A5
THE DAILY ASTORIAN • WEDNESDAY, JANUARY 16, 2019
Trump feels shutdown pressure from economists, Pelosi
By CATHERINE LUCEY,
JILL COLVIN and
LISA MASCARO
Associated Press
WASHINGTON — Shut-
down pressure on President
Donald Trump mounted
today as House Speaker
Nancy Pelosi called on
him to delay his State of
the Union address and his
own economists acknowl-
edged the prolonged stand-
off is having a greater eco-
nomic drag than previously
thought.
In a letter to Trump,
Pelosi cited security con-
cerns, noting that both
the Secret Service and the
Homeland Security Depart-
ment are affected by the par-
tial government shutdown,
now in its fourth week. She
added that unless the govern-
ment reopens this week, they
should fi nd another date —
it’s now Jan. 29 — or Trump
should deliver the address in
writing.
The White House did
not immediately respond to
the high-stakes move on the
26th day of the shutdown, as
Trump and Democrats are
at an impasse over Trump’s
demands for $5.7 billion to
build a wall along the Mex-
ican border.
Pelosi is refusing money
for the wall she views as
ineffective and immoral;
AP Photo/Jacquelyn Martin
President Donald Trump speaks at the American Farm Bureau Federation’s annual convention
in New Orleans.
Democrats say they will dis-
cuss border security once the
government has reopened.
The White House planned
more meetings with rank-
and-fi le lawmakers today,
though few saw those ses-
sions as likely to budge
either side.
Kevin Hassett, chairman
of the White House Coun-
cil of Economic Advisers,
said Tuesday the shutdown
is slowing growth more than
predicted.
An economic shift could
rattle Trump, who has tied
his political fortunes to the
stock market and repeat-
edly stressed economic gains
as evidence that his tax-cut
package and deregulation
efforts are succeeding. Eco-
nomic optimism had already
cooled somewhat as Trump’s
trade fi ght with China shook
the markets.
Hassett told reporters the
White House is doubling its
estimate of the strain on the
economy of the shutdown,
and now calculates that it is
slowing growth by about 0.1
percentage points a week.
With the shutdown in its
fourth week, that suggests
the economy has lost nearly
a half-percentage point of
growth so far, though some
of that occurred at the end
of last year and some in the
fi rst quarter of this year. Has-
sett said the economy should
get a boost when the govern-
ment re-opens.
Previous White House
estimates of the impact did
not fully take into account
the effect on people who
work for private companies
that contract with the gov-
ernment to provide services,
Hassett said.
While the hit to the over-
all economy so far remains
slight, economists fore-
see real damage if the shut-
down drags into February or
beyond.
Roughly 1 million gov-
ernment employees and con-
tractors aren’t being paid.
Travel plans are compro-
mised by shuttered federal
parks and airport delays.
Some Americans trying to
start small businesses face
delays in obtaining the
required tax identifi cation
number from the IRS.
White House spokes-
woman
Sarah
Hucka-
bee Sanders told reporters
that the economy remained
strong.
“I know there has been
some impact, but at the same
time we’re focused on the
long term economic princi-
ples the president has laid
out,” she said.
The House and Sen-
ate said they will cancel a
recess later this week if the
shutdown continues, which
seems likely.
The president, on a con-
ference call with supporters
Tuesday, showed no signs of
backing down.
“We’re going to stay out
for a long time, if we have
to,” Trump said. He also sug-
gested the partial shutdown,
which has clogged airport
security lines and shuttered
federal agencies, was going
smoothly.
Behind
the
scenes,
though, the administration
and its allies on Capitol Hill
are warily eyeing the next
payday. They hope to reach a
resolution before a Tuesday
deadline, when they’ll need
to prepare the next round of
paychecks for workers who
have been seeing zeros on
their pay slips.
Some in the Senate are
pushing to support a short-
term bill that would re-open
the government for three
weeks to allow time for nego-
tiations on border security.
While Trump rejected the
idea earlier this week, Sens.
Lindsey Graham of South
Carolina and Chris Coons of
Delaware are organizing a
bipartisan letter asking him
to reconsider.
The letter, a copy of
which was obtained by The
Associated Press, states that
the senators will make their
best efforts to have “Con-
gress develop and vote on
a bipartisan agreement that
addresses your request” for
border money if he agrees to
support legislation reopen-
ing the government for those
three weeks.
WORLD IN BRIEF
Sears staves off liquidation,
stores to remain open
Associated Press
US military says service members
killed in Syria explosion
BEIRUT — A number of U.S. service members
were killed in an explosion while conducting a routine
patrol in Syria today, the U.S. military said, an attack that
came less than a month after President Donald Trump
announced his intention to withdraw troops from the war-
torn country.
The Islamic State group claimed responsibility for the
rare morning attack, which local groups said killed 16 peo-
ple in the U.S.-patrolled town of Manbij.
The claim, which could not be independently confi rmed,
calls into question Trump’s claim that IS has been defeated
in Syria — his stated reason for pulling 2,000 American
troops out of the country.
“We have defeated ISIS in Syria, my only reason for
being there during the Trump Presidency,” Trump tweeted
in December in announcing his intention to bring back U.S.
troops “NOW.”
Trump has been clear about his desire to pull out of Syria,
a country he described as “sand and death.” But critics have
said a pullout was premature, that IS was still not defeated
and a pullout could lead to a power vacuum that would fuel
even more violence.
NEW YORK — Sears will live on, at least for now.
The company’s chairman and largest shareholder, Eddie
Lampert, won a bankruptcy auction for Sears, averting liqui-
dation of the iconic chain.
Lampert is the only one to put out a bid for the whole
company. The 56-year-old billionaire had sweetened his bid
to more than $5 billion over the last few days through an
affi liate of his hedge fund ESL. Details of the fi nal terms
couldn’t be learned.
The plan still must be approved by the bankruptcy judge
in White Plains, New York, who is presiding over the court
case.
Lampert, who steered the company into bankruptcy pro-
tection, may be able to keep the roughly 400 remaining
Sears stores open, meaning tens of thousands of jobs have
been saved, at least for now.
Senators consider former lobbyist
as EPA’s permanent chief
WASHINGTON — Acting Environmental Protection
Agency chief Andrew Wheeler’s past lobbying work for
coal companies and other industries regulated by the agency
is expected to draw scrutiny today when a Senate committee
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THE DAILY
ASTORIAN
A
considers his nomination to the position.
Wheeler’s roughly six-month tenure as the agency’s act-
ing administrator has been far more low-key than that of the
man he replaced, Scott Pruitt. Pruitt’s fondness for the perks
of power and for alleged favors — from round-the-clock
bodyguards to lavish travel to special deals on mattresses
from the Trump International Hotel — generated constant
headlines and helped lead to Pruitt’s resignation as the agen-
cy’s administrator in July.
In line with Trump’s regulation-cutting ethos, the agency
under Wheeler has moved forward on major rollbacks and
pending rollbacks of Obama-era environmental measures:
easing the mileage standards that cars and trucks will have to
meet, relaxing measures on climate-changing carbon emis-
sions from coal-fi red power plants and removing millions of
miles of wetlands and waterways from federal protections,
among other changes.
Environmental groups say his lobbying work for indus-
tries regulated by the EPA should disqualify him outright.
“A coal lobbyist is unfi t to run the EPA, period,” said Matt
Gravatt, associate legislative director at the Sierra Club.
Evening listings
WEDNESDAY
J ANUARY 16
A - Charter Astoria/ Seaside - L - Charter Long Beach
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Hot Rod Chronicling the life of the great Rod Hundley.
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