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Speaker 1: Why from our nation's cale. All talk here in Washington,

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Speaker 1: d C. Turns to President elect Joe Biden's administration. Historically speaking,

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Speaker 1: the markets have perform better when there is divided government.

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Speaker 1: The biggest pressure for physical stimulus is an off taking cases.

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Speaker 1: Bloomberg Sound On, the insiders, the influencers, the inside Biding

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Speaker 1: has promised again and again a he will unite the

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Speaker 1: country's state government's control elections left in the constitution. I

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Speaker 1: think that we can expect a smooth, thoughtful, methodical transition.

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Speaker 1: This is Bloomberg Sound On with Kevin Shirley on Bloomberg

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Speaker 1: and one oh five point seven m h D two

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Speaker 1: Breaking news hacker's hit at least three U s States

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Speaker 1: and an attack tied to Russia. Justin Sint Bloomberg White

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Speaker 1: House reporter is here to give us the latest. Meanwhile,

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Speaker 1: Republicans now saying a short partial government shutdown is possible

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Speaker 1: as the fiscal stimulus deal continues to be negotiated. We

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Speaker 1: have a lot to get through. We begin tonight with

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Speaker 1: the break king story. The US Nuclear Weapons Agency and

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Speaker 1: at least three three states were hacked as part of

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Speaker 1: a suspected Russian cyber attack that struck several federal government

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Speaker 1: agencies diving into the Bloomberg terminal. The Energy Department and

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Speaker 1: its National Nuclear Security Administration, which maintains America's nuclear stockpile,

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Speaker 1: were targeted as part of a larger attack by suspected

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Speaker 1: Russian hackers. According to a person familiar with the matter,

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Speaker 1: the hack affected unclassified systems, the person added, and the

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Speaker 1: hack of the Nuclear Agency was reported first by Politico.

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Speaker 1: I want to bring into this conversation on again, folks,

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Speaker 1: what has been a breaking story within the past hour,

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Speaker 1: Justin Sink who was Bloomberg White House reporter, and just

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Speaker 1: to continue while we work to get Justin on the line.

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Speaker 1: In addition to people familiar with the ongoing investigation said

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Speaker 1: three states were breached in the attack, though they wouldn't

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Speaker 1: identify the states. A third person familiar with the probe

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Speaker 1: confirmed that states were hacked, but didn't provide a number.

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Speaker 1: Justin Sink, I have worked from our producers that you

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Speaker 1: are with us. Now. Has the White House responded publicly

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Speaker 1: to the reports of the US Nuclear Weapons Agency and

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Speaker 1: at least three states being hacked by a Russian cyber attack. Yeah,

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Speaker 1: we haven't heard anything fresh out of the White House. Kaylee,

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Speaker 1: the pres sectary spoke a couple of days ago, and

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Speaker 1: so that the administration was aware of the broader hack

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Speaker 1: and looking to respond to it. But it's kind of

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Speaker 1: a notable noble discrepency between President elect bind who's kind

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Speaker 1: of been forward leaning on this, looking to make countering

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Speaker 1: the cyber attack and uh, you know, at least a

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Speaker 1: ledged Russian interference on the forefront of his policy agenda

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Speaker 1: and priority, versus President Trump, who has always been a

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Speaker 1: bit reticent to criticize Russia publicly, and who has been

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Speaker 1: taken more of a step back, especially after you know,

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Speaker 1: November selection results. President elect Joe Biden issuing a statement

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Speaker 1: earlier today on quote what appears to be a massive

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Speaker 1: cyber security breach affecting potentially thousands of victims, including US

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Speaker 1: companies and federal government entities. End quote. He goes on

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Speaker 1: in the statement to write, quote, I want to be clear.

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Speaker 1: My administration will make cybersecurity a top priority at every

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Speaker 1: level of government, and we will make dealing with this

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Speaker 1: breach a top priority from the moment we take office.

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Speaker 1: He pledged to impose quote substantial costs on those responsible

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Speaker 1: for such malicious attacks. End quote. The geopolitics of this

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Speaker 1: is you have noted it appears that Moscow testing attempting

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Speaker 1: to test a Washington in transition and not garnering a

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Speaker 1: statement from the current occupant, the outgoing occupant of the

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Speaker 1: White House, President Trump, but garnering reaction from President elect

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Speaker 1: Joe Biden. Uh let his He's tapped Tony Blincoln to

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Speaker 1: be his Secretary Area of State. And coming up, we're

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Speaker 1: going to check in with two lawmakers on the cyber

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Speaker 1: security concerns of Republican and a Democrat. But without question,

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Speaker 1: whether it's a rod whether it's China, whether it's Russia.

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Speaker 1: There had the off season, so to speak, in the

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Speaker 1: transition period justin has been incredibly incredibly volatile. Yeah. And

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Speaker 1: on top of that, I mean, I think, you know,

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Speaker 1: Vladimir Putin in Russia have real questions about what the

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Speaker 1: relationship is going to be like in in the Biman administration.

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Speaker 1: I mean, it was notable, notably sort of a spot

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Speaker 1: that that the Obama administration struggled to some extent with

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Speaker 1: there was Russia interference in the election that they weren't,

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Speaker 1: you know, weren't sure how strongly to condemn, how strongly

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Speaker 1: to highlight there was uh, you know, kind of a

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Speaker 1: slew of Russian activity that that took place, whether it's

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Speaker 1: crimea that that President Obama struggled the sort of counter

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Speaker 1: on the world stage, and so, uh, you know, this

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Speaker 1: is a hack that has been sort of in works

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Speaker 1: for months according to experts, something that has been at play,

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Speaker 1: and so it likely was originated before even the results

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Speaker 1: of the election were known. But you know, for President Trump,

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Speaker 1: who has been largely permissive of of what Moscow has

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Speaker 1: done through his four years in office, who has tried

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Speaker 1: to you know, foster a sort of friendship with Putin,

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Speaker 1: and for for President elective Biden, this really represents a

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Speaker 1: test of their leadership on the world stage and the

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Speaker 1: need for digital infrastructure, no doubt, and especially as we

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Speaker 1: look forward into the potential of once President elect Biden

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Speaker 1: has sworn in that he pushes for another round of

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Speaker 1: stimulus on infrastructure, which we've correctly reported includes roads and bridges,

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Speaker 1: we should also be adding to that conversation the digital

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Speaker 1: infrastructure element of that, and again the geopolitical ramifications of

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Speaker 1: such additional digital infrastructure. Now, let's pivot back to Washington,

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Speaker 1: d C. As we continue to monitor and we will

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Speaker 1: continue to monitor that cybersecurity attack that is breaking today

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Speaker 1: again first reported by Politico. But meanwhile, lawmakers and congressional

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Speaker 1: leaders are working through the final sticking points of a

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Speaker 1: coronavirus relief deal. Although the agreement probably won't come together

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Speaker 1: in time for both chambers to vote before Friday. The

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Speaker 1: federal government, as a result, could shut down just briefly

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Speaker 1: over the weekend if Senators object to temporary funding while

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Speaker 1: negotiations continue. We've got sound on the status of the

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Speaker 1: negotiations from Senate Majority Leader Mitch McConnell, who says a

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Speaker 1: bipartisan deal is close and a bipartisan back Carmil agreement

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Speaker 1: appears to be close at hand. The outline that I've

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Speaker 1: been discussing with Democratic Leader thank you for Alossie and

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Speaker 1: Leader McCarthy, would get another huge dose of bipartisan support

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Speaker 1: out the door as fast as possible. We have to

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Speaker 1: nail down every detail, but in broad strokes, we've discussing

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Speaker 1: the targeted second round of job saving paycheck production program

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Speaker 1: the Republicans have sought since the last summer sent a

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Speaker 1: Minority Leader Chuck Schumer was equally optimistic. We are putting

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Speaker 1: the final touches on what would be the largest stimulus

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Speaker 1: in the history of the country, with the exception the

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Speaker 1: Cares Act. What's the reaction, justin Sant Bloomberg, White House reporter,

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Speaker 1: been from President Trump and Secretary Minution. Are they really

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Speaker 1: just taking a back seat to this as Leader McConnell

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Speaker 1: and Speaker Pelosi and a Minority Leader Schumer hammer out

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Speaker 1: the details. I think that you're right that the congressional

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Speaker 1: leaders are taking the lead in these negotiations. But it

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Speaker 1: is notable that White House officials asked to be included

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Speaker 1: in the in the conversation yesterday, especially that seemed to

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Speaker 1: be the breakthrough event, so originally weren't scheduled to be

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Speaker 1: part of those talks, were able to join by speaker phone.

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Speaker 1: And you know, we heard a similarly sort of enthusiastic,

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Speaker 1: hopeful statement from Ben Williamson, who is a close aid

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Speaker 1: to Mark Meadows, the Chief of Staff today, and so

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Speaker 1: it seems like the White House is largely on board,

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Speaker 1: especially because this latest bill includes a second round of

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Speaker 1: stimulus checks, which has always been something to President Trump

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Speaker 1: has prioritized. While it kind of pushes aside what had

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Speaker 1: been the biggest someone blocked for the White House which

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Speaker 1: was big aid to state laws governments, while also pushing

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Speaker 1: us out of a big Republican priority, which was this, uh,

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Speaker 1: you know, liability protections for businesses that were open during coronavirus.

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Speaker 1: That was something that is really important to Mitch McConnell.

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Speaker 1: Just the final question before I know you have to

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Speaker 1: get back to reporting, and justin saying thank you so

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Speaker 1: much for making time for us on such an important

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Speaker 1: news day with two incredibly important breaking stories. What has

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Speaker 1: President Trump been doing in terms of his final weeks

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Speaker 1: in office? What is the mood from the upper echelon

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Speaker 1: at the White House? Yeah, I mean, I think obviously

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Speaker 1: there's a sense within a resignation within the White House

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Speaker 1: of acknowledging that the paths that might have at some

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Speaker 1: point existed to overturning the election results of all but closed.

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Speaker 1: The President itself has really withdrawn. We've seen even today

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Speaker 1: there was a bill signing, for instance, largely ceremonial in

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Speaker 1: the Oval Office. That's something that the President traditionally loved

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Speaker 1: to bring. The President take some questions go back and forth. Instead,

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Speaker 1: the White House just released a video that they filmed

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Speaker 1: themselves at the sign ceremony, and so that's the signal

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Speaker 1: that the presidents not yet kind of figured out or

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Speaker 1: wanted to speak to the medium being more public. But

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Speaker 1: he has been hosting some holiday parties. We know that

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Speaker 1: he's been. There's been conversation about removing UH administration officials

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Speaker 1: that upset him, and so he hasn't completely Yeah, we'll

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Speaker 1: leave it there. Justin sinc Bloomberg White House Reporter, thanks

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Speaker 1: for giving us the inside scoop. Pennsylvania Avenue. Coming up,

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Speaker 1: we talked about the economy of Kevin's Really this is Bloomberg.

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Speaker 1: This is Bloomberg's Sound on with Kevin Surley on Bloomberg

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Speaker 1: and one oh five point seven FM HD two. I'm

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Speaker 1: Kevin Sirelli, Chief Washington correspondent for Bloomberg Television. In Bloomberg Radio.

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Speaker 1: Coming up, We're gonna carry Governor Larry Hogan's remarks from Annapolis.

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Speaker 1: What does he have to say? What's he going to

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Speaker 1: say about the cases of COVID nineteen and the distribution

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Speaker 1: of the first rounds of the vaccine. He, of course,

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Speaker 1: earlier this week, had brought in the National Guard to

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Speaker 1: help with the distribution of COVID nineteen. Of course, as

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Speaker 1: states all across the country are being ravaged by by

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Speaker 1: this horrific, horrific virus. But the but the the vaccinations

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Speaker 1: are are now beginning to be deployed. Visor's vaccine side

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Speaker 1: effects are in focus as FDA advisors meet. Meanwhile, Los

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Speaker 1: Angeles is now the worst hit US metro area for

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Speaker 1: COVID nineteen cases. Greater Los Angeles is emerging as America's

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Speaker 1: hardest hit metropolitan area as COVID nineteen sweeps across California

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Speaker 1: like never before. In the past week, San Bernardino in

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Speaker 1: l A. Get this, San Bernardino and Los Angeles counties

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Speaker 1: have posted one thousand, four hundred and fifteen and one thousand,

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Speaker 1: one hundred and two average daily cases per million residents, respectively,

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Speaker 1: the highest rates among counties of at least a million people.

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Speaker 1: According to USA Facts, a nonprofit aggregator of government statistics

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Speaker 1: that's used by the US Centers for Disease Control and Prevention,

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Speaker 1: The surgeon cases has put the focus back on a

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Speaker 1: major American metropolis. While New York, which of course was

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Speaker 1: the hardest hit area in the pandemics first wave, in

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Speaker 1: recent months, had been the most brutal for rural areas,

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Speaker 1: but now l A. L unfortunately is UH in focus.

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Speaker 1: So we're gonna be carefully monitoring the developments from Maryland

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Speaker 1: with Governor Larry Hogan, Republican UH, and we'll carry that

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Speaker 1: to you and that sets to begin at five pm

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Speaker 1: Eastern and we'll carry that live. Let's UH first though,

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Speaker 1: pivot back to the economy, just folks, I gotta be candid.

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Speaker 1: So many different multiple news fronts that we're tracking today,

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Speaker 1: from the cyber hack to the fiscal stimulus talks and

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Speaker 1: the prospects of even a short term government shut down

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Speaker 1: this weekend, and of course COVID nineteen as well. But

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Speaker 1: let's focus right now on what happened with the markets. UH,

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Speaker 1: And Calvin Schnore, I believe is with me now. Calvin Schnore,

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Speaker 1: of course, is the senior economist at nay READ and

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Speaker 1: he just put out a year end report as well

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Speaker 1: as outlook, and I want to get to that. But

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Speaker 1: but Calvin, I want to start broad for for just

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Speaker 1: a minute, because as I mentioned, cyber hacks impacting the

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Speaker 1: public and private sector, COVID nineteen ravaging cities, now vaccination distribution,

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Speaker 1: fiscal stimulus talks. I mean, what is what is really

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Speaker 1: moving the markets? What are investors trading off of today

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Speaker 1: for example? You know, investors are looking forward with a

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Speaker 1: sigh of release that you know, several months ago we

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Speaker 1: still had lots of bad news. We had concerned about

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Speaker 1: the election, There was concerned about Russian interference, and of

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Speaker 1: course then the virus. Really it was an open ended

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Speaker 1: question would we have a vaccine. We've had some reduction

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Speaker 1: in uncertainty and that's very favorable for the market. And

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Speaker 1: the way that reduction and uncertainty has come about is

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Speaker 1: people were pretty confident there would be a vaccine for

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Speaker 1: several months. People been preconfident there would be a vaccine,

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Speaker 1: but they didn't know if it would be effective or

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Speaker 1: how quickly it would come into play. Uh, you know,

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Speaker 1: we're able to put a put a date on it

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Speaker 1: and say, oh, by the middle of next year, a

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Speaker 1: lot of people will have been vaccinated. Now, the other

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Speaker 1: specific news, there's a lot of noise there. I think, Uh,

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Speaker 1: we're all hoping that the government doesn't shut down, even

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Speaker 1: for a short period, and we hope there's a stimulus

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Speaker 1: package fit German Powell did say physical stimulus could be

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Speaker 1: a very strong Uh, it's a strong tool for us

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Speaker 1: to be using, right now, so a lot of factors,

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Speaker 1: but the market is looking towards the end of the crisis. US.

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Speaker 1: We're all looking forward to the edge of the crisis.

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Speaker 1: US stocks notch two, solid game to close at all

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Speaker 1: time highs, even as lawmakers continue to wrangle over a

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Speaker 1: federal spending deal. The SMP five hundred today climbed for

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Speaker 1: a third day, even with Republicans and Democrats still unable

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Speaker 1: to reach an agreement that would assist millions of Americans. Meanwhile,

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Speaker 1: the dollar slump, treasury yields rose, and oil advanced. Bitcoin

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Speaker 1: breached twenty three dollars for the first time. You know,

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Speaker 1: from your vantage point, and as we all brace for

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Speaker 1: the end of this what's your radar for the short

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Speaker 1: term three months? Give us a preview of the first quarter? Well, unfortunately, UM,

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Speaker 1: I don't have a whole lot of confidence that things

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Speaker 1: in the economy is going to be better in the

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Speaker 1: next three months. The vaccine is clearly a light at

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Speaker 1: the end of the tunnel, but this is a pretty

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Speaker 1: long tunnel. I had. It's going to take quite a

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Speaker 1: while before there's enough vaccine out there before it's safe

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Speaker 1: for people to go out and do things. So one

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Speaker 1: of the main themes of my economic outlook, and it's

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Speaker 1: on navious website. If you look for one outlook, you

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Speaker 1: can find it. They're One of the main themes was that, uh,

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Speaker 1: it's it's going to be six months or more before

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Speaker 1: things are noticeably better. So the sectors that are resilient,

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Speaker 1: that has some financial strength, that have some capital behind them,

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Speaker 1: are going to be better prepared to get through this

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Speaker 1: next three months, in next six months, and then to

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Speaker 1: have a strong footing for the recovery. That includes the

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Speaker 1: reach the real estate investment trust, but other parts of

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Speaker 1: the economy or are so solid as well. So specifically,

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Speaker 1: you know, I'm looking at your report. Office vacancy rates

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Speaker 1: rose from nine point nine in the first quarter to

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Speaker 1: ten point seven in the third quarter. To be honest

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Speaker 1: with you, I was struck by this because that's not

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Speaker 1: as much of an increase as I would have anticipated,

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Speaker 1: even as employers said for their employees to stay home. Yeah. Well,

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Speaker 1: one thing you have to keep in mind is the

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Speaker 1: overall economy when in a recession, not because of internal weakness.

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Speaker 1: Your past recessions were the internal weaknesses, and things collapsed

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Speaker 1: because of overbuilding, overspending, things like that. This is an

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Speaker 1: external shock. In real estate, past cycles have usually led

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Speaker 1: to a downturn when you had just too much construction,

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Speaker 1: huge construction wave, you know, four percent of stock, six

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Speaker 1: percent of stock in some of the past cycles. Well,

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Speaker 1: we didn't have that. It was about two percent of stock,

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Speaker 1: was a little bit about average. What that means is

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Speaker 1: you don't have a lot of new buildings coming into

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Speaker 1: the market just when it weekends, and that means the

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Speaker 1: vacancy right not going up as much. And that's that's

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Speaker 1: part of what's going to keep through. Commercial real estate sector.

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Speaker 1: Resilient vacancy rates are probably going to continue rising through

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Speaker 1: the year. It is a lagging indicator. It will not

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Speaker 1: be the first sector to turn around um, but it's

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Speaker 1: not going to be as bad as downturn as we

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Speaker 1: had in previous downturns, especially considering the size of the

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Speaker 1: macro shark. Calvin. Let me ask you this, because there's

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Speaker 1: been so much reporting about, oh, everyone's leaving New York City.

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Speaker 1: I don't buy that. In the long term, everyone's leaving

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Speaker 1: the big cities. You know, they want to go and

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Speaker 1: they want to live and they want to live in

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Speaker 1: the mountains. They want the fresh air, they want the lakes,

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Speaker 1: you know, the caskills, all that stuff. But here in Washington,

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Speaker 1: d C. Let's just focus on the nation's capital. For example,

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Speaker 1: how are the how are the how's the real estate

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Speaker 1: market doing? And the trends looking in Washington d C.

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Speaker 1: Is it's still immune because of its location to what

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Speaker 1: other largely populated UM cities are experiencing. We don't have

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Speaker 1: a whole lot of data on you know, everything that's happened.

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Speaker 1: It tastes all offers to get the data to see

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Speaker 1: the trends. But one of the big factors from Washington

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Speaker 1: d C over the past twenty years is the federal

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Speaker 1: government no longer dominates everything federal government used to be.

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Speaker 1: Of the workforce, maybe even more is it's barely half

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Speaker 1: right now because you have you know, the Northern Cord

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Speaker 1: of Virginia, the tech cords, a lot of tech business,

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Speaker 1: a lot of other business. The Washington d C. Economy

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Speaker 1: has diversified UM now in the in the short term,

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Speaker 1: that's probably hurting it because the companies that maybe under

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Speaker 1: more stress than the federal government UM. But a lot

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Speaker 1: of those are also out in some of the suburban

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Speaker 1: location is not just downtown, so it's a mixed bag

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Speaker 1: for Washington, d C. Right now, it's a really good

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Speaker 1: point and it's interesting to see what's been going on

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Speaker 1: even beyond northern Virginia or just beyond Northern Virginia and

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Speaker 1: some of the gateway smaller cities that have been popping up.

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Speaker 1: Calvin Snore, Happy New Year, my friend, Happy holidays to you.

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Speaker 1: Thanks so much for stopping by to give us this report.

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Speaker 1: And again, Calvin Schnore's report is available at nare dot

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Speaker 1: com outlook um is easy to find Calvin Short's senior

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Speaker 1: economist over there NAREY. Coming up next, we check in

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Speaker 1: with Annapolis. Governor Larry Hogan gets ready for a press conference,

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Speaker 1: and Congressman Friend Chill and Alyssa Slatkin joined me. I'm

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Speaker 1: Kevin CERELLI you're listening to Bloomberg ninety nine one from

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Speaker 1: our Nation. All talk here in Washington, d C. Turns

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Speaker 1: to President elect Joe Biden's administration. Historically speaking, the markets

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Speaker 1: that performed better when there is divided government. The biggest

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Speaker 1: pressure for physical stimulus is an up taking cases. Bloomberg

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Speaker 1: sound on the insiders, the influencers, the inside siding has

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Speaker 1: promised again and again it he will unite the country's

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Speaker 1: state government's control election and lest in the constitution. I

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Speaker 1: think that we can expect a smooth, thoughtful, methodical transition.

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Speaker 1: This is Bloomberg Sound On with Kevin Shirley on Bloomberg two.

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Speaker 1: Breaking news, red headline crossing the Bloomberg terminal just one

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Speaker 1: moment ago. Maderna vaccine benefits outweigh its risks according to

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Speaker 1: f d A advisors, again positive news for an additional vaccine,

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Speaker 1: one step closer to garnering government approval. Maderna's vaccines benefits

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Speaker 1: outweigh it's risks. Meanwhile, lawmakers racing to get to some

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Speaker 1: type of compromise and risking a short term partial government shutdown.

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Speaker 1: We check in with two lawmakers on Capitol Hill, Congressman

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Speaker 1: Friends Hill and Congresswoman Alyssa Slatkins, a Republican and Democrat, respectively.

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Speaker 1: And an emerging breaking news story this afternoon, an additional

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Speaker 1: cyber attack that is penetrated into the govern ver mint

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Speaker 1: and the private sector. All of this as we await

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Speaker 1: Governor Larry Hogan to give a press conference in Annapolis,

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Speaker 1: and we will carry that for you once the Governor

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Speaker 1: gets behind the podium. That's anticipated within moments, so we

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Speaker 1: have a lot to get through. Just moments before, Governor

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Speaker 1: Hogan had appeared behind the podium a red headline crossing

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Speaker 1: the Bloomberg terminal. Maderna's COVID nineteen vaccine one backing from

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Speaker 1: a panel of experts who advised US regulators, setting the

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Speaker 1: stage for its shot to be the second vaccine cleared

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Speaker 1: in the US in as many weeks. Anna Edny reports

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Speaker 1: for Bloomberg. The Food and Drug Administration Advisors voted twenty

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Speaker 1: to zero with one abstention on Thursday that the benefits

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Speaker 1: of the vaccine outweigh any risks, giving a boost efforts

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Speaker 1: to ramp up the US immunization campaign again. Maderna's COVID

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Speaker 1: nineteen vaccine won the backing from a panel of experts

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Speaker 1: who advised US regulators f DA visor bolster instructions for

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Speaker 1: providers and recipients. But we begin now pivoting back to

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Speaker 1: Capitol Hill, where Republicans and lawmakers are warning that while

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Speaker 1: they are working through the final sticking points of the

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Speaker 1: coronavirus relief deal, the agreement probably won't come together in

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Speaker 1: time for both chambers to vote before Tomorrow Friday, and

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Speaker 1: the federal government could shut down briefly over the weekend

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Speaker 1: if Senators object to temporary funding while negotiations continue. We've

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Speaker 1: got sound on the status of those negotiations from Senate

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Speaker 1: Majority Leader Mitch McConnell earlier today, and a bipartisan back

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Speaker 1: carmel agreement appears to be close at hand. The outline

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Speaker 1: that I've been discussing with Democratic Leader spec and Leader

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Speaker 1: McCarthy would get another huge dose of bipartisan support out

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Speaker 1: the door as fast as possible. Well, you have to

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Speaker 1: ail down every detail, but in broad strokes, we've been

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Speaker 1: discussing the targeted second round of job saving paychearch production

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Speaker 1: program the Republicans have sought since the last summer. Sentiminority

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Speaker 1: Leader Chuck Schumer was equally optimistic, we are putting the

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Speaker 1: final touches on what would be the largest stimulus in

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Speaker 1: the history of the country, with the exception the Cares Act.

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Speaker 1: Let's bring into the conversation. Brendan Buck, partner at seven

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Speaker 1: Letter and former spokesman and advisor to HOW Speaker Paul Ryan.

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Speaker 1: Jim Kessler, co founder of Third Way, Democratic strategist and

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Speaker 1: former legislative policy director for Senator Chuck Schumer, Jim, Why

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Speaker 1: did Senator Schumer now change his tune so to speak?

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Speaker 1: What has he what have the Democrats been able to

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Speaker 1: glean away from Republicans that make us closer to getting

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Speaker 1: a deal. Look, I think this is what the future

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Speaker 1: is going to look like in a Biden presidency, in

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Speaker 1: a quickly divided Congress, which is you're going to see

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Speaker 1: compromises on packages. The COVID relief should have been done

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Speaker 1: a long time ago. I'm not sure the price tank

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Speaker 1: is exactly right. Nine billion dollars would probably need some more,

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Speaker 1: but this is very important. They're going to move now

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Speaker 1: to get what you can get, and you hope there's

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Speaker 1: nothing that isn't hidden in there that's going to be

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Speaker 1: a problem. I know Republicans wanted to put some limits

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Speaker 1: on the Federal Reserve. That would be a real problem

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Speaker 1: I think for future relief. But hopefully nothing's going to

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Speaker 1: be in there that's really is a problem. Brendan buck

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Speaker 1: I was struck by Leader McConnell signaling that in terms

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Speaker 1: of leverage, he feels passing fiscal stimulus would help Republicans

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Speaker 1: chances in Georgia and that they could revisit the issue

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Speaker 1: of liability protections and negotiations with President a president by

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Speaker 1: it and once he's sworn in on another round of

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Speaker 1: fiscal stimulus. Leader McConnell is playing a long game. Yeah,

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Speaker 1: he typically does. You know, there's a lot of talk

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Speaker 1: about the the sort of breakthrough that's how spending right

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Speaker 1: now being related to the Senate races in Georgia. Maybe

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Speaker 1: that's there's a part of it there. I think we're

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Speaker 1: overlooking largely though, the fact that the deal got done

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Speaker 1: because Democrats came down trillions of dollars from where they

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Speaker 1: were before. Um, you heard the words that Senator McConnell said.

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Speaker 1: He called this a targeted package. That's what he has

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Speaker 1: always called for something in this range. Remember Pelosi and

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Speaker 1: Democrats who are looking at two three four trillion dollars

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Speaker 1: that they were looking for and it ended up being

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Speaker 1: right around nine billion. This is a deal that could

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Speaker 1: have happened long ago. And I think, and we talked

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Speaker 1: about this on the show previously. I think Nancy Pelosi

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Speaker 1: was running out the clock before the election. She didn't

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Speaker 1: want to do anything that would help Donald Trump before

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Speaker 1: the election, and so now we're basically back to where

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Speaker 1: we could have been months ago, and it's a shame

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Speaker 1: that that it took this phone to get there. Will

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Speaker 1: it help in Georgia? Maybe, But I think this issue

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Speaker 1: is probably just on the margins of what's going to

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Speaker 1: decide that race, Jim. If if Republicans win and Senator

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Speaker 1: Leffler as well as Senator Perdue win re election in

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Speaker 1: Georgia and Republicans keep the majority in the Senate, Leader

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Speaker 1: McConnell's calculations and and and chess moves political chess moves

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Speaker 1: will be seen as genius. Do you agree with Brendan's

431
00:26:14,720 --> 00:26:18,960
Speaker 1: point politics aside that Leader McConnell, at least in terms

432
00:26:19,040 --> 00:26:22,600
Speaker 1: of these negotiations of fiscal stimulus, was able to get

433
00:26:22,680 --> 00:26:25,800
Speaker 1: his way more so than Speaker Pelosi was able to

434
00:26:25,800 --> 00:26:29,440
Speaker 1: do well, I'm not so sure about that. I mean,

435
00:26:30,760 --> 00:26:34,119
Speaker 1: this was put on hold for a long time because

436
00:26:34,400 --> 00:26:36,720
Speaker 1: Mitch McConnell didn't want to do anything, and there was

437
00:26:36,760 --> 00:26:39,000
Speaker 1: a point there and you know, the number was going

438
00:26:39,040 --> 00:26:42,720
Speaker 1: to be closer to one point to trillion, where House

439
00:26:42,920 --> 00:26:47,479
Speaker 1: leaders Senator Schumer, President Trump were very close to an

440
00:26:47,480 --> 00:26:51,600
Speaker 1: agreement and like McConnell, put the brakes on it. I

441
00:26:51,640 --> 00:26:55,040
Speaker 1: do think Mitch McConnell knows does play the long game. Um,

442
00:26:55,480 --> 00:26:59,560
Speaker 1: he knows how to you know, win races. He was

443
00:26:59,680 --> 00:27:03,720
Speaker 1: very active in. It's very interesting though in Georgia. I

444
00:27:03,760 --> 00:27:06,040
Speaker 1: mean four weeks ago, I would have said we have

445
00:27:06,119 --> 00:27:09,200
Speaker 1: no chance of winning those races in Georgia. And now

446
00:27:09,320 --> 00:27:12,560
Speaker 1: I think Republicans are really scared about what's happening there.

447
00:27:12,560 --> 00:27:16,040
Speaker 1: And I think that my prediction four weeks ago that

448
00:27:16,080 --> 00:27:18,520
Speaker 1: we didn't have much of a chance, I'm I'm starting

449
00:27:18,520 --> 00:27:21,400
Speaker 1: to change that. I think Democrats have a real stout there.

450
00:27:21,400 --> 00:27:24,840
Speaker 1: Now we've got sound on Georgia coming from Vice President

451
00:27:24,880 --> 00:27:27,840
Speaker 1: Mike Pence, who campaigned for Republican Senators David Berdue and

452
00:27:27,880 --> 00:27:31,160
Speaker 1: Kelly Lefler in Columbus in the peach date earlier today.

453
00:27:31,200 --> 00:27:35,359
Speaker 1: Here is we're gonna keep fighting to hold the line

454
00:27:35,600 --> 00:27:39,560
Speaker 1: in the United States Senate, We're gonna win Georgia, and

455
00:27:39,600 --> 00:27:43,600
Speaker 1: we're gonna save America. It's interesting, Brennan Buck to hear

456
00:27:43,800 --> 00:27:47,960
Speaker 1: the Vice president back on the campaign trail to save America.

457
00:27:48,240 --> 00:27:51,159
Speaker 1: When you talk to your Republican counterparts, do they feel

458
00:27:51,200 --> 00:27:53,720
Speaker 1: that they are on the cusp of a mini red wave?

459
00:27:54,080 --> 00:27:58,280
Speaker 1: At least in two in the House where you previously worked,

460
00:27:58,880 --> 00:28:01,400
Speaker 1: Even if the set it map is a little bit

461
00:28:01,440 --> 00:28:05,360
Speaker 1: more of a treacherous slug. Yeah. Well look, I mean

462
00:28:05,600 --> 00:28:07,800
Speaker 1: the majority in the House is going to be you know,

463
00:28:07,920 --> 00:28:11,920
Speaker 1: single digits. Uh. It was a far far better night,

464
00:28:12,520 --> 00:28:15,560
Speaker 1: um for Republicans than I think anybody expected. So yeah,

465
00:28:15,600 --> 00:28:17,879
Speaker 1: it's within reach. And this is what happens. Typically in

466
00:28:17,920 --> 00:28:21,280
Speaker 1: the first two years of a new president, the House

467
00:28:21,359 --> 00:28:25,160
Speaker 1: often flips. Happened with Obama, it happened with Trump. Um.

468
00:28:25,240 --> 00:28:27,760
Speaker 1: And so you know, if history is a guide, uh,

469
00:28:27,800 --> 00:28:29,879
Speaker 1: there should be a lot of pressure on Democrats and

470
00:28:30,000 --> 00:28:33,119
Speaker 1: Republicans will have a real chance. People are very optimistic.

471
00:28:33,600 --> 00:28:36,360
Speaker 1: It is super early though, and the and the question

472
00:28:36,520 --> 00:28:41,760
Speaker 1: is can Republicans make Joe Biden be the controversial figure

473
00:28:42,160 --> 00:28:44,280
Speaker 1: that Democrats were able to do with Donald Trump and

474
00:28:44,320 --> 00:28:47,600
Speaker 1: we were able to do with Barack Obama? Can can

475
00:28:47,640 --> 00:28:52,760
Speaker 1: we motivate voters with a president Biden who by every

476
00:28:52,800 --> 00:28:56,520
Speaker 1: measure seems to be someone who's going to be relatively

477
00:28:56,560 --> 00:28:58,760
Speaker 1: unexciting um. And so that will be the big challenges

478
00:28:58,800 --> 00:29:01,760
Speaker 1: animating people. But right now, um, with when Donald Trump

479
00:29:01,800 --> 00:29:05,320
Speaker 1: and Mike Pence are rallying people, Um, we know that

480
00:29:05,320 --> 00:29:07,680
Speaker 1: that has in effect you're seeing it in Georgia. The

481
00:29:07,840 --> 00:29:11,200
Speaker 1: turnout numbers are are through the roof way higher than

482
00:29:11,240 --> 00:29:14,120
Speaker 1: you typically see it in a runoff. So um, there's

483
00:29:14,160 --> 00:29:16,640
Speaker 1: a lot of enthusiasm in Georgia and and the the

484
00:29:16,720 --> 00:29:19,400
Speaker 1: challenge will be continuing that in two years when Donald

485
00:29:19,400 --> 00:29:21,520
Speaker 1: Trump is sort of off the stage just so he

486
00:29:21,640 --> 00:29:24,040
Speaker 1: set here. Brendan bucks with US partner at seven Letter

487
00:29:24,120 --> 00:29:26,760
Speaker 1: Jim Kessler, co founder of Third Way. Coming up, we're

488
00:29:26,760 --> 00:29:30,200
Speaker 1: gonna check in with Democratic Congresswoman Alyssa Slatkin as well

489
00:29:30,240 --> 00:29:34,120
Speaker 1: as Republican Congressman Friend Chill. Jim just respond here to

490
00:29:34,200 --> 00:29:38,280
Speaker 1: the point that Brendan is raising, especially about the strategy

491
00:29:38,320 --> 00:29:41,520
Speaker 1: of policy, and you, being at Third Way, a centrist

492
00:29:41,520 --> 00:29:46,960
Speaker 1: democratic organization, do you think that a President Biden, once

493
00:29:47,000 --> 00:29:50,640
Speaker 1: he's sworn in on January will be able to maintain

494
00:29:50,800 --> 00:29:54,160
Speaker 1: that centrist lane or will he have to be beholden

495
00:29:54,600 --> 00:29:58,920
Speaker 1: to some of the more progressive Caucus UH ideas, ideologies

496
00:29:58,960 --> 00:30:02,680
Speaker 1: and voices in the part I'm optimistic that he's going

497
00:30:02,720 --> 00:30:05,880
Speaker 1: to be able to keep the centrist lane because the

498
00:30:05,960 --> 00:30:10,840
Speaker 1: House majority was so razor fan that you can't pass

499
00:30:11,840 --> 00:30:15,000
Speaker 1: essentially message bills that you know are going to go

500
00:30:15,080 --> 00:30:18,400
Speaker 1: and die in the United States Center. Everything is going

501
00:30:18,440 --> 00:30:21,360
Speaker 1: to have to be bipartisan, and I think for a

502
00:30:21,400 --> 00:30:24,360
Speaker 1: lot of presidents that would be very difficult. I actually

503
00:30:24,440 --> 00:30:26,520
Speaker 1: think this is the hand that Joe Biden knows how

504
00:30:26,560 --> 00:30:29,240
Speaker 1: to play the best. I'm not saying he's going to

505
00:30:29,320 --> 00:30:33,600
Speaker 1: be successful in passing tons of legislation. I think the

506
00:30:33,600 --> 00:30:37,120
Speaker 1: story is still out on that, but there's a very

507
00:30:37,200 --> 00:30:41,240
Speaker 1: high likelihood the voters will see Joe Biden has the

508
00:30:41,320 --> 00:30:45,160
Speaker 1: one politician in Washington. They're just going to die trying

509
00:30:45,320 --> 00:30:48,240
Speaker 1: to get things done and do it through the center

510
00:30:48,280 --> 00:30:52,160
Speaker 1: as best as possible. Maybe that's the lesson here, not

511
00:30:52,200 --> 00:30:55,760
Speaker 1: to interrupt. Finish your thought, Jim, I didn't mean to interrupts. Well,

512
00:30:56,120 --> 00:30:58,640
Speaker 1: maybe that's the lesson here, Brendan Buck and maybe the

513
00:30:58,720 --> 00:31:01,040
Speaker 1: road map. And we've been featuring members of the of

514
00:31:01,120 --> 00:31:05,120
Speaker 1: the Problem Solvers Caucus. We've had Congressman Gottheimer Congressman read

515
00:31:05,160 --> 00:31:07,920
Speaker 1: on the program this week. It is there now a

516
00:31:07,960 --> 00:31:13,160
Speaker 1: political playbook for centrists because the comparison of making that

517
00:31:13,200 --> 00:31:15,960
Speaker 1: we've all made rather as we enter into this economic

518
00:31:16,960 --> 00:31:20,680
Speaker 1: horrible downturn, is that the Republicans are going to have

519
00:31:20,720 --> 00:31:24,080
Speaker 1: a resurgence akin to the Tea Party post two thousand

520
00:31:24,160 --> 00:31:28,080
Speaker 1: and eight. But have this has the centrist lane evolved

521
00:31:28,200 --> 00:31:31,880
Speaker 1: enough as a as a force in office? Brendan buck

522
00:31:32,200 --> 00:31:34,880
Speaker 1: with the problem solvers Caucus, because the basis of the

523
00:31:34,880 --> 00:31:37,760
Speaker 1: deal that they're dotting the eyes and crossing the t's

524
00:31:37,840 --> 00:31:42,320
Speaker 1: on is coming from the centrist Brendan Um. I will

525
00:31:42,360 --> 00:31:44,080
Speaker 1: start by saying, I think Jim makes a very good

526
00:31:44,080 --> 00:31:48,080
Speaker 1: point that Democrats are going to have a hard time

527
00:31:48,160 --> 00:31:52,480
Speaker 1: passing anything particularly progressive because their majority is going to

528
00:31:52,520 --> 00:31:54,880
Speaker 1: be so small in that wall. I think help Joe

529
00:31:54,920 --> 00:31:59,360
Speaker 1: Biden not be framed as a socialist. Um. At the

530
00:31:59,400 --> 00:32:01,720
Speaker 1: same time, I really don't think that's the case in

531
00:32:01,840 --> 00:32:04,800
Speaker 1: terms of a centrist line. Um. There just are a

532
00:32:04,800 --> 00:32:07,560
Speaker 1: whole lot of centriests in Congress. Um. We are such

533
00:32:07,600 --> 00:32:10,760
Speaker 1: a divided country. We have a ton of very conservative

534
00:32:10,760 --> 00:32:13,120
Speaker 1: members and we have a ton of very progressive members.

535
00:32:13,240 --> 00:32:16,360
Speaker 1: And UM, you know, if there's going to be things done, yeah,

536
00:32:16,400 --> 00:32:18,240
Speaker 1: it's gonna have to be bipartisan, and it's going to

537
00:32:18,360 --> 00:32:21,680
Speaker 1: have to be probably small bore. But just the way

538
00:32:21,720 --> 00:32:25,320
Speaker 1: politics work and and the you know, the currency that

539
00:32:25,400 --> 00:32:29,560
Speaker 1: exists by being the loudest voice, I don't think that's

540
00:32:29,560 --> 00:32:31,960
Speaker 1: going to change. Anytime soon. And it's it's it's really

541
00:32:32,000 --> 00:32:35,680
Speaker 1: just going to revert to once a system where we're

542
00:32:35,720 --> 00:32:38,959
Speaker 1: just very far apart. See that's the real talk. And

543
00:32:39,000 --> 00:32:42,040
Speaker 1: I wish, I wish that we could play what what

544
00:32:42,160 --> 00:32:44,200
Speaker 1: some of the lawmakers have told us on this program

545
00:32:44,200 --> 00:32:47,400
Speaker 1: is that that optimistic sentiments of just you know, getting

546
00:32:47,400 --> 00:32:50,480
Speaker 1: in a room and and and you know, working out

547
00:32:50,520 --> 00:32:52,479
Speaker 1: a deal, which we all want to see happen, right,

548
00:32:52,520 --> 00:32:54,080
Speaker 1: and we're seeing it in real time with the with

549
00:32:54,200 --> 00:32:56,840
Speaker 1: these negotiations. But Brendan Buck, who is a senior advisor

550
00:32:57,160 --> 00:32:59,720
Speaker 1: to former House Speaker Paul Ryan, just gave us a

551
00:32:59,760 --> 00:33:03,280
Speaker 1: shot out of realism, which was again the fragment and media,

552
00:33:03,560 --> 00:33:05,920
Speaker 1: the amplified voices of the far left and the far

553
00:33:06,080 --> 00:33:09,280
Speaker 1: right all have drowned out over recent years, predating the

554
00:33:09,280 --> 00:33:11,880
Speaker 1: current document of the White House President Trump. With regards

555
00:33:11,880 --> 00:33:14,160
Speaker 1: to the current status of affairs, I put that question

556
00:33:14,160 --> 00:33:16,560
Speaker 1: to the to the problem solvers caucus behind the scenes

557
00:33:16,600 --> 00:33:19,360
Speaker 1: and publicly, which is essentially, do you wish you had

558
00:33:19,720 --> 00:33:24,400
Speaker 1: a more a voice with a more amplified microphone in

559
00:33:24,480 --> 00:33:27,160
Speaker 1: order to counter some of the viral tweets, so to speak,

560
00:33:27,720 --> 00:33:30,800
Speaker 1: that have driven the cycles on both sides of the

561
00:33:30,840 --> 00:33:33,240
Speaker 1: aisle for quite some time. I do want to reset

562
00:33:33,280 --> 00:33:37,240
Speaker 1: here because this has been a fascinatingly busy Thursday, and

563
00:33:37,360 --> 00:33:40,600
Speaker 1: news we covered, of course, the fiscal stimulus talks. Breaking

564
00:33:40,640 --> 00:33:43,760
Speaker 1: news just within the last half hour that Maderna and

565
00:33:43,800 --> 00:33:47,200
Speaker 1: their COVID nineteen vaccine won the backing from a panel

566
00:33:47,240 --> 00:33:51,840
Speaker 1: of experts who advise US regulators, setting the stage for

567
00:33:51,880 --> 00:33:54,920
Speaker 1: a shot to be the second vaccine cleared in the

568
00:33:55,040 --> 00:33:59,920
Speaker 1: US in as many weeks. Meanwhile, there was another math

569
00:34:00,120 --> 00:34:02,320
Speaker 1: of development today, and that's where I want to get

570
00:34:02,320 --> 00:34:05,000
Speaker 1: the reaction from the panel to focus on now. The

571
00:34:05,120 --> 00:34:09,479
Speaker 1: US Nuclear Weapons Agency and at least three states were

572
00:34:09,560 --> 00:34:13,640
Speaker 1: hacked as part of a suspected Russian cyber attack that

573
00:34:13,800 --> 00:34:18,279
Speaker 1: struck several federal government agencies. The Energy Department and its

574
00:34:18,360 --> 00:34:24,359
Speaker 1: National Nuclear Security Administration, which maintains America's nuclear stockpile, were

575
00:34:24,400 --> 00:34:29,280
Speaker 1: targeted as part of a larger attack by suspected Russian hackers.

576
00:34:29,400 --> 00:34:32,360
Speaker 1: According to a person familiar with the matter I'm reading

577
00:34:32,360 --> 00:34:35,320
Speaker 1: from the Bloomberg report on the terminal. The hack affected

578
00:34:35,760 --> 00:34:39,040
Speaker 1: unclassified systems as well as the nuclear and the and

579
00:34:39,080 --> 00:34:43,080
Speaker 1: it was first reported by Politico. This has impacted the

580
00:34:43,200 --> 00:34:48,360
Speaker 1: cyber attack hacks have impacted the public sector government security

581
00:34:48,719 --> 00:34:52,480
Speaker 1: as well as the private sector. President Trump has yet

582
00:34:52,520 --> 00:34:57,640
Speaker 1: to publicly address the hack. Meanwhile, President electro Biden did

583
00:34:57,640 --> 00:35:01,840
Speaker 1: in fact issue a statement earlier today in which he wrote, quote,

584
00:35:02,080 --> 00:35:05,880
Speaker 1: this appears to be a massive cybersecurity breach, affecting potentially

585
00:35:06,000 --> 00:35:10,280
Speaker 1: thousands of victims, including US companies and federal government entities.

586
00:35:10,480 --> 00:35:13,239
Speaker 1: He went on in the statement to say, I want

587
00:35:13,280 --> 00:35:16,640
Speaker 1: to be clear. My administration will make cyber security a

588
00:35:16,680 --> 00:35:19,920
Speaker 1: top priority at every level of government, and we will

589
00:35:19,960 --> 00:35:23,040
Speaker 1: make dealing with this breach a top priority from the

590
00:35:23,120 --> 00:35:25,960
Speaker 1: moment we take office. He went on to pledge to

591
00:35:26,000 --> 00:35:32,080
Speaker 1: impose substantial costs on those responsible for such malicious attacks.

592
00:35:32,440 --> 00:35:36,080
Speaker 1: The geopolitics of this, Jim Kessler, and and and what

593
00:35:36,239 --> 00:35:39,280
Speaker 1: is setting the stage and the timing of this happening

594
00:35:39,320 --> 00:35:44,359
Speaker 1: at a period of a transition of power is striking, Jim.

595
00:35:44,400 --> 00:35:48,440
Speaker 1: It is um and as you noted, President Trump's silence

596
00:35:48,560 --> 00:35:54,080
Speaker 1: on this is striking. This. This maybe the most significant

597
00:35:54,280 --> 00:36:01,160
Speaker 1: cyber attack committed against any country in history. This has

598
00:36:01,840 --> 00:36:06,360
Speaker 1: maybe the most massive breach we've ever seen, and it

599
00:36:06,400 --> 00:36:09,120
Speaker 1: will be months, perhaps years, before we know the full

600
00:36:09,160 --> 00:36:12,080
Speaker 1: extent of it. We are almost certain that it was

601
00:36:12,560 --> 00:36:16,080
Speaker 1: done by the Russians. That has the Russian footprint. This

602
00:36:16,120 --> 00:36:21,120
Speaker 1: is cozy bear there. You know their malware um and

603
00:36:22,360 --> 00:36:27,239
Speaker 1: you know, look, this is the future of conflict between nations,

604
00:36:28,000 --> 00:36:30,400
Speaker 1: and you know this is a place where the Russians

605
00:36:30,480 --> 00:36:34,000
Speaker 1: play a very, very tough game. We gotta leave it there.

606
00:36:34,000 --> 00:36:35,800
Speaker 1: We're coming up. We're gonna check them with two lawmakers.

607
00:36:35,800 --> 00:36:39,719
Speaker 1: Brendan Buck thank you, Jim Kessler, Thank you. Congresswoman Alyssa

608
00:36:39,800 --> 00:36:50,719
Speaker 1: Slocking up next, I'm Kevin Sireli. This is Bloomberg. Just me.

609
00:36:53,000 --> 00:36:57,640
Speaker 1: I'm Kevin Sireli, chief Washington correspondent for Bloomberg Television and

610
00:36:57,760 --> 00:37:01,080
Speaker 1: Bloomberg Radio. I gotta say, I gotta wish a very

611
00:37:01,120 --> 00:37:07,080
Speaker 1: special happy birthday to Mrs Virginia Ali, the co founder

612
00:37:07,600 --> 00:37:13,040
Speaker 1: of Bench Chili Bowl, a Washington d C. Staple. Happy birthday, Virginia.

613
00:37:13,760 --> 00:37:16,040
Speaker 1: We're gonna get her back on. I believe in like

614
00:37:16,080 --> 00:37:17,759
Speaker 1: a week and a half, I was talking with one

615
00:37:17,800 --> 00:37:21,160
Speaker 1: of my friends over there, and she is enjoying her

616
00:37:21,520 --> 00:37:25,839
Speaker 1: seven birthday by doing what she does best, showing up

617
00:37:25,880 --> 00:37:30,400
Speaker 1: and making sure that Bench Chili Bowl is still doing

618
00:37:30,440 --> 00:37:33,840
Speaker 1: its thing in these unprecedented times, such a true profile

619
00:37:33,920 --> 00:37:37,719
Speaker 1: encouraged such a an icon in the city, in the district,

620
00:37:37,920 --> 00:37:41,759
Speaker 1: an icon in the district importantly, uh and and really

621
00:37:41,800 --> 00:37:47,200
Speaker 1: a stale ward of our town, so to speak. So

622
00:37:47,239 --> 00:37:50,480
Speaker 1: happy birthday of Virginia and Congresswoman Alysta Slatkin just made

623
00:37:50,480 --> 00:37:52,160
Speaker 1: me want a hot dog for dinner. I don't know

624
00:37:52,200 --> 00:37:54,320
Speaker 1: about you. I was getting hungry during that last interview

625
00:37:54,480 --> 00:37:58,200
Speaker 1: Congressman friend chills with US Republican from Arkansas. So your

626
00:37:58,320 --> 00:38:01,840
Speaker 1: your colleague, Congress, some of Alyssa Slackin is on before you.

627
00:38:01,960 --> 00:38:08,640
Speaker 1: Her family invented the ballpark. Frank Well, that is a

628
00:38:08,640 --> 00:38:11,839
Speaker 1: astounding fact and that I did not know even though

629
00:38:11,880 --> 00:38:14,279
Speaker 1: she's my next door neighbor. In the long word, Bill,

630
00:38:14,760 --> 00:38:18,160
Speaker 1: So I think what you should do, Congressman, is figure

631
00:38:18,160 --> 00:38:21,120
Speaker 1: out a way to get us all some hot talks.

632
00:38:22,920 --> 00:38:24,640
Speaker 1: I'm going to work on that first thing, and then

633
00:38:24,680 --> 00:38:27,719
Speaker 1: thank you, thank you, and I take my with Sauerkraud. Okay,

634
00:38:27,719 --> 00:38:29,719
Speaker 1: are we going to get a fiscal stimulus deal? Same

635
00:38:29,800 --> 00:38:33,279
Speaker 1: question to you? When when is this deal going to happen? Well?

636
00:38:33,320 --> 00:38:37,920
Speaker 1: Alsa was on the floor today passionately arguing for a

637
00:38:38,040 --> 00:38:42,799
Speaker 1: fiscal stimulus deal. I'm optimistic that we're very close, and

638
00:38:42,880 --> 00:38:45,960
Speaker 1: that it will contain that core set of things that

639
00:38:46,120 --> 00:38:49,880
Speaker 1: you and I've talked about over the last six months

640
00:38:50,000 --> 00:38:53,160
Speaker 1: that we've needed to do to help our families that

641
00:38:53,200 --> 00:38:57,360
Speaker 1: are hurting, our schools that are hurting are and most importantly,

642
00:38:57,400 --> 00:39:01,279
Speaker 1: our small businesses and hotels that are really so one

643
00:39:01,280 --> 00:39:05,280
Speaker 1: of the items that has come up is, UH, this

644
00:39:05,280 --> 00:39:09,480
Speaker 1: this remarkable fight over the federal Reserve powers holding up

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00:39:09,719 --> 00:39:12,920
Speaker 1: the year and deal. Can you give us the specifics

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Speaker 1: on that and obviously include your position in that as

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00:39:15,760 --> 00:39:20,879
Speaker 1: well well. Sure. The Senate, UH, starting with leadership from

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00:39:20,880 --> 00:39:25,799
Speaker 1: Pat Toomey several months ago, wanted to take the unused

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00:39:25,880 --> 00:39:28,839
Speaker 1: CARES Act that was part of the Exchange Stabilization Fund

650
00:39:28,920 --> 00:39:32,239
Speaker 1: that was appropriated money given to the Treasury for the

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00:39:32,320 --> 00:39:35,240
Speaker 1: Treasury to then set up lending facilities at the FET.

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00:39:35,880 --> 00:39:40,000
Speaker 1: So there is a substantial amount of that money, over

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00:39:40,120 --> 00:39:44,040
Speaker 1: three hundred billion dollars three hundred billion dollars go ahead

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00:39:44,760 --> 00:39:47,960
Speaker 1: that was not called on to be used in a

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00:39:48,040 --> 00:39:52,520
Speaker 1: lending program that's main street municipal, state, and local governments

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00:39:52,560 --> 00:39:57,400
Speaker 1: of the whole whole nine yards. So Pat Toomey, Senator

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00:39:57,480 --> 00:40:01,040
Speaker 1: suggested that it come back. UH. Steve Manuchin, as you know,

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00:40:01,280 --> 00:40:04,040
Speaker 1: wrote the Fed asking for it to come back, and

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00:40:04,040 --> 00:40:06,919
Speaker 1: the Fed has complied, and so that money has come

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00:40:06,960 --> 00:40:10,000
Speaker 1: back to the Treasury. And what the Senate proposes is

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00:40:10,040 --> 00:40:12,959
Speaker 1: that this COVID relief bill that we're negotiating right now

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00:40:13,719 --> 00:40:17,400
Speaker 1: use some of that previously appropriated money but now unspent,

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00:40:17,880 --> 00:40:23,719
Speaker 1: to offset the new spending. And that's a conservative approach fiscally.

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Speaker 1: It's targeting the money in a better way. It's putting

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00:40:26,239 --> 00:40:30,880
Speaker 1: the Congress's appropriate money onto a better track. So I

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00:40:30,960 --> 00:40:34,640
Speaker 1: do support it, but I support it knowing Kevin that

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00:40:34,719 --> 00:40:38,640
Speaker 1: the Treasury still has eighty billion dollars in exchange stabilization

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00:40:38,719 --> 00:40:41,319
Speaker 1: funds that are not sub funded by the Cares Act

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00:40:41,360 --> 00:40:43,560
Speaker 1: that they could use if they needed to early in

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00:40:43,560 --> 00:40:47,440
Speaker 1: the year for any kind of a liquidity crisis in

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00:40:47,480 --> 00:40:51,399
Speaker 1: the market. And Senator Pat to me, the Republican from Pennsylvania,

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00:40:51,560 --> 00:40:55,320
Speaker 1: likely if Republicans win in Georgia, is in line to

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00:40:55,480 --> 00:40:59,040
Speaker 1: be the Senate Banking Committee chairman. So this is a

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00:40:59,120 --> 00:41:05,400
Speaker 1: warning policy red line that Republicans are are arguing. And

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Speaker 1: and let me follow up on this in terms of

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00:41:07,640 --> 00:41:13,120
Speaker 1: the three billion dollars, could that money also be allocated

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00:41:13,160 --> 00:41:17,800
Speaker 1: in what Leader McConnell has foreshadowed as as President elect Biden,

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00:41:18,320 --> 00:41:24,000
Speaker 1: another round of negotiations in February or March next year. Well,

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00:41:24,040 --> 00:41:26,799
Speaker 1: I guess in theory, but I anticipate if we're successful

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00:41:26,800 --> 00:41:30,200
Speaker 1: in the COVID nineteen stimmuls packaged today, that that money

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00:41:30,239 --> 00:41:35,520
Speaker 1: will be used here in to provide the off set

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00:41:35,680 --> 00:41:39,719
Speaker 1: the fiscal support for that package. UH. And I think

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00:41:39,760 --> 00:41:43,360
Speaker 1: Congress is obviously open minded about having to do additional

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00:41:43,440 --> 00:41:47,920
Speaker 1: coronavirus relief if required on a case by case basis

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00:41:47,960 --> 00:41:52,760
Speaker 1: in the coming year. UH. And I remind my friends

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00:41:52,760 --> 00:41:55,680
Speaker 1: on the other side of the aisle that the Cares

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00:41:55,719 --> 00:42:00,000
Speaker 1: Act was very specific that the UH many of these

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00:42:00,080 --> 00:42:04,920
Speaker 1: programs ended on December, and that's why we need to

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00:42:04,960 --> 00:42:08,160
Speaker 1: take the action now. But that's also the reason why

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00:42:08,480 --> 00:42:11,120
Speaker 1: Secretary Manuchin suggested that if the money is not going

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00:42:11,200 --> 00:42:13,160
Speaker 1: to be used, let's return it to the Treasury and

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00:42:13,160 --> 00:42:16,360
Speaker 1: put it to better use in fighting the virus. Okay,

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00:42:16,480 --> 00:42:18,759
Speaker 1: So to follow up on that point, one of the

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00:42:18,840 --> 00:42:21,560
Speaker 1: questions that I get from the business community, and I

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00:42:21,640 --> 00:42:26,440
Speaker 1: don't get and I asked people like you, is how

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00:42:26,440 --> 00:42:29,080
Speaker 1: how much of an assurance is it that there will

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00:42:29,080 --> 00:42:32,880
Speaker 1: be another round a fiscal stimulus or economic relief in

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00:42:33,280 --> 00:42:37,120
Speaker 1: President elect Biden's one days. Is that possible or is

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00:42:37,239 --> 00:42:40,799
Speaker 1: this it between now and the lame duck. I think

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00:42:40,800 --> 00:42:44,680
Speaker 1: it's a fair question. I would say, Um, if they

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00:42:44,719 --> 00:42:48,440
Speaker 1: get a consensus package developed House and Senate for about

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00:42:48,560 --> 00:42:54,240
Speaker 1: nine hundred billion dollars that targets public health and economic recovery,

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00:42:54,320 --> 00:42:57,360
Speaker 1: that that's probably going to be it in that first

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00:42:57,440 --> 00:43:01,560
Speaker 1: hundred day window, unless the economy or the virus takes

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00:43:01,560 --> 00:43:05,400
Speaker 1: a turn we have not anticipated. Okay, Meanwhile, I have

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00:43:05,520 --> 00:43:07,400
Speaker 1: to ask you in the remaining three minutes that I

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00:43:07,400 --> 00:43:10,680
Speaker 1: have left, because the hacking story has just the headlines

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00:43:10,719 --> 00:43:14,520
Speaker 1: have been going so incredibly fast and furious all throughout

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00:43:14,560 --> 00:43:18,800
Speaker 1: the day. You've got Microsoft breach and suspected hack using

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00:43:18,840 --> 00:43:22,239
Speaker 1: solar winds. This, according to Reuter's, Microsoft was hacked as

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00:43:22,280 --> 00:43:25,400
Speaker 1: part of the suspected campaign that hit multiple US government

712
00:43:25,400 --> 00:43:29,280
Speaker 1: agencies by taking advantage of software from solar winds. According

713
00:43:29,280 --> 00:43:33,160
Speaker 1: to Reuters, meanwhile, hackers have been tied to Russia that

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00:43:33,280 --> 00:43:36,760
Speaker 1: they have hit the US Nuclear Agency and three other states.

715
00:43:37,080 --> 00:43:41,479
Speaker 1: The Energy Department and its National Nuclear Security Administration, which

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00:43:41,520 --> 00:43:45,319
Speaker 1: maintains America's nuclear stockpile we're targeted as part of the

717
00:43:45,400 --> 00:43:48,560
Speaker 1: larger attack. President elect Biden says that he wants to

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00:43:48,560 --> 00:43:52,279
Speaker 1: be clear, quote, my administration will make cybersecurity a top

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00:43:52,320 --> 00:43:56,160
Speaker 1: priority at every level of government end Quote what have

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00:43:56,320 --> 00:43:59,640
Speaker 1: lawmakers been told? Have there been briefings? How should the

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00:43:59,719 --> 00:44:02,719
Speaker 1: U s respond? Uh? And are we at the forefront?

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00:44:02,800 --> 00:44:04,440
Speaker 1: Are we at the beginnings of what could be a

723
00:44:04,520 --> 00:44:07,880
Speaker 1: significant policy shift in terms of how the United States

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00:44:08,239 --> 00:44:14,080
Speaker 1: takes on protecting itself from cyber attacks. Well, it's an

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00:44:14,120 --> 00:44:18,200
Speaker 1: important strategic question. It's accelerated. It is not a new question, though,

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00:44:18,239 --> 00:44:20,680
Speaker 1: and it's something that's been a concern to Congress and

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00:44:20,719 --> 00:44:25,360
Speaker 1: the executive branch for years. And certainly Russia, Iran, North Korea,

728
00:44:25,640 --> 00:44:30,080
Speaker 1: China are among the worst actors in routinely from the

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00:44:30,200 --> 00:44:33,000
Speaker 1: cyber assaults on both the private sector and the public

730
00:44:33,040 --> 00:44:36,400
Speaker 1: sector here and around the world. We have to be vigilant.

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00:44:36,719 --> 00:44:40,239
Speaker 1: I hope that we have important briefings on that, both

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00:44:40,280 --> 00:44:42,680
Speaker 1: at the Intelligence Committee level as well as in the

733
00:44:42,719 --> 00:44:46,239
Speaker 1: committees of jurisdiction, and that we take additional action to

734
00:44:46,320 --> 00:44:50,040
Speaker 1: support both the protection of the private sector and the

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00:44:50,040 --> 00:44:54,200
Speaker 1: public sector from these sorts of state actors in the

736
00:44:54,280 --> 00:44:56,560
Speaker 1: cyber threat arena and in the minute that I have

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00:44:56,640 --> 00:44:58,640
Speaker 1: left with you just quickly, I mean it is from

738
00:44:58,920 --> 00:45:02,040
Speaker 1: and you have private sector, your experience, the reputational risk

739
00:45:02,160 --> 00:45:05,479
Speaker 1: that private sector, that the private sector experiences when having

740
00:45:05,480 --> 00:45:09,239
Speaker 1: to report a cyber intelligence hack versus the lack of

741
00:45:09,280 --> 00:45:12,879
Speaker 1: reputational risk that the government has to face in terms

742
00:45:12,920 --> 00:45:16,000
Speaker 1: of when they're cyber attack. That's a huge disconnect, Congressman.

743
00:45:16,800 --> 00:45:19,239
Speaker 1: It is, and it's why many of us, Kevin McCarthy,

744
00:45:19,280 --> 00:45:23,040
Speaker 1: Patrick mckinry of North Carolina, many of us put data privacy,

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00:45:23,200 --> 00:45:28,200
Speaker 1: data ownership, reach notification and have uniformity and common rules

746
00:45:28,200 --> 00:45:30,640
Speaker 1: on that across the country as a priority for this

747
00:45:30,800 --> 00:45:34,439
Speaker 1: next Congress, Congressman Friendshill, Republican from Arkansas, please come back,

748
00:45:34,800 --> 00:45:36,719
Speaker 1: uh and join us in the new year. Happy New

749
00:45:36,800 --> 00:45:39,160
Speaker 1: Year to you, sir and your family, and Merry Christmas

750
00:45:39,200 --> 00:45:41,239
Speaker 1: as well. Uh. And again if you're just joining us.

751
00:45:41,280 --> 00:45:46,320
Speaker 1: Governor Larry Hogan, a Republican from Maryland, issuing an urging

752
00:45:46,440 --> 00:45:49,799
Speaker 1: rather for all citizens of the state to stay home

753
00:45:49,840 --> 00:45:52,840
Speaker 1: for the holidays. But someone gets an exempts an exemption.

754
00:45:53,360 --> 00:45:55,960
Speaker 1: That's Santa Claus, his elves and of course the rain here.

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00:45:56,000 --> 00:46:02,560
Speaker 1: I'm Kevin Surli you're listening to Bloomberg did ations. If

756
00:46:02,680 --> 00:46:08,960
Speaker 1: upon my heart, how can you keep a promise? M M.

757
00:46:09,440 --> 00:46:14,320
Speaker 1: It's a situation. It's like a modern mass being way

758
00:46:14,680 --> 00:46:14,759
Speaker 1: no