Your guide to the latest Hill developments, news narratives, and media headlines provided by the the Hogan Lovells Government Relations and Public Affairs team.

In Washington:

• COVID-19 cases may not peak in the D.C. region until mid- or even late May. The Senate is back in session, but it may be a while before the House returns as leaders have not reached a bipartisan agreement on how to safely function. House Minority Leader Kevin McCarthy (R-CA) mentioned several ideas on how to reopen, including bringing back a few committees first and allowing them to make progress on a few bills before convening the rest of the House for a vote. He also suggests hybrid committee hearings that have some lawmakers participating from home, reworking individual offices, erecting plexiglass barriers at security checkpoints, and continuing to hold votes open for long periods of time.
• Over the weekend, in a joint bipartisan statement, House Speaker Nancy Pelosi (D-CA) and Senate Majority Leader Mitch McConnell (R-KY) turned down the White House’s offer of rapid COVID-19 testing kits, writing “Congress wants to keep directing resources to the front-line facilities where they can do the most good the most quickly.” President Trump tweeted saying “No reason to turn it down, except politics.”
• During a virtual town hall on Sunday President Trump said he was “very confident” there would be a vaccine by the end of the year. A much quicker timeline than public health experts expect. Trump also predicted the U.S. would lose up to 100,000 people to the coronavirus, a significant increase from a few weeks ago when he estimated 60,000 could die. As far as the next stimulus package, he said the administration is not “doing anything” legislatively without a payroll tax cut. Further complicating negotiations as Senate Republicans have urged to limit liability for businesses in the post-coronavirus world. The list of other “must-dos” is increasingly small, with priority being given to bills to fund the federal government and renew Pentagon programs.
• The House subcommittee investigating the coronavirus outbreak and response requested that Dr. Anthony Fauci testify this week. However, the White House believes it would be counterproductive to have individuals involved in those efforts appearing at congressional hearings at the same time.
• The Small Business Administration released updated data for the second round of funding for its Paycheck Protection Program (PPP), which offers loans of as much as $10 million that can become grants. The program has been criticized for giving loans to large companies and favoring certain states, a new analysis suggests smaller firms are getting loans, and the disparity is decreasing.
• The U.S. Department of Agriculture Department announced Monday that it will spend $470 million to buy more surplus food amid the widespread disruption to the food supply as a result of coronavirus. The purchases will target fruits and vegetables, meat, dairy and seafood — which have seen their markets turned upside down with the closure of restaurants and businesses. A large pot of the money will be used to buy surplus dairy ($120 million), followed by potatoes and turkey products ($50 million each) and strawberries ($35 million).
• According to Bloomberg, Treasury Secretary Steven Mnuchin is likely to boost the government’s quarterly round of debt auctions to unprecedented levels this week to finance a deficit that’s set to surpass estimates of $4 trillion this year.
• The National Association of Manufacturers sent a letter to House and Senate leaders requesting liability protections to help businesses cope with the coronavirus outbreak. A new coalition of restaurants, theaters, the retail and travel industry, as well as the financial services sector sent a letter asking for a recovery fund.

In the News:

• U.S. stocks fell Monday as U.S.-China tensions escalated over blame for the possible origin of the coronavirus pandemic. The Dow Jones Industrial Average fell 345 points or 1.4 percent, the S&P 500 dropped 1.1 percent and the Nasdaq Composite lost 0.6 percent.
• According to a four-page Department of Homeland Security intelligence report dated May 1, Chinese leaders intentionally concealed the severity of the pandemic from the world in early January, reports the Associated Press.
• General Electric’s aviation unit plans to cut around 13,000 jobs this year as the coronavirus pandemic threatens to decrease demand for new aircraft.
• On Monday, J.Crew filed for bankruptcy becoming the first major retail casualty of the pandemic. Sears, JCPenney, Neiman Marcus, and J.Crew were some of the most distressed companies prior to the outbreak, according to analysts.
• At the end of April at least 3.8 million homeowners sought mortgage relief. That number is likely to increase drastically this week as mortgage and rental payments come due for millions of Americans who have lost their jobs
• Carnival Cruise Line announced it will resume service beginning Aug. 1, after the no-sail order from the Centers for Disease Control and Prevention (CDC) expires. The company says it plans to continue to engage with officials on additional protocols and procedures to protect the health of its guests and crew members.
• Roche Holding AG, a Swiss company, was granted emergency approval for a coronavirus antibody test and promised a fast scale-up that U.S. policymakers hope will assist in reopening the economy.
• U.K. Foreign Secretary Dominic Raab said in a tweet that the U.K. and the U.S. will start work this week on a free trade agreement that will benefit both countries in the global downturn.
• For the first time ever, the U.S. Supreme Court heard oral arguments by teleconference with the live audio streamed on news websites on C-SPAN. The nine justices engaged in arguments remotely, using a dial-in format, with minimal technological glitches. The case involved the hotel reservation website Booking.com.
• Tyson Foods says it expects additional meat plant closures this year. The company also said it will continue producing less meat than usual, as workers refrain from coming to work during the coronavirus pandemic.
• The state of Ohio is attempting to have employers report their workers that don’t return to work so that their unemployment benefits eligibility can be reassessed. State officials said in an email to employers that “Ohio law prohibits individuals from receiving unemployment benefits if they refuse to accept offers of suitable work, or quit work, without good cause.”