DEA Chief to Resign | Vote Expected On AF Nominee Lynch | International Free Trade and Jobs:

U.S. Capitol

Today in Washinton, D.C. - April 21, 2015 - More than messy right now!
Drug Enforcement Administration Chief Michele Leonhart is expected to resign soon, according to U.S. officials, following revelations about “sex parties” involving prostitutes overseas and other misconduct among its agents. Yesterday, White House press secretary Josh Earnest declined to confirm Leonhart’s pending resignation but said officials “continue to have concerns” about issues cited in the inspector general report.

DEA’s Office of Professional Responsibility found that agents were having sex parties with prostitutes paid for by Colombian drug cartels as early as 2001. The report described “literally dozens” of such parties at residences paid for with U.S. government funds, according to Rep. Elijah E. Cummings (Md.), the committee’s ranking Democrat.

And, the reports by the DEA inspector general showed that the agents who attended the parties received suspensions of two to 10 days, a penalty that committee chairman Jason Chaffetz (R-UT) said reflected an “unacceptable” lack of accountability.

The House will reconvene at 10 AM. The House will consider approval/disapproval of various uses of Capitol Grounds and may consider the following and other bills today:
H.R. 471 — "To improve enforcement efforts related to prescription drug diversion and abuse, and for other purposes."
H.R. 1195 — "To amend the Consumer Financial Protection Act of 2010 to establish advisory boards, and for other purposes."

The Senate reconvened at 10 AM. Following an hour of morning business, the Senate resumed consideration of S. 178, the bipartisan Justice for Victims of Trafficking Act.

Yesterday the Senate voted 91-0 to confirm George Hanks, Jr, to be United States District Judge for the Southern District of Texas.

Rumor has it that some compromise has been reached regarding the Justice for Victims of Trafficking Act, And that Sen. McConnell Will allow the nomination Attorney general nominee Loretta Lynch to be brought to the floor for a vote. Democrats have filibustered the anti-trafficking bill since it came to the Senate floor in late February due to abortion restrictions embedded within it, and Republicans vowed not to move forward with Lynch's confirmation until the trafficking bill is dealt with.

Fifty-one senators have indicated their support for Lynch, and it is likely Lynch will be confirmed when Sen. McConnell brings it to the floor. Most Republicans continue to oppose her over her support for President Obama's authority to take executive action on immigration. It should be noted that if ALL Republicans stood strong as the Democrats had on past nominations, Lynch would not be confirmed.

International Free Trade and Jobs:
As part of their seminal work on the benefits of the free market, Free to Choose, Milton and Rose Friedman also made the case for free trade. They wrote, “Ever since Adam Smith there has been virtual unanimity among economists, whatever their ideological position on other issues, that international free trade is in the best interests of trading countries and of the world. . . . Few measures that we could take would do more to promote the cause of freedom at home and abroad than complete free trade.”

Arguing for the Central American Free Trade Agreement in 2005, William F. Buckley, Jr., wrote, “It requires acts of faith in economic laws to applaud free trade. But Adam Smith was resoundingly correct in laying down the law that both parties benefit . . . .”

President Ronald Reagan spoke of the importance of free trade as well. In 1985 he told business leaders, “I, like you, recognize the inescapable conclusion that all of history has taught: The freer the flow of world trade, the stronger the tides for human progress and peace among nations. I certainly don't have to explain the benefits of free and open markets to you. They produce more jobs, a more productive use of our nation's resources, more rapid innovation, and a higher standard of living. . . . I'm pleased that the United States has played the critical role of ensuring and promoting an open trading system since World War II. . . . Our commitment to free trade is undiminished. We will vigorously pursue our policy of promoting free and open markets in this country and around the world.”

Towards the end of his term in office President Reagan reflected, “It comes down to this: Every time countries any place in the world have taken a step together toward freer trade, the results were just what was expected - more productive and competitive economies, more jobs, and greater benefits for the citizens of each country. All the nations of the world face this same question - move forward or turn back?” He also noted, “The philosopher Ludwig von Mises once wrote, in his words: ‘A nation is the more prosperous today the less it has tried to put obstacles in the way of the spirit of free enterprise and private initiative.’”

Free trade, then, has long been recognized by leading conservatives and economists as a key component of a conservative, free market, and pro-growth economic policy.

Towards that end, the Senate Finance Committee this week is marking up a bill on trade promotion authority to help smooth negotiations on free trade agreements. In an op-ed for US News, Senate Commerce Committee Chairman John Thune explained the importance of this authority. “Almost every one of our trade agreements since 1934 has been negotiated using trade promotion authority or a similar streamlined process. Under trade promotion authority, Congress sets negotiating priorities for the president to follow during trade negotiations. In return, Congress promises a simple up-or-down vote on the final agreement, instead of a lengthy amendment process that can leave the final bill looking nothing like the original agreement.

“Trade promotion authority sends a signal to countries we’re negotiating with that Congress and trade negotiators are on the same page when it comes to our trade priorities, which is a major factor in bringing negotiations to a successful and timely conclusion.

“Currently, the United States is negotiating two major trade agreements with Asia and Europe, the Trans-Pacific Partnership and the Transatlantic Trade and Investment Partnership, respectively. These two agreements have the potential to vastly expand the market for American goods and services in EU countries and in a number of countries in the Pacific.

“Unfortunately, Congress’ failure to renew trade promotion authority, which expired in 2007, has made it significantly more difficult for the United States to move negotiations on these agreements forward. Reauthorizing trade promotion authority is essential to bringing these two agreements to a successful conclusion.”

Reuters reports today on the benefits of the Trans-Pacific Partnership (TPP): “The 12-nation Pacific trade pact would create nearly a quarter of a million U.S. jobs due to increased foreign investment in the United States, a business group estimated on Monday, in the first look at the deal's employment impact. . . .

“The Organization for International Investment (OFII), a trade group that represents the U.S. operations of global companies, said TPP would create 68,000 direct jobs tied to an estimated $20 billion boost in foreign direct investment. The trade deal, which reaches from Japan to Chile, would also create another 165,000 ‘indirect and induced’ jobs from U.S. suppliers and other firms that employ additional workers when foreign spending in the United States increases, OFII said. . . .

“OFII estimated that the U.S. manufacturing sector would add 52,000 jobs due to increased investment from the Pacific deal. The group also said that a separate U.S. trade agreement with Europe, the Transatlantic Trade and Investment Partnership, would create 334,000 direct jobs and 865,000 indirect or induced jobs tied to higher foreign direct investment in the United States.”

House Ways and Means Committee Chairman Paul Ryan, who has also worked to craft the trade promotion authority legislation said, “Trade is good for America” and “We simply can’t get the best deals without TPA.”

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