Below you will find some of the latest agriculture, energy, environment and transportation policy issues we are following in Washington, D.C. If you have questions about any of the stories below, please reach out to me, Ben Husch Husch (ben.husch@ncsl.org), or my colleague Kristen Hildreth (kristen.hildreth@ncsl.org), and we will point you in the right direction.
Top Stories
Senate Passes Bill to Permanently Move US to Daylight Time
The Senate passed the Sunshine Protection Act of 2021 last week by unanimous consent. If passed by the House and signed by the president, the bill would move forward by one hour what is currently considered standard time by the federal government, beginning in November 2023. It would allow those states that have chosen to move to year-round daylight time, either through legislation or voter approval, to make that change. States that currently remain on standard time year-round would be allowed to continue. However, because the bill also repeals the section of federal law that changes standard time to daylight time from March to November, states would have to operate on either standard time or daylight time year-round. The bill’s fate in the House is uncertain, though matching legislation has been introduced and the House Energy and Commerce Committee held a hearing on the issue in early March.
Related, the Department of Transportation inspector general announced it is initiating an audit of the department to assess its processes for evaluating and responding to requests from states and localities for time zone changes and daylight saving time exemptions. In the last four years, 18 states have enacted legislation or passed resolutions to provide for year-round DST, if Congress were to allow such a change and, in some cases, if surrounding states enact the same legislation.
EPA Restores California Authority to Implement GHG Emission Standards
The Environmental Protection Agency reinstated California’s authority under the Clean Air Act (CAA) to implement its own greenhouse gas emission (GHG) emission standards, an action which follows the agency’s reconsideration of 2019’s Safer Affordable Fuel-Efficient Vehicles Rule Part One: One National Program Rule in accordance with President Joe Biden’s Executive Order 13990.
The wavier in question was issued in 2013 and allows the state to impose more stringent GHG emission standards than federal ones. In addition, the EPA also announced plans to withdraw the previous administration’s interpretation of the CAA which would have prohibited other states from adopting the California GHG emission-related standards. As of December 2021, 17 states have adopted California’s low-emission vehicle criteria and greenhouse gas emission regulations, accounting for 40% of the total new light-duty vehicle sales in the U.S.
FTA Awards $400 Million for Bus Transit Upgrades and Opens Applications for an Additional $1.5 Billion
The Federal Transit Administration announced the award of approximately $409.3 million in fiscal year 2021 funding to support projects under the Buses and Bus Facilities Program. The grants are aimed at supporting modernizing and improving bus transit in America. The grants will help fund 70 projects in 39 states. The awards are not part of the funds provided by the new federal infrastructure law as they were made available as part of the regular 2021 grant process. Earlier this month, the FTA announced, there will be nearly $1.5 billion in FY 2022 grants aimed at modernizing bus fleets and bus facilities across the country. The $1.5 billion was included in the new infrastructure law, and is the combination of two different programs, $1.05 billion for the Low or No Emission Grant Program and $372 million for the Grants for Buses and Bus Facilities Program. Applications are due by the end of May.
Court of Appeals Stays Injunction on Social Cost of Carbon Rule
The 5th Circuit Court of Appeals stayed a nationwide injunction issued on Feb. 11 blocking a 2021 executive order establishing a social cost of carbon (SCC) for agencies to use in rulemakings with greenhouse gas emission implications. The February judge’s decision barred federal agencies from using the SCC or from considering the foreign impacts of U.S. greenhouse gas pollution, limiting analyses to domestic impacts only. Due to the injunction the administration had to reconsider dozens of ongoing rulemakings at the Department of Energy, the Environmental Protection Agency, the Department of Transportation and the Department of Interior, and a number of environmental reviews of transit projects were thrust into limbo.
The 5th Circuit rejected claims that the SCC could cause “increased regulatory burdens,” and rejected the argument that the states can demonstrate the SCC figures caused any injury or could be redressed via an injunction. The stay allows federal agencies to resume using the interim SCC figures in rulemakings and other decisions.
Infrastructure Investment and Jobs Act Updates
For a summary of the Infrastructure Investment and Jobs Act, visit NCSL’s webpage. Updates on related-agency actions are broken down below by policy topic:
Transportation:
DOT Announces Marine Highway Program to Receive Largest Appropriation to Date
The United States Department of Transportation announced Wednesday that the Marine Highway Program , which supports the development and expanded use of America’s navigable waterways, will get $25 million from the new infrastructure law. The funds will “expand waterborne transportation options while helping project sponsors increase energy conservation, improve safety, reduce landside infrastructure costs, and reduce travel delays caused by congestion.” The $25 million in funding is the largest single appropriation ever provided to the Marine Highway Program, whose major thoroughfares are the Mississippi River and its tributaries, along with the Great Lakes
Environment:
EPA Issues Memo for Implementation of $43 Billion in Water Infrastructure Funding, Senate Revisits Formula
The EPA issued a memo for the implementation of $43 billion in water infrastructure funding going to state, local and tribal partners through the IIJA. The memo provides guidelines on how the agency will award and administer supplemental state revolving fund grants through the law. It also describes how awards will be administered for the general drinking water and clean water revolving fund programs and the funding to be dedicated to removing lead service lines and addressing perfluoroalkyl and polyfluoroalkyl substances and other emerging contaminants. The memo follows a letter from EPA Administrator Michael S. Regan to governors in December 2021 encouraging states and tribes to maximize the impact of water funding from the law to reach the administration’s Justice40 initiative, which aims to ensure federal agencies deliver at least 40% of benefits from certain investments to disadvantaged communities
Relatedly, the Senate Environment and Public Works Committee held an oversight hearing on March 16 on EPA’s clean water state revolving fund (CWSRF), focused around congressional interest in updating the fund’s state allotment formula to reflect the growing population shifts in certain states, as well as recent legislative proposals to update the formula in a manner that uses population as the key measure for increased allocations to certain states.
Administration Releases Guidance for $775 Million in Orphaned Well Funding to States
The Department of the Interior released draft guidance to states on how to apply for $775 million in grant funding from the Infrastructure Investment and Jobs Act to address orphaned well-site plugging, remediation and restoration activities. The guidance outlines eligible uses of the funding, including plugging wells, reclaiming lands impacted by oil and gas development activities, and removing infrastructure associated with orphaned wells. Each state may receive up to $25 million in initial funding for eligible activities. Comments on the guidance are open until March 30, 2022.
DOI Announces Additional Abandoned Mine Land Funds
The Department of Interior announced more than $144 million available to states and tribes for abandoned mine land (AML) reclamation efforts in fiscal year 2022, in addition to the $725 million fiscal year 2022 investment from the IIJA to accelerate cleaning up abandoned mine lands across the country. The IIJA extended the Office of Surface Mining Reclamation and Enforcement’s AML fee collection authority through Sept. 30, 2034, and reduced reclamation fee rates by 20%, ensuring a funding source for AML grants through 2035.
USDA Invests Millions via the Natural Resources Conservation Service for Dam and Flood Prevention
The U.S. Department of Agriculture announced $166.5 million in funding via IIJA to be dispersed by the Natural Resources Conservation Service for 108 infrastructure projects in 23 states to invest in new dam and flood prevention projects and repair for existing watershed infrastructure. For this first round of investment, the NRCS prioritized projects in communities heavily impacted by drought and other natural disasters as well as historically underserved and limited resource communities.
Agriculture
USDA Invests $80 Million to Support Dairy Industry Resiliency
The Department of Agriculature established an $80 million in the Dairy Business Innovation (DBI) Initiatives which support dairy businesses in the development, production, marketing and distribution of dairy products. The DBI provides direct technical assistance and grants to dairy businesses. The funding is in addition to the $20.2 million in FY 2021.
USDA Announces State Farm Service Agency and Rural Development Director Appointees
The president announced his intent to appoint nine USDA regional positions, including three Farm Service Agency (FSA) State Executive Directors and six Rural Development (RD) State Directors. FSA State Executive Directors oversee Farm Service Agency operations and agricultural policy implementation in the state while RD State Directors serve as the chief executive officer of Rural Development in the states and territories and are tasked with carrying out the mission of Rural Development. For information on each appointee see here.
Energy
DOE Announces Plan to Launch System to Recycling Solar Panels
The Department of Energy released an action plan intended to help the United States launch a comprehensive system for handling and recycling solar panels. The Solar Energy Technologies Office (SETO) announced a new target to bring the cost of recycling solar panels to about $3 per panel by 2030, a threshold that would make the practice economic for the first time. By the end of this decade, about 8 million tons of solar modules could arrive in landfills globally, according to an NREL study published in 2020. By 2035, solar could contribute 37% to 42% of the grid’s power, according to the office, which is part of the DOE’s Office of Energy Efficiency and Renewable Energy. By 2050, panels could make up 10% of all electronic waste, according to the lab.
Environment
EPA Adds New Superfund Sites to the National Priorities List
The Environmental Protection Agency announced it was adding 12 new sites to the National Priorities List (NPL), and proposing to add an additional five sites. The NPL lists sites of national priority among the known releases or threatened releases of hazardous substances, pollutants, or contaminants throughout the United States and its territories. The NPL is intended primarily to guide the EPA in determining which sites warrant further investigation. The EPA recently announced a $1 billion investment from the IIJA to initiate cleanup and clear the backlog of 49 previously unfunded Superfund sites and accelerate cleanup at dozens of other sites across the country.
EPA Proposes “Good Neighbor Plan,” Updating the Cross-State Air Pollution Rule
The EPA announced a federal implementation plan to address regional ozone, updating its Cross-State Air Pollution Rule under the 2015 ozone standard, and identifying coal-fired power plants in upwind states whose emissions of nitrogen oxides, travel across state lines. The rule creates new emissions budgets starting in 2023 for 25 states covered by the rule, which seeks to limit nitrogen oxide emissions in "upwind" states that float "downwind" across state lines and harm air quality. The rule would also require power plant controls for the first time in Delaware, Nevada, Utah and Wyoming, and includes a daily emissions rate limit for large coal plants. Despite EPA proposing a federal implementation plan for to address the 26 states obligations, states can still submit their own implementation plans that, if approved, would replace their portion of this federal rule.
Transportation
USDOT Takes Significant Next Steps on Autonomous Vehicles
The National Highway and Traffic Safety Administration, a branch of the Department of Transportation, published a final rule that updates several motor vehicle safety standards aiming to reduce regulatory barriers for the eventual deployment of autonomous vehicles. Specifically, the rule modernizes terms specific to protecting vehicle occupants so that new interior designs maintain the required level of safety but no longer require certain features necessary only for human operators.
USDOT Provides $2 Billion to Sustain Public Transit Agencies
The FTA announced it will award $2.2 billion to 35 recipients in 18 states from funds appropriated through the American Rescue Plan. The funds will help public transportation agencies pay for day-to-day operations. Overall, the ARP provided over $30 billion in aid to public transit agencies.
FAA and Congress Show Continued Interest in Unmanned Electric Aircraft
The United States issued a joint statement with the United Kingdom addressing how they plan to certify a new generation of electric-powered, vertical takeoff aircraft. The statement noted that regulators should “maintain the high safety standards” for these new helicopter-like vehicles, and technology should “use existing regulatory frameworks.” Numerous companies are developing aircraft for use as urban air taxis and other commercial purposes, including use as larger drones. The House Transportation and Infrastructure Committee also held a hearing on the impact of aircraft and noise which included a focus on these types of aircraft. Though the aircraft are designed to produce less noise than manned aircraft, they are also likely to operate at much lower altitudes.
Thanks for reading! We’ll be back next month to fill you in on other pressing federal news!
Best,
Kristen and Ben