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Environment Update

January 28, 2002
Volume III, Number 1

 

President Bush Signs Brownfield Legislation
January 11, 2002, President Bush signed H.R. 2869 into law at an event in West Conshohocken, Penn. Congress agreed to sustain Davis-Bacon wages for federally-funded brownfields construction projects and struck further agreement giving small business and qualifying landowners relief from Superfund liability. H.R. 2869 (Representative Paul Gillmor, R-Ohio) authorizes $1.25 billion (over five years) for state assessment and cleanup activities including $250 million for enhancement of state cleanup programs. While not as strong as NCSL would have preferred, a provision in H.R. 2869 restricts the Environmental Protection Agency (EPA) intervention in brownfields projects earning final state approval. NCSL thanks those state legislators who communicated their support for various brownfields bills that contributed to H.R. 2869's final provisions. In attendance at the signing were Pennsylvania Senate Majority Leader David Brightbill and Pennsylvania Representatives Tom Armstrong (NCSL Executive Committee Member) and Carole Rubley (NCSL Environment Committee Vice-Chair).

EPA Announces Intent to Delay Compliance Deadline for the Ozone-Transport Rule
In a January 15, 2002 letter sent to Congress, EPA Administrator Christine Todd Whitman stated that EPA intends to push back the compliance deadline for the ozone-transport rule under Section 126 of the Clean Air Act from May 1, 2003 to May 31, 2004 in order to coincide with the NOx State Implementation Plan (SIP) Call. Section 126 empowers states to petition the federal agency to control transboundary pollution from upwind sources. A federal court suspended the Section 126 rule compliance deadline for electric power plants on August 24, 2001 and sent the rule back to EPA to resolve some technical issues. EPA has determined that the time necessary to resolve those technical issues will extend the rule's compliance date into 2004. Whitman indicated that since the Section 126 program has always served as a "backstop" to reduce emissions in states that did not comply with the NOx SIP Call, it would simplify matters for states, regulated entities and the public to harmonize the Section 126 rule with the NOx SIP Call. Whitman went on to explain that forcing non-electric power plants to comply with the original May 1, 2003 deadline would impose excessive costs (since they would not be able to trade emissions with electric power plants until one year later) and would account for only five percent of the emissions reductions that are expected to be achieved under the Section 126 program.

Update on Multi-Pollutants in February
On February 12, 2002, the Senate Environment and Public Works Committee is scheduled to mark-up Senator Jeffords' (I-Vt.) legislation (S. 556) to reduce emissions from electric power plants. The Jeffords bill is popular with environmentalist but has been criticized by the utility industry for its lack of flexibility. The EPA plans to release its multi-pollutant legislative plan in mid-February. The administration's national energy policy released in May 2001 instructed the EPA to propose a multi-pollutant strategy that would reduce power plant sulfur dioxide, nitrogen oxide and mercury emissions. The EPA has stated that their proposal will have tough standards similar to S. 556, but the EPA plan will differ from the Senate bill by omitting carbon dioxide regulations and will include more industry regulatory relief and flexibility. The EPA plan will include emissions that will be phased-in and will have market-based incentives. The plan will also streamline or reduce all power plant air quality programs including New Source Review (NSR), regional haze and Title IV of the Clean Air Act. The EPA explained the new plan will reduce industry cost by 25 to 30 percent while reducing sulfur dioxide, nitrogen oxide and mercury emissions by 70 to 80 percent over the next 20 years.

 Administration Pressures Senate for Debate on Energy Package
On January 17, 2002, President Bush urged the Senate Democrats to quickly schedule floor action on energy legislation stressing that an energy package would promote national security and create jobs. Senate Democrats are expected to back Senate Energy and Natural Resources Committee Chairman, Senator Jeff Bingaman's (D-N.M.) energy bill, Energy Policy Act (S. 1766). The bill offers a compromise to drilling in the Arctic National Wildlife Refuge (ANWR) by offering to construct a natural gas pipeline from the North Slope of Alaska. The proposal would also raise air conditioner efficiency standards and require that 10 percent of electricity generation come from renewable sources by 2020. It will be pitted against the Senate Republican version of the energy package, the Homeland Security Act S. 388-389. The Republican package would increase domestic oil supplies by opening ANWR and reforming federal energy programs. In addition, Senator John Kerry (D-Mass.) plans to introduce an energy tax package within the next two weeks that will promote alternative and renewable fuels and propose higher fuel efficiency standards. Senate Majority Leader Tom Daschle (D- S.D.) plans to schedule floor action on the energy bills in early February 2002.

Proposed Rule for Light Trucks Fuel Economy Standard Will Remain Unchanged
On January 18, 2002, the Department of Transportation's National Highway Traffic Safety Administration (NHTSA) issued a notice of proposed rulemaking for model year 2004 Corporate Average Fuel Economy (CAFE) standards. The standard would remain unchanged from the 1996 set standard of 20.7 miles per gallon for light duty trucks.
A FY 1996 Congress-issued ban prohibiting NHTSA from considering changes in the CAFE standards for light duty trucks was lifted in December 2001. NHTSA will allow public and interested parties to submit comment on the proposed standard before the final rule is issued April 1, 2002.

Dept. of Energy Will Recommend Yucca Mountain as Nuclear Waste Repository
In a January 10, 2002 letter, Energy Secretary Spencer Abraham notified Nevada Governor Kenny Guinn (R) and the Nevada Legislature that he will recommend within 30 days to President Bush the approval of the Yucca Mountain site for the development of a nuclear waste repository. Secretary Abraham explained, "the science behind this project is sound and that the site is technically suitable for this purpose." The letter went on to explain that the repository is important to national security, energy security and is necessary for the protection of the environment. The Yucca Mountain repository would hold 77,000 tons of spent fuel which is currently stored at over 131 sites in 39 states. Governor Guinn has pledged to veto the project, but Congress can override the veto by a majority vote, according to the Nuclear Waste Policy Act.

Senate Holds First Hearing on TEA-21 Reauthorization
On January 24, 2002, the Senate Environment and Public Works Committee held a hearing on the reauthorization of the Transportation Equity Act for the 21st Century (TEA-21). The hearing focused on "lessons learned from TEA-21" from the federal, state and local level perspective. Transportation Secretary Mineta testified at the hearing explaining the Department of Transportation (DOT) intends to work closely with Congress, state and local officials and stakeholders in shaping the surface transportation reauthorization legislation. Committee members identified what their priorities were with the reauthorization of TEA-21. Senator Bob Smith (R-N.H.) stated, "First, is the area of environmental streamlining." . . . "We need to know early in the process if legitimate environmental concerns will preclude a transportation project from going forward. But, equally important, if a project is consistent with environmental protection, then it must not be subject to excessive delays." Both the House and Senate will be holding hearings on the reauthorization of TEA-21 over the next year. NCSL will continue to provide updated information on the progress of the hearings and legislation.

NCSL Contacts:

Molly Stauffer
Committee Director
(202) 624-3584

Laurie Holmes
Staff Assistant
(202)624-8695

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