The Senate Intelligence Committee is moving forward with a confirmation hearing this Wednesday for Jay Clayton, President Trump's nominee to lead the intelligence community, even as a separate standoff over warrantless surveillance authority shows no signs of breaking.

Clayton, currently the U.S. attorney for the Southern District of New York and a former SEC chair, would replace Tulsi Gabbard as director of national intelligence. His nomination arrives at a moment when Congress has failed to renew Section 702 of the Foreign Intelligence Surveillance Act, which expired on June 12 after lawmakers could not agree on even a short-term extension.

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Democrats Link FISA Extension to Pulte's Removal

Senate Democrats have made clear they will not support any FISA renewal unless Trump removes Bill Pulte, the acting DNI appointed after Gabbard's departure. Pulte, who also leads the Federal Housing Finance Agency, has become a flashpoint for Democratic opposition.

“He has got to go. Period,” Senate Minority Leader Chuck Schumer said last week. “I support getting rid of Pulte. That's unequivocal.”

Senator Mark Warner, the top Democrat on the Intelligence Committee, argued that the only viable path forward is for Gabbard or her Senate-confirmed deputy, Aaron Lukas, to serve as acting DNI during the transition. “There needs to be a clear guarantee that Mr. Pulte will not serve as acting director,” Warner said.

Trump has shown no willingness to budge, describing Pulte's role as temporary while the administration awaits Clayton's confirmation. “He's only there for a little while,” Trump said. “He's running it for a short while, while we get a very talented person, Jay Clayton.”

Clayton Draws Bipartisan Praise but Questions Remain

Clayton's nomination has garnered rare bipartisan goodwill. Representative Jim Himes of Connecticut, the top Democrat on the House Intelligence Committee, called Clayton a “terrific” choice, writing on X that his “intelligence, temperament and deep commitment to public service” make him well-suited for the role. “Had this nomination been made a week ago, lots of pain might have been avoided,” Himes added.

Senator Richard Blumenthal, also a Connecticut Democrat, described Clayton as “a vast improvement” but questioned whether his background in securities law and federal prosecution translates to the intelligence world. “We'll see whether that is sufficient to justify moving forward on his nomination,” Blumenthal said.

Republican Senator Thom Tillis of North Carolina, a frequent critic of Pulte, called Clayton “an OUTSTANDING choice,” praising his “proven leadership” and “sound judgment.” Tillis said he looks forward to working with colleagues to ensure a swift confirmation.

FISA Extension Remains Blocked in Both Chambers

Efforts to revive Section 702 have stalled in both the House and Senate. Speaker Mike Johnson brought a short-term extension to the House floor last week under suspension of the rules, requiring a two-thirds majority, but most Democrats voted against it. House Minority Leader Hakeem Jeffries dismissed the move as a “show vote,” saying Republicans “knew the bill would go down in flames.”

Senate Democrats also blocked a short-term FISA extension last week. With the House now out of session, any bill that clears the Senate would likely have to wait until next week for final passage.

The impasse has left intelligence officials warning that the lapse in surveillance authority undermines national security, particularly as the administration juggles other foreign policy challenges, including ongoing strikes and collapsed talks with Iran.

Senate GOP Eyes Reconciliation 3.0

Meanwhile, Senate Republicans are beginning to lay groundwork for a third budget reconciliation bill—a heavy lift in a midterm election year. Trump has urged the party to pass a $350 billion package that includes the Safeguard American Voter Eligibility Act, which would require proof of citizenship to register to vote in federal elections and an ID to cast a ballot.

Majority Leader John Thune told reporters earlier this week that discussions are in early stages, but the push signals that Republicans are looking to move beyond the FISA fight and deliver on campaign promises before the November elections.