Burundi teenage robotics team goes missing after U.S. contest: police

Members of a teenage robotics team from the African nation of Burundi, who were reported missing after taking part in an international competition, are seen in pictures released by the Metropolitan Police Department in Washington, D.C., U.S. July 20, 2017. Metropolitan Police Department/Handout via REUTERS

By Ian Simpson

WASHINGTON (Reuters) – Six teenagers from a Burundi robotics team have been reported missing after an international competition in Washington and two of them were seen entering Canada, police said on Thursday.

The four males and two females were last seen late on Tuesday afternoon when the robotics contest ended at the FIRST Global Challenge, police said. Authorities issued missing persons photographs of the six on Wednesday.

Two of the Burundians – Audrey Mwamikazi, 17, and 16-year-old Don Ingabire – were spotted crossing the United States border into Canada, District of Columbia police spokeswoman Margarita Mikhaylova said.

“We don’t have any indication of foul play and we’re continuing to investigate this case,” she said. Police said they did not have information about how they were spotted or the nature of the border crossing.

Canada’s Border Services Agency said it could neither confirm nor deny that the pair entered Canada.

Teams of teenage students from more than 150 countries took part in the competition, which was designed to encourage careers in math and technology. An all-girl squad from Afghanistan drew worldwide media attention when President Donald Trump intervened after they were denied U.S. visas.

Burundi has long been plagued by civil war and other violence. Fighting has killed at least 700 people and forced 400,000 from their homes since April 2015 when President Pierre Nkurunziza said he would run for a third term in office.

The Burundi Embassy in Washington said by email that it did not know about the robotics contest or if a Burundian team was attending.

Competition organizer FIRST Global said in a statement that its president, Joe Sestak, made the first call to police about the missing competitors. The non-profit group learned on Tuesday night that the Burundi team’s adult mentor had been unable to find them, it said.

The keys to the students’ rooms at Trinity Washington University were left in the mentor’s bag and their clothes had been taken from the rooms, the organization said.

“The security of the students is of paramount importance to FIRST Global,” the statement said. It added that FIRST Global had provided safe transport to university dormitories and students were always supposed to be under the supervision of their mentor.

The other missing Burundians were named as Nice Munezero, 17; Kevin Sabumukiza, 17; Richard Irakoze, 18; and Aristide Irambona, 18. Police said the students had one-year visas.

(Reporting by Ian Simpson in Washington; Additional reporting by Anna Mehler Paperny in Toronto; Editing by Daniel Wallis and Grant McCool)

U.S. general says allies worry Russian war game may be ‘Trojan horse’

U.S Army Europe Commanding General Ben Hodges speaks during the inauguration ceremony of bilateral military training between U.S. and Polish troops in Zagan, Poland, January 30, 2017. REUTERS/Kacper Pempel

By Andrea Shalal

BERLIN (Reuters) – U.S. allies in eastern Europe and Ukraine are worried that Russia’s planned war games in September could be a “Trojan horse” aimed at leaving behind military equipment brought into Belarus, the U.S. Army’s top general in Europe said on Thursday.

Russia has sought to reassure NATO that the military exercises will respect international limits on size, but NATO and U.S. official remain wary about their scale and scope.

U.S. Army Lieutenant General Ben Hodges, who heads U.S. Army forces in Europe, told Reuters in an interview that allied officials would keep a close eye on military equipment brought in to Belarus for the Zapad 2017 exercise, and whether it was removed later.

“People are worried, this is a Trojan horse. They say, ‘We’re just doing an exercise,’ and then all of a sudden they’ve moved all these people and capabilities somewhere,” he said.

Hodges said he had no indications that Russia had any such plans, but said greater openness by Moscow about the extent of its war games would help reassure countries in eastern Europe.

A senior Russian diplomat strongly rejected allegations that Moscow could leave military equipment in Belarus.

“This artificial buffoonery over the routine Zapad-2017 exercises is aimed at justifying the sharp intensification of the NATO bloc (activities) along the perimeter of Russian territory,” Russian Deputy Foreign Minister Grigory Karasin told the Interfax news agency on Friday.

NATO allies are nervous because previous large-scale Russian exercises employed special forces training, longer-range missiles and unmanned aerial vehicles.

Such tactics were later used in Russia’s annexation of Crimea in 2014, its support for separatists in eastern Ukraine and in its intervention in Syria, NATO diplomats say.

Hodges said the United States and its allies had been very open about a number of military exercises taking place across eastern Europe this summer involving up to 40,000 troops, but it remained unclear if Moscow would adhere to a Cold War-era treaty known as the Vienna document, which requires observers for large-scale exercises involving more than 13,000 troops.

Some NATO allies believe the Russian exercise could number more than 100,000 troops and involve nuclear weapons training, the biggest such exercise since 2013.

Russia has said it would invite observers if the exercise exceeded 13,000 forces.

Hodges said NATO would maintain normal rotations during the Russian war game, while carrying out previously scheduled exercises in Sweden, Poland and Ukraine.

The only additional action planned during that period was a six-week deployment of three companies of 120 paratroopers each to Estonia, Latvia and Lithuania for “low-level” exercises, Hodges said.

“We want to avoid anything that looks like a provocation. This is not going to be the ‘Sharks’ and the ‘Jets’ out on the streets,” Hodges said in a reference to the gang fights shown in the 1961 film “West Side Story” set in New York City.

(Reporting by Andrea Shalal; Additional reporting by Dmitry Solovyov in Moscow; Editing by Hugh Lawson)

U.S. Justice Department shuts down dark web bazaar AlphaBay

FILE PHOTO: The Department of Justice (DOJ) logo is pictured on a wall after a news conference in New York December 5, 2013. REUTERS/Carlo Allegri

By Dustin Volz

WASHINGTON (Reuters) – The U.S. Justice Department said on Thursday it had shut down the dark web marketplace AlphaBay, working with international partners to knock offline the site accused of allowing a global trade in drugs, firearms, computer hacking tools and other illicit goods.

Authorities said the law enforcement action was one of the largest ever taken against criminals on the dark web, part of the internet that is accessible only through certain software and typically used anonymously.

AlphaBay allowed users to sell and buy opioids, including fentanyl and heroin, contributing to a rising drug epidemic in the United States, Attorney General Jeff Sessions said at a news briefing in Washington, D.C. to announce the action.

“The dark net is not a place to hide,” Sessions said. “This is likely one of the most important criminal investigations of the year – taking down the largest dark net marketplace in history.

The move struck a blow to an international drug trade that has increasingly moved online in recent years, though some experts thought its impact would be limited.

“The takedown of AlphaBay is significant, but it’s a bit of a whac-a-mole,” said Frank Cilluffo, director of the Center for Cyber and Homeland Security at George Washington University.

Criminals, he said, “are going to flock to other places.”

AlphaBay mysteriously went offline earlier this month, prompting speculation among its users that authorities had seized the site. It was widely considered the biggest online black market for drugs, estimated to host daily transactions totaling hundreds of thousands of dollars.

The Justice Department said law enforcement partners in the Netherlands had taken down Hansa Market, another dark web marketplace.

AlphaBay and Hansa Market were two of the top three criminal marketplaces on the dark web, Europol chief Rob Wainwright said at the press conference.

The international exercise to seize AlphaBay’s servers also involved authorities in Thailand, Lithuania, Canada, Britain and France.

The operation included the arrest on July 5 of suspected AlphaBay founder Alexandre Cazes, a Canadian citizen arrested on behalf of the United States in Thailand.

Cazes was logged on to AlphaBay at the time of his arrest, allowing authorities to find his passwords and other information about the site’s servers, according to legal documents.

Cazes, 25, apparently took his life a week later while in Thai custody, the Justice Department said. He faced charges relating to narcotics distribution, identity theft, money laundering and related crimes.

FBI Acting Director Andrew McCabe said AlphaBay was ten times as large as Silk Road, a similar dark website the agency shut down in 2013.

About a year later, AlphaBay was launched, growing quickly in size and allowing users to browse goods via the anonymity service Tor and to purchase them with bitcoin currency.

(Additional reporting by Doina Chiacu and Julia Edwards Ainsley; Editing by Bernadette Baum)

Evacuation order may be lifted Friday as California wildfire slows

A firefighting truck is seen parked along a firebreak beneath a burning ridge during the Detwiler fire in Mariposa, California. REUTERS/Stephen Lam

(Reuters) – Some residents of a historic gold-mining town in central California may be able to go home on Friday as a wildfire nearby slowed its progress after destroying dozens of houses over the past several days, the local sheriff said.

About 2,000 residents of the town of Mariposa in the foothills of the Sierra Nevada mountains fled their homes on Tuesday as the so-called Detwiler Fire approached. It eventually destroyed 99 structures, including 50 houses, in the area, according to local and state officials.

“We are in very detailed conversations about repopulation,” Mariposa County Sheriff Doug Binnewies said during a community meeting on the fire on Thursday. He said authorities hoped people from Mariposa could go home on Friday.

At total of 5,000 residents in the small communities on the edge of Yosemite National Park have been evacuated since the fire began on Sunday. The community of Coulterville was evacuated on Wednesday.

The fire, which has burned 70,596 acres (28,570 hectares), is just 10 percent contained, the California Department of Forestry and Fire Protection said on its website.

After expanded by more than 22,000 acres overnight, the fire’s progress slowed on Thursday, taking only 500 acres during the day, Cal Fire said.

“Except for (Wednesday), this fire doubled in size every day,” Tim Chavez, a state fire official said during the community meeting. “That is really unusual for it to progress like that.”

More than 3,700 firefighters, working in temperatures of 90 to 96 degrees Fahrenheit (32 to 36 Celsius), were battling the fire, Cal Fire said.

Chavez blamed the fire’s growth on spot fires, drought and grassy vegetation. The area’s rough topography made fighting the fire harder, he said.

“I am not try to make excuses … it’s been a tough fire for us,” he said.

The cause of the fire is under investigation.

Governor Jerry Brown declared a state of emergency for Mariposa County on Tuesday.

Meanwhile, in Montana, officials said that a 19-year-old fireman was killed on Wednesday when part of a tree fell on him while he was fighting the so-called Florence Fire north of Seeley Lake.

A total of 44 large fires across 11 western states were burning on Thursday, according to the National Interagency Fire Center’s website.

(Reporting by Brendan O’Brien in Milwaukee, editing by Larry King)

White House deregulation push clears out hundreds of proposed rules

U.S. President Donald trump speaks during a lunch meeting with Senate Republicans to discuss healthcare at the White House in Washington, U.S., July 19, 2017. REUTERS/Kevin Lamarque

By David Shepardson and Valerie Volcovici

WASHINGTON (Reuters) – The White House said Thursday it had withdrawn or removed from active consideration more than 800 proposed regulations that were never finalized during the Obama administration as it works to shrink the federal government’s regulatory footprint.

In a report, the Trump administration said it had withdrawn 469 planned regulatory actions that had been part of the Obama administration’s regulatory agenda published last fall. Officials also reconsidered 391 active regulatory proceedings actions by reclassifying them as long-term or inactive “allowing for further careful review,” the White House said.

The administration’s move to eliminate regulations makes good on a much-repeated Trump campaign promise to promote business-friendly policies. Investors have also anticipated the action, helping to push share prices higher on hopes fewer regulations will unfetter business growth and lead to higher corporate profits.

The Trump administration has identified nearly 300 regulations related to energy production and environmental protection it plans to rescind, review or delay across three agencies – the Environmental Protection Agency and the Interior and Energy Departments.

Trump had already identified several of the regulations as targets in his March executive orders on energy, but they will now undergo a formal rulemaking process to be rescinded or revised.

In February, President Donald Trump signed an executive order to place “regulatory reform” task forces and officers within federal agencies in what may be the most far reaching effort to pare back U.S. red tape in recent decades.

Trump has vowed a sweeping cut in U.S. regulations and previously ordered agencies to repeal two rules for every new one adopted.

The Interior Department is reviewing an Obama-era rule that directed companies to reduce venting and flaring and methane leaks from oil and gas production on federal and tribal land, according to a White House semi-annual government wide regulation report.

Representatives of the oil and gas industry cheered.

“We just got through eight years of a regulatory onslaught, aimed at curtailing oil and gas production. So we are very supportive of the administration’s efforts to roll back regulation,” said Kathleen Sgamma, head of the Western Energy Alliance representing oil and gas drillers in Western states.

She said membership was particularly pleased about the effort to repeal the methane rule, which the industry estimated would have cost about $50,000 per well. Methane is one of the gases scientists say is driving global climate change.

The U.S. Transportation Department said it would review a number of Obama administration proposals that were close to being finalized including making automobile event data recorders mandatory, requiring sounds for electric cars and updating some crash test dummy standards.

The Energy Department listed dozens of energy efficiency standards for commercial and household appliances that it would review.

Much of the effort is aimed at rolling back or blocking regulations proposed during the Obama administration.

The White House said the regulatory agenda “represents the beginning of fundamental regulatory reform and a reorientation toward reducing unnecessary regulatory burden on the American people.”

The plan drew condemnation.

“Six months into the administration, the only accomplishments the president has had is to rollback, delay, and rescind science-based safeguards,” said Yogin Kothari of the Union of Concerned Scientists. “Today’s release of the regulatory agenda confirms just as much. It continues to perpetuate a false narrative that regulations only have costs and no benefits.”

The regulatory agenda calls for the U.S. Labor Department to rescind an Obama-era rule that prohibits restaurants and bars from forcing servers to share their tips with untipped employees such as cooks and dishwashers. That 2011 tip-pooling regulation is also the subject of a legal challenge by the National Restaurant Association, which has asked the U.S. Supreme Court to review the rule.

(Reporting by David Shepardson, Valerie Volcovici and Robert Iafolla in Washington; Editing by Chris Sanders and Nick Zieminski)

U.S. Navy chief asks Chinese counterpart for help on North Korea

Chief of U.S. Naval Operations Admiral John Richardson poses after speaking to reporters on the pier of the USS Coronado, a littoral combat ship, at the Changi Naval Base in Singapore, May 16, 2017. REUTERS/Himani Sarkar

WASHINGTON (Reuters) – The U.S. Navy’s top officer asked his Chinese counterpart to exert influence on North Korea to help rein in its advancing nuclear and missile programs, a U.S. official said on Thursday.

Chief of U.S. Naval Operations Admiral John Richardson spoke with his Chinese counterpart Vice Admiral Shen Jinlong via a video teleconference.

“Richardson voiced his concern about the nuclear and missile programs and emphasized that China should use its unique influence over North Korea,” said the official, speaking on condition of anonymity.

The call lasted for an hour and the two talked about the need to “work together to address the provocative and unacceptable military behavior by North Korea,” the U.S. Navy said in a statement.

Last month U.S. President Donald Trump said Chinese efforts to persuade North Korea had failed.

Trump has hoped for greater help from China to exert influence over North Korea, leaning heavily on Chinese President Xi Jinping. The two leaders had a high-profile summit in Florida in April and Trump has frequently praised Xi while resisting criticism of Chinese trade practices.

North Korea recently said it conducted its first test of an intercontinental ballistic missile, and that it had mastered the technology to mount a nuclear warhead on the missile.

The United States has remained technically at war with North Korea since the 1950-53 Korean War ended in an armistice rather than a peace treaty. The past six decades have been punctuated by periodic rises in antagonism as well as rhetoric that has stopped short of a resumption of active hostilities.

Tensions rose sharply after North Korea conducted two nuclear weapons tests last year and carried out a steady stream of ballistic missile tests.

(Reporting by Idrees Ali; Editing by Jeffrey Benkoe)

U.S. ends controversial laptop ban on Middle East carriers

FILE PHOTO: Baggage and a laptop are scanned using the Transport Security Administration's new Automated Screening Lane technology at Terminal 4 of JFK airport in New York City, U.S., May 17, 2017. REUTERS/Joe Penney/File Photo

By Alexander Cornwell

DUBAI (Reuters) – The United States has ended a four month ban on passengers carrying laptops onboard U.S. bound flights from certain airports in the Middle East and North Africa, bringing to an end one of the controversial travel restrictions imposed by President Donald Trump’s administration.

Riyadh’s King Khalid International Airport was the last of 10 airports to be exempted from the ban, the U.S. Department of Homeland Security (DHS) confirmed in a tweet late on Wednesday local time.

Middle East carriers have blamed Trump’s travel restrictions, which include banning citizens of some Muslim majority countries from visiting the United States, for a downturn in demand on U.S routes.

In March, the United States banned large electronics in cabins on flights from 10 airports in the Middle East and North Africa over concerns that explosives could be concealed in the devices taken onboard aircraft.

The ban has been lifted on the nine airlines affected — Emirates [EMIRA.UL], Etihad Airways, Qatar Airways, Turkish Airlines <THYAO.IS>, Saudi Arabian Airlines, Royal Jordanian <RJAL.AM>, Kuwait Airways [KA.UL], EgyptAir [EGY.UL] and Royal Air Maroc [RAM.UL] — which are the only carriers to fly direct to the United States from the region.

A ban on citizens of six Muslim-majority countries — Iran, Libya, Somalia, Sudan, Syria, and Yemen, — remains in place though has been limited after several U.S. court hearings challenged the restrictions.

“The aviation industry has been trying to come together with a united message to governments and stakeholders about regulation and supporting the industry,” said Will Horton, senior analyst at Australian aviation consultancy CAPA.

“That was dealt a first blow from the travel ban and then a second from the large electronics ban.”

Leading industry group the International Air Transport Association (IATA) criticized the laptop ban as ineffective, as security experts argued that militants could travel to the United States via Europe or elsewhere where the restrictions didn’t apply.

The restrictions were imposed as major U.S. carriers American Airlines Group <AAL.O>, Delta Air Lines <DAL.N> and United Airlines <UAL.N> resumed their campaign against the Gulf carriers Emirates, Etihad and Qatar Airways by pressuring the new U.S. administration to renegotiate its open skies agreements with the United Arab Emirates and Qatar.

However, U.S. and Middle East officials said the campaign and the travel restrictions were not related.

U.S. officials lifted the ban after visiting the 10 airports in Egypt, Morocco, Jordan, the United Arab Emirates, Saudi Arabia, Kuwait, Qatar and Turkey over the past three weeks to confirm new security measures announced last month were being implemented.

On Thursday, the U.S. issued a revised directive to airlines around the world in response to requests that it clarify aviation security measures scheduled to start taking effect this week.

The new requirements include enhanced passenger screening at foreign airports, increased security protocols around aircraft and in passenger areas and expanded canine screening. They affect 325,000 airline passengers on about 2,000 commercial flights arriving daily in the United States, on 180 airlines from 280 airports in 105 countries.

Airlines that fail to meet the new security requirements could face in-cabin electronics restrictions.

The United Kingdom continues to enforce a similar in-cabin ban on electronics ban on flights from some Middle Eastern airports. Those restrictions apply to flights from Turkey, Lebanon, Jordan, Egypt, Tunisia and Saudi Arabia.

(Reporting by Alexander Cornwell; Editing by Michael Perry)

Russia, U.S. duel at U.N. over whether North Korea fired long-range missile

The intercontinental ballistic missile Hwasong-14 is seen during its test in this undated photo released by North Korea's Korean Central News Agency (KCNA) in Pyongyang, July 5 2017. KCNA/via REUTERS

By Michelle Nichols

UNITED NATIONS (Reuters) – The United States and Russia are waging rival campaigns at the United Nations Security Council over the type of ballistic missile fired by North Korea earlier this month as the U.S. pushes to impose stronger sanctions on Pyongyang over the test.

U.S. Ambassador Nikki Haley held an intelligence briefing for her council colleagues on Monday to argue that Pyongyang fired an intercontinental ballistic missile (ICBM), diplomats said, which was attended by Russia and North Korean ally China.

U.N. diplomats said Russia had suggested that Russian and U.S. military experts exchange information on the launch.

The U.S. briefing came after Russia sent a brief letter and diagram on July 8 to the 15-member Security Council, seen by Reuters, asserting that its radars determined that the missile launched by Pyongyang on July 4 was medium-range.

Russia’s contention that North Korea did not fire an ICBM hinders Washington’s push for the Security Council to impose stronger sanctions on North Korea. The United States, Russia, China, Britain and France are veto-wielding council members.

Typically the council has condemned medium-range ballistic missiles launches by North Korea with a statement. Diplomats say China and Russia only view a long-range missile test or nuclear weapon test as a trigger for further possible U.N. sanctions.

North Korean leader Kim Jong Un has described the missile launch as an ICBM test, which completes his country’s strategic weapons capability that includes atomic and hydrogen bombs, the state KCNA news agency said.

North Korea has been under U.N. sanctions since 2006 over its ballistic missile and nuclear programs and the Security Council had ratcheted up the measures in response to five nuclear weapons tests and two long-range missile launches.

The United States gave China a draft resolution two weeks ago to impose stronger sanctions on North Korea over the July 4 missile launch. Haley had been aiming for a vote within weeks, but a senior U.N. diplomat, speaking on condition of anonymity, described the U.S. negotiations with China as “slow-going.”

Traditionally, the United States and China have negotiated sanctions on North Korea before formally involving other council members. Diplomats said Washington informally keeps Britain and France in the loop, while China was likely talking to Russia.

Haley said on July 5 that some options to strengthen U.N. sanctions were to restrict the flow of oil to North Korea’s military and weapons programs, increasing air and maritime restrictions and imposing sanctions on senior officials.

Following a nuclear weapons test by North Korea in September, while U.S. President Barack Obama was still in office, it took the U.N. Security Council three months to agree to strengthened sanctions.

Shortly after North Korea’s July 4 missile launch Russia objected to a Security Council condemnation because a U.S.-drafted press statement labeled it an ICBM. Diplomats said negotiations on the statement stalled.

(Additional reporting by Peter Henderson; Editing by Michael Perry)

Trump chides Senate Republicans on healthcare, says it is time for action

Seated between Senators Dean Heller (R-NV), L, Tim Scott (R-SC), U.S. President Donald Trump meets with Senate Republicans to discuss healthcare at the White House in Washington, U.S., July 19, 2017. REUTERS/Kevin Lamarque

By Steve Holland and Amanda Becker

WASHINGTON (Reuters) – U.S. President Donald Trump scolded Senate Republicans on Wednesday for failing to reach agreement on repealing or overhauling Obamacare, demanding they keep their campaign promises and find a new healthcare approach.

Trump told 49 senators who came to a White House lunch that they should not leave Washington for a planned August recess until they can find common ground on healthcare.

“We’re close. We’re very close,” Trump said at the start of the lunch meeting, a day after the seven-year Republican quest to repeal and replace Democratic former President Barack Obama’s signature healthcare law seemed to collapse in the Senate.

“For seven years you promised the American people you would repeal Obamacare. People are hurting and, frankly, inaction is not an option,” Trump told the Republican lawmakers. “Any senator who votes against starting debate is really telling America that you’re fine with Obamacare.”

Senate Majority Leader Mitch McConnell has vowed to go ahead with a vote early next week on a repeal of the Affordable Care Act, popularly known as Obamacare, despite indications it will fail after the defections on Tuesday of at least three Republican senators.

Moderate Republican senators Susan Collins of Maine, Lisa Murkowski of Alaska and Shelley Moore Capito of West Virginia said they oppose McConnell’s plan for a repeal that would take effect in two years, giving Congress time to develop a replacement. All three attended the lunch.

With Democrats united in opposition to repeal, McConnell can only lose two votes from his 52-48 majority in the 100-seat Senate to pass healthcare legislation.

Trump, who had not been heavily involved in lobbying the Senate on the issue until this week, said he wanted more than a straight repeal vote and wanted the Senate to pass a replacement measure as well.

“We can repeal, but we should repeal and replace and we shouldn’t leave town until this is complete,” he said.

Capito, speaking to reporters ahead of the meeting on Wednesday, expressed some doubts the Senate vote on a repeal-only healthcare bill would actually occur next week. “It’s changing so quickly,” she said.

“I think we’re probably going to air what our differences are again. The president has taken a lot of time to try to call us all individually,” said Capito. “I don’t think anyone’s mind is going to get changed sitting right there, but it gives us a chance to frame it where we have our differences.”

‘HONOR OUR PROMISE’

Repealing and replacing Obamacare was a top campaign promise for Trump and Republicans in Congress, who say it is a costly intrusion into the healthcare system.

But the reality has been difficult for a party divided between moderates concerned the Senate bill would eliminate insurance for millions of low-income Americans and conservatives who want to see even deeper cuts to Obamacare, which boosted the number of Americans with health insurance through mandates on individuals and employers, and income-based subsidies.

“We have to honor our promise,” Republican Senator Ted Cruz told reporters. “For seven years Republicans have told the voters, if you elect us, we’ll repeal Obamacare. I think we will look like fools if we can’t deliver on that promise.”

Republican Senator Orrin Hatch said it was a tough issue for Trump, but “I suspect he could be a little bit more forceful and I hope he will be. I think he needs to.”

Democrats, clearly delighted with the turn of events, have welcomed the Republicans’ failure to replace Obamacare as an opportunity to work together. Republicans conceded their other options may be exhausted.

The No. 2 Senate Republican, John Cornyn, told reporters it was “unfortunate” that he expected bipartisan talks to begin.

“Democrats are strongly committed to Obamacare and are unwilling to admit structural problems, which create the problems we are having in the individual market today,” Cornyn said. “But we’ll do the best we can with the hand we’ve been dealt.”

If senators try to shore up Obamacare, an initial hurdle in coming weeks will be boosting faltering state insurance markets by ensuring that insurers keep receiving subsidies that help lower the cost of insurance for low-income individuals.

The Trump administration will continue making the subsidy payments through August while a related Republican lawsuit is pending. The uncertainty beyond that has rattled insurers.

Republican senators have acknowledged the need to address the unstable markets but resisted Democratic calls to fund the subsidies without accompanying reforms, calling it a “bailout” for insurance companies.

Funding for the Children’s Health Insurance Program, a part of the Medicaid government health insurance program for the poor and disabled, known as CHIP, expires on Sept. 30 and will require reauthorization.

Bills to address the subsidy payments and CHIP would likely require 60 votes for passage, acting as a barometer of how inclined Republicans and Democrats are to work together, industry lobbyists and experts said.

Trump suggested on Tuesday that Republicans should allow the insurance markets to fail before working with Democrats. But Republican Senator Lamar Alexander, the head of the Senate Committee on Health, Labor and Pensions, said he would begin holding hearings on the issue in the next few weeks.

(Writing by John Whitesides; Additional reporting by Susan Cornwell, Richard Cowan, Yasmeen Abutaleb and Susan Heavey; Editing by Jonathan Oatis and Nick Zieminski)

Iran’s Rouhani says new U.S. sanctions violate nuclear accord: state TV

FILE PHOTO: Iranian president Hassan Rouhani gestures during a news conference in Tehran, Iran, May 22, 2017. TIMA via REUTERS/Files

DUBAI (Reuters) – President Hassan Rouhani said on Wednesday new U.S. economic sanctions imposed against Iran contravened the country’s nuclear accord with world powers and he vowed that Tehran would “resist” them, state television reported.

The Trump administration slapped the new sanctions on Iran on Tuesday over its ballistic missile program and said Tehran’s “malign activities” in the Middle East undercut any “positive contributions” coming from the 2015 Iran nuclear accord.

“Some of the actions of the Americans are against the spirit and even the letter of the (nuclear accord). We shall resist these plans and actions,” Iranian state television quoted Rouhani as saying.

“One of the plots of the Americans is to act in such a way that would make Iran say that it is not following its commitments… I think the Americans will fail as we will always respect our international commitments,” Rouhani said.

Iran’s parliament agreed on Tuesday to discuss measures, including increased funding for the missile program, as retaliation for the new U.S. sanctions, state media reported.

The U.S. measures signal that the administration of President Donald Trump is seeking to put more pressure on Iran while keeping in place the agreement between Tehran and six world powers to curb its nuclear program in return for lifting international oil and financial sanctions.

The U.S. government said it was targeting 18 entities and people for supporting what it said was “illicit Iranian actors or transnational criminal activity.”

(Reporting by Dubai newsroom; Editing by Gareth Jones)