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President Trump on Wednesday said he’s a “wartime president” intent on defeating a respiratory virus he calls an “invisible enemy,” one that is proving so lethal that he decided to invoke the Defense Production Act to deploy private manufacturers to turn out masks, ventilators and supplies, as if for an army.
“I view it as, in a sense, a wartime president. I mean, that’s what we’re fighting,” he told reporters during a daily press briefing. “It’s a war. … It spread violently. It’s a very, very contagious virus.”
Trump believes the war is on two fronts, and to defend Americans who are hunkered down at home, the government needs to provide direct payments to families and assistance to industries as armor against the job losses, lost savings and dislocations looming on the horizon.
Treasury Secretary Steven Mnuchin on Wednesday unveiled to GOP senators a plan to send $250 billion in direct payments to Americans this spring. The New York Times reported that an outline of the new package calls for a total of $1 trillion in spending, which would also include $50 billion for secured loans for the airline industry, and another $150 billion for secured loans or loan guarantees for other parts of the economy.
The Senate on Wednesday approved a House-passed measure to provide help for families impacted by the coronavirus and Trump signed the measure on Wednesday night (NBC News). But Senate Majority Leader Mitch McConnell (R-Ky.) has vowed to fix parts of that law to better support small businesses. He says that goal can be accomplished with the next measure, now in negotiations (The Hill).
McConnell takes the reins of the third coronavirus rescue measure, Jordain Carney reports, and the majority leader makes clear he expects a Senate vote next week (The Hill).
Bloomberg News: It may not be enough.
The Hill’s Scott Wong and Mike Lillis: GOP embraces big stimulus after years of decrying it.
Trump has been told to anticipate a spike in the number of confirmed cases of the coronavirus in the United States this week because of a lag in laboratory processing of tests for the virus, which is expected to be rectified by private labs. The rapid processing will likely produce a cascade of new confirmed cases. At the same time, governors and public health experts are scrambling to prepare for waves of sick patients in all 50 states who are expected to need hospitalization because of severe respiratory distress.
As of this morning, the death toll from COVID-19 worldwide is 8,939, and confirmed cases number at least 219,058 in at least 159 countries, according to the latest information. The United States has recorded at least 9,415 confirmed cases and 150 deaths.
The Associated Press: The message from Washington and New York public health experts is that the country will be fighting the virus outbreak for a matter of months, at least, not days or weeks.
The pressure on hospitals, clinics and nursing homes will be wrenching, and because there are not enough intensive care wards, isolation tents, ventilators, respirators and personal protective gear nationwide, Washington and governors are leaning on the private sector, U.S. military, veterans’ hospitals and the Federal Emergency Management Agency, which is expert in natural disasters.
The president, who previously declared a public health emergency and a national emergency to deal with the spread of COVID-19, said he would also tap a federal statute that permits him to bar entry of people and goods from certain countries in order to prevent transmission of a communicable disease.
While Trump praised bipartisanship and cooperation in Washington on Wednesday, he pointedly throttled China for suggesting weeks ago that the U.S. military might have planted the coronavirus. The president repeatedly called COVID-19 the “China virus,” and denied that the term denigrates Chinese Americans or that he sought to blame Beijing for a pandemic (The Hill).
The Hill: U.S.-China relations worsen over the coronavirus pandemic.
“It comes from China,” Trump said. “No one’s questioning that.”
The president also repeated that he will not consider lifting U.S. tariffs on imported goods from China. Some analysts have suggested that such a policy change would open supply chains as China gets back to full speed after locking down Hubei province and Wuhan for weeks to try to halt the spread of the virus.
The Associated Press: Wuhan, China, reported no new virus cases today. COVID-19’s uncontrolled spread has moved to Europe.
The financial markets unraveled on Wednesday despite efforts by the White House, Congress and the Federal Reserve to reassure investors and businesses that the federal government will pull every lever possible to head off a long, deep recession or even a depression this year.
The Dow Industrial Average on Wednesday erased the “Trump bump,” representing nearly all the gains since the president’s inauguration (Reuters). The Dow plunged 11 percent on Wednesday before partially recovering by the end of trading.
As Niall Stanage adds in today’s Memo, the president’s new guise as a leader at war is testing his fiery rhetoric and credibility during an unprecedented national emergency.
More administration responses: The Department of Housing and Urban Development has suspended all foreclosures and evictions until the end of April due to the virus. The moratorium applies only to homeowners with mortgages insured by the Federal Housing Administration (The Hill). … The president said Wednesday that he’s pushing for approval by the Food and Drug Administration of a self-swab COVID-19 test individuals can use themselves. He did not give details on a timeline or who is producing the test (Politico). … The Department of Defense is donating 5 million masks and 2,000 ventilators to the Department of Health and Human Services for use against the virus (The Associated Press). … The Centers for Medicare and Medicaid Services is recommending that providers limit all “non-essential” elective medical and surgical procedures, including dental procedures in order to free up medical professionals and supplies to combat COVID-19 (The Hill). … Vice President Pence announced that the Federal Emergency Management Agency is operating at level one, the highest response level, under the Defense Production Act.
More coronavirus news in Congress: Reps. Mario Diaz-Balart (R-Fla.) and Ben McAdams (D-Utah) became the first two members of Congress to test positive for COVID-19 on Wednesday. They were separately in self-quarantine on Wednesday to recover from symptoms. Diaz-Balart, who is at his home in Washington, did not say in a statement if others are affected or if staff members or colleagues have been tested (The Miami Herald). McAdams is at his home in Utah (The Hill). House Minority Whip Steve Scalise (R-La.) on Wednesday evening said he met with Diaz-Balart last week and as a result will self-quarantine as a precaution and continue working remotely. He said he has no symptoms of respiratory illness (The Hill).
LEADING THE DAY
POLITICS: With his avenues to the Democratic nomination effectively closed off, Sen. Bernie Sanders (I-Vt.) continued to face questions about the future of his campaign on Wednesday as he continues to reassess his bid for the Democratic nomination.
According to The Hill’s Julia Manchester, Sanders’s campaign manager Faiz Shakir says the Vermont senator will examine the campaign in the coming weeks as the next primary does not take place until April.
“The next primary contest is three weeks away,” Shakir said in a statement. “Sen. Sanders is going to be having conversations with his supporters to assess his campaign … In the immediate term, however, he is focused on the government response to the coronavirus outbreak and ensuring that we take care of working people and the most vulnerable.”
While appearing on Capitol Hill to vote on the second coronavirus package Wednesday, Sanders grew testy when questioned about the status of his campaign, noting that his focus is on the response to the outbreak.
“I’m dealing with a f—king global crisis,” Sanders told reporters at the Capitol according to The New York Times (which published the senator’s remarks without hyphens). “You know, we’re dealing with it and you’re asking me these questions.”
“Right now, I’m trying to do my best to make sure that we don’t have an economic meltdown and that people don’t die,’’ he continued. “Is that enough for you to keep me busy for today?”
According to the Times’s report, lawmakers are urging Sanders to call it quits in the aftermath of a third straight election night drubbing at the hands of Joe Biden. Tuesday’s losses put him roughly 300 delegates behind the former vice president, making the path to the nomination almost impossible, especially given the challenges posed by the virus as it consumes all the media oxygen and does not allow Sanders to hold massive rallies or campaign as usual.
“Bernie is getting beat by 30 and 40 points — it’s over,” Rep. Don Beyer (D-Va.) told the publication. “This is the adult thing to do — knowing when it is time to disappear.’’
The Hill: Trump predicts Sanders will “soon” drop out of Democratic primary contest.
Jonathan Allen: Sanders’s coronavirus pitch flopped. Was it the message or the messenger?
***
CORONAVIRUS & STATES: Detroit’s three major automakers are closing all of their factories amid fears from workers about the spread of COVID-19.
General Motors (GM), Ford Motor Company and Fiat Chrysler Automobiles (FCA) all announced that they will suspend their North America operations until March 30 and will reassess how to proceed on a week-to-week basis. The United Auto Workers union (UAW) advocated for the physical wellbeing of workers concerned about contracting the virus (The Associated Press).
“GM and the UAW have always put the health and safety of the people entering GM plants first, and we have agreed to a systematic, orderly suspension of production to aid in fighting COVID-19/coronavirus,” said GM Chairman and CEO Mary Barra.
GM said the temporary shutdown will take place “in a cadence” to allow for the fewest disruptions possible, while Ford will suspend production at close of business on Thursday and clean its facilities to help contain the virus.
UAW confirmed its first case of COVID-19 on March 12 — a Fiat Chrysler worker at an Indiana plant that was not shut down.
“UAW members, their families and our communities will benefit from today’s announcement with the certainty that we are doing all that we can to protect our health and safety during this pandemic,” UAW President Rory Gamble said in a statement. “This will give us time to review best practices and to prevent the spread of this disease. We appreciate General Motors’ actions today and will continue to work with them on health and safety plans to be implemented when we resume production” (The Hill).
Detroit Free Press: Detroit automakers Ford, General Motors, FCA agree to close all U.S. plants.
Reuters: GM, Ford in talks with Trump administration on medical equipment production.
The Associated Press: Coronavirus layoffs spark surge in state jobless claims.
The Oregonian: Oregon jobless claims surge 3,200% amid coronavirus outbreak.
In Texas, Gov. Greg Abbott (R) will announce new action on bars and restaurants statewide. The expected announcement will come as most major cities across the state have closed down bars and restaurants, including San Antonio, which became the latest to do so on Wednesday (Dallas News).
Texas also has not closed schools at the statewide level yet, although 5 million of 5.4 million students across the state are already out of school due to actions at the city and town level.
Elsewhere, the Nevada congressional delegation is pushing for the state’s tourism industry to receive relief as part of the stimulus package Congress continues to work on after Las Vegas shuttered the sector to combat the virus. According to the Las Vegas Review-Journal, the industry adds $19 billion to Nevada’s gross domestic product and supports more than 450,000 jobs, nearly one-third of all Nevada jobs.
Calls also came for the president to deploy the military to battle the virus. Appearing on CNN, New York City Mayor Bill de Blasio (D) pressed for Trump to send the military to New York, Seattle and California.
“President Trump has to mobilize the United States military to fully act in the coronavirus situation,” de Blasio told host Anderson Cooper. “I want their medical teams, which are first rate, I want their logistical support, I want their ability to get stuff from factories all over the country where they’re needed most.”
“The only force in America that can do it effectively and quickly is the United States military, and they are being sidelined right now by Donald Trump when he should be calling them to the front. This is the front right now,” de Blasio added (The Hill).
New York Post: New York state lawmakers pass emergency coronavirus paid sick leave bill.
The Hill: Navy hospital ship deploying to New York to help with coronavirus crisis.
IN FOCUS/SHARP TAKES
CORONAVIRUS & INTERNATIONAL: Italy has been on lockdown for two weeks, but the surge in deaths from the respiratory virus has stunned officials and overwhelmed the nation’s health care system. Deaths rose by 475 in a day (most from the Lombardy region) to nearly 2,978, according to the latest information (BBC). As alarming as the official numbers are, the count misses many. There is a silent fatality list of older Italians who are dying at an accelerated clip at home or in nursing facilities where they succumb to respiratory distress and influenza-like symptoms, but are not tested for COVID-19 and are not transferred to hospitals.
The trend suggests Italy’s death toll from the virus may be much higher than has been recognized. “There has obviously been an increase in deaths,” said Walter Montini, president of an association that represents 30 nursing homes in Cremona province. “You just have to look at the local daily [newspaper] in Cremona. Normally, there’s a page of death notices. Today there were five” (Reuters).
Italian Prime Minister Giuseppe Conte said Thursday that the lockdown will extend past April 3, the initial date announced by the government, as they continue to battle the virus (Reuters).
> Germany: In a televised address on Wednesday considered rare in her 14 years in power, German Chancellor Angela Merkel said the coronavirus poses the greatest threat to Germany since World War II. The country has at least 12,327 people who have contracted the virus and at least 28 have died. Merkel, who was raised in East Germany and knows firsthand what her country experienced decades ago, called on citizens to band together to help overcome the COVID-19 contagion (The Washington Post).
> Iran: The coronavirus death toll spiked 15 percent in Iran, with 1,135 deaths and 17,361 confirmed cases to date. The grim statistic marks the largest 24-hour increase in fatalities since Iranian officials first acknowledged the virus in mid-February. Markets remain packed with shoppers and highways are filled with families traveling in Iran ahead of the Persian New Year that begins on Friday. Iran’s deputy health minister, Alireza Raisi, urged the public on Wednesday to avoid crowds and travel (The Associated Press).
> Austria: Joining other European countries to approve funds to limit the impact of the coronavirus pandemic, Chancellor Sebastian Kurz announced on Wednesday that Austria will spend up to $42 billion to secure jobs and keep companies afloat. At least 1,650 people in the country have been infected and four have died from COVID-19 (Reuters).
> U.S. & Canada: The United States and Canada temporarily closed their shared border to “non-essential traffic” on Wednesday under an agreement affirmed by Trump and Canadian Prime Minister Justin Trudeau. The border closure, aimed at battling the coronavirus, does not affect the movement of goods and trade across the nearly 4,000-mile border (Reuters).
> United Kingdom: Beginning Friday and until further notice, schools in Great Britain will close because of the virus, Prime Minister Boris Johnson announced on Wednesday (Reuters).
> European Central Bank (ECB): The bank will print 1 trillion euros this year to stave off a coronavirus rout (Reuters). “Extraordinary times require extraordinary action,” ECB President Christine Lagarde said after an emergency policy meeting late on Wednesday. “There are no limits to our commitment to the euro. We are determined to use the full potential of our tools, within our mandate.” Fractures had emerged within the ECB and rattled investors as they pondered how far the bank is willing to go (The Wall Street Journal).
The Morning Report is created by journalists Alexis Simendinger and Al Weaver. We want to hear from you! Email: asimendinger@digital-release.thehill.com and aweaver@digital-release.thehill.com. We invite you to share The Hill’s reporting and newsletters, and encourage others to SUBSCRIBE!
OPINION
Three keys to mitigating severe supply shortages from coronavirus, by Sandor Boyson of the University of Maryland’s Supply Chain Management Center, opinion contributor, The Hill. https://bit.ly/2IZMFEV
Beijing escalates the new Cold War, by Walter Russell Mead, opinion contributor, The Wall Street Journal. https://on.wsj.com/2UjqcrG
WHERE AND WHEN
The House is in recess and may return to work next week.
The Senate convenes at noon.
The president and vice president will hold a coronavirus press briefing at the White House at 11 a.m. following a daily task force meeting. Trump will travel to FEMA headquarters in Washington to participate at 2 p.m. in a video teleconference with governors to discuss preparations and responses to the health and economic effects of the COVID-19 pandemic. The president will return to the White House this afternoon.
Economic indicator: The Department of Labor’s unemployment insurance weekly claims report is out at 8:30 a.m. It could by itself trigger spasms in the financial markets.
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ELSEWHERE
➔ Millennials, stay home!: Anthony Fauci, the director of the National Institute of Allergy and Infectious Diseases, Dan “Big Cat” Katz and the internet personality known as PFTCommenter make for an odd trio. One is a 79-year-old physician who was at the forefront of combatting the HIV/AIDS outbreak nearly four decades ago and is now the government’s top infectious diseases expert. The other two are in their mid-30s and rose to internet stardom as hosts of “Pardon My Take,” a satirical sports talk show wherein they debate the latest news in the sporting world and hold a recurring listener question segment titled “Guys on Chicks.” On Wednesday, the three came together to spread awareness about the coronavirus to the podcast’s primary demographic: millennials (The Hill).
➔ Planet Earth: With many daily human activities on hold because of the coronavirus pandemic, environmental experts say planet Earth is getting a bit of a breather from man’s constant output of pollution. But experts say the drop in heat-trapping emissions, while beneficial, will likely be just a blip in trend lines that show the world is steadily moving toward a climate disaster (The Hill). … Democrats in Congress said on Wednesday that federal assistance to bail out airlines and cruise companies should include pollution reduction requirements (The Hill).
➔ Entertainment while homebound: A number of top musicians are taking their talents to livestreams as they look to entertain fans and viewers with virtual concerts. Among those performing have been Bono, Keith Urban and John Legend, who played songs for nearly an hour and encouraged viewers to continue social distancing in an effort to slow the spread of COVID-19 (USA Today).
THE CLOSER
And finally … It’s Thursday, which means it’s time for this week’s Morning Report Quiz! Consumed by news of a contagion, we’re eager for some smart guesses about famous names now intimately impacted by the coronavirus.
Email your responses to asimendinger@digital-release.thehill.com and/or aweaver@digital-release.thehill.com, and please add “Quiz” to subject lines. Winners who submit correct answers will enjoy some richly deserved newsletter fame on Friday.
Which celeb, who had been hospitalized after contracting COVID-19, updated his fans this week: “No fever but the blahs”?
- John Travolta
- Tom Hanks
- Brad Pitt
- Daniel Craig
Which popular actor announced a positive test for the coronavirus and warned against misinformation swirling on social media that blacks are immune to COVID-19?
- Denzel Washington
- Don Cheadle
- Kevin Hart
- Idris Elba
Which head of government was surprised when her/his spouse tested positive for the coronavirus and then decided to run a country from home?
- Boris Johnson
- Angela Merkel
- Justin Trudeau
- Shinzo Abe
Which U.S. professional athlete announced a diagnosis of COVID-19?
- Kevin Durant
- Rudy Gobert
- Donovan Mitchell
- Christian Wood
- All of the above
