SENATE TO DEBATE CLIMATE CHANGE BILL
The Senate will begin the week by holding a vote to limit debate on a motion to proceed to a climate change bill (S.3036). The vote to consider the bill, sponsored by Senators Liberman (I-CT) and Warner (R-VA), is expected to clear the 60 vote threshold as leaders from both parties have expressed interest in debating climate change legislation. If the vote succeeds, Majority Leader Harry Reid's (D-NV) office has indicated that debate on the bill will likely occupy most of the Senate agenda the rest of this week.
The legislation would establish limits on emissions that contribute to global warming. It would also establish a trading program so that companies can buy and sell emissions allowances. The proposed pollution caps would reduce greenhouse gas emissions in the U.S. by 66 percent by the year 2050 from current levels. The bill also establishes an $800 billion tax relief fund to offset the rising cost of energy bills.
The bill's prospects for passage are
still not certain. While many Republicans have warmed up
to the idea of climate change, it is unclear whether enough
Senate Republicans will go along with the proposed bill
legislation. All three major party candidates support some
form of mandatory cap on emissions. Some Senators are
preparing amendments proposing increased use of nuclear power
and increases in research and development of low-carbon
technologies, both of which are seen as an alternative to the
bill's hard carbon emissions caps.
FARM BILL CLOSE TO PASSAGE BY SENATE
Senate leadership must also decide this week what their course of action will be on the farm bill. The House passed a complete version of the farm bill (H.R. 6124) before the Memorial Day recess. The Senate could either take up and pass the completed House version or take up just the missing trade provisions. It remains to be seen if opponents of the bill in the Senate will delay its passage on procedural concerns. If it passes the Senate, the bill is likely to be vetoed again by the President and subsequently overridden.
PUBLIC SCHOOL LEGISLATION TO BE CONSIDERED IN THE HOUSE
Floor action is expected on a bill that would authorize
$6.4 billion for fiscal 2009 for public school construction and
modernization projects (
The bill also would authorize $500 million over five years to repair and renovate schools damaged by hurricanes Rita and Katrina.
FIGHT BETWEEN THE HOUSE AND SENATE CONTINUES OVER WAR SUPPLEMENTAL
Differences in both war policy and funding mechanisms still exist over the supplemental spending bill (H.R. 2642) as the House and Senate return to session this week. House and Senate Democratic leaders are expected to iron out their differences in an effort to obtain the necessary votes to override a Presidential veto.
House Majority Leader Steny Hoyer (D-MD) has indicated that the bill could be brought back to the House floor later this week. The Senate has a packed agenda this week and it is unclear whether it will consider the bill this week or wait until next week.
The White House continues to object to many of the domestic spending items added to the supplemental accusing the Democrats of holding the war funds "hostage." Among the Administration's objections are the Webb (D-VA) GI bill, which provides education benefits to returning servicemen, a 13-week extension of unemployment benefits, and a provision delaying the Administration's seven new Medicaid rules.HOUSE AND SENATE STILL DIVIDED OVER RENEWABLE ENERGY AND TAX EXTENDERS
On May 21, the House passed a $54 billion package of renewable energy and tax extenders (H.R. 6049) that has yet to be agreed upon by the Senate.
The House bill includes both short and long term renewable energy tax credit extensions for provisions that expired in 2007 or will expire in 2008. The tax credits are paid for by changes in the way deferred compensation paid by managers of offshore hedge funds are taxed as well as the nine year delay of the worldwide interest allocation rule.
The House bill was passed in spite of a veto threat from President Bush. The Administration opposes the offsets designed to pay for the bill.
The Senate bill (S.2886), by contrast, costs $110 billion and extends the short term tax credits two years instead of one. The Senate version also would patch the alternative minimum tax (AMT) for one year, a provision not included in the House version. Additionally, the Senate bill does not include offsets, something conservative Blue Dog Democrats in the House are adamant about including. Senate Republicans, however, do not want to raise taxes to pay for extensions of current law.
