EIW Today - June 10th, 2025

Prism Group's Daily Summary

SURVEY SHOWS MIXED FEELINGS AMONG SMALL BIZ COMMUNITY… Small business optimism saw its first increase this year in May, with an NFIB index climbing slightly due to stronger expectations for business conditions and sales. Despite this rise, uncertainty also increased, potentially due to ongoing tariffs and the delay in passing the "Big Beautiful Bill" in Congress. Taxes remain the top concern for small business owners, with 18% reporting it as their biggest problem.

CREDIT CARD COMPETITION ACT WON’T GET A VOTE YET… As of Monday afternoon, Senator John Thune (R-ND) ended the open amendment process for the GENIUS Act, legislation aimed at establishing regulatory frameworks for stablecoin use. In doing such, Sen. Thune effectively blocked The Credit Card Competition Act's (CCCA) attachment by Senators Marshall (R-KS) and Durbin (D-IL), preventing the addition of measures aimed at reducing swipe fees across the board. This act was seen as an attempt at preserving the GENIUS Act, whose status was threatened by the introduction of CCCA amendments. 

LAWMAKERS AND REGULATORS LOOK TO IMPROVE CAPITAL FORMATION RULES… The SEC and Congress are currently exploring updates to exempt offering rules, specifically considering changes to the accredited investor definition and Regulation A reforms, according to a recent alert from Nixon Peabody. These potential changes aim to streamline reporting, expand federal pre-emption for secondary sales, and allow individuals to qualify as accredited investors through education and testing, with the ultimate goal of helping small businesses gain improved access to capital.

HOW TARIFFS ON STEEL AND ALUMINUM COULD IMPACT ILLINOIS’ SMALL BUSINESS… Small businesses across industries are beginning to feel the squeeze from newly imposed 50% tariffs on imported steel and aluminum, with manufacturers, homebuilders, and craft brewers bracing for rising costs and shrinking margins. The Trump administration frames the tariffs as a national security measure to boost domestic production, but critics warn the real burden will fall on small firms that lack the scale to absorb price hikes. From beer cans to building materials, independent businesses face a tough choice: raise prices or risk closure—an imbalance experts say could deepen economic inequality and accelerate the decline of local manufacturing communities.

THE STATE OF THE STATES

SESSIONS BY THE NUMBERS: 

Eighteen states are in regular session. Maine and Missouri are in special session.

WHAT WE'RE WATCHING: 

California legislative leaders reached a spending deal Monday to freeze enrollment of undocumented adults in Medi-Cal, the state Medicaid program. Leaders rejected billions in cuts to health care and social services programs to fill a $12 billion deficit. Gov. Gavin Newsom (D) had proposed the enrollment pause as part of his budget plan.

Iowa Gov. Kim Reynolds (R) has signed legislation capping state tax incentives for economic development programs at $110 million annually. The law, passed earlier this year with overwhelming bipartisan majorities, creates a new $40 million cap on a research activities credit.

LAWMAKERS... IN OR OUT? 

The House... convenes today at 10:00 AM. The full schedule may be found here. 

The Senate... convenes today at 10:00 AM. The full schedule may be found here.

HAPPENING ON THE HILL  

The House...  

Committee on Financial Services will hold a hearing TODAY, 6/10 at 10:00 AM entitled, “Markup of Various Measures." 

Committee on Appropriations will hold a hearing TODAY, 6/10 at 9:30 AM entitled, “Oversight Hearing– The Department of Defense.”

Committee on Appropriations will hold a hearing TODAY, 6/10 at 10:00 AM entitled, “Budget Hearing– U.S. Department of Housing and Urban Development.”

Committee on Energy and Commerce will hold a hearing TODAY, 6/10 at 10:00 AM entitled, “The Fiscal Year 2026 Department of Energy Budget.”

Committee on Natural Resources will hold a hearing TODAY, 6/10 at 10:15 AM entitled, “Legislative Hearing on H.R. 1045, H.R. 1655, H.R. 3187 & H.R. 3444 | Federal Lands Subcommittee.”

Committee on Small Business, Innovation, Entrepreneurship, and Workforce Development Subcommittee will hold a hearing TODAY, 6/10 at 2:00 PM entitled, “Beyond the Ballpark: The Role of Minor League Baseball in Economic Growth.”

Committee on Foreign Affairs, East Asia and Pacific Subcommittee will hold a hearing TODAY, 6/10 at 2 PM entitled “Building Bridges, Countering Rivals: Strengthening U.S.-ASEAN Ties to Combat Chinese Influence.”

Committee on Ways and Means will hold a hearing Tomorrow, 6/11 at 10:00 AM entitled, “Full Committee Hearing with Treasury Secretary Scott Bessent.”

Committee on Natural Resources, Indian and Insular Affairs Subcommittee will hold a hearing Tomorrow, 6/11 at 10:00 AM entitled, “Legislative Hearing on H.R. 411, H.R. 2916, H.R. 3620 & H.R. 3670.”

Committee on Energy and Commerce, Health Subcommittee will hold a hearing Tomorrow, 6/11 at 10:00 AM entitled, “Made in America: Strengthening Domestic Manufacturing and the Health Care Supply Chain.”

Committee on Energy and Commerce, Environment Subcommittee will hold a hearing Tomorrow, 6/11 at 10:15 AM entitled, “Short-Circuiting Progress: How the Clean Air Act Impacts Building Necessary Infrastructure and Onshoring American Innovation.”

Committee on Energy and Commerce, Commerce, Manufacturing, and Trade Subcommittee will hold a hearing on Thursday, 6/12 at 10:00 AM entitled, “Winning Off the Field: Legislative Proposal to Stabilize NIL and College Athletics.”

Committee on Foreign Affairs, South and Central Asia Subcommittee will hold a hearing on Thursday, 6/12 at 10:00 AM entitled, “Bureau of Industry and Security FY26 Budget: Export Controls and the AI Arms Race.” 

Committee on Natural Resources will hold a hearing on Thursday, 6/12 at 10:00 AM entitled, “Examining the President's FY 2026 Budget Request for the Department of the Interior.”

Committee on Ways and Means will hold a hearing on Thursday, 6/12 at 10:00 AM entitled, “Work & Welfare Subcommittee Hearing on Aging Out is Not a Plan: Reimagining Futures for Foster Youth.”

Committee on Financial Services will hold a hearing Thursday, 6/12 at 10:00 AM entitled, “Evaluating the Defense Production Act.” 

Committee on Financial Services will hold a hearing Thursday, 6/12 at 2:00 PM entitled, “Housing in the Heartland: Addressing our Rural Housing Needs.” 

The Senate...    

Committee on Foreign Relations will hold a hearing TODAY, 6/10 at 10:00 AM entitled, “Nominations.”

Committee on Appropriations, Subcommittee will hold a hearing TODAY, 6/10 at 10:00 AM entitled, “A Review of the President’s Fiscal Year 2026 Budget Request for the National Institutes of Health.”

Committee on Appropriations, Subcommittee will hold a hearing TODAY, 6/10 at 2:00 PM entitled, “A Review of the President’s Fiscal Year 2026 Budget Request for the Department of Defense.”

Committee on Energy & Natural Resources will hold a hearing Tomorrow, 6/11 at 10:00 AM entitled, “Full Committee Hearing to Examine the President's Budget Request for the U.S. Department of the Interior for Fiscal Year 2026.”

Committee on Judiciary will hold a hearing Tomorrow, 6/11 at 10:15 AM entitled, “23 and You: The Privacy and National Security Implications of the 23andMe Bankruptcy.”

Committee on Appropriations, Subcommittee will hold a hearing Tomorrow, 6/11 at 10:30 AM entitled, “A Review of the President’s Fiscal Year 2026 Budget Request for the United States Forest Service.”

Committee on Appropriations, Subcommittee will hold a hearing Tomorrow, 6/11 at 2:30 PM entitled, “A Review of the President’s Fiscal Year 2026 Budget Request for the Army Corps of Engineers and the Bureau of Reclamation.”

Committee on Appropriations, Subcommittee will hold a hearing Tomorrow, 6/11 at 3:00 PM entitled, “A Review of the President’s Fiscal Year 2026 Budget Request for the Department of Housing and Urban Development.”

Committee on Appropriations, Subcommittee will hold a hearing Tomorrow, 6/11 at 3:30 PM entitled, “A Review of the President’s Fiscal Year 2026 Budget Request for the Department of the Treasury.” 

Committee on Judiciary will hold a hearing Thursday, 6/12 at 9:30 AM entitled "Executive Business Meeting.”

Committee on Banking, Housing, and Urban Affairs will hold a hearing Thursday, 6/12 at 10:00 AM entitled “Nomination Hearing.” 

Committee on Finance will hold a hearing Thursday, 6/12 at 10:00 AM entitled “The President’s Fiscal Year 2026 Budget for the Department of Treasury and Tax Reform.”

Committee on Foreign Relations will hold a hearing Thursday, 6/12 10:30 AM entitled “Nominations.”

BILLS OF INTEREST 

Rep. Johnny Olszewski (D-MD-2) introduced HR 3851 to amend section 9 of the Small Business Act to extend and expand phase flexibility authority. 

Rep. Joe Neguse (D-CO-2) introduced HR 3849 to prohibit certain individuals from engaging in prohibited financial transactions. 

Rep. Gregory Steube (R-FL-17) introduced HR 3853 to essentially codify President Trump’s efforts to eliminate bureaucracies via executive orders. 

Rep. Julie Fedorchak (R-ND-At Large) introduced HR 3843 to amend the Federal Power Act to prohibit certain retirements of baseload electric generating units. 

AT THE AGENCIES  

The U.S. Department of Labor 

Deputy Secretary Keith Sonderling will be participating in the International Labour Conference in Geneva. His remarks will promote the Trump administration’s “America First” initiative and emphasize the U.S.’s dominant gig economy, while pushing back on international efforts to impose regulations that may restrain innovation. Sonderling will also stress the US as the international leader in artificial intelligence and speak with ILO director general Gilbert F Houngbo to ensure American workers and businesses are not harmed by unfair labor practices. 

The Department of Labor is offering prevailing wage webinars in June and September for current and prospective federal contractors subject to prevailing wage requirements. This may include contractors, contracting agencies, unions, workers, and other stakeholders involved in federally funded construction and service contracts. The two-day online seminars will discuss the Davis-Bacon and Related Acts as well as the Service Contract Act. They are scheduled for June 25-26 and September 24-25. Seminar attendance is free, but registration is required.

The U.S. Department of the Treasury 

The Department of Treasury announced Joseph Lavorgna will serve as Counsel to the Secretary. 

The U.S. Department of Commerce 

Check back tomorrow for possible updates.

The U.S. Trade Representative  

The Office of the United States Trade Representative has announced a public comment process to consider changes to certain aspects of Annexes III and IV in the action (90 Fed. Reg. 17114, April 23, 2025) in the Section 301 Investigation of China’s Targeting of the Maritime, Logistics, and Shipbuilding Sectors for Dominance. The deadline to submit comments is July 7, 2025.

The U.S. Small Business Administration 

The SBA announced it would offer relief to Missouri, Iowa, Nebraska, Kansas, and Oklahoma nonprofits and small businesses affected by spring storms. Specific eligibility requirements may vary, please see specific details at your respective state’s link. The deadline to return physical damage applications is July 22, 2025. The deadline to return economic injury applications is February 23, 2026.

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