MONDAY, MAY 21, 2007

BIPARTISAN IMMIGRATION REFORM AGREEMENT ON SENATE FLOOR THIS WEEK

Last week, bipartisan negotiators struck an agreement on immigration reform, and a key procedural vote is scheduled for today. 

The Senate will debate a motion to proceed on last year’s immigration bill. The new agreement, in legislative language, could be added as an amendment, but the underlying motion has to gain 60 votes to keep the immigration issue alive.

Broadly, the agreement provides stronger border security provisions (additional border patrol agents, fencing, employment verification requirements on employers, etc.) and creates certification requirements of these efforts before a new temporary worker program (Y visas) and the legalization of 12 million illegal immigrations (Z visas) can occur.


NEGOTIATIONS CONTINUE ON SUPPLEMENTAL APPROPRIATIONS BILL

Negotiations between congressional leaders and the White House broke down last Friday on the fiscal year (FY) 2007 emergency supplemental appropriations bill, however, talks were scheduled to resume over the weekend and all parties are still calling for final action on a conference report before the recess.

Earlier last week, the Senate approved a placeholder measure; the House passed its version on Thursday, May 10.  The House supplemental is a two-tier, short-term bill with additional funding for some domestic items.

The first of these two, H.R. 2206, contains the war money with funds for national concerns including SCHIP, LIHEAP, avian flu preparation, and Hurricane Katrina recovery.   The second bill, H.R. 2207, contains the mainly western priorities of agricultural disaster relief, money for wildland fire fighting, and Secure Rural Schools; it passed the House by a veto-proof margin of 302-120.   


BUDGET RESOLUTION COMPLETE; FOCUS SHIFTS TO APPROPRIATIONS PROCESS

Congress cleared its FY2008 budget resolution, clearing action on appropriations bills.

The budget caps discretionary spending at $954.1 billion, $21 billion more than President Bush’s request; allows for a one-year patch to keep the Alternative Minimum Tax from affecting more middle-income taxpayers; and relies upon a trigger mechanism to ensure that renewed tax cuts are either offset or certified that they won’t eat into 80 percent of any surplus.

Because the budget provides more than $21 billion in spending than the President requested in his budget blueprint, he has threatened to veto the upcoming, individual spending bills that go over.

As the focus shifts to the appropriations process, the Legislative Branch Subcommittee has scheduled a markup on Thursday, May 24, and the Military Construction/VA, and Interior/Environment may also schedule markups this week.

Last week, the House Appropriations Subcommittee on Homeland Security approved its FY 2008 spending bill. The Subcommittee provided approximately $7.1 billion for preparedness programs and disaster relief, including $550 million for the State Homeland Security Grant Program, $800 million for the Urban Area Security Initiative, $400 million for law enforcement terrorism prevention grants, $400 million for port security grants, $400 million for rail and transit security, $50 million for REAL ID grants, $50 million for interoperable communications, $800 million for fighter assistance grants, $300 for Emergency Management Performance Grants, $1.7 billion for the disaster relief fund, $50 million for the Metropolitan Medical Response System, and $120 million for the National Pre-disaster Mitigation Fund.

The bill also includes language altering Department of Homeland Security rules that allow federal regulations to supersede state chemical security laws.


ENERGY LEGISLATION MOVING FORWARD IN SENATE, HOUSE COMMITTEES

The House Energy and Commerce Subcommittee on Energy and Air Quality will hold a hearing next week on its part of the larger House energy bill being crafted. 

The Energy and Commerce draft bill will focus on coal-to-liquids, appliance energy standards, loan guarantees, and a smart electricity grid.  A mark-up of the package is expected after Memorial Day. 

Additionally, another House panel is moving forward with its combined energy/climate change bill.  The House Natural Resources Committee will hold a hearing on HR 2337 next Wednesday. The bill covers carbon sequestration, climate change affects on wildlife, and would repeal Section 390 of last year’s energy bill (categorical exclusions) among other things.

Meanwhile, the Senate Energy and Natural Resources Committee will hold a mark-up of pending energy bills on Wednesday, and then on Thursday will hold a hearing on coal gasification, coal-to-liquids, and industrial gasification.
 


HOUSE FARM BILL MARKUP THIS WEEK

This week, two House Agriculture Subcommittees will mark-up the conservation and livestock titles of the new farm bill on May 22 and May 24, respectively.  In all, ten titles will be included in the mark-up, similar to the current farm bill. 

Under the conservation title, Chairman Peterson’s outline would freeze the Conservation Security Program (no new sign-ups to 2012) and take the $1 billion and divert it to other programs.  Programs that might see an increase could be the Wetlands Reserve Program and the Grasslands Reserve Program. 

Putting a freeze on the CSP puts Chairman Peterson (D-MN) instantly at odds with his Senate counterpart, Chairman Harkin (D-IA).   Chairman Harkin created the CSP in the 2002 farm bill and will likely be fiercely protective of it.  Moreover, Chairman Harkin’s approach will be to increase renewable energy production at the potential expense of commodity money.  Chairman Harkin is expected to release his chairman’s draft in June. But the broad goal of his energy title alone would be to boost the development and production of cellulosic biofuels (30 billion gallons by 2020; 60 billion gallons by 2030); help farmers and businesses produce energy or reduce their consumption; and provide incentives for wind power and other renewables, and support for bio-energy research.

Chairman Peterson hopes to have the overall farm bill approved by the full committee by July 4. 

 


 


THE WEEK AHEAD: The Senate focuses on immigration, while the House tackles federal housing finance reform.  Markups are expected on appropriations bills, the farm bill and the defense authorization bill.  Congress is scheduled to recess this Friday, May 25, for a one-week Memorial Day break.

The SENATE will consider immigration reform legislation this week, with a cloture vote scheduled today on a motion to proceed. An agreement was reached last week calling for a number of border security measures, including an electronic verification system; implementing a three-category guest-worker program; and providing illegal immigrants with probationary visas until they are processed.

Later this week, the chamber may turn to the conference report on the FY 2007 emergency supplemental appropriations bill if an agreement is reached.

The HOUSE tomorrow is scheduled to resume its consideration of the Federal Housing Finance Reform Act of 2007. The bill would create a new, independent regulator with broad powers to oversee Freddie Mac and Fannie Mae, and establish an affordable housing trust fund financed by a percentage of the investment portfolios of the two entities.

The House also is scheduled to consider several key measures under suspension. Today, the House will consider the 21st Century Competitiveness Act of 2007 to improve U.S. competitiveness by providing more funding for research and development and by increasing the number of students majoring in math, science, engineering, and foreign languages.

On Wednesday, May 23, the House suspension calendar calls for consideration of a series of bills that would expand services for veterans.

KEY HEARINGS AND MARKUPS

Agriculture:  The House Agriculture Subcommittee on Conservation, Credit, Energy and Research has scheduled a markup of conservation provisions in the Farm Bill on Tuesday, May 22, at 10:00 a.m. in 1300 Longworth House Office Building

The House Agriculture Subcommittee on Livestock, Dairy, and Poultry has scheduled a markup of livestock provisions in the Farm Bill on Thursday, May 24, at 10:00 a.m. in 1300 Longworth House Office Building.

Appropriations: The Senate Appropriations Subcommittee on Interior and Environment has scheduled a Tuesday, May 22, hearing at 10:00 a.m. in 124 Dirksen Senate Office Building on proposed FY 2008 appropriations for the U.S. Forest Service.

Criminal Justice:  The Senate Judiciary Subcommittee on Crime and Drugs has scheduled a Wednesday, May 23, hearing at 9:30 a.m. in 226 Dirksen Senate Office Building on the nation's rising crime rate and the federal role in helping communities prevent and respond to violent crime.

Energy:  The Senate Energy and Natural Resources Subcommittee on Energy has scheduled a hearing on Tuesday, May 22, at 2:30 p.m. in 366 Dirksen Senate Office Building on legislation dealing with coal gasification project goals (S. 645), management of U.S. Department of Energy electricity programs (S. 1203), advanced energy methods and technologies centers (H.R. 85), and reauthorization of the Steel and Aluminum Energy Conservation and Technology Competitiveness Act (H.R.1126).

The House Natural Resources Committee has scheduled a Wednesday, May 23, hearing at 10:00 a.m. in 1324 Longworth House Office Building on the Energy Policy Reform and Revitalization Act of 2007.

The House Energy and Commerce Subcommittee on Energy and Air Quality has scheduled a Thursday, May 24, hearing at 10:00 a.m. in 2123 Rayburn House Office Building on draft provisions of the House energy package concerning energy efficiency, the smart electricity grid, Energy Policy Act of 2005 Title XVII Loan Guarantees, and standby loans for coal-to-liquids projects.

Health:  The House Education and Labor Subcommittee on Health, Employment, Labor, and Pensions has scheduled a Tuesday, May 22, hearing at 2:00 p.m. in 2175 Rayburn House Office Building titled "Health Care Reform: Recommendations to Improve Coordination of Federal and State Initiatives."

The House Small Business Committee has scheduled a Thursday, May 24, hearing at 10:00 a.m. in 2360 Rayburn House Office Building on expanding small-business health insurance coverage using the private reinsurance market.

Housing: The House Ways and Means Subcommittee on Select Revenue Measures has scheduled a Thursday, May 24, hearing at 10:00 a.m. in 1100 Longworth House Office building on tax credits for affordable housing.

Immigration: The House Judiciary Subcommittee on Immigration, Citizenship, Refugees, Border Security, and International Law has scheduled hearings on Tuesday, May 22, at 2:00 p.m. and Thursday, May 24, at 9:00 a.m. in 2237 Rayburn House Office Building on immigration reform proposals.

Defense: The House Homeland Security Subcommittee on Management, Investigations, and Oversight has scheduled a Thursday, May 24, hearing at 10:00 a.m. in 311 Cannon House Office Building to examine the National Guard’s readiness.

State Taxes:  The House Judiciary Subcommittee on Commerce and Administrative Law has scheduled a Tuesday, May 22, hearing at 1:00 p.m. in 2141 Rayburn House Office Building on the Internet Access Tax Moratorium.

The Senate Commerce, Science, and Transportation Committee has scheduled a Wednesday, May 23, hearing at 10:00 a.m. in 253 Russell Senate Office Building on communications, taxation, and federalism.

Transportation:  The House Transportation and Infrastructure Subcommittee on Highways and Transit has scheduled a Thursday, May 24, hearing at 10:00 a.m. in 2167 Rayburn House Office Building on state and local perspectives on public-private partnerships to develop highway projects.

Veterans: The Senate Veterans Affairs Committee has scheduled a Wednesday, May 23, hearing at 9:30 am. in 562 Dirksen Senate Office Building on veterans' health legislation.

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