07/11/2018
The 2018 Midterm Elections -- Midterm Madness with no Clear National Message
Overview
The 2018 midterm elections occurred on November 6th, and despite some expectations of the potential for a “blue wave”, the results were decidedly mixed. Democrats succeeded in reclaiming the reins of power on one branch of the legislature, which will give them a seat at the table, and a check on the power of the Trump administration. Democrats are guaranteed to have a majority of 219-193, with many races yet to be decided. At the same time, Republicans scored major victories in the Senate, and appeared to expand their majority, but at the moment it stands at least at 51-45, with two states that may flip outstanding, and a Democratic pickup also in play. One of the key takeaways of the evening appears to be that Democrats were energized in Democratic areas, but Republicans also were highly motivated in Republican areas. As many predicted, it was a turnout election, with the total number of votes cast easily exceeding the previous midterm – which was itself an exemplar all-time low for voter turnout.
The battleground also extended to governorships and state legislatures, which will play a significant role over the levers of power for state redistricting in two years, as well as the political architecture of state political operations going into the primaries and the general election in 2020.
The changes in Washington beginning when the new Congress is sworn on January 3, 2019 will be massive, and will usher in a new phase of the Trump presidency and the conduct of Congress. Democrats will be in a position to demand compromise. No longer will the debate be between the far right of the Republican Party and the more moderate wing. Pressure will ease on Senate Majority Leader Mitch McConnell (R-KY) to eliminate the legislative filibuster, as it will no longer be the impediment that blocks Republican initiatives. Instead, that hindrance will belong to House Democrats – where a newfound majority rule will make it a new leadership structure to stonewall Republican initiatives. In addition, Senate Majority Leader Mitch McConnell (R-KY) will now have an excuse to ignore the right wing of his party and the most controversial instincts of the Trump administration, and instead seek to compromise with House Democrats – however, it remains to be seen whether or not he will choose to take that path.
The proposition also means some serious questions will need to be determined. Clearly the new generation of Democrats will want to have some say in their own leadership, and there has already been significant discussion of the average age of the current leadership. There will also be a discussion of whether or not to bring back earmarks as a tool in helping to grease the wheels of government. On the one hand it might provide bad optics and talking points for Republicans who portray Democrats as seeking to reinstate corrupt pork-barrel practices. However, the ban has never been popular in the Senate, and there are plenty of Members who would welcome the opportunity to retake the prerogative of Congress to set spending priorities, and take that function out of the hands of the administration.
For his part, the White House managed to stay fairly restrained throughout election night. The administration is likely to spin the results as a vindication and victory for Trump – despite the loss of the House. The line that has begun to percolate from the administration is that President Trump was tremendously effective in Senate races in taking down Democratic candidates in states where he showed up. However, this might be ignoring the damage his rhetoric might have done to the slew of suburban House districts that flipped to Democrats in the election. Regardless of the spin, one thing is certain – the Republican Caucus will become more conservative and more “Trumpian” when the new Congress convenes in January.
House of Representatives
The Democratic takeover of the House marks a sea-change for the Trump administration and for the conduct of Congress. The likely incoming Speaker will almost undoubtedly be Nancy Pelosi (D-CA), as she reclaims the gavel after eight years as Minority Leader. While some of the newer Members of her Caucus have said that they do not plan to support her for Speaker, there is no chance that they risk sitting out the floor vote, and potentially make Congressman Kevin McCarthy (R-CA) the actual Speaker of the House. With no apparent alternative to Pelosi, she appears to be a lock to regain the gavel.
The House will also be significantly more diverse, particularly in the Democratic Caucus. The elections mark the first time 100 women will be in Congress, and also saw the election of the first two Muslim women elected to Congress, the first Native American woman, and the first openly gay governor.
Life for the Trump administration is about to change dramatically. Democrats had already been privately planning at each committee. There were detailed discussion on their oversight priorities would be and how they planned to hit the ground running. Despite some appetite among the core Democratic base to move forward with impeachment proceedings, it is more likely that Democrats lay out an oversight agenda that will aggressively investigate various aspects of the Trump administration. Some of the options for investigation will likely include:
• The Ways and Means Committee, under the leadership of Chairman Richie Neal (D-MA), will likely seek President Trump’s tax returns. While they may not necessarily make them public, the Committee will likely examine the extent that Russian financial interests have invested in Trump enterprises. In addition, scrutiny will likely be levelled at any foreign sources of financing for the Trump Organization.
• The Oversight and Investigations Committee, led by Chairman Elijah Cummings (D-MD) has already requested 64 subpoenas of administration officials during Republican control, and all of those were denied. Those subpoenas will now be granted almost immediately. Likely targets will be Interior Secretary Zinke, former EPA administrator Scott Pruitt, Commerce Secretary Wilbur Ross and his efforts to include citizenship questions on the decennial census, and dozens of others.
• The House Financial Services Committee, under the direction of incoming Chairwoman (and frequent Trump target) Maxine Waters (D-CA), with an agenda of investigating any number of contacts between the administration and various banks, as well as rollbacks of Dodd-Frank rules.
• The Energy and Commerce Committee, led by Chairman Frank Pallone (D-NJ), who is likely to engage in a wide ranging series of investigations including efforts to sabotage the ACA, examinations of the FCC decision on net neutrality, and any number of environmental regulatory roll backs.
• The Judiciary Committee, led by Chairman Jerry Nadler (D-NY) will likely focus on the Mueller investigation and preserving its integrity and impartiality, and may also look into immigration programs undertaken by the administration. While unlikely to focus on Kavanaugh specifically, the Committee could also decide to examine instances where administration officials may have lied to Congress.
• The Intelligence Committee will be led by Chairman Adam Schiff (D-CA), and will also be focused on the Mueller investigation, and may also take a much closer look at Russian election meddling.
• The Education and Workforce Committee, led by Chairman Bobby Scott (D-VA) may take a much harder look at school shootings, as well as moves by the Education Department to assist for profit colleges and help student loan financers.
• There are a host of committees that will undoubtedly conduct rigorous oversight, including Homeland Security and Governmental Affairs (oversight on border security and detention of minors, as well as election integrity); the Science Committee (climate science denial); Veterans Affairs (the informal cabal of advisors from Mar a Lago); and Armed Services (use of military assets along the border, as well as arms sales).
Democrats made pickups in races they were favored to win in:
• AZ-2 – Ann Kirkpatrick (D) defeated Lea Marquez Peterson (R) in an open seat
• CO-6 – Jason Crow (D) defeated incumbent Congressman Mike Coffman (R)
• FL-27 – Donna Shalala (D) defeated Maria Elvira Salazar (R) in an open seat
• IA-1 – Abby Finkenauer (D) defeated incumbent Congressman Rod Blum (R)
• IL-6 – Sean Casten (D) defeated incumbent Congressman Peter Roskam (R)
• KS-3 – Sharice Davids (D) defeated incumbent Congressman Kevin Yoder (R)
• MI-11 – Haley Stevens (D) defeated (Lena Epstein (R) in an open seat
• MN-2 – Angie Craig (D) defeated incumbent Congressman Jason Lewis (R)
• MN-3 – Dean Phillips (D) defeated incumbent Congressman Erik Paulsen (R)
• NJ-2 – Jeff Van Drew (D) defeated Seth Grossman (R) in an open seat
• NJ-11 – Mikie Sherill (D) defeated Jay Webber (R) in an open seat
• PA-6 – Chrissy Houlahan (D) defeated Greg McCauley (R) in a new district
• PA-7 – Susan Wild (D) defeated Marty Nothstein (R) in a new district
• PA-17 – incumbent Rep. Conor Lamb (D) defeated incumbent Congressman Keith Rothfus (R)
• VA-10 – Jennifer Wexton (D) defeated incumbent Congresswoman Barbara Comstock (R)
Democrats made pickups in tossup districts in:
• FL-26 – Debbie Murcasel-Powell (D) defeated incumbent Congressman Carlos Curbelo (R)
• IA-3 – Cindy Axne (D) defeated incumbent Congressman David Young (R)
• IL-14 – Lauren Underwood (D) defeated incumbent Congressman Randy Hultgren (R)
• NJ-7 – Tom Malinowski (D) defeated incumbent Congressman Leonard Lance (R)
• NY-19 – Antonio Delgado (D) defeated incumbent Congressman John Faso (R)
• TX-7 – Lizzie Pannil l Fletcher (D) defeated incumbent Congressman John Culberson (R)
• TX-32 – Colin Allred (D) defeated incumbent Congressman Pete Sessions (R)
• VA-2 – Elaine Luria (D) defeated incumbent Congressman Scott Taylor (R)
• VA-7 – Abigail Spanberger (D) defeated incumbent Congressman Dave Brat (R)
In Republican Favored Districts, Democrats made pickups in:
• NY-11 – Max Rose (D) defeated incumbent Congressman Dan Donovan (R)
• SC-1 – Joe Cunningham (D) defeated Katie Arrington (R) in an open seat
There are still 23 races that have not been called. Of those, 9 have Democrats in the lead, with all nine being in the lean Democrat or tossup categories. 14 races show Republicans in the lead, with all fourteen being in the tossup or lean Republican category. If the currently uncalled races are called as they currently stand, Democrats would pick up an additional 8 seats. If Republicans were to win all the races in which they are in the lead, they would pickup only one seat.
United States Senate
The Senate was a bright spot for Republicans, but not quite as bright as if they had hoped if they had been asked about their prospects two years ago. At that time, Republicans were salivating over the political map, with Democrats having to defend 22 seats, many of which were states that Trump won in 2016. Republicans began the night with a 52-48 seat majority in the Senate (including independents that caucus with Democrats). Republicans had initially hoped to vastly expand their majority, targeting states that Trump won, including Florida, Indiana, West Virginia, Montana, North Dakota, Missouri, Pennsylvania, Ohio, Michigan, Minnesota, and Wisconsin. Instead of a massive playing field, the GOP found themselves having to basically abandon races in Ohio, Pennsylvania, Wisconsin, and Michigan, as the Democratic candidates appeared completely unthreatened in those races. They turned their focus on the smaller remaining group, but also found themselves potentially defending in areas where they already held the seats – including Texas, Arizona, Tennessee, and Nevada. This new playing field seemed to be tilting in favor of Democrats based on pre-election polling, but the uncertain composition of the “likely voter” cohort made any predictions a white-knuckle proposition for both parties.
Ultimately, Republicans prevailed in the Senate, picking up seats to add to their majority. Republicans are guaranteed to have at least 51 seats, but the remainder are still up for grabs – though Republicans appear to have a decided edge in the vote counting. They managed to pick off vulnerable Democratic incumbents in deep red Trump states in North Dakota (Heidi Heitkamp), Missouri (Claire McCaskill), and Indiana (Joe Donnelly).
In addition, Republicans were able to pursue challenges in Tennessee (Congresswoman Marsha Blackburn won fairly easily) , and in Texas, where Senator Ted Cruz (R) was able to hold off a strong challenge from Congressman Beto O’Rourke, who came within 3 points in a state where Democrats generally lose by 20 points or more.
In another twist on the night, though not an unexpected one, Mississippi will find itself in a runoff 5 days after Thanksgiving due to the law requiring a candidate to win at least 50% of the vote to be seated. Mississippi had two contests, with one to reelect Senator Roger Wicker (R), who won easily, and the other to replace Senator Thad Cochran (R), which was a three-way contest. That race saw former Agriculture Secretary Mike Espy (D) win 40.6% of the vote, and Cindy Hyde-Smith (R) win 41.5% of the vote, with the remainder mostly going to another Republican. This contest will be decided at the end of the month in a runoff election that may be volatile with a special election with notoriously low and volatile turnout.
However, the news was not all rosy for Republicans, as they largely lost their bids to unseat several Democrats in states that Trump won, or where they sought to hold Senate seats in states where they had an obvious advantage.
• West Virginia - In West Virginia, Senator Joe Manchin (D) won handily in a state that Trump won by 42 points.
• Nevada - Republicans also lost a seat when Jacky Rosen (D) beat out incumbent Senator Dean Heller (R) in Nevada, which Republicans had been desperate to hold in the face of mounting problems over Heller’s votes against the ACA and confusing message.
• Montana - Republicans are also looking to pick up another seat in Montana, where Jon Tester is in a close contest with Matt Rosendale (D). Tester is currently down around 3,000 votes in the sparsely populated state, with another 18% of precincts yet to report. Tester is also a frequent target of President Trump, who seems to portray a personal grudge against Tester for not being more amenable to the administration agenda.
• Arizona - Democrats are still competing for the open seat in Arizona to replace retiring Senator Jeff Flake (R), with Congresswoman Kyrsten Sinema (D) competing against Congresswoman Martha McSally (R). The margin in the race is razor thin, and the opportunity for Democrats to pick up the seat is an opportunity that could blunt the damage and messaging arising from their 3-4 potential losses.
• Florida - Finally, there is one outstanding race that seems to be favoring Republicans, where incumbent Senator Bill Nelson (D) appears to be trailing Governor Rick Scott (R) by around one point, which could trigger a state-wide recount if the margin falls to less than one point with a handful of precincts outstanding. This could be the place where, once again, Democrats bring their hopes to die.
The modest growth of the Republican majority in the Senate will not have a particularly profound effect on the conduct of Congress, other than to allow additional Republican dissent on particularly partisan bills. The House in control of Democrats will necessitate compromise if there is a genuine desire to pass any legislation, and the lack of a filibuster-proof Republican majority leaves things in the same place as they existed previously. One possible consequence is a change in committee ratios that might give Republicans an extra seat on some committees, or eliminating one Democratic seat. The ability of Republicans to move nominations to the cabinet and federal judges will be unimpeded, as the filibuster rule has been eliminated for all nominations. A question remains is whether or not the Senate will renew the practice of earmarking appropriations funds. The ban on earmarks was always driven by the House, and Majority Leader Mitch McConnell (R) was a prolific earmarker in his day. Accordingly, if the House takes the lead, it is possible that the Senate will “reluctantly” acquiesce and resume the practice in order to refrain from being left out of the process.
State Ballot Initiatives
Several states had ballot initiatives that would have a significant policy impact in their states, as well as a political impact for future elections. Some examples include:
• Florida voted to restore voting rights to over one million former felons, which will likely have a significant impact on the electorate in the 2020 election.
• Arkansas voted to increase their minimum wage to $11.00 per hour, phased in through 2021.
• Missouri voted to increase its minimum wage to $12.00 per hour, phased in over 4 years.
• In an effort to reduce the impact of gerrymandering, Colorado, Michigan and Utah all voted to conduct future redistricting by an independent commission, rather than through a political process.
• Medicaid expansion was also on the ballot in several states, and passed in Idaho, Nebraska, and Utah. Each state passed the ballot initiative.
Governors
Governorships also saw some changes, as was expected, with Democrats picking up a handful of seats, and Republicans holding a number of states -- but adding no new territory. Democrats will now take the helm in:
• Kansas
• Maine
• Wisconsin
• Michigan
• Illinois
• New Mexico
• Nevada
Georgia - Democrats are also hoping to force a recount in Georgia, if Brian Kemp (R) falls below 50% and a runoff is forced with Stacey Abrams (D). Under state law a runoff is forced if no candidate achieves 50% of the vote – Kemp currently sits at 50.7%
Florida - Republicans picked up no Governorships, but did manage to net one big win, when Ron DeSantis (R) defeated Andrew Gillum (D) in Florida, where Gillum appeared to have strong momentum based on recent polling.
Lame Duck Session
The lame duck session of Congress is now rapidly approaching. The session will convene on Tuesday, November 13th. There is no guarantee as to what will happen, but a significant amount of political jockeying will occur between then and the time that the new Congress is sworn into office on January 3rd.
The main question is whether the lame duck session will be utilized as an opportunity to conclude routine business to fund the government; an opportunity to put down political markers on hot-button issues like the border wall and immigration; or a chance to jam through policies that enjoy support amongst Republicans, but would never proceed under regular order. While it is too early to know the answer, there is a menu of options that could be on the table.
Republicans will undoubtedly press forward with their list of pending confirmations – both judicial appointments and appointments to executive agencies. The certainty of Republican control of the Senate removes some pressure from the need to address those appointments in the lame duck session, as there is no longer any concern that they might be blocked by Democrats. On the list of nominees are 36 federal district court and three circuit court judges. There is also the question of funding the remainder of government, but with HHS, Defense, and the VA already funded, it is possible that the President could push for a government shutdown in a demand over funding for the border wall while Homeland Security still requires funding. However, now that Democrats are certain of their control over the House, it is unclear if the administration truly has any leverage with which they might force action from the caucus.
The other option is that both sides will seek to quickly dispose of the remaining “must do” items, and either pass the bills or a longer term continuing resolution to head home for the holidays and punt decisions to a later date.
Implications for the Administration
The Trump administration appears to have been planning for the obvious eventuality of a Republican Senate and a Democratic House for some time. However, it is unclear what form this planning will take. Under one possible scenario, the President would seek to work with Democrats to craft a significant bipartisan agreement on issues like immigration, infrastructure, and possibly even healthcare. Despite the possibilities for the administration to begin working with a Democratic House, there are still a number of issues that could create a political roadblock to any attempts at bipartisanship. These could include issues on voter suppression, entitlement cuts, new tax cuts, threats to healthcare protections, and a number of other problems.
Aside from clear opposition to administration policies on immigration, family separation, tariffs, Russian sanctions, and many more, one area where Democrats and the administration might come together would be an infrastructure plan. It remains to be seen whether Democrats would be willing to work with Trump and give him a “victory”, and whether Republicans would be willing to sanction a bill that clearly increased the deficit without offsets.
One other consideration that could dramatically impact how Congress moves forward would be any effort to fire Attorney General Jeff Sessions. Other turnover issues include if James Mattis retires; if Mueller issues his report without notice or preamble – or if any other number of other scandals occur – everything is outside the window, as President Trump has spent a career rewriting the script of domestic politics.
However, no matter the decisions he makes regarding how his policies and messaging will proceed, they will now be subject to oversight from a Democratic House that will be in a far different position when it comes to conducting oversight of the administration and its initiatives.