Energy Bill Dropped; Budget Concerns Cited
By Dan Morgan and Juliet Eilperin
(c) 2004, The Washington Post
WASHINGTON -- A far-reaching energy bill pending in Congress fell victim Tuesday to rising Republican concerns about the budget deficit, as the Senate's chief sponsor announced he was abandoning efforts to pass it in its present form.
Sen. Pete Domenici, R-N.M., a key advocate of the bill who chairs the Committee on Energy and Natural Resources, said it was "necessary, in light of current deficit numbers, to trim spending every way we can." He said he was ordering his staff to draw up a "leaner" version. It will have to pass muster with the White House and GOP fiscal conservatives, who have objected to the $24 billion in tax breaks and $7 billion in other incentives.
The legislation is the most comprehensive piece of energy legislation since 1992. It would provide benefits to oil and gas drillers, utilities, the coal industry, producers of wind power and, through subsidies for corn-based ethanol fuel, farmers in the Upper Midwest.
An effort to bring it up for a vote last year was narrowly defeated by a bipartisan group of senators who objected to its costs and other provisions. But in the last few weeks, rising GOP worries about the political fallout from soaring deficit numbers has chilled efforts to pass the legislation.
more:
http://www.magicvalley.com/news/worldnation/index.asp?StoryID=7381 It is important to note that bush began a push to get this passed in early January - culminating with plugs in the State of the Union Address. Around that time even Sen. Tom Daschle made a pronouncement to deliver on the passage of the bill - IF it could be slightly amended (the bill has big implications on farm states such as his, I can only speculate that his proactive support is tied to his reelection efforts.)
The push from Bush had been taking on a high pitch... speculation being that this was a very visible sign to big donors that he can deliver on his promises to his biggest donors (i.e., the energy industry was among the largest doning group to his 2000 election.) I would add to this speculation that some big funders are realizing that bush policies in the long-run are not great for business... but if they are going to get big short-term gain that it remains worthwhile to keep making huge "investments" (e.g., donations) to Bush.
Then suddenly - a week ago - there was the first indication that the bill might be dropped - and broken up with favorites put into the highway bill. This would be dangerous - as it would be hard to see. Note the following recent thread - scroll to post #6 http://www.democraticunderground.com/discuss/duboard.php?az=show_topic&forum=102&topic_id=345427
In my opinion, we have to watch this story closely for the following reasons:
1) The key giveaways will be attempted to be pushed through elsewhere - it can't be fought unless it is seen. Part of "our job" as informed citizens is to watch for it and when it appears write many many letters to our congressional folks and LTEs (which the congressional offices monitor) to bring the attempts to revive the bill in other places into full light.
2) If budget concerns are growing so large that suddenly Bush can no longer ram through items that are most important to his agenda (e.g., evidence of Cheney's IMMEDIATE task after taking office was to do the secret energy task force and craft this bill; then in the recent iteration once the bill went to conference committee {and democrat members of that committee locked out} the lobbyists themselves rewrote big swaths of the bill)... then Bush is in very, very big trouble. It shows that suddenly congress would fear reprisals at home MORE than they fear Rove and by extension Tom DeLay.