed or even the worst, killed. The fear is real," he said. "For the president to bring [Modi] to the White House... is shameful. Mr. Biden, shame on you."
In a June 8 letter to Biden, Human Rights Watch (HRW) called Modi's visit "an important opportunity for the U.S. government to raise concerns—both privately and publicly—about India's worsening human rights situation."
The letter stated:
There are numerous areas of concern. Increasingly in recent years, BJP leaders have used toxic and hateful speech targeting religious minorities, inciting violence or discrimination against them. BJP-led authorities have tightened restrictions on free speech while ramping up censorship and using overbroad and vague laws to investigate and prosecute critics. Modi's government has also demonstrated blatant bias in protecting BJP supporters and affiliates accused [of] a range of crimes, including murder, assault, corruption, and sexual violence. At the international level, Modi's government has often proven unwilling to stand with other governments on key human rights crises, abstaining or refraining from condemning grave human rights violations elsewhere.
HRW and Amnesty International are set to host a private screening of a BBC documentary on Modi and his role in the 2002 Gujarat riots. The film, India: The Modi Question, was banned by the government, which raided the BBC's India offices over what officials called a tax probe but critics condemned as retaliation in line with Modi's attacks on press freedom.
Reporters Without Borders ranks India 161st out of 180 nations in press freedom, behind Afghanistan and just ahead of Russia.
Modi, who was chief minister of the western state of Gujarat at the time of the 2002 slaughter, blamed Muslims for torching a train full of Hindu pilgrims, an attack that killed around 60 people. Hindu mobs then murdered at least hundreds, and perhaps thousands, of Muslim men, women, and children in a retaliatory rampage, with many women raped and mutilated.
More than 250 Hindus were also killed during the violence, which displaced an estimated 150,000 people.
A U.K. government probe found that Modi was "directly responsible" for the "climate of impunity" surrounding the massacre.
While Modi was accused of deliberately allowing the violence, a special investigation commissioned by the Indian Supreme Court cleared him of complicity in 2012. Still, Modi's alleged role in the massacre led to a U.S. visa ban, first instated during the George W. Bush administration in 2005. The ban was lifted by then-President Barack Obama's administration in 2014 after Modi became prime minister.
Violence—sometimes deadly—against religious minorities and others has continued, and increased, under BJP rule.
As the Indian American Muslim Council (IAMC) notes:
The U.S. government and numerous internationally recognized organizations have condemned Modi for his and his political party's attacks on core democratic freedoms, as well as their roles in enabling violence against Indian minorities. The 2023 Report on International Religious Freedom by the Department of State highlights hate speeches by leaders of Modi's Bharatiya Janata Party, which have contributed to anti-Muslim and anti-Christian violence; the BJP's criminalization of religious conversion; BJP-led demolitions of Muslim-owned properties; Hindu supremacist rewriting of school curricula; arbitrary arrests of Muslims; and denial of bail for jailed Muslim activists. For four years running, the United States Commission on International Religious Freedom (USCIRF) has designated India as a Country of Particular Concern for its egregious violations of human rights and religious freedoms, citing similar abuses.
"To fail to note Modi’s violent, anti-minority, authoritarian tendencies, and his corrupt mismanagement of the Indian economy, is not only to ignore the U.S. government's own findings but a strategic blunder with the potential to jeopardize global stability," IAMC said.
"The turmoil Modi and the BJP have sown within Indian society is a profound threat to regional stability and has the potential to substantially undermine any joint initiatives," the group argued.
Derek Grossman, a senior defense analyst with the Rand Corporation, said in an interview published Saturday by the Financial Times, "The question is, are we propping up an increasingly illiberal democracy here?"
"In my view, we are," he asserted. "We have taken the view that geopolitics and countering China is more important to us right now than the values-based diplomacy the Biden administration came in saying they would prioritize."
Some congressional Democrats have also faced criticism for their varying degrees of support for Modi and the BJP.
When then-President Donald Trump embraced the Indian leader at the raucous 2019 "Howdy Modi!" rally in Houston, six Democrats took to the stage to greet Modi: then-House Majority Leader Steny Hoyer (Md.); Rep. Sheila Jackson Lee (Texas); Rep. Carolyn Maloney (N.Y.); Rep. Danny Davis (Ill.); Rep. Tom Suozzi (N.Y.), an erstwhile critic of Indian human rights abuses in Kashmir; and Rep. Raja Krishnamoorthi (Ill.).
Krishnamoorthi has attended the World Hindu Congress, a notorious platform for Hindu nationalists including Mohan Bhagwat, leader of the Rashtriya Swayamsevak Sangh (RSS), a fascist-inspired political and paramilitary movement whose brand of Hindu supremacy heavily influenced the rise of the BJP. Modi is a former RSS regional director.
Others, like Sen. Bernie Sanders (I-Vt.), Congressional Progressive Caucus Chair Pramila Jayapal (D-Wash.), and Rep. Ilhan Omar (D-Minn.), have been unwaveringly critical of Modi's policies and practices.
Then there is the curious case of Rep. Ro Khanna. Invoking the name of his grandfather Amarnath Vidyalankar, a figure in India's independence movement who served multiple terms in parliament, the California Democrat in 2019 declared that "it's the duty of every American politician of Hindu faith to stand for pluralism, reject Hindutva, and speak for equal rights for Hindus, Muslims, Sikhs, Buddhist, and Christians."
Hindutva—literally, "Hindu-ness"—is the modern political ideology espoused by Modi, the BJP, and many of their extremist allies advocating Hindu supremacy and the transformation of secular India into an ethno-nationalist state.
However, last month IAMC expressed its disappointment that Khanna asked House Speaker Kevin McCarthy (R-Calif.) to invite Modi to deliver a joint address before Congress during his state visit to Washington. Khanna's request—which was made with Rep. Michael Waltz (R-Fla.,)—contended that "granting a joint address to Congress is a commensurate honor for the leader of the world's largest democracy and perhaps the most critical partner to countering China in the 21st century."
In response, IAMC cautioned that "the opportunity to speak before Congress will help to legitimize Modi's brand of Hindu nationalist politics and the systematic persecution of religious minorities, particularly Muslims and Christians, under his rule."
"Khanna has previously and admirably criticized Hindu nationalism, Rahul Gandhi's expulsion from parliament, and disingenuous cries of Hinduphobia used to deflect legitimate criticism of the Indian government," the group added. "IAMC urges Rep. Khanna to continue this fight, cancel his request, and instead educate his constituents about the harms the Modi regime has done to India."
"When members have access to classified information, we should not be trading in the stock market on it," said Rep. Alexandria Ocasio-Cortez. "It's really that simple."
Four members of the U.S. House of Representatives from across the political spectrum came together on Tuesday to introduce the Bipartisan Restoring Faith in Government Act, which would ban federal lawmakers and their immediate relatives from owning and trading stocks.
Momentum for such a ban has been growing in the wake of various investigations last year, but Democrats—who controlled both chambers of Congress in 2022, but now only have a slim majority in the Senate—failed to pass any of the related legislative proposals, despite their popularity among voters.
"The fact that members of the Progressive Caucus, the Freedom Caucus, and the Bipartisan Problem Solvers Caucus, reflecting the entirety of the political spectrum, can find common ground on key issues like this should send a powerful message to America," said Congressman Brian Fitzpatrick (R-Pa.), who is leading the new bill with Reps. Matt Gaetz (R-Fla.), Raja Krishnamoorthi (D-Ill.), and Alexandria Ocasio-Cortez (D-N.Y.).
"We all view this as a critical first step to return the House of Representatives back to the people."
"We must move forward on issues that unite us, including our firm belief that trust in government must be restored, and that members of Congress, including their dependents, must be prohibited from trading in stocks while they are serving in Congress and have access to sensitive, inside information," Fitzpatrick continued. "This is basic common sense and basic Integrity 101. And we all view this as a critical first step to return the House of Representatives back to the people."
As Trevor Potter, president of the Campaign Legal Center and former chair of the Federal Election Commission, explained last September, "Congress passed the Stop Trading on Congressional Knowledge (STOCK) Act into law 10 years ago, but the STOCK Act did not decrease the appearance of corruption that arises when members of Congress engage in suspicious stock trades."
If passed, the new restrictions proposed by Fitzpatrick's diverse group would apply to all members of Congress as well as their spouses and dependents.
"The ability to individually trade stock erodes the public's trust in government," asserted Ocasio-Cortez. "When members have access to classified information, we should not be trading in the stock market on it. It's really that simple."
While the progressive "Squad" member has often clashed with Gaetz, their comments Tuesday made clear they agree on this topic.
"Members of Congress are spending their time trading futures instead of securing the future of our fellow Americans. We cannot allow the Swamp to prioritize investing in stocks over investing in our country," said Gaetz. "As long as concerns about insider trading hang over the legislative process, Congress will never regain the trust of the American people. Our responsibility in Congress is to serve the people, not hedge bets on the stock market."
Krishnamoorthi also agreed that "members of Congress must be focused on their constituents, not their stock portfolios."
The Hill on Tuesday highlighted some recent events that have fueled bipartisan support for a stock trading ban:
In 2022, then-Speaker Nancy Pelosi's (D-Calif.) husband sold millions of dollars worth of shares of a computer chip maker as the House prepared to vote on a bill focused on domestic chip manufacturing. A spokesman for Pelosi said at the time that he sold the shares at a loss.
Former Sen. Richard Burr (R-N.C.), who at the time was chairman of the Senate Intelligence Committee, also unloaded stocks at the onset of thecoronavirus pandemic. The Securities and Exchange Commission recently closed a probe of his trading activities without taking action.
The legislation unveiled Tuesday is supported by advocacy groups including the watchdog Citizens for Responsibility and Ethics in Washington (CREW).
"When members of Congress own and trade stock in companies they regulate they undermine the democracy that they were elected to serve," argued CREW policy director Debra Perlin. "It is Congress' duty to rebuild the trust that it has lost by banning members of Congress, their spouses, and their dependent children from owning or trading stocks. And that is precisely what the Bipartisan Restoring Faith in Government Act does."
The proposed "complete prohibition on congressional stock ownership demonstrates that in our democracy the public's needs, rather than members' stock portfolios, come first," Perlin added. "CREW commends Rep. Fitzpatrick for his work on this issue and strongly encourages Congress to pass stock ban legislation as quickly as possible."
Emma Lydon, managing director of P Street, the government affairs sister organization of the Progressive Change Campaign Committee, similarly called on the House—which is now narrowly controlled by Republicans—to "take swift action to pass this critical, bipartisan anti-corruption legislation to restore public trust in our democracy."
"Elected officials should represent the interests of their constituents, not their own pocketbooks," declared Lydon. "It's a scandal that members of Congress are still allowed to own and trade individual stocks while casting votes that move markets and transform economic sectors."
This post has been updated to correct Congressman Brian Fitzpatrick's political party.
"The East Palestine disaster raised significant questions about rail safety," Sen. Elizabeth Warren said in response to the approval of Canadian Pacific's acquisition of Kansas City Southern. "Allowing this merger is a mistake."
U.S. federal regulators on Wednesday approved the first major railroad merger in more than two decades, a move that follows the East Palestine rail disaster and that critics warned would reduce competition, raise prices, cost jobs, and threaten safety.
The Surface Transportation Board (STB) approved Canadian Pacific Railway Limited's proposed $31 billion acquisition of Kansas City Southern Railway Company, a merger that will create a single railroad linking Canada, the United States, and Mexico. The agency said the merger will take roughly 64,000 truckloads off the road and add more than 800 union jobs.
"The decision includes an unprecedented seven-year oversight period and contains many conditions designed to mitigate environmental impacts, preserve competition, protect railroad workers, and promote efficient passenger rail," STB said, adding that it "also anticipates the merger will result in improvements in safety and the reduction of carbon emissions."
"Shame on STB for disregarding both the administration and the rail workers who know all too well that corporate consolidation leads to a more dangerous rail industry."
However, opponents of the deal pointed to the East Palestine, Ohio disaster and other recent railroad accidents, which they said underscored the need for a more cautious approach to consolidation.
"The merger brings the total number of Class 1 railroads to six, down from over 100 just a few decades ago," the progressive news site More Perfect Union noted on Twitter. "Corporate consolidation in the railroad industry compromises safety and risks lives by prioritizing profits and cutting corners to reduce costs."
"Despite concerns from small towns and suburban Chicago cities, the STB ruled, based on data provided by industry, that the only community and environmental impacts of the merger would be an increase in noise," More Perfect Union continued.
"The Biden administration has taken a strong antitrust stance by blocking the $3.8 billion JetBlue-Spirit merger and urging the STB to do the same for Canadian Pacific-Kansas City Southern (CP-KCS), citing the need to promote competition in the railroad industry," the outlet said.
"Shame on STB for disregarding both the administration and the rail workers who know all too well that corporate consolidation leads to a more dangerous rail industry," More Perfect Union added. "The last thing we need is another merger right now."
U.S. Sen. Elizabeth Warren (D-Mass.)—who earlier this month wrote to STB Chair Martin Oberman asking the agency to reject the merger—similarly tweeted that "we don't need another rail merger that'll crush competition, reduce safety, increase prices, and destroy jobs."
U.S. Rep. Raja Krishnamoorthi (D-Ill.), who represents some Chicago suburbs through which the new international railway will run, wrote on Twitter Tuesday that "even before the disaster in Ohio, I had been warning about the threats to communities in my district that would come from a potential CP-KCS merger."
Itasca, Illinois Administrator Carie Anne Ergo—who chairs the Stop CPKCS Coalition—told The Washington Post that "the tragedy in Ohio is an illustration of what we've been talking about can happen."
"If what happened in East Palestine happened here in Itasca, the entire community would need to evacuate," she added. "It's terrifying."
One day after the U.S. Federal Reserve imposed yet another interest rate hike, a trio of progressive political economists on Thursday told members of the House Committee on Oversight and Reform that the best way to curb rising prices--without further punishing workers by deliberately plunging the nation into a recession--is to confront the corporate profiteering fueling inflation.
During his opening statement, Rep. Raja Krishnamoorthi (D-Ill.), chair of the Subcommittee on Economic and Consumer Policy, said that "we cannot ignore the reality that American corporations today are reporting higher profit margins than ever, while increasing prices more than necessary to cover costs--all at the expense of the American consumer."
The hearing was titled "Power and Profiteering: How Certain Industries Hiked Prices, Fleeced Consumers, and Drove Inflation."
Rakeen Mabud, chief economist and managing director of policy and research at the Groundwork Collaborative, was among the experts who provided written and oral testimony.
Mabud made three key points in her remarks to lawmakers.
First, "even as input costs come down, corporate executives are gleefully reporting how they plan on keeping prices high," she noted, citing Groundwork's exhaustive research on earnings calls, which reveals how "megacorporations are taking advantage of recent crises to make record profits for themselves and their shareholders." Big companies "are acutely aware of how their market power affords them the ability to keep prices high, even as the costs of expenses go down."
"Interest rate hikes... will not address any of the underlying causes of our supply shortages and do nothing to address profiteering."
Second, price gouging is "hitting the poorest families the hardest because essentials like food and shelter--major drivers of higher costs right now--take up a bigger proportion of their household budgets," Mabud pointed out.
Finally, "the inflation crisis we're facing today is due to decades of deregulation and privatization--resulting in brittle supply chains that can't handle shifts in our economy without supply shortages and bottlenecks," she continued. "A ruthless pursuit of efficiency and short-term profits... left us vulnerable to profiteering and price increases."
"Giant corporations' control over our supply chains has supplanted the functioning, resilient system we could have built through robust public investment and free and fair competition," said Mabud. "Big corporations are getting away with pushing up prices to fatten their profit margins, and families are quite literally paying the price. It's time to rein them in."
Mabud's analysis was echoed by Mike Konczal, director of macroeconomic analysis at the Roosevelt Institute, whose written testimony summarizes his co-authored paper on the positive relationship between concentrated market power and inflation.
In short, Konczal and his colleague Niko Lusiani "found that markups and profits skyrocketed in 2021 to their highest recorded level since the 1950s" and that "firms in the U.S. increased their markups and profits in 2021 at the fastest annual pace since 1955."
When subcommittee member Rep. Katie Porter (D-Calif.) asked Konczal to identify the biggest driver of inflation during the pandemic, he verified that it has been "corporate profits."
Porter also highlighted Konczal and Lusiani's research on the record-breaking surge in price markups in 2021, which underscores how corporations have increased costs for consumers to boost their profits.
"Since corporate profit margins have become so unusually high," said Konczal, "there is room for reversing them with little economic harm and huge societal benefit, including lower prices in the short term."
Like Mabud and Konczal, former U.S. Labor Secretary Robert Reich, now a professor of public policy at the University of California, Berkeley, told lawmakers in writing and over video conference that "the inflation we are now experiencing is not due to wage gains; it is due to increases in corporate profits."
"And it's excessive profits, not wages, that need to be controlled," he added.
Stressing that the Fed's only inflation-fighting tool--interest rate hikes--cannot solve what he calls "profit-price inflation," Reich urged Congress and the Biden administration to address corporate profiteering directly through a windfall profits tax of the sort introduced months ago by Sen. Bernie Sanders (I-Vt.), stronger antitrust enforcement, and temporary price controls.
According to Reich: "The current inflation emerging from the pandemic is analogous to the inflation that occurred right after World War II, when economists argued for temporary price controls on important goods to buy time to overcome supply bottlenecks and prevent corporate profiteering. They should be considered now, for the same reasons."
Reich is far from alone in advocating for robust government intervention in the economy to improve working-class well-being.
In a Chicago Tribune opinion piece, Carl Rosen, general president of the United Electrical, Radio, and Machine Workers of America, wrote earlier this week:
Rather than throwing our country into a recession with interest rate hikes, our federal government should take other measures to alleviate the pain being felt by working people, especially those on fixed incomes. Increasing Social Security payments, reinstituting child tax credit payments, and providing inflation rebates to working people, which can all be paid for by taxing corporate profits and the rich, would put more money in working people's pockets, allowing them to cope with higher prices.
Our government can also take steps to directly control prices, such as those contained in the Emergency Price Stabilization Act introduced by U.S. Rep. Jamaal Bowman (D-N.Y.) in August. This legislation would allow the government to investigate corporate profiteering and issue appropriate controls and regulations to stabilize prices. It would also engage and mobilize the public in a manner modeled on the successful and popular Office of Price Administration that kept basic goods affordable during World War II.
Furthermore, Congress should strengthen workers' ability to negotiate higher wages by immediately passing the Protecting the Right to Organize, or PRO, Act, which would make it easier for workers to form unions, and by fully funding the National Labor Relations Board to make sure it has the resources to enforce the existing labor law.
Economic Policy Institute research director Josh Bivens did not participate in Thursday's hearing but wrote in a blog post that "protecting low-wage workers from inflation means raising the minimum wage."
During her testimony, Mabud also provided lawmakers with a roadmap to overcome the cost-of-living crisis:
"Importantly," she added, "interest rate hikes, which slow inflation by tamping down demand and making people poorer, will not address any of the underlying causes of our supply shortages and do nothing to address profiteering."