Trump chooses Bessent to be treasury secretary, Vought as budget chief, Chavez-DeRemer for Labor

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Trump chooses Bessent to be treasury secretary, Vought as budget chief, Chavez-DeRemer for Labor

2024-11-23 10:44 Last Updated At：10:50

WASHINGTON (AP) — President-elect Donald Trump announced Friday that he'll nominate billionaire hedge fund manager Scott Bessent, an advocate for deficit reduction, to serve as his next treasury secretary, one of several personnel decisions that he unveiled as he closed out the workweek.

Trump also said he would nominate Russell Vought to lead the Office of Management and Budget, the same position he held during Trump's first presidency. Vought was closely involved with Project 2025, a conservative blueprint for Trump's second term that the GOP nominee tried to distance himself from during the campaign.

The announcements showed how Trump was trying to balance competing perspectives as he pursues an aggressive and sometimes contradictory economic agenda that includes cutting taxes, reducing government spending, putting tariffs on foreign imports and lowering prices for American consumers.

Although Bessent is closely aligned with Wall Street and could earn bipartisan support, Vought is known as a Republican hardliner on budget and cultural issues.

Trump said Bessent would “help me usher in a new Golden Age for the United States," while Vought “knows exactly how to dismantle the Deep State and end Weaponized Government.”

After announcing his choices for key financial posts, Trump kept up the pace of what has been a breakneck transition process.

Trump picked Rep. Lori Chavez-DeRemer of Oregon, a rare Republican who is considered a stalwart union ally, as his labor secretary. He also said he would nominate Scott Turner, a former football player who worked in Trump's first administration, to serve as his housing secretary.

More choices were named for health and national security positions. In less than three weeks since the election, Trump has announced decisions for almost his entire Cabinet.

Bessent, 62, is the founder of hedge fund Key Square Capital Management, after having worked on-and-off for Soros Fund Management since 1991. If confirmed by the Senate, he would be the nation’s first openly gay treasury secretary.

He told Bloomberg in August that attacking the U.S. national debt should be a priority, which includes slashing government programs and other spending.

“This election cycle is the last chance for the U.S. to grow our way out of this mountain of debt without becoming a sort of European-style socialist democracy,” he said then.

As of Nov. 8, the national debt stands at $35.94 trillion, with both the Trump and Biden administrations having added to it. Trump’s policies added $8.4 trillion to the national debt, while the Biden administration increased the national debt by $4.3 trillion, according to the Committee for a Responsible Federal Budget, a fiscal watchdog.

Even as he pushes to lower the national debt by stopping spending, Bessent has backed extending provisions of the Tax Cuts and Jobs Act of 2017, which Trump signed into law in his first year in office. Estimates from different economic analyses of the costs of the various tax cuts range between nearly $6 trillion and $10 trillion over 10 years. Nearly all of the law’s provisions are set to expire at the end of 2025.

Before becoming a Trump donor and adviser, Bessent donated to various Democratic causes in the early 2000s, notably Al Gore’s presidential run. He also worked for George Soros, a major supporter of Democrats. Bessent had an influential role in Soros’ London operations, including his famous 1992 bet against the pound, which generated huge profits on “Black Wednesday,” when the pound was de-linked from European currencies.

Bessent previously told Bloomberg that he views tariffs as a “one time price adjustment” and “not inflationary,” and he said tariffs imposed during a second Trump administration would be directed primarily at China. And he wrote in a Fox News op-ed this week that tariffs are “a useful tool for achieving the president’s foreign policy objectives," such as encouraging allies to spend more on defense or deterring military aggression.

In addition, Bessent has floated ideas for how Trump could put pressure on Federal Reserve Chair Jerome Powell, whose term expires in May 2026. Last month, Bessent suggested Trump could name a replacement chair early, and let that person function as a “shadow” chair, with the goal of essentially sidelining Powell.

But after the election, Bessent reportedly backed away from that plan. Powell, for his part, has said he wouldn’t step down if Trump asked him to do so, and added that Trump, as president, wouldn't have the authority to fire him.

Trump repeatedly attacked Powell during his first term as president for raising the Fed’s key rate in 2017 and 2018. During the 2024 campaign, he said that as president he should have a “say” in the central bank’s interest rate decisions. Presidents traditionally avoid commenting on the Fed’s policies.

Vought, 48, was the head of the Office of Management and Budget from mid-2020 to the end of Trump’s first term in 2021, having previously served as the acting director and deputy director. He's paired a deep knowledge of government finances with his own Christian faith.

After Trump’s initial term ended, Vought founded the Center for Renewing America, a think tank that describes its mission as renewing "a consensus of America as a nation under God.”

The Center for Renewing America released its own 2023 budget proposal entitled “A Commitment to End Woke and Weaponized Government.” The proposal envisioned $11.3 trillion worth of spending reductions over 10 years and about $2 trillion in income tax cuts in order to bring the budget into surplus by 2032.

“The immediate threat facing the nation is the fact that the people no longer govern the country; instead, the government itself is increasingly weaponized against the people it is meant to serve,” Vought wrote in the introduction.

Vought’s proposed budget plan would cut spending on food aid through the Agriculture Department. There would be $3.3 trillion in spending reductions in the Health and Human Services Department in large part through how Medicaid and Medicare funds are distributed. It also contains about $642 billion in cuts to Affordable Care Act. The budgets for the Housing and Urban Development and Education departments would also be cut.

Vought’s budget ideas were independent of Trump, who has not entirely spelled out the details of his economic plans.

Trump's choice for labor secretary, Chavez-DeRemer, 56, narrowly lost her reelection bid earlier this month. She received strong backing from union members in her district.

Chavez-DeRemer is one of a few House Republicans to endorse the “Protecting the Right to Organize” or PRO Act that would allow more workers to conduct organizing campaigns and would add penalties for companies that violate workers’ rights. The act would also weaken “right-to-work” laws that allow employees in more than half the states to avoid participating in or paying dues to unions that represent workers at their places of employment.

Trump said in a statement that she would help “ensure that the Labor Department can unite Americans of all backgrounds behind our Agenda for unprecedented National Success.”

In addition, Trump added to his health team on Friday evening. He chose Dr. Janette Nesheiwat, a general practitioner and Fox News contributor, to be surgeon general; Dr. Dave Weldon, a former Republican congressman from Florida, to lead the Centers for Disease Control and Prevention; and Dr. Marty Makary, a Johns Hopkins surgeon, as head of the Food and Drug Administration.

Trump previously said he would nominate Robert F. Kennedy Jr., a longtime spreader of conspiracy theories about vaccines, as health secretary.

Alex Wong was named as principal deputy national security adviser, while Sebastian Gorka will serve as senior director for counterterrorism. Wong worked on issues involving Asia during Trump’s first term, and Gorka is a conservative commentator who spent less than a year in Trump’s first White House.

Storm inundates Northern California with rain, heavy snow. Thousands remain in the dark in Seattle

2024-11-23 10:42 Last Updated At：10:50

HEALDSBURG, Calif. (AP) — Heavy downpours fell over much of Northern California on Friday, causing small landslides, overflowing a river and flooding some streets, including in parts of San Francisco. Meanwhile tens of thousands of people were still without power in the Seattle area after several days in the dark.

The storm arrived in the Pacific Northwest earlier this week, killing two people and knocking out power to hundreds of thousands, mostly in the Seattle area, before moving through Northern California, where several roads were closed due to flooding and strong winds toppled trees.

Forecasters warned about the risk of flash flooding and rockslides in areas north of San Francisco from this season’s strongest atmospheric river — a long plume of moisture that forms over an ocean and flows through the sky over land.

On the East Coast, another storm brought much-needed rain to New York and New Jersey, where rare wildfires have raged in recent weeks. The rain eased the fire danger for the rest of the year and was a boost for ski resorts preparing to open in the weeks ahead. Parts of West Virginia were under a blizzard warning through Saturday morning, with up to 2 feet (61 centimeters) of snow and high winds making travel treacherous.

In California's Humboldt County, the sheriff’s office downgraded evacuation orders to warnings for people near the Eel River after forecasters said the waterway would see moderate but not major flooding. Officials urged residents to prepare for storm impacts throughout the week.

Flooding closed scenic Highway 1, also known as the Pacific Coast Highway, in neighboring Mendocino County north of Point Arena near the Garcia River, and there was no estimate for when it would reopen, according to the California Department of Transportation.

Santa Rosa saw its wettest three-day period on record with about 12.5 inches (32 centimeters) of rain, according to the National Weather Service in the Bay Area.

A small mudslide threatened a home in the community of Fitch Mountain, near Healdsburg, nestled in hills along the Russian River in Sonoma County. Moderate rain was falling, and officials worried the slide could grow and hit several homes downhill.

“Our concern is while this property may be OK, the earth between it and the road below is slipping, and the mudslide is affecting downhill properties,” said Tennis Wick, permits and resource director for Sonoma County.

Dana Eaton, who lives in one of the downhill properties and was clad in a yellow rain slicker and hat, said she was worried, too. In 2019, mud cascaded into a neighbor’s garage.

Asked what the last few days have been like, she laughed: “Wet. Constant rain. It’s like everywhere else in the county, but so far nothing major, just concerns.”

In Washington state nearly 117,000 people were still without electricity, mostly in the Seattle area's King County, as crews worked to clear streets of downed lines, branches and other debris. Utility officials said the outages, which began Tuesday, could last into Saturday.

People flocked to a suburban senior center in Issaquah to get warm food and plug in their cellphones and other devices. One of them, Melissa Tryon, said she had been unable to charge her electric motorized wheelchair and had to throw out all the food in her refrigerator after it went bad.

“Today I kind of had a little bit of a meltdown,” Tyron said. “It’s hard to be cut off for that long.”

Gale warnings were issued off Washington, Oregon and California, and high wind warnings were in effect across parts of Northern California and Oregon. There were winter storm warnings for parts of the California Cascades and the Sierra Nevada.

The National Weather Service in Reno, Nevada, reported a 128-mph (206-kph) gust of wind in the morning at the top of Palisades Tahoe ski resort, about 10 miles northwest of Lake Tahoe, where some runs were open. Gusts up to 86 mph (138 kph) were recorded at Mt. Rose, which closed due to the weather.

The system roared ashore on the West Coast on Tuesday as a “ bomb cyclone,” which occurs when a cyclone intensifies rapidly. It unleashed fierce winds that toppled trees onto roads, vehicles and homes.

Debra Campbell, 65, said she was sitting in the dark with a flashlight that night, unable to sleep as strong winds lashed her house in Crescent City, California. With a massive boom, a 150-foot (46-meter) tree came crashing down on her home and car.

“It was just so incredibly frightening," Campbell said. "Once I realized it wasn’t going to come through the ceiling where I was at, I was able to grab my car keys and my purse. ... And I open the front door and it’s just solid tree.”

She was able to stay with her boyfriend that night, but now, living on Social Security and with no savings, she worries about how she will to pay for repairs.

Officials warned of the risk of flash flooding, rockslides and debris flows, especially where hillsides were loosened by recent wildfires.

In the Northeast, which has been hit by drought, more than 2 inches (5 centimeters) of rain was expected by Saturday morning north of New York City, with snow mixed in at higher elevations.

Despite the mess, the precipitation was expected to help ease drought conditions in a state that has seen an exceptionally dry fall.

“It’s not going to be a drought buster, but it’s definitely going to help when all this melts,” said Bryan Greenblatt, a National Weather Service meteorologist in Binghamton, New York.

Heavy snow fell in northeastern Pennsylvania, including the Pocono Mountains, prompting a raft of school closures. Higher elevations reported up to 17 inches (43 centimeters), with lesser accumulations in valley cities like Scranton and Wilkes-Barre. More than 92,000 customers in 10 counties lost power, and the state transportation department imposed speed restrictions on some highways.

Gary Wilson, 37, of Dunmore, Pennsylvania, was heading to his casino job in the Poconos in the morning when he got stuck in standstill traffic, a consequence of accidents and downed wires. At one point he worried about getting stranded because it was snowing hard and plows couldn’t get through. Traffic began moving again only after about five hours, and Wilson never did make it to work.

“I’m done for the day,” Wilson said. “Five and a half hours in the car, turn around and get home safe.”

Rodriguez reported from San Francisco. Associated Press writers Hallie Golden in Seattle, Janie Har in San Francisco, Manuel Valdes in Issaquah, Washington, Sarah Brumfield in Washington, D.C., Michael Rubinkam in Pennsylvania and John Raby in West Virginia contributed.