Riding a Wave Election

The dust is beginning to settle following the national mid-term elections on November 2^nd.  The results are known: Republicans regained control of the House of Representatives picking up 61 seats.  Democrats retained control of the Senate, although their majority margin decreased by 6 seats.  At this writing, the GOP now controls 29 gubernatorial offices across the country having picked up at least six seats.  At least 19 state legislatures switched to Republican majorities.  All in all, there was a decided Republican shift in our national political landscape. 

Many pollsters and pundits have been busily divining the import of this election.  What does it mean to have “three historic wave elections in six years?”  What message did the American people mean to send?  Is it about a fundamental shift in party affiliation or governing philosophy?  Or is it simply a desire that someone do something that will create jobs?  Those questions surely will continue to captivate political watchers for some time to come. 

What do these developments mean for the issues and concerns of the IT industry and CompTIA members?

To the lay that groundwork, however, it is worthwhile to consider some “nuts and bolts” consequences of the election.  For example, while Democrats retained control in the Senate, their margin is slimmer and by rule this means that more seats on committees must be given to Republicans as well as for corresponding staff.  As a practical matter, this means that it will require a greater degree of compromise (or political skill) to pass bills through committees before reaching the floor of the Senate.  This coupled with the party split between the House and Senate suggests that if the Senate was thought to be a “graveyard” for legislation in the last session, it has the potential to be even more so in the 112^th. 

In the House of Representatives, a change in majority does portend changes for the IT industry.  Just from a practical point of view, consider the House Committee on Energy & Commerce, one of the principal committees for IT issues such as online privacy, data breach, net neutrality and other such issues.  Eleven members of Congress, either by election loss or by choice, are no longer serving on that committee and new members will take their place.  We anticipate that the influx of new Republican members onto this and other committees could well impact which issues get priority, how legislation is moved forward (as comprehensive bills or smaller more focused bills), and how quickly they are addressed. 

Congress reconvenes on November 15^th, for a “Lame Duck” session, then leaves for Thanksgiving break, and returns in early December to finish the 111^th Congress.  During that time, issues such as the extension of the Bush tax cuts, a tax extenders bill, an Omnibus Appropriations bill and/or a Continuing Resolution, a Defense Authorization Bill (and the contentious “don’t ask, don’t tell” provision), ratification of the Strategic Arms Reduction Treaty with Russia, and two ethics trials (Rangel and Waters) must be addressed in some fashion.  In addition, 60+ members of the House will be coming and going during that time.  Lame Duck sessions can be unpredictable, particularly following “change elections” as this was.  It is conceivable that some issues on the CompTIA priority list such as repeal of the 1099 reporting requirement could move forward.  Nevertheless, there is no indication that a broader tech agenda will be addressed at that time. 

The 112^th Session of the United States Congress begins on January 3, 2011. In this new legislative session, it is widely expected that discretionary spending will be scarce on both ends of Pennsylvania Avenue.  House Republicans have already announced that they will seek to cut domestic discretionary spending next year by 22 percent, back to 2008 levels.  While the White House is unlikely to go that far, the Obama Administration has asked federal agency heads to propose cuts equaling 5 percent of current budgets for next year.  The actual number will fall somewhere in between.  Healthcare again may dominate debate as the GOP has indicated they would like to repeal the law, or in the alternative, defund specific programs.  Though, we do not believe that the health information technology dollars under the American Recovery and Reinvestment Act will be targeted by House Republicans.  The EMR transition is generally viewed as a job creating program. 

Find out more info on how CompTIA is making the IT channel’s voice heard and understood on Capitol Hill by checking our monthly Policy Watch enewsletter.