| | | | |  | | By Eli Okun | Presented by the National Retail Federation | |  | THE CATCH-UP | | |  Pete Hegseth's Defense secretary nomination may be on firmer footing now. | Angelina Katsanis/POLITICO | FOR PETE’S SAKE — Defense Secretary-designate PETE HEGSETH has faced a blistering reception from Senate Armed Services Democrats at his confirmation hearing today, but the pivotal Republicans who will cast the deciding votes sent more positive signals. Chair ROGER WICKER (R-Miss.), who hasn’t spoken out much about the former Fox News host’s nomination, offered him a warm welcome. And Sen. JONI ERNST (R-Iowa) — who has attracted the most attention, given the sexual assault allegation against Hegseth and his views on women in combat — wasn’t confrontational at all. Instead, she focused on the relatively non-controversial topic of a Pentagon audit and reiterated commitments Hegseth had already given to her in “very productive” private conversations. More details from Joe Gould Hegseth and his GOP defenders on the panel alternated between presenting him as a changed man since reports of severe personal misbehavior in years past, and decrying a “coordinated smear campaign” to take him down. “I’m not a perfect person, but redemption is real,” he said. Hegseth also emphasized his plans to bring policy transformation to the Defense Department, saying he wants to return it to a “warrior culture,” focus on the China threat in particular, reform procurement and tackle crises of recruitment and readiness. And he backed down from some of his most controversial views. Hegseth said gay people can serve in the military and women can take on combat roles. He noted that President-elect DONALD TRUMP “has not indicated to me whether he plans to change” anything on the latter. Playing nicer and largely keeping his cool, Hegseth denied the sexual assault allegation against him, said he wouldn’t drink on the job and said he’d keep politics out of the military. Democrats sounded unconvinced. Ranking member JACK REED (D-R.I.), who’s no flamethrower, slammed Hegseth as unqualified for the role. He also went after Hegseth for defending U.S. troops accused of war crimes. (Rep. ANNA PAULINA LUNA (R-Fla.) called Reed’s comments “actual slander.”) “You have to change how you see women to do this job well, and I don’t know that you can,” said Sen. KIRSTEN GILLIBRAND (D-N.Y.), pointing to Hegseth comments from just two months ago. And Sen. TIM KAINE (D-Va.) delivered the most aggressive critique of Hegseth’s character: “I am shocked that you would stand here and say you’re completely cleared. Can you so casually cheat?” More from Paul McLeary But, but, but: Despite the positive signs from Republicans on the panel, Sen. JOHN CURTIS (R-Utah) said he’s still undecided on Hegseth and TULSI GABBARD’s nomination for DNI. “We’re all flawed, and the question is: At what point do you cross that line?” Curtis said. His comments came at the POLITICO Playbook: The First 100 Days event today, on a panel moderated by Steven Overly, part of a morning full of conversations with some of Washington’s most powerful people. Other highlights from Union Station:
- Sen. KATIE BRITT (R-Ala.) told Jonathan Martin that Republicans are “absolutely open” to amendments and debate on the Laken Riley Act, but said it’s not meant to be a comprehensive immigration bill.
- STEVE BANNON dismissed ELON MUSK as less powerful than he seems and crowed that Bannon’s faction of MAGA is winning the H-1B visa debate. Musk lacks “the ability to actually make decisions and inform those decisions and drive those decisions,” Bannon told Dasha Burns. Bannon also said his top priority is ultimately pushing for a “100 percent moratorium on all immigration.”
- Rep. JAMIE RASKIN (D-Md.) told Ankush Khardori that he’s worried about KASH PATEL’s and PAM BONDI’s relationships with reality: “Do we want people in charge of the FBI and Department of Justice who can't tell truth from fiction?”
|  Rep. Jamie Raskin (D-Md.) has big concerns about some Trump nominees. | Rod Lamkey Jr. for POLITICO | RECONCILABLE DIFFERENCES — Speaker MIKE JOHNSON today spelled out a plan for Congress to adopt a budget resolution by the end of February, an ambitious timeline to lay the groundwork for Republicans’ big party-line reconciliation bill(s), Meredith Lee Hill reports. Johnson also announced that Capitol flags will be raised to full-staff for Trump’s inauguration despite the period of mourning for JIMMY CARTER, and then lowered again afterward. BIG DEPARTURE — MSNBC President RASHIDA JONES stepped down today after four years in the role, per Status’ Oliver Darcy. As MSNBC gets spun off from NBCUniversal, new SpinCo leader MARK LAZARUS told employees that REBECCA KUTLER will be interim president of the network. And MSNBC will not see a name change, as some staffers had feared. Good Tuesday afternoon. Thanks for reading Playbook PM. Drop me a line at eokun@politico.com.
| | | | A message from the National Retail Federation: Many of the tax provisions in the Tax Cuts and Jobs Act are set to expire at the end of 2025. Retailers and small business owners have benefited from lower tax rates by investing the savings in their businesses and employees. NRF is advocating for reauthorization of TCJA to support our nation’s economic growth. Learn more. | | | | | 9 THINGS YOU NEED TO KNOW | | |  Rep. Thomas Massie (R-Ky.) has lost his perch on House Rules. | Francis Chung/POLITICO | 1. I GOT NEW RULES: Rep. THOMAS MASSIE (R-Ky.), a frequent thorn in House GOP leaders’ side, is no longer on the crucial House Rules Committee. Johnson today announced the new makeup of the panel, including Rep. VIRGINIA FOXX (R-N.C.) as chair, per Meredith Lee Hill. She’s the first Republican woman to lead the committee. Massie’s departure is the biggest shakeup for a committee that acts as the gatekeeper to legislation getting onto the House floor. He and Rep. GUY RESCHENTHALER (R-Pa.) are departing, replaced by Reps. MORGAN GRIFFITH (R-Va.) and BRIAN JACK (R-Ga.). 2. 2026 WATCH: Michigan state Senate Minority Leader ARIC NESBITT is jumping into the state’s gubernatorial race, becoming the first major Republican contender to declare his candidacy this morning in what may end up being a congested primary (and general) election, per The Detroit News’ Craig Mauger. Nesbitt’s announcement explicitly tied his candidacy to Trump (though he initially backed Florida Gov. RON DeSANTIS in the presidential primary), and his launch video emphasized manufacturing, guns and farming. 3. THE BRAVE NEW WORLD: “Biden signs executive order aimed at growing AI infrastructure in the US,” by AP’s Sarah Parvini: “The executive order directs federal agencies to accelerate large-scale AI infrastructure development at government sites, while imposing requirements and safeguards on the developers building on those locations. It also directs certain agencies to make federal sites available for AI data centers and new clean power facilities.” 4. PRIMARY COLORS: The left is roaring back in Democratic congressional primaries this cycle, as Justice Democrats announced they’d work to recruit challengers to insufficiently progressive incumbents after declining to do so in 2024, Ally Mutnick reports. Spokesperson USAMAH ANDRABI said the election results showed that “there is something wrong with this party” and that Democrats need to pivot to a populist, liberal appeal to the working class. 5. BIG MOVE ON XINJIANG: “Biden Administration Adds 37 Chinese Companies to Forced Labor List,” by NYT’s Ana Swanson: “The administration’s move is the single largest batch of additions to a list of companies that are barred from bringing products into the United States because of concerns about human rights violations. … Altogether, they bring the list to 144 entities.”
| | | | POLITICO is helping kick off the U.S. Conference of Mayors Winter Meeting with a Happy Hour on January 16th. Mingle with U.S. mayors, Washington insiders, and business executives over cocktails and light bites at the award-winning Cranes restaurant. RSVP here to join us! | | | | | 6. AFTER THE LOSS: As Minnesota state legislators begin this year’s session, Gov. TIM WALZ has to reckon with not only his failed vice presidential bid but surging GOP strength in his state, NYT’s Ernesto Londoño reports from Saint Paul. The state is bracing for major legislative gridlock after a two-year period of Democratic control that saw a lot of big-ticket bills get passed. The capital has been roiled by boycott threats, poor fiscal projections, speculation about tensions between Walz and Lt. Gov. PEGGY FLANAGAN, and questions about whether the governor will run for a third term. 7. UP IN SMOKE: “The war on smoking turns to cigarettes with ultralow nicotine,” by WaPo’s David Ovalle and Rachel Roubein: “The Biden White House is expected to formally propose a plan ordering cigarette nicotine levels to be reduced dramatically. But whether the initiative comes to fruition depends on President JOE BIDEN’s successor. Anti-tobacco crusaders hope President-elect Donald Trump will follow through — especially because a similar plan emerged early in his first administration before languishing. … The tobacco industry has lambasted the plan, arguing it would effectively ban cigarettes.” 8. PARDON ME: Rep. BENNIE THOMPSON (D-Miss.) has talked to the White House about receiving a preemptive pardon and would accept it if offered, he tells Punchbowl’s John Bresnahan, Melanie Zanona and Jake Sherman. There’s no evidence of wrongdoing, but the former House Jan. 6 committee chair says he fears Trump will go after him as a political enemy: “I believe Donald Trump when he says he’s going to inflict retribution on this,” he says. That strategy distinguishes Thompson from former Rep. LIZ CHENEY (R-Wyo.), the vice chair, whose spokesperson has said she has “nothing to be pardoned for.” 9. THE NEW GOP VS. THE OLD GOP: “‘The million-dollar question:’ Trump’s populist economic promises meet Republican skepticism,” by Semafor’s Kadia Goba and Shelby Talcott: “Trump’s arrival in office comes at a tipping point for a Republican Party he’s reshaped in his image. He’s outlined a number of populist economic goals … But Trump is now avidly pursuing new corporate partners and investments that line up with a fiercely pro-business — and conventional — Republican agenda.”
| | | | A message from the National Retail Federation:   NRF supports an extension of the Tax Cuts and Jobs Act. Learn more. | | | | | PLAYBOOKERS | | Michelle Obama is skipping Donald Trump’s inauguration. David Sacks used to sing a different tune about Trump. Dana White says he’s a middleman between Joe Rogan and Trump. Anna Paulina Luna has a “secret stash of Celsius” in Mike Johnson’s office. MEDIA MOVES — Natalie Allison will join WaPo to cover the White House. She currently is a national political reporter at POLITICO. … The Atlantic is adding Caity Weaver as a staff writer and Jonathan Lemire and Alex Reisner as contributing writers. Weaver previously has been at the NYT Magazine. Lemire is an MSNBC host and until recently was at POLITICO. TRANSITIONS — Sen. Maggie Hassan’s (D-N.H.) office is elevating Sahil Mehrotra to comms director and adding Marisa Nahem as press secretary. Mehrotra previously was deputy comms director. Nahem previously was New Hampshire comms director for Kamala Harris’ presidential campaign. … Philip Luck has joined the Center for Strategic and International Studies as Scholl chair in international business and director of the economics program. He previously was deputy chief economist at the State Department. … Ryan Majerus is now a partner on King & Spalding’s international trade team. He most recently was acting assistant secretary for enforcement and compliance at the Commerce Department. … … Javon Knight is joining the Pittman Law Group as assistant director of federal affairs. He previously was a principal at Husch Blackwell Strategies. … Samah Shaiq has joined Signal Group to support its renewable energy work under its outdoor practice group. She most recently was deputy press secretary at the Department of Energy, and is a Nancy Pelosi alum. … Tony Hernandez is now comms director for Rep. Jimmy Gomez (D-Calif.). He previously was press secretary for Sen. Catherine Cortez Masto (D-Nev.). WELCOME TO THE WORLD — DJ Belnap, an account manager at AdImpact, and Lauren Belnap, a senior program manager at Dawson, welcomed Jack Douglas Belnap on Wednesday. Pic Did someone forward this email to you? Sign up here. Send Playbookers tips to playbook@politico.com or text us at 202-556-3307. Playbook couldn’t happen without our deputy editor Zack Stanton and Playbook Daily Briefing producer Callan Tansill-Suddath. | | | | Follow us on Twitter | | | | Subscribe to the POLITICO Playbook family Playbook | Playbook PM | California Playbook | Florida Playbook | Illinois Playbook | Massachusetts Playbook | New Jersey Playbook | New York Playbook | Ottawa Playbook | Brussels Playbook | London Playbook View all our politics and policy newsletters | | Follow us | | | | |
