In this issue:

President Bush has threatened to veto the bill if it lands on his desk in its current form. The administration supports overhaul of Fannie Mae and Freddie Mac and modernization of the FHA, but opposes the provision that would allow the FHA to insure another $300 billion in refinanced loans for struggling home owners. Although 40 Republicans voted in support of the package, it did not receive enough votes to override a White House veto. It has not yet been determined when the Senate will move on the legislation.

Effort to Fix Highway Trust Fund Stalls
SENATE UNABLE TO INVOKE CLOTURE ON FAA REAUTHORIZATION BILL

The most recent effort to fix the Highway Trust Fund through provisions in the Federal Aviation Administration reauthorization bill has stalled in the Senate. Last Tuesday, a motion to limit debate on the bill failed, 49-42. Sixty votes were needed to invoke cloture on H.R. 2881 and move the bill forward. For two weeks, senators had been working to include in the bill trust fund provisions unrelated to aviation. The proposal aimed to prevent the anticipated insolvency of the highway trust fund in FY2009 by authorizing a transfer from the general fund to the highway account. The transfer would be considered a repayment of $3.3 billion in emergency expenditures taken from the highway account to pay for damage from hurricanes and terrorist attacks.

After this latest vote, lawmakers announced that an extension of the current FAA authorization is being prepared to last through the fall of 2009. Senate Majority Leader Harry Reid (D-Nev.) voted against his own cloture motion, essentially reserving the right to bring the bill back to the Senate floor. If an extension is passed, a new vehicle will have to be found for provisions to fix the Highway Trust Fund.

House Select Committee Holds Hearing on Green Building
CLIMATE COMMITTEE EXAMINES BENEFITS OF BUILDING GREEN

Last Wednesday, the House Select Committee on Energy Independence and Global Warming held a hearing, "Building Green, Saving Green: Constructing Sustainable and Energy-Efficient Buildings." Committee Chairman Edward Markey (D-Mass.) commented on the building sector's often overlooked status as the emitter of up to 48 percent of the nation's greenhouse gas emissions. He declared the hearing important in raising awareness of the fact that "energy-efficient buildings must be part of a comprehensive fight against global warming."

The witness panel included actor Ed Norton, who also serves as trustee of Enterprise Community Partners, a foundation involved in building affordable housing. Other panel members were San Francisco Mayor Gavin Newsom; Kent Peterson, president of the American Society of Heating, Refrigerating and Air-Conditioning Engineers; and Michelle Moore, a senior vice president at the U.S. Green Building Council.

Rep. F. James Sensenbrenner (R-Wis.) opened a discussion on the ability of "free market forces and a more enlightened tax policy" to produce energy-efficient building practices as effectively as federal regulations. Rep. Earl Blumenauer (D-Ore.) spoke on the need for a balance between the regulatory process and free markets and, in varying degrees, panel members approved of that statement. Peterson and Moore agreed that a consensus on green standards should be built with members of the building industry and that regulations can be effective in setting industry-wide goals.

As head of the city setting the standards for energy efficient building, Newsom said that the private sector would not have moved to meet new goals without legislation pushing it in that direction. He felt that government must use taxpayer dollars to lead by example and force people to think differently about efficient building policies.

House Complete Streets Bill Introduced
REP. MATSUI LEADS HOUSE EFFORT

Earlier this month, Rep. Doris Matsui (D-Calif.) introduced the "Safe and Complete Streets Act of 2008." This bill would require states that receive federal funding for their road improvement projects to implement complete streets policies. These policies ensure that any new road construction or rehabilitation efforts would accommodate the safety and convenience of all users of the transportation system In March, Sen. Tom Harkin (D-Iowa) introduced similar legislation (S. 2686). Both pieces of legislation ensure that future transportation investments create appropriate and safe transportation facilities for all those using the road: motorists, transit vehicles and riders, bicyclists, and pedestrians of all ages and abilities.

Farm Bill Conference Report Adopted
CONGRESS SENDS VETO-PROOF BILL TO THE PRESIDENT

Last week, the House and Senate adopted the final conference report on the Farm Bill (H.R. 2419 — H. Rept. 110-627). In both chambers, the votes comfortably exceeded the two-thirds majority of those present and voting that would be required to override a veto by President Bush.

The $289 billion five-year Farm Bill sets policy for crop supports, conservation, rural energy, and food and nutrition programs. Beyond its standard farm and food programs, the bill also includes an array of tax benefits.

The conferees who put together the final package were able to win votes from members representing urban and suburban areas by providing about $10.3 billion in new funding for nutrition programs, including about $1.2 billion to restock food banks and $1 billion for a school snack program. Nutrition funding will make up more than 73 percent of the new bill.

The measure also contains provisions designed to guard against speculation in energy markets. It would set record-keeping requirements for electronic energy traders and require them to provide an audit trail. It also would set up monitoring aimed at detecting market manipulation and would increase financial penalties for such manipulation and excessive speculation.

Lawmakers expect it to head to the White House today. Their hope is that Bush will act swiftly, so they can take up the veto override votes before the weeklong Memorial Day recess.

The House and Senate also approved another one-week extension of current Farm Bill programs, giving lawmakers until May 23 to wrap up work on the bill.

House Committee Approves Transit Bill
MEASURE LINKS TRANSIT TO ENERGY CONSERVATION

On May 15, the House Transportation and Infrastructure Committee approved a measure intended to encourage more public transportation use as part of a strategy to conserve energy. The Saving Energy Through Public Transportation Act of 2008 (H.R. 6052) was approved by voice vote and would authorize $1.7 billion over two years in grants to transit agencies for fare reduction and expanded services. The legislation provides much-needed support to public transportation agencies and increases incentives for commuters to choose transit options.

With gas prices reaching record highs, the goal of the legislation is to provide an affordable alternative to driving. Households that choose public transit over driving save an average of $6,251 annually, according to the American Public Transportation Association.

The bill would also increase the federal share for alternative fuel-related equipment for buses, ferries, and cars from 90 percent to 100 percent for fiscal 2008 and fiscal 2009. It also would extend transit benefits given to all federal employees at the end of the Clinton administration to discourage driving in Washington.

Senate Committee Holds Hearing on Energy Infrastructure
CRITICAL COASTAL SYSTEMS AFFECTED BY CLIMATE CHANGE

Last Tuesday, the Senate Energy and Natural Resources Committee held a hearing on the impact of climate change on the reliability, security, economics, and design of energy infrastructure in coastal areas. Chairman Jeff Bingaman (D-N.M.) said that the "longevity of our infrastructure argues for us to look long-term in the planning and design of new systems." Panel members who testified before the committee included Virginia Burkett, chief scientist of global change programs at U.S. Geological Survey; Charles Drevna, president of the National Petrochemical and Refiners Association; and Ted Falgout, executive director of Port Fourchon, Louisiana.

Burkett was a lead author of the U.S. Climate Change Science Program report, Impacts of Climate Change and Variability on Transportation Systems and Infrastructure: Gulf Coast Study, Phase I. The report explained the risks to coastal infrastructure associated with climate change and provided the basis for her testimony. All panel members spoke on the need for more federal dollars to protect, upgrade, and repair energy infrastructure in coastal areas to avoid national disasters should a Hurricane Katrina-type situation strike again.

Drevna argued that emergency plans and funds from the Department of Homeland Security will not protect critical energy infrastructure against nature. Falgout testified that the technology exists to efficiently upgrade current energy infrastructure and that in many cases there exists an immediate need for such upgrades.