September 26, 2005

THIS WEEK ON THE HILL

The Senate will spend most of the week debating and voting on the nomination of John Roberts, Jr. to be chief justice of the U.S. Supreme Court.  They may also consider emergency legislation related to hurricane relief and recovery efforts which includes the bipartisan Finance Committee emergency health care/welfare relief package (S. 1716) and the Senate HELP Committee's bipartisan Katrina education relief proposal (S. 1715).  Last week, Congress passed the Katrina Emergency Tax Relief Act (H.R. 3768) which was signed into law by President Bush (see story below). 

The House is scheduled to be in a pro forma session today, with no votes scheduled.  They will meet again tomorrow to consider six bills under suspension.  They could also consider a seven-week continuing resolution (CR) to fund government agencies through November 18 since the current fiscal year ends on October 1.  The House has completed its 11 appropriations bills, but the Senate has not yet completed its process, having passed 8 of its 12 spending bills.  It appears the Republican leaders in both chambers have reached an informal agreement to set funding for a CR at the “lowest amount that has passed the House or Senate” in the regular FY 2006 appropriations bills.

The House will also consider H.R. 3402, a bill to reauthorize Justice Department programs though FY 2009.  The legislation would reauthorize the Violence Against Women programs, as well as merge the Byrne grant program and the local law enforcement block grant program into one program, known as the Edward Byrne Memorial Justice.  Later this week, the House could debate the Threatened and Endangered Species Recovery Act of 2005 (H.R. 3824), which reauthorizes and reforms the Endangered Species Act. 

 


 

CONGRESS ACTS ON KATRINA TAX RELIEF PACKAGE

Last week, Congress passed legislation (H.R. 3768to provide tax benefits to individuals and businesses affected by Hurricane Katrina.  The Joint Committee on Taxation released a revenue reduction estimate of the bill at $6.11 billion over ten years.  The measure provides a temporary employee retention credit to encourage businesses currently unable to operate to retain workers. Firms with fewer than 200 employees can claim a 40 percent tax credit for up to $6,000 in wages paid to a worker between August 28 and December 31, 2005. The measure would also extend  the work opportunity tax credit to employers who hire displaced workers. Employers outside the disaster area can receive the credit for three months. 

H.R. 3768 relaxes requirements for families in disaster zones to access mortgage revenue bonds and provides displaced individuals to whom they are not related a credit of $500 each, capped at $2,000. The bill would waive the 10 percent penalty on retirement plan withdrawals and extends the amount of time that taxes can be paid on those funds and can be replenished without penalty. In addition, the measure increases deductions for charitable donations and extends tax filing and payment deadlines for Katrina victims to February 28, 2006.

 


 

 KATRINA RELATED EDUCATION BILLS SIGNED BY PRESIDENT

Last week, President Bush signed into law the Pell Grant Hurricane and Disaster Relief Act (H.R. 3169) and the Student Grant Hurricane and Disaster Relief Act (H.R. 3669) which amends the Higher Education Act of 1965.  Both pieces of legislation passed the Senate on September 15 and the House on September 8.  H.R. 3169 authorizes the U.S. Secretary of Education to waive requirements for repayment of Pell Grants by students at affected institutions whose attendance was stopped or interrupted due to a major disaster. H.R. 3669 authorizes the U.S. Secretary of Education to waive requirements for repayment of federal student grant assistance by students whose attendance was stopped or interrupted due to a major disaster. Both laws also apply to students who were residing in, employed in, or attending an institution in a major disaster area.

 


 

HEAD START REAUTHORIZATION PASSES HOUSE

The House approved the School Readiness Act of 2005 (H.R. 2123) by a vote of 231-184 late last week.  The bill includes provisions to: counter financial mismanagement; close the school readiness gap by strengthening academic standards and alignment with state standards; improve teacher quality and retention; and increase the state and local role in Head Start. The bill would also temporarily assist Head Start and Early Head Start grantees in areas directly affected by or accepting students displaced by Hurricane Katrina. A controversial amendment offered by House Education and the Workforce Chairman John Boehner (R-Ohio) to allow religion to be a consideration in hiring for faith-based organizations passed by a vote of 220-196. The Senate's Head Start companion reauthorization bill (S 1107) has already been approved by the Senate Health, Education, Labor, and Pensions Committee.

 


 

SENATE PASSES MILITARY CONSTRUCTION APPROPRIATIONS BILL

Last Thursday, the Senate passed the Military/Veterans Appropriations bill (H.R. 2528) that will provide $83 billion in FY 2006 for the VA Department and military constructions, including $46.4 billion for discretionary spending.  The House passed their version on May 26. Senators Reid and Ensign secured more than $100 million for Nevada military projects in the bill and worked with Nevada's congressional delegation to secure $199 million for the VA hospital in Las VegasIn 2004, the Department of Veterans Affairs (VA) announced that a 90-bed hospital and 120-bed long-term care facility would be built in North Las Vegas. Senator Ensign authored legislation to transfer land between the 215, Pecos, Centennial Parkway and Lamb Boulevard at no cost from the Bureau of Land Management to the VA for the medical campus. Nevada's congressional delegation worked together to include money for the VA hospital in both the House and Senate bills.   

The following items were secured by Reid and Ensign in the Senate bill:

  • $16 million for the Air National Guard Intelligence Facility in Reno;
  • $3.5 million for the Fire Rescue Station at Nellis AFB Airfield;
  • $20 million for the FA/22 "Raptor" facilities at Nellis AFB;
  • $1.7 million for the Bio Engineering Facility at Nellis AFB; and
  • $60 million for Unmanned Arial Vehicle (UAV) faculties at Creech AFB in Indian Springs. 
*info taken from Sen. Reid press release: www.reid.senate.gov  and Sen. Ensign press release:  www.ensign.senate.gov

 


 

SENATE PASSES AG SPENDING BILL

Last week, the Senate approved (by a vote of 97-2) the FY 2006 Ag Spending Bill (H.R. 2744). The measure provides $100.158 billion to fund the Agriculture Department and agriculture-related programs, exceeding the House appropriations mark by $506 million and the President's request by $597 million. The bill includes $17.348 billion in discretionary spending and $82.81 billion in mandatory spending. The President's request contained $16.74 billion in discretionary funding and $82.822 billion in mandatory spending. Specific provisions include: $40.711 billion for the Food Stamp Program (this amount includes a $3 billion reserve, $140 million for the emergency food assistance program, and $1.522 billion for nutrition assistance for Puerto Rico), which is about $5.6 billion more than FY 2005; $5.25 billion for the Special Supplemental Nutrition Program for Women, Infants, and Children (WIC), which is slightly more than the FY 2005 level of $5.235 billion; $179.935 million for the Commodity Assistance Program, which is roughly equal to FY 2005; and $3.743 billion for farm loans, which is $25.2 million more than the FY 2005 level.  Hurricane Katrina-related amendments were not considered during the floor debate.

Nevada specific items included in the Ag bill by Senator Reid include $504,00 for the Nevada Arid Rangeland Initiative, $750,000 for Erosion control in Carson City due to the wild fire that caused more than 8,700 acres in July of 2004; $150,000 for grasshopper and Mormon cricket control that have infested more than 11 million acres of northern Nevada; $1.8 million for tamarisk and chetgrass control; $100,000 for the cooperative weed management program; and $250,000 for rangeland conservation . 

The bill now heads to conference with the House, which passed its version in June.

 


 

MEMBERS OUTLINE OPTIONS FOR KATRINA OFFSETS

Last week, Sens. Ensign (R-Nv), McCain (R-Ariz.), Coburn (R-Okla.), Sununu (R-N.H.), DeMint (R-S.C.), and Graham (R-S.C.) unveiled a list of potential budget savings to offset the costs of Hurricane Katrina relief and recovery efforts. The proposal outlines options for savings, including a freeze on discretionary spending and a one-year delay in the Medicare prescription drug benefit, as well as an additional $15 billion in cuts, some of which were also included in a package of proposed spending cuts and revenue raisers released by the House Republican Study Committee called "Operation Offset."

The Committee maintains that the "Operation Offset" package could produce $102 billion in savings in one year, $370 billion over five years, and $929 billion over ten years. It proposes increased reductions in entitlement programs to $100 billion over five years rather than the $35 billion required by the budget resolution. Included in the package are proposals to block grant certain Medicaid expenditures, delay for one-year the Medicare prescription drug benefit, cut member earmarks in the highway bill, reduce funding for Amtrak, cancel NASA's moon and Mars initiative, and reduce foreign aid.


 

ENDANGERED SPECIES REFORM BILL

Last week, both the House and the Senate held hearings on the Endangered Species Act.   The Senate’s Environment and Public Works Subcommittee on Fisheries, Wildlife and Water held a hearing last Wednesday to examine the role of states, tribes, and local governments in the ESA.    From the witnesses, the subcommittee heard that the states, tribes and local governments were interested in equal partnership in protecting and recovering species. Witnesses included the State of Colorado , the National Association of Counties, and the Northwest Indian Fisheries Commission, as well as the International Association of Fish and Wildlife Agencies, the Peregrine Fund, and the Wildlife Management Institute of the University of Oregon.  Overall, the preferred approach of panel Chairman Lincoln Chafee (R-RI) and Ranking Member Senator Hillary Clinton (D-NY) is to be more deliberative than the House and to seek greater consensus.  The pair touts the participation of the Keystone Center and is waiting for their recommendations before moving ahead with any ESA changes.  The Keystone Center will begin their work next month.

Conversely, the House Resources Committee conducted a hearing on Chairman Pombo’s bill, H.R. 3824,  last Wednesday and followed with a mark-up on Thursday.  Despite the concerns voiced by several Democrats and moderate Republicans over the bill’s treatment of critical habitat, compensation to landowners, and the quickness of the bill’s deliberation, H.R. 3824 was passed by the Committee on a 26-12 vote.  It is expected to come before the House for a vote this Thursday, September 29.  A group of 23 moderate Republicans have written to Majority Leader Tom DeLay asking that the bill not be rushed to the floor.

 


 

GOVERNMENT OFFERS HOUSING AID TO KATRINA VICTIMS

Displaced residents of New Orleans and the Gulf Coast who opt against living in trailers or other free housing provided by the government will be offered close to $785 per month to cover their housing costs. Secretary of Homeland Security, Michael Chertoff and HUD Secretary Alphonso Jackson, announced the new housing relief to the victims of Hurricane Katrina at a news conference late last week. The costs of the new program would be covered by the $62.3 billion in emergency funds already appropriated by Congress. The housing aid would be available for up to 18 months.

DHS will expedite housing assistance to all evacuees unable to meet immediate housing needs with combined efforts from the Federal Emergency Management Agency (FEMA) and HUD. Evacuees from the hardest-hit portions of Alabama, Mississippi, and Louisiana generally fall into four distinct types of households: previous homeowners, renters, individuals who lived in public housing, and those who were homeless prior to the hurricane. Evacuees must register through FEMA by calling 1-800/621-FEMA or applying online for federal disaster assistance. Through FEMA's Individual and Households Program (IHP), DHS will process expedited transitional housing assistance for qualified homeowners and renters displaced by Hurricane Katrina. Because not all evacuees are eligible for assistance through the IHP program, displaced families, including formerly HUD assisted evacuees and those unable to verify occupancy, will qualify for the Katrina Disaster Housing Assistance Program administered by HUD.

 


 

ROADLESS AREA CONSERVATION NATIONAL ADVISORY COMMITTEE ESTABLISHED

The U.S. Department of Agriculture (USDA) announced the selection of members to the Roadless Area Conservation National Advisory Committee. This committee, comprised of representatives from environment, industry, and recreation organizations, will provide advice and recommendations on implementing the state petitions for the Inventoried Roadless Area Management Rule adopted by USDA in May 2005. Members of the committee will review petitions submitted by states, seek consensus, identify issues, and provide the Secretary or the Secretary's designee with advice and recommendations on implementing the State Petitions Rule. The State Petitions Rule established a process to provide Governors an opportunity to establish or adjust management requirements for National Forest System inventoried roadless areas within their states. USDA will accept state petitions until November 13, 2006.

 


 

For a list of this week's federal grant notices, please visit our website at:  www.nevadadc.org