Avoiding the next Solyndra

From: POLITICO West Wing Playbook - Tuesday May 18,2021 10:53 pm
May 18, 2021 View in browser
 
West Wing Playbook

By Theodoric Meyer

With help from Allie Bice and Daniel Payne

Welcome to POLITICO’s West Wing Playbook, your guide to the people and power centers in the Biden administration. Did someone forward this to you? Subscribe here! Have a tip? Email us at transitiontips@politico.com.

More than a decade ago, Vice President JOE BIDEN’s chief of staff, RON KLAIN, helped convince President BARACK OBAMA to visit a California solar panel manufacturing facility to tout his administration’s investments in renewable energy.

“Sounds like there are some risk factors here, but that’s true of any innovative company POTUS would visit,” Klain wrote in a 2010 email to Obama adviser VALERIE JARRETT. “It looks OK to me. … The reality is that if POTUS visited 10 such places over the next 10 months, probably a few will be belly-up by election day 2012 — but that to me is the reality of saying we want to help promote cutting-edge, new-economy industries.”

Klain was right in one way. The company declared bankruptcy in 2011, and its name — Solyndra — became a byword for Republican attacks on Obama’s stimulus program (in part because the company had financial ties to one of his campaign bundlers. Even Obama would go on to admit that Solyndra was “a PR nightmare”

“I couldn’t help but fume (sometimes I’d actually picture myself with steam puffing out of my ears, as in a cartoon) at how Solyndra’s failure stood to overshadow the Recovery Act’s remarkable success in galvanizing the renewable energy sector,” Obama wrote in his memoir.

Biden is taking a different tack this time around.

He flew to Michigan this morning to tour a Ford plant and talk up his plan s to invest in electric vehicles. Unlike Solyndra, Ford is a blue-chip company that posted a $3.3 billion quarterly profit last month. It almost certainly won’t be belly up by Election Day 2024. (And if it is, Biden will have much bigger problems on his hands.)

But Biden’s caution hasn’t prevented Republicans from resurrecting the old Solyndra attacks.

Republicans are bashing Biden’s plan to invest in clean energy as a job killer for the oil and gas sector. They’ve also seized on his decision last month to pay a virtual visit to a South Carolina plant run by Proterra, an electric bus manufacturer, as evidence the White House’s infrastructure proposal will be a Solyndra redux.

Specifically, they’ve pointed to the fact that, until recently, Energy Secretary JENNIFER GRANHOLM sat on Proterra’s board. She still holds more than $1 million of stock in the company.

Sen. JOHN BARRASSO (R-Wyo.) called on the Energy Department’s inspector general to investigate any potential conflicts of interest. Rep. RALPH NORMAN (R-S.C.) sent a letter to Granholm herself last week asking for documents related to her stake in Proterra. And the Republican National Committee has started going after her on the issue.

“Granholm’s record makes Solyndra look like child’s play,” an RNC email blared this morning.

The Energy Department has said Granholm wasn’t involved in Biden’s decision to meet with Proterra and that she’ll divest her stake by August, as required by her ethics agreement.

“Secretary Granholm has acted in full accordance with the comprehensive ethical standards set by the Biden Administration,” an Energy Department spokesperson wrote in an email.

The inspector general has told Barrasso’s office that she's “currently evaluating the concerns expressed in [his] letter to determine what next steps may be appropriate,” according to a copy of the letter obtained by West Wing Playbook.

But while Republicans may be looking to dust off an old playbook, it’s not clear that it will be as effective this time around. That’s partially because green energy is hardly a new concept anymore. Solar power is far more widespread than when Solyndra was manufacturing panels. Electric vehicles are now relatively popular, too. A POLITICO/Morning Consult poll last month found that 53 percent of voters backed Biden’s plan to spend $174 billion on electric vehicle infrastructure, including 27 percent of Republicans.

JASON BORDOFF , a former climate and energy aide in the Obama White House, said the White House’s spending proposal made sense given the International Energy Agency’s warning that automakers need to stop selling cars with internal combustion engines by 2040.

“There will be hits and misses in a diversified government portfolio of clean energy research, development, and deployment, and while politic might lead some to focus on any misses, the wins can yield dramatically larger gains for the United States in terms of both economic activity and emission reductions,” he wrote in an email to West Wing Playbook.

PSA — We’re going to be experimenting with some new items and sections. Tell us what you like and what you hate.

Do you work in the Biden administration? Are you in touch with the White House? Are you BEN WAKANA?

We want to hear from you — and we’ll keep you anonymous: transitiontips@politico.com. Or if you want to stay really anonymous send us a tip through SecureDrop, Signal, Telegram, or Whatsapp here. You can also reach Alex and Theo individually.

PRESIDENTIAL TRIVIA

With the Partnership for Public Service

How many presidents were college presidents before being elected to the White House, and who were they?

(Answer is at the bottom.)

Psaki bomb

PLUG IT IN, CHANGE THE WORLD — En route to Michigan for Biden’s tour of a Ford electric vehicle plant, JEN PSAKI was asked if she knew whether there were any EV’s in the White House’s vast fleet of cars — and if POTUS himself would ever ride in an “electric Beast.”

The White House press secretary seemed to endorse the idea, telling reporters aboard Air Force One that an electric-charged presidential limousine “is certainly our objective.”

“I can get you an update on sort of what the timeline is for that,” she said. “That’s certainly something the president has talked about.”

(West Wing Playbook co-author ALEX THOMPSON traveled with Biden on Tuesday and noted in one of his pool reports that press rode to the Ford factory in gas-powered Chrysler minivans…)

Agenda Setting

DON’T WORRY (ABOUT INFLATION), BE HAPPY — Two of Biden’s top economic advisers reiterated a familiar message today, a week after inflation fears helped trigger a stock market dive: The economy’s healing. Don’t worry too much about inflation.

“While we expect that supply and demand adjustments across the economy will take some time to sort out, we do not see signs of persistent dislocation or long-term inflation,” National Economic Council Director BRIAN DEESE and Council of Economic Advisers Chair CECILIA ROUSE wrote in a memo today designed for public consumption, since it was blasted out by White House spokesman MIKE GWIN.

THE BUREAUCRATS

A BUREAUCRAT? — White House senior adviser MIKE DONILON is soft-spoken. The New York Times’ ANNIE KARNI described him in a story published this morning as an almost “spectral presence.” But Donilon’s former partner appeared to take issue with a line in the story asserting that Donilon and other top Biden White House aides “live more like anonymous bureaucrats than the celebrity staff members who have preceded them.”

“As his former partner, let me say that Mike Donilon is no bureaucrat,” BOB SHRUM, who worked with Donilon for years at the Democratic consulting firm Shrum, Devine & Donilon, tweeted today. “He is brilliant, often last to talk in a meeting, w most trenchant insights. That shd not be obscured by reality that he might not tell you if you’re [sic] pants were on fire.”

Advise and Consent

ONE STEP CLOSER TO CONFIRMATION — The Senate advanced KRISTEN CLARKE’s nomination to be assistant attorney general out of committee in a procedural vote this afternoon, 50-48. Her nomination to lead the Justice Department’s civil rights division will now receive a final vote on the floor.

Last week, the Judiciary Committee voted 11-11 on her nomination, after some Republican senators portrayed her as a radical. Democrats have continued to defend Clarke’s record, saying accusations against her are distortions and her record clearly qualifies her for the role.

MARK YOUR CALENDARS: Lots of Senate committee action tomorrow on Biden nominees —

The Senate Foreign Relations Committee will vote on BONNIE JENKINSnomination to be undersecretary of State for arms control and international security and JOSE FERNANDEZ’s nomination to be an under secretary of State for economic growth, energy and the environment.

After those votes, the committee will hold a confirmation hearing for BRIAN NICHOLS, Biden’s nominee to be an assistant secretary of State for Western Hemisphere affairs, and MICHELE SISON, Biden’s pick for assistant secretary of State for international organization affairs, as well as other pending nominations.

The Banking, Housing and Urban Affairs Committee will vote on the nominations of ADRIANNE TODMAN to be deputy secretary of Housing and Urban Development and NURIA FERNANDEZ to be federal transit administrator at the Department of Transportation.

The Veterans’ Affairs Committee will hold a hearing with several VA nominees: DONALD MICHAEL REMY to be deputy secretary; MATTHEW QUINN to be under secretary for memorial affairs; MARYANNE DONAGHY to be an assistant secretary at the office of accountability and whistleblower protection; and PATRICIA ROSS to be an assistant secretary of congressional and legislative affairs.

What We're Reading

Biden to waive sanctions on company in charge of Nord Stream 2 (Axios’ Jonathan Swan)

The faces of the Biden administration are still sometimes behind masks (The Post’s Annie Linskey)

Biden delays revamp of Trump’s blacklist for China investments (Bloomberg’s Jennifer Jacobs, Saleha Mohsin and Jenny Leonard)

Yellen calls for reform of corporate tax system (The Wall Street Journal’s John McCormick)

Outside group launches $2 million pressure campaign on moderate lawmakers to pass parts of Biden's agenda ( CNBC’s Brian Schwartz)

Where's Joe

Biden speaks at the Ford Rouge EV Center in Dearborn, Mich.

Biden speaks at the Ford Rouge EV Center in Dearborn, Mich. | Evan Vucci/AP Photo

He traveled to Michigan, where he toured the Ford Rouge Electric Vehicle Center in Dearborn and delivered remarks.

Where's Kamala

No public events scheduled.

The Oppo Book

National security adviser JAKE SULLIVAN is considered by his peers and colleagues to be brilliant. He’s been called a generational thinker and one of the Democratic Party’s foremost policy wonks. He’s also, apparently, a terrible driver, at least according to childhood friend, SARAH RATHKE.

Rathke, a trial lawyer who first met Sullivan when they were teenagers in high school and still considers him to be among her close friends today, told POLITICO last year that “he’s possibly the world’s worst driver.”

She added that “he errs on the side of going really slow and doesn't believe the lane lines are talking to him.” (Are lane lines supposed to talk?)

While that doesn’t necessarily sound good, Jake’s driving likely fits in here in the District.

HELP US OUT — It's been interesting digging through memoirs and college newspaper clips about Biden administration officials. But we want your help, too. Got a story — that’s potentially embarrassing but not too mean or serious — you think we should use for an "Oppo Book" item? Email us transitiontips@politico.com.

Trivia Answer

Two. WOODROW WILSON was president of Princeton University and DWIGHT D. EISENHOWER was president of Columbia University.

We want your tips, but we also want your feedback as we transition to West Wing Playbook. What should be covering in this newsletter that we’re not? What are we getting wrong? Please let us know.

Edited by Emily Cadei

 

Follow us on Twitter

Alex Thompson @AlexThomp

Theodoric Meyer @theodoricmeyer

Allie Bice @alliebice

 

Follow us

Follow us on Facebook Follow us on Twitter Follow us on Instagram Listen on Apple Podcast
 

To change your alert settings, please log in at https://www.politico.com/_login?base=https%3A%2F%2Fwww.politico.com/settings

This email was sent to by: POLITICO, LLC 1000 Wilson Blvd. Arlington, VA, 22209, USA

Please click here and follow the steps to .

More emails from POLITICO West Wing Playbook

May 17,2021 11:05 pm - Monday

Biden's coming court conundrum

May 14,2021 11:05 pm - Friday

The world’s most powerful local paper

May 13,2021 11:14 pm - Thursday

Psaki successor sweepstakes

May 12,2021 10:34 pm - Wednesday

The Hillbilly enmity

May 11,2021 10:39 pm - Tuesday

The heiress in the Biden administration

May 07,2021 10:16 pm - Friday

Paradise lost