Thursday, December 13, 2007: Farm bill clears roadblock and senators boost fuel efficiency for the first time in 32 years

[21:02]
The farm bill passed a final procedural hurdle this evening in the Senate, as senators invoked cloture on the bill in a 78-12 vote. Final passage of the bill itself is only a formality, likely to happen tomorrow. It has been quite a day for a Senate that just last week looked hopelessly stuck in gridlock. Back at you tomorrow at 9:00.

[18:48]
Energy reform passes 88-8.

[18:27]
The Senate is now voting on an energy bill that would raise fuel efficiency standards for the first time since 1975.

Voting against the bill are: Inhofe (OK), Kyl (AZ), Coburn (OK), DeMint (SC), Hatch (UT), Enzi (NV), Barrasso (WY), and the lone Democratic nay, Stabenow (MI).

The Stabenow nay does not surprise me all that much, considering she represents Michigan. But earlier in the day she voted in favor of an even stronger version of the energy bill. The CAFE increase was in both versions of the bill so is this anything other than Stabenow taking a “nay” back to Detroit when she knew that the measure would pass? Did she vote “aye” only as a sign of solidarity with Democrats earlier in the day?

[18:24]
The Senate just passed by unanimous consent a continuing budget resolution that keeps the government running until Friday, December 21, 2007. The current CBR expires tomorrow. These CBRs are necessary when budgets are not in place for government agencies. Every year Congress must pass 12 appropriations bills or else those agencies without budgets cannot operate. For at least the last two years, very few of these appropriations bills have been signed into law. For FY 2008, Congress has passed only one budget bill.

This new one-week CBR buys Congressional leaders time to put the finishing touches on a massive $500b omnibus spending package that will enact the remaining 11 budgets not yet passed.

[18:20]
Majority leader Harry Reid (NV) says that he thinks the Senate can finish the farm bill this week. Only one amendment is holding it up, he says. And that’s an amendment about firefighters. It seems its supporter is refiusing to subject it to a 60 vote threshold. In that case, says Reid, he’ll have to file cloture on the amendment, leading to a Saturday vote. No one wants a Saturday vote, says Reid, but that’s where we’re at right now because we need to get the farm bill done this week.

Reid now talks about the energy bill, calling it a “split decision” but a “win for America.”

[18:08]
The Senate has moved away from farm bill votes and it now appears poised to pass an energy reform bill that would raise fuel efficiency standards for the first time since 1975.

Pete Domenici (NM) says that for the first time Detroit has indicated it thinks it can comply with a potential fuel economy increase. Domenici says that this bill reduces our dependence on foreign oil moreso than any other bill could.

[17:51]
Jim Inhofe (OK) doesn’t think that the rise in CAFE standards is that good of an idea. He believes it will make cars unsafe. He says that we're still in the U.S. and unlike western Europe "we can still make choices." I am wondering if people aren’t making a choice by passing a fuel efficiency increase. The Congress is still the people’s branch, isn’t it?

He notes that there is nothing in the bill for nuclear, clean coal, or refinery expansion. Inhofe will be voting against the bill.

[17:42]
Jeff Bingaman (NM) just spoke about the energy bill that is now ready to move ahead in the Senate. Gone from the bill are renewable fuel mandates for utility companies and a repeal of tax breaks for oil and gas companies to the tune of $21b.

Still in the legislation is an increase in the CAFE fuel efficiency standard for all cars, trucks, and SUVs. Specifically, all cars would have to get an average of 35 m.p.g. by 2020.

Also in the energy reform are a requirement that new federal buildings be built in a green fashion and a mandate requiring the production of renewable fuels to rise. Older gov’t buildings will be retrofitted. The Dept. of Energy will get a “solar wall.”

Kay Bailey Hutchison (TX) is now speaking in favor of the bill although she does not do so "without reservations." She has reservations about the renewable fuels increases. Specifically, the bill calls for more ethanol production. Farmers are worried about the increased cost of feedstock (corn) that this mandate will cause.

Barbara Boxer (CA) laments the provisions that the Senate has cut from the bill but she says all in all, “Good job!”

[17:21]
The Senate is currently voting on a Craig Amendment that would scale back government’s right of eminent domain when it comes to agricultural land. Federal, state, or local governments would be prohibited from taking farmlands for the purpose of designating them open space.

This amendment fails.

The Senate has been voting on farm bill amendments throughout the day. Recently, a Brown-McCaskill-Durbin amendment dealing with crop insurance was defeated. Earlier today, the Grassley-Dorgan amendment limiting the maximum farm payment to $250k (down from $360k) lost out. That amendment also would have required farm program recipients from receiving money unless they were “actively engaged” in farming. Considering that this was a bipartisan amendment, its defeat was a surprise.

None of these farm bill amendment votes have been party line. There are plenty of both party on each side of these votes. I could try to explain it by the big state/small state paradigm or even farm state/city state but I can’t see that being very explicative either.

So too defeated was a Klobuchar amendment that would have prevented individuals who make $750k net per year from receiving payments under the farm bill.

[13:39]
Senators have been debating a farm bill amendment concerning crop insurance. Shortly they will vote on the amendment.

[10:44]
When the energy reform bill came over from the House, it had three major pieces. I am simplifying things but bear with me. These three pieces were: one, an increase in fuel economy standards for cars, trucks, and SUVs (the so-called CAFE standards); two, an elimination of tax breaks for oil and gas companies meant to incentivize exploration; three, a mandate requiring utilities to produce a certain percent of their energy in renewable form by a certain date.

The first piece to fall out what the renewable energy mandate for utilities. Democrats dropped this piece when the energy bill suffered its first setback, failing to get 60 votes to proceed to debate.

Today, the effort to eliminate a $21b package of oil and gas company tax breaks will be dropped from the bill after the bill once again failed to garner 60 votes in a procedural vote (it got 59). The only no-vote was John McCain (AZ). It is unclear whether he would have votes “aye” had he been there. He is an outspoken advocate of global warming initiatives but perhaps not interested in oil company tax increases.

President Bush would have vetoed the bill had it come to his desk with the provision repealing oil and gas company tax breaks.

The only Democrat to vote against the increase was Mary Landrieu (LA).

Republicans voting in favor of the second iteration of the bill included John Thune (SD), Susan Collins (ME), Gordon Smith (OR), Norm Coleman (MN), Charles Grassley (IA), Dick Lugar (IN), Orrin Hatch (UT), Lisa Murkowski (AK), and Olympia Snowe (ME).

The good news is that lawmakers are now poised to pass the first fuel economy increase in thirty years. Senate passage of the increased CAFE standards could come at anytime this week or the next.