In this issue:

Recently, Sen. Lindsey Graham (R-S.C.) has shown willingness to work with Democrats on the climate bill, joining Sen. John Kerry (D-Mass.) in drafting provisions aimed at attracting moderates on both sides. However, it is unclear which cuts will be made as the bill moves toward the Senate floor and whether transportation will remain a priority.

Senate Vote Ends Vitter-Bennett Amendment Debate
CONTENTIOUS CENSUS QUESTION NOT REQUIRED

The Senate voted to end debate on the FY 2010 Commerce Department appropriations bill, ending consideration of a contentious amendment offered by Sens. David Vitter (R-La.) and Robert Bennett (R-Utah) that would have denied funding for the Census Bureau unless the agency added citizenship and immigration status questions to the 2010 census. The 60–39 cloture vote fell along party lines, with Democrats voting in favor and only Sen. John McCain (R-Ariz.), ranking minority member on the census oversight subcommittee, opting not to vote. After the cloture vote, the parliamentarian determined that the amendment was not in order under Senate rules.

The Senate then gave final approval to its version of the FY 2010 Commerce, Justice, and Science Appropriations bill (H.R. 2847), sending it to a conference committee that will reconcile differences between the House and Senate measures. The bill includes $7 billion for the 2010 census, versus $6.91 billion appropriated by the House.

Livable Communities Act Gains Momentum
HOUSE BILL EXPECTED SOON

The Senate Banking, Housing and Urban Affairs committee plans to take up the Livable Communities Act (S. 1619), with action scheduled before the end of the year. A House version of the bill is expected before the Thanksgiving recess. Committee action in both the House and Senate has been delayed by debate and action on financial regulatory modernization and reform.

S. 1619, introduced by Sen. Christopher Dodd (D-Conn.) in August, would create competitive planning grants for creating comprehensive long-term plans that integrate transportation, housing, land use, and economic development, as well as challenge grants for projects in public transportation, affordable housing, complete streets, transit-oriented development, and brownfield redevelopment. Additionally, the bill would establish a federal Office of Sustainable Housing and Communities at the Department of Housing and Urban Development to administer and oversee the Livable Communities grant programs. It would also authorize the federal Interagency Council on Sustainable Communities, which would include representatives from the Department of Housing and Urban Development, the Department of Transportation, the Environmental Protection Agency, and other federal agencies to coordinate federal sustainable development policies.

President Extends Home Buyers Tax Credit
INCOME RESTRICTIONS LIFTED FOR POPULAR MEASURE

On November 6, President Obama signed the Worker, Homeownership and Business Assistance Act of 2009 (H.R. 3548), which extends the First Time Home Buyers Tax Credit through April 30, 2010, and expands the original income limits for the credit. The legislation was passed earlier in the week on a unanimous Senate vote and a vote of 403–12 in the House.

The tax credit was due to expire on November 30, 2009. It was originally established to benefit first-time home buyers (defined as those who have not owned a home in the past three years) with incomes below $75,000 for singles and $125,000 for couples. The bill raised the income limit to $125,000 for singles and $225,000 for couples. The credit still applies only to home purchases under $800,000. The act also established a $6,500 tax credit for current homeowners who have lived in their residence for at least five years. The same income and price limits apply.

During debate on the bill, several supporters of the extension expressed interest in linking the credit to location efficiency standards to help ensure that the tax credit supports revitalization of communities and infill. These amendments were not introduced but may form the basis for future legislation aimed at reforming the tax code to promote smart growth development.

Congress Clears FY 2010 Spending Bill for EPA, Interior, and Forest Service
APPROPRIATIONS BOOSTED FOR CLIMATE, SMART GROWTH

In late October, Congress approved the FY 2010 Interior and Environment appropriations bill, which includes $32.2 billion in discretionary budget authority, a $4.7 billion increase over the FY 2009 enacted level. The total includes $10.3 billion for the Environmental Protection Agency, 35 percent more than FY 2009 funding, and provides a 67 percent increase for programs addressing global climate change. The final language included the administration's request for $5.146 million for the EPA's Smart Growth office, a major boost for the program. The Department of Interior was funded at $11 billion, and $5.3 billion was appropriated for the Forest Service.

The final conference agreement also included a continuing resolution that would fund the federal government through December 18. To date, Congress has completed five of the 12 FY 2010 spending bills.

Environmental Protection Agency

Department of Interior

Voters Reject TABOR Measures
BALLOT INITIATIVES DEFEATED IN WASHINGTON, MAINE

Voters in Maine and Washington rejected similar measures modeled on the so-called "Taxpayer Bill of Rights" (TABOR). In both states, the measures sought to impose spending limits on state and local budgets and require voter approval of any increases. "No" votes prevailed 60 percent to 40 percent in Maine and 55 percent to 45 percent in Washington.

Similar initiatives were defeated at the ballot box in 2008 in Maine, Nebraska, Oregon, and more recently in California. Despite aggressive, paid signature drives, TABOR initiatives have previously failed to make the ballot in Ohio, Missouri, Oklahoma, Montana, and Michigan. Between 2005 and 2009, TABOR legislation was introduced in 28 states.

To date, Colorado remains the only state to have adopted a TABOR measure. However, in 2005, voters in Colorado opted to suspend the TABOR revenue limit for five years.

Future for Transportation Programs Still Undecided
TWO- TO FOUR-YEAR AUTHORIZATION BEING CONSIDERED

National surface transportation programs continue to be funded at FY 2009 levels under a second continuing resolution. The latest extension was included in the FY 2010 Interior and Environment spending bill, and continues funding for all government programs until December 18. In the meantime, debate continues on Capitol Hill regarding next steps for transportation.

In the last week there have been rumblings from lawmakers in the House about approving a "mini" two- to four-year authorization bill. This idea was raised recently by House Majority Whip James Clyburn (D-S.C.). Roughly $75 to $90 billion would be required for legislation, and there have been no commitments from House leadership to make the funding available. The biggest issue for a transportation authorization, short-term or long, remains finding revenue sources to support needed investment in infrastructure.

Now that the House has approved its health care bill, the schedule has opened up. But the Senate is still bogged down with both climate and health care, and is unlikely to consider even a six-month extension before Thanksgiving. The administration still supports an 18-month extension with limited policy changes.