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By Scott Wong (
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PRESSURE FOR SUMMER BUDGET DEAL EASES - Lori Montgomery and Zachary A. Goldfarb write on A1 of the Washington Post: "After four years of trillion-dollar deficits, the red ink is receding rapidly in Washington, easing pressure on policymakers but shattering hopes for a summertime budget deal. Federal tax revenue is up and spending is down thanks to an improving economy, tax increases that took effect in January and the automatic budget cuts known as the sequester. The sunnier outlook means that President Obama will be able to pay the nation's bills for months without seeking additional borrowing authority from Congress - probably until Oct. 1, according to independent forecasts.

-- "That might seem like good news, but it is unraveling Republican plans to force a budget deal before Congress takes its August break. Instead, the fiscal fight appears certain to bleed into the fall, when policymakers will face another multi-pronged crisis that pairs the need for a higher debt limit and the fresh risk of default with the threat of a full-scale government shutdown, which is also looming Oct. 1. In the meantime, Republicans face a listless summer, with little appetite for compromise but no leverage to shape an agreement. Without that leverage, House Budget Committee Chairman Paul Ryan (R-Wis.) said Tuesday, there is no point in opening formal budget negotiations between
the House and the Senate, because Democrats have no reason to consider the kind of far-reaching changes to Medicare and the U.S. tax code that Republicans see as fundamental building blocks of a deal. ...

--"Democrats are urging Republicans to initiate talks well before the next deadline and at last resolve the long-standing dispute over whether to tame the debt solely by cutting spending, as Republicans demand, or also by raising taxes on the wealthy, as Obama insists. ... But senior Senate Republicans, including several who recently dined with Obama and huddled with administration officials, conceded that it may be tough to bring their colleagues to the table too far ahead of the debt-ceiling deadline."
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Wall Street Journal, A1 4-col. lead, "Dow Vaults Over 15,000":
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BAUCUS, CAMP PLOD AHEAD ON TAX REFORM - Anna Palmer and Jake Sherman report for POLITICO: "Capitol Hill leaders might not be sold yet on rewriting the Tax Code in the next year, but two key tax-writers are trying anyway - building a powerful coalition of players on K Street, in the Capitol and among President Barack Obama's trusted advisers. The two men, Rep. Dave Camp, chairman of the Ways and Means Committee, and Senate Finance Chairman Max Baucus, have pockets filled with Washington chits and nothing to lose - Baucus, a Democrat, is retiring in 2014 after nearly 40 years in Washington, and Camp, a Republican, is losing his committee gavel. The back-channel, bipartisan coordination stands
in stark contrast to, well, just about everything else this divided Washington has seen since 2011. ...

--"There are signs of progress. After Camp's aides swapped tax overhaul proposals with the Treasury Department, his staff opened Obama's budget and were surprised to see one of the Michigan Republican's financial products taxation proposals. When Congress is in session, Camp and Baucus have held weekly meetings on reform. Baucus has also made tax reform a major component of his weekly calls with Treasury Secretary Jack Lew, has met with every member of the finance panel and is also meeting one on one with freshman senators. On Tuesday, he met with Sens. Tammy Baldwin of Wisconsin and Chris Murphy of Connecticut to discuss their priorities on tax reform. Tax reform has also gained new steam
of late as Baucus and Camp have brought up trying to tie it to an increase in the nation's borrowing limit."
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SANFORD CRUSHES COLBERT BUSCH IN S.C. SPECIAL -- Alex Isenstadt reports for POLITICO: "South Carolinians may not love former Gov. Mark Sanford. They may still have a bad taste in their mouths after his governorship. They may even wonder whether they can entirely trust him. But in the end, they decided he was as good as they were going to get. Sanford completed his return from the political graveyard Tuesday night, easily dispatching Democrat Elizabeth Colbert Busch in a deep red district that Mitt Romney won by nearly 20 percentage points. With many voters expressing misgivings about the former governor, Sanford found a path to victory by turning the race into a referendum on the national
Democratic Party instead of himself. He put his political gifts to work, wooing skeptical voters in a relentless game of retail politics. And he had the advantage of facing a political newcomer whose inexperience at times showed. In the end, the nail-biter that late polls hinted at never materialized: Sanford crushed Colbert Busch, 54 percent to 45 percent.

-- "A turning point in the race came two weeks ago, when Sanford held a mock debate with a cardboard cutout of House Minority Leader Nancy Pelosi, implying that the California Democrat - persona non grata in conservative South Carolina - was a stand-in for his Democratic opponent. The former governor endured days of derision from the press for the move - Mark Sanford, once regarded as a viable potential presidential candidate, was debating a piece of cardboard. But behind the scenes, Sanford's aides grinned: Every time a reporter put 'Pelosi' and 'Colbert Busch' in the same sentence, the Republican was winning. And some Democratic aides began to worry, too."
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DCCC CHAIRMAN STEVE ISRAEL: "House Republicans' outreach to women voters now has Mark Sanford as the face. Republicans now have to defend him and stand with him until Election Day."

GREG WALDEN, CHAIRMAN OF THE NRCC, which withdrew funding from the Sanford campaign: "Congratulations to Mark Sanford for winning tonight's special election. These results demonstrate just how devastating the policies of Barack Obama and Nancy Pelosi are for House Democrats in 2014. Democrats spent more than $1 million trying to elect a candidate who was backed by the Democrat machine, but at the end of the day, running on the Obama-Pelosi ticket was just too toxic for Elizabeth Colbert Busch."

TWITTER TRAFFIC -- @MoElleithee: Apparently the path to redemption IS the Appalachian Trail.

@mikiebarb: Mark Sanford won. Paging Anthony Weiner.

National Journal: "Mark Sanford's Sex Scandal Survival Guide," By Beth Reinhard:
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FIRST LOOK: HIRONO, WICKER, LOFGREN, SMITH PUSH FOR SCIENCE LAUREATE - Sen. Mazie Hirono (D-Hawaii) and Roger Wicker (R-Miss.), along with Reps. Zoe Lofgren (D-Calif.) and House Science Committee Chairman Lamar Smith (R-Texas), are rolling out bipartisan legislation today that would create an official Science Laureate of the United States, a bid to promotes science education and celebrates scientific achievement. The Science Laureate, modeled after the Poet Laureate in the Library of Congress, would be a nationally-renowned expert in their field who would travel around the country to inspire future scientists. The president would appoint the laureate from nominees recommended by the
National Academy of Sciences. The term would be one to two years. The legislation has backing from the American Association for the Advancement of Science, the world's largest general scientific society, and the STEM Education Coalition.

ON THE MOVE - Two Capitol Hill veterans are heading to the Transportation Department, outgoing Secretary Ray LaHood told staff on Tuesday:

-- Natalie Angelo will be appointed governmental affairs director in the Office of the Secretary. She has served as projects director for Sen. Mary Landrieu (D-La.) where she is responsible for all federal appropriations projects, budget and grant work.She was the top adviser to Landrieu on all transportation and infrastructure-related issues. Before that, Angelowas an aide to then-Sen. Roland Burris and Rep. Luis Gutierrez, and also served on the House Financial Services Committee. She holds a B.A. in marketing from DePaul University.

-- Marissa Padilla will be appointed communications director for the Federal Motor Carrier Safety Administration. Padilla currently serves as the communications director for Sen. Tom Udall (D-N.M.) where she's responsible for developing and implementing Udall's communications strategy around his committees of membership including: Foreign Relations, Appropriations, Environment & Public Works, Commerce, Science & Transportation, and Indian Affairs.Before that, Padilla served as press secretary for Udall when he served in the House and later the Senate. Padilla has also served as a deputy political director and scheduler for the 2004 Kerry/Edwards campaign in New Mexico. She holds B.A. in
political science and mass communication and journalism from the University of New Mexico, Albuquerque.

GOP HAS NEW TARGET IN BENGHAZI PROBE: HILLARY - Philip Rucker writes on A1 of the Washington Post: "Republican lawmakers, who have spent months seeking to tie President Obama to last year's deadly attack on the U.S. diplomatic mission in Benghazi, are increasingly focusing their probe on a new target: former secretary of state Hillary Rodham Clinton. The GOP-led investigation of the Sept. 11, 2012, assaults that killed U.S. Ambassador J. Christopher Stevens and three others now centers heavily on the State Department and whether officials there deliberately misled the public about the nature of the assault.

--"Three State Department officials are scheduled to testify before a House committee on Wednesday about the Benghazi attack and its aftermath. 'I think the dam is about to break on Benghazi,' Sen. Lindsey O. Graham (R-S.C.) wrote on his Facebook page Tuesday . '. . . We're going to find people asleep at the switch when it comes to the State Department, including Hillary Clinton.' On Monday, a Fox News anchor asked Rep. Darrell Issa (R-Calif.) how damaging the issue is for Clinton. 'I think it's damaging because it happened under her watch,' replied Issa, chairman of the House Oversight and Government Reform Committee, which is holding Wednesday's hearing.

-- "To Democrats, the efforts amount to a baseless and less-than-subtle crusade to tarnish the credentials of Clinton, one of the country's most popular political figures and the overwhelming favorite for the 2016 Democratic presidential nomination."
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THE BENGHAZI HEARING, titled "Benghazi: Exposing Failure and Recognizing Courage," begins at 11:30 a.m. in Rayburn 2154.
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CHARM OFFENSIVE PART V: OBAMA TO DINE WITH TOP HOUSE DEMS TONIGHT - Daniel Strauss reports for The Hill: "President Obama will meet for dinner on Wednesday with Reps. Nancy Pelosi (Calif.), Steny Hoyer (Md.) and other House Democratic leaders, the White House said Tuesday. The gathering is just the latest in a series of efforts by Obama to reach out to Congress amid grumbling on both sides of the aisle that the president has been too insular throughout a host of high-stakes debates on the budget, immigration and other issues."

-- Other attendees include: Reps. James Clyburn (S.C.), the assistant Democratic leader; Xavier Becerra (Calif.), chairman of the House Democratic Caucus; Joseph Crowley (N.Y.); vice chairman of the Caucus; Chris Van Hollen (Md.), senior Democrat on the Budget Committee; Rosa DeLauro (Conn.) and Rob Andrews (N.J.), the co-chairmen of the Democrat's Steering and Policy Committee; Steve Israel (N.Y.), head of the Democratic Congressional Campaign Committee; and Mike Thompson (Calif.), who chairs the Democrats' task force to prevent gun violence. The dinner will be at the Jefferson Hotel in Washington, according to the White House."
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GOOD WEDNESDAY MORNING, MAY 8, 2013, and welcome to The Huddle, your play-by-play preview of the day's congressional news. Send tips, suggestions, comments, complaints and corrections to
mailto:swong@politico.com
swong@politico.com . If you don't already, please follow me on Twitter @scottwongDC.

My new followers include @repaaronschock and @RepMikeTurner.

TODAY IN CONGRESS - The House meets at 9 a.m. and at 10:30 a.m. holds a joint meeting with the Senate to hear an address from Park Geun-hye, the president of the Republic of Korea. First and last votes are expected between 3 and 4 p.m. on the Working Families Flexibility Act and a resolution allowing consideration of the Full Faith and Credit Act.

The Senate meets at 9:30 a.m. and at 10:30 will head to the House for a joint meeting of Congress with President Park. At 11:30 a.m., the Senate will resume consideration of the Water Resources Development Act (WRDA). At 2 p.m., the Senate will vote on three amendments, including two gun-related amendments, all of which are subject to a 60-vote threshold.

AROUND THE HILL - House Democratic Leader Nancy Pelosi, Minority Whip Steny Hoyer, Democratic Caucus Chairman Xavier Becerra and Congressional Asian Pacific American Caucus Chairwoman Judy Chu deliver remarks at the Asian Pacific American Heritage Month ceremony at 9 a.m. in the CVC Auditorium.Co-chairmen of the Progressive Caucus, Reps. Keith Ellison and Raul Grijalva, as well as Reps. Eleanor Holmes Norton, Barbara Lee and Jan Schakowsky launch the "Good Jobs Nation" campaign to help low-wage workers, at 9 a.m. at Union Station's Columbus Club.

Reps. Chris Smith, Ed Royce, Frank Wolf and Zoe Lofgren speak on a bipartisan Vietnam bill at 9:30 a.m. in Rayburn 2172. Rep. Jim McDermott speaks on Veterans Affairs at 10 a.m. at the House Triangle. Rep. Luis Gutierrez and other members of the Congressional Hispanic Caucus hold a media availability with DREAMers at 12:45 p.m. outside HVC 215. Sen. John McCain will deliver remarks at the 43rd Washington Conference on the Americas at 1:15 p.m. at the State Department. Rep. Duncan Hunter hosts a prayer/historical celebration of George Washington's 224th Inaugural at 6:30 p.m. at Statuary Hall.

Throughout the day, four Girls Inc. of New Hampshire representatives, ages 12 to 17, will meet with the nation's first all-female congressional delegation. They'll meet with Sens. Kelly Ayotte and Jeanne Shaheen, and Rep. Carol Shea-Porter to learn about being a member of Congress.

CAN IMMIGRATION BILL SURVIVE HUNDREDS OF AMENDMENTS? - Erica Werner writes for the AP: "A landmark immigration bill in the Senate is facing a critical trial - whether it can survive hundreds of amendments from the left and right and still emerge relatively intact. The test will begin Thursday before the Senate Judiciary Committee. As of Tuesday evening's deadline for filing amendments, some 300 had been offered by Democrats and Republicans. A number of them, particularly from the GOP side, would strike at the heart of the bill in a way supporters say would destroy the fragile agreement between four Republican and four Democratic senators who wrote the legislation. These include measures
by Sen. Jeff Sessions, R-Ala., to limit the number of immigrants gaining legal status under the bill and to require control of the border before anyone can receive legal standing. Sen. Chuck Grassley, R-Iowa, would tighten criteria for legalization and require a new electronic employment verification system be implemented more than twice as fast as the bill contemplates."
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BY THE NUMBERS: Grassley, the Judiciary Committee's top Republican, filed 77 amendments.

TWO AMENDMENTS filed by Chairman Patrick Leahy would extend legal rights to gay couples, and perhaps torpedo the bill, Seung Min Kim and Carrie Budoff Brown write for POLITICO:
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LEE WANTS REID TO APOLOGIZE FOR 'BULLY' REMARK - POLITICO's Ginger Gibson has the story: "A Senate Republican on Tuesday called for Majority Leader Harry Reid to apologize for calling Sen. Ted Cruz a 'schoolyard bully.' Sen. Mike Lee (R-Utah), citing Senate rules that prescribe for certain decorum from senators while speaking on the floor, suggested that if Reid didn't apologize, the Senate should further examine his remarks. 'I invite him to come forward, I'm confident that my friend the junior senator from Texas would promptly accept his apology,' Lee said. ... For his part, Cruz didn't ask for an apology, but said that he wasn't a bully and added the statements were proof the majority
leader wants to raise taxes. 'The Senate is not a schoolyard,' Cruz said, repeating his initial response to Reid's remarks. 'Setting aside the irony of calling somebody a bully and then shouting them down when they attempt to respond, today I intend simply to commend my colleague from Nevada for his candor.'"
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BOEHNER UNLIKELY TO BACK INTERNET SALES TAX BILL -- Jim Puzzanghera writes for the Los Angeles Times: House Speaker John A. Boehner said he probably won't support legislation allowing states to require that larger retailers collect sales taxes on Internet purchases. And a key House committee chairman said his panel would take a 'more thoughtful' approach to the bill, which passed the Senate overwhelmingly Monday. The comments signaled that momentum from Monday's easy passage of the bill in the Senate won't lead to quick House action on the controversial issue. Boehner (R-Ohio) said Tuesday that the legislation would impose too much of a burden on small Internet retailers. 'I
just think that moving this bill where you've got 50 different [state] sales tax codes, it's a mess out there,' he told Bloomberg Television. 'And what you're doing is you're going to make it much more difficult for online retailers to be able to comply.' Boehner did not commit to a position, saying the House Judiciary Committee would look at the issue."
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SEXUAL ASSAULTS IN MILITARY RAISE ALARMS IN WASHINGTON; GILLIBRAND SHOUTS DOWN SECRETARY - Jennifer Steinhauer writes on A1 of the New York Times: "The problem of sexual assault in the military leapt to the forefront in Washington on Tuesday as the Pentagon released a survey estimating that 26,000 people in the armed forces were sexually assaulted last year, up from 19,000 in 2010, and an angry President Obama and Congress demanded action.... At a White House news conference, Mr. Obama expressed exasperation with the Pentagon's attempts to bring sexual assault under control. 'The bottom line is, I have no tolerance for this,' Mr. Obama said in answer to a question about the survey. 'If we
find out somebody's engaging in this stuff, they've got to be held accountable, prosecuted, stripped of their positions, court-martialed, fired, dishonorably discharged. Period.'

--"The report quickly caught fire on Capitol Hill, where women on the Senate Armed Services Committee expressed outrage at two Air Force officers who suggested that they were making progress in ending the problem in their branch. 'If the man in charge for the Air Force in preventing sexual assaults is being alleged to have committed a sexual assault this weekend,' said Senator Kirsten Gillibrand, Democrat of New York, 'obviously there's a failing in training and understanding of what sexual assault is, and how corrosive and damaging it is to good order and discipline.' Ms. Gillibrand, who nearly shouted as she addressed Michael B. Donley, the secretary of the Air Force, said that the
continued pattern of sexual assault was 'undermining the credibility of the greatest military force in the world.'"
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NORM DICKS NOT DONE WITH D.C. - Jim Brunner writes for the Seattle Times: "When Norm Dicks announced his surprise retirement after 36 years in Congress last year, the Bremerton Democrat said he was ready to 'change gears and enjoy life at a different pace.' But that doesn't mean Dicks is done with Washington, D.C. He's taking a job as senior policy counsel with Van Ness Feldman, a law firm and lobbying shop specializing in energy and environmental issues. As a former chairman of the House Appropriations panel overseeing the Department of Interior, Dicks has decades of expertise on those subjects. The firm's founders include former senior staffers of the late Sen. Henry 'Scoop' Jackson."
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TUESDAY'S TRIVIA WINNER - Kevin "Kip" Talley of the International Premium Cigar & Pipe Retailers' Association was the third person to correctly answer that Octaviano Larrazolo of New Mexico was the only U.S. senator to be born in Mexico. He was born in Valle de Allende, Chihuahua in 1859.

TODAY'S TRIVIA - Kip Talley has today's question, one related to his industry: In the hours before the Cuban embargo was signed, President John F. Kennedy secured 1,200 Cuban cigars. What brand did he buy? We'll stick with the same rule as yesterday: The third person to correctly answer gets a mention in the next day's Huddle. Email me at
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