“UMA ON THE HILL”
HOUSE PASSES UMA SUPPORTED DEQ BOARD REVAMP
Tom Bingham
Following the full hearing early this week in the House Natural Resources Standing Committee the 75-member House of Representatives debated and voted on First Substitute Senate Bill 21. House sponsor, Representative Bill Wright explained the bill on the House floor on Wednesday morning and amended it to include a coordinating clause to connect SB-11 and SB-21. With UMA’s and other business and industry groups’help amendments from opponents to SB-21 were resisted and the bill was voted on final passage 52-18. The bill now goes back to the Senate for concurrence with the House amendments, both those approved in Committee earlier in the week and the coordinating clause on the floor. Concurrence should be no problem in the Senate.
The following is a handout distributed to the floor of the house to explain the bill during debate:
1SSenate Bill-21
DEPARTMENT OF ENVIRONMENTAL QUALITY BOARDS REVISIONS
(Air Quality, Water Quality, Solid & Hazardous Waste, Radiation Control, Drinking Water)
What the bill does:
- Segregates the adjudication of individual permit actions from the public information gathering and rule-making function.
- Adjudication of permit and licensing decisions will follow the administrative law judge process currently used by DEQ.
- Each Board will continue its rule-making functions and facilitate robust public discussion of relevant issues.
- Board members will no longer be constrained in communicating with the public because they might later have to sit in judgment on a specific permit.
- Removes the authority of the boards to approve, disapprove or modify a proposed administrative law judge decision on a permit appeal and moves that authority to the DEQ executive director.
- Assures that the DEQ executive director will utilize legal and technical expertise in making her decision on a recommended decision of the ALJ.
- Reduces the size of each of the five boards to nine members.
- As under existing law, one of the members of each board is the executive director of DEQ, and the others are appointed by the governor from different interests and expertise, including representatives of local government, the regulated industry, environmental groups and public health professionals.
- Provides that the DEQ executive director votes only in the case of a tie.
- Assures that board members have the necessary qualifications to deal with complex environmental regulatory issues.
What the bill does not do:
- Reduce the ability of the public to comment on and appeal permits issued by DEQ divisions.
- Diminish the scope of each board’s authority to issue rules, set policy and receive public input, including setting requirements for permits.
- Change the requirements for applying for and receiving environmental permits.
- Affect the State’s delegated authority from EPA to administer environmental programs.
Utah Business Coalition Supports SB-21
Utah Manufacturers Association
Utah Mining Association
Utah Petroleum Association
Utah Farm Bureau Federation
Utah Retail Merchants
Utah Taxpayers Association
IM/Flash
Questar Gas
Utah Food Industry Association
OBAMA TO TOUT US MANUFACTURING WITH MASTER LOCK
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USMTO: 2011 ORDERS 66 PERCENT HIGHER THAN 2010
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TRANSPORTATION BOOSTED TO TOP OF POLITICAL AGENDA
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Nine out of 10 said they believed China was losing its cost advantage over other low-cost countries due to labor difficulties and regulatory hurdles … continue
U.S. FACTORY OUTPUT JUMPS IN JANUARY
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Factories boosted output last month and December ended up being their best month for growth in five years … continue
INVESTING IN U.S.-BASED MANUFACTURING PAYS OFF
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Alternative STEM Pathways Emphasized in PCAST Report
ALTERNATIVE STEM PATHWAYS EMPHASIZED IN PCAST REPORT
Manufacturing Institute President Emily Stover DeRocco served on the working group for The President's Council of Advisors on Science and Technology (PCAST), advising on programs and policies to produce one million additional college graduates with degrees in Science, Technology, Engineering, and Mathematics (STEM).PCAST released their February 2012 report to the President,Engage to Excel, which puts forth a recommendation focusing on alternative STEM pathways offering nationally portable, industry-recognized credentials that validate skills and get students closer to their higher education goals. These are the pathways The Manufacturing Institute is building in the NAM-Endorsed Manufacturing Skills Certification System.
"Besides increasing student persistence in STEM education, more students need to be attracted to STEM disciplines to produce 1 million additional college graduates over the next decade. To take advantage of the breadth of talent in STEM fields, students who need non-traditional pathways to STEM degrees require special attention. Adult and working students and those from backgrounds atypical of traditional STEM students, including returning veterans, may need alternative pathways to be successful in STEM disciplines.
New STEM pathways need to offer nationally portable, industry recognized credentials that are integrated into for-credit academic degree programs. These programs provide bridges from high school to community colleges, from community colleges to 4-year institutions, and from all institution types to STEM jobs." Read full report...
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'No longer can you invent first, be diligent, go to commercialization and then rely on that first date of invention' to win a patent battle with someone who files earlier, attorney John Kastelic says. Click to continue
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JEFF THREDGOLD'S TEA LEAF: 'RENAISSANCE MANUFACTURING (PART ONE)'
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Ahhhh, the “common wisdom” in America…so easy to pass on to associates, to family, and to friends The common wisdom is that we have lost our ability to “make things” in this country….lost it to China, Mexico, etc.
by Jeff Thredgold, CSP, President, Thredgold Economic Associates and Economist for Zions Bank Utah Policy
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The Labor Department says weekly applications for unemployment benefits dropped 13,000 to a seasonally adjusted 348,000, the fewest since March 2008 … continue
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10 TRENDS IN MANUFACTURING TECHNOLOGIES
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NAM Capital Briefing
NAM Expert Analysis: President Obama’s 2013 Budget Will Not Strengthen Manufacturing. On Monday, February 13, President Obama released his budget for fiscal year 2013. For manufacturers, there was little good news in the President’s proposal. While the NAM welcomed a few provisions, they were overshadowed by one job-killing tax increase after another.
“Instead of proposing to reform the tax code to make it simpler for manufacturing workers, the budget would make it even more complex and would leave the hard choices to bring our nation’s fiscal house back in order for another day,” said NAM Senior Vice President for Policy and Government Relations Aric Newhouse in a statement.
The NAM has long advocated for comprehensive reforms that address the fundamental drivers of our national debt and for a tax system that allows manufacturers to compete in the global marketplace. Instead, the budget is filled with tax hikes and policies that create even more uncertainty.
Here is what the NAM’s policy experts had to say about the proposed budget.
Tax Policy
Quite simply, the bad outweighs the good. On the positive side, the budget plan calls for a permanent and strengthened R&D credit and an extension of 100 percent bonus depreciation—two provisions that have the strong support of manufacturers.
On the other hand, a number of the provisions would increase taxes significantly for a wide range of manufacturers, including energy companies, U.S. worldwide companies and many small and medium-sized manufacturers operating as “S corporations” or other flow-through entities. The budget also aims to repeal the last-in, first-out (LIFO) accounting method, which would have a devastating impact on small and medium-sized manufacturers.
The budget fails to address our growing deficit and barely touches entitlement reform. Most concerning is the lack of attention to real tax reform. While the President calls for fundamental tax reform in his budget, his tax proposals make a complicated tax code even more complex and impose discriminatory tax increases on a wide range of taxpayers, moving us away rather than toward improving our current system. Details: Dorothy Coleman, (202) 637-3077.
Energy Policy
President Obama talked about his support for an “all-of-the-above” approach to energy policy in his State of the Union speech, but his budget clearly shows that he is opposed to having traditional fossil fuels make up a large part of the nation’s energy mix. The NAM strongly opposes the proposed tax increases on the oil and gas industry and is concerned that the Administration will find ways to slow production of domestic energy resources such as coal, oil and natural gas.
In addition, the Environmental Protection Agency’s (EPA) budget makes it clear that the President will continue to press forward with regulating greenhouse gas emissions. These regulations will drive up electricity costs and continue to cause great uncertainty for manufacturers. Manufacturers use one-third of our nation’s energy supply and simply cannot compete if the costs of doing business continue to increase. Details: Chip Yost, (202) 637-3175.
Labor Policy
The President’s budget requested an increase in funding for the National Labor Relations Board (NLRB). This is worrisome. While the Administration continues to maintain that the NLRB is a non-partisan, separate entity, its recent actions indicate otherwise.
The budget also includes text for Medicare Part D rebates. Prescription drug plans under Medicare are working and should not be destabilized. Details: Joe Trauger, (202) 637-3127.
Infrastructure Policy The President’s budget proposed $476 billion over six years for surface transportation investment and an additional up-front stimulus of $50 billion. While the proposals for increased long-term investment in our nation’s highways, bridges and transit systems are laudable, they are paid for by assuming a savings from reduced spending on the wars in Iraq and Afghanistan. This is not considered a serious financing mechanism among congressional lawmakers, so the proposal will not be considered. The Senate and House are at work on separate proposals to fund transportation programs for two or five years, respectively. Details: Rosario Palmieri, (202) 637-3177.
Summary
At the end of the day, the President’s $3.8 trillion budget includes some $1.6 trillion in tax increases, most of which are aimed at manufacturers. The budget would result in a $1.33 trillion deficit in 2012 and a $900 billion shortfall in fiscal year 2013. This budget will not strengthen manufacturing and, in fact, will make it even more difficult for manufacturers to compete and thrive. |
House Begins Debate on Transportation and Energy Bills. On Wednesday, February 15, the House of Representatives began consideration of the American Energy and Infrastructure Jobs Act of 2012 (H.R. 7). The bill is a long-term surface transportation reauthorization that maintains current funding levels and would streamline the permitting process to reduce bureaucratic delays. The bill also would expand domestic energy production and approve the Keystone XL pipeline. The House is expected to complete debate on the energy provisions this week and take up the transportation infrastructure provisions during the week of February 27. The NAM sent a key vote letter in support of H.R. 7. Investment in our nation's transportation infrastructure is vital to manufacturers' competitiveness.
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NAM Key Votes Energy Provisions in H.R. 7. The House of Representatives has begun consideration of the energy-related amendments to H.R. 7—the American Energy and Infrastructure Jobs Act of 2012. The NAM sent key vote letters on H.R. 7 and three energy amendments: 1) Natural Resources Committee Chairman Doc Hastings (R-WA) will offer Amendment 157, which would streamline the National Environmental Policy Act (NEPA) to allow for expedited development of renewable energy projects on federal lands and waters; 2) Rep. Edward Markey (D-MA) will offer Amendment 53, which would ban the export of natural gas; and 3) Rep. Jared Polis (D-CO) will offer Amendment 130, which would strike the bill’s section on oil shale leasing and provide a five-year window offset through increasing the federal share of drilling revenue. Click here to read the NAM’s Key Vote letter on H.R. 7.
Senate Amendment Would Approve Job-Creating Keystone Project. This week, Sens. John Hoeven (R-ND), Richard Lugar (R-IN), David Vitter (R-LA), Mitch McConnell (R-KY), Mike Johanns (R-NE) and Orrin Hatch (R-UT) filed an amendment to the Senate transportation bill (S. 1813) that would approve the Keystone XL pipeline without a presidential permit. President Obama's decision to reject Keystone last month is a major impediment to American economic growth and energy security. This legislation would authorize TransCanada to construct and operate a pipeline facility at the U.S.-Canada border and allow the company to start constructing the pipeline in the United States right away, except in Nebraska. Construction could begin in Nebraska only after the state completes an environmental review in partnership with the State Department or an appropriate federal official, and after Nebraska agrees to the route within the state. It also requires the Secretary of State to assist Nebraska in completing review of any new route within the state. The NAM strongly supports efforts to expedite approval of the Keystone XL pipeline. The project bolsters our nation’s energy security and would create 20,000 manufacturing and construction jobs and an additional 118,000 “spin-off” jobs.
Senate Addresses Costly Utility MACT Regulation. Sen. Jim Inhofe (R-OK) introduced his Utility MACT Congressional Review Act (CRA) resolution on Thursday, February 16, as a legislative stop to the Environmental Protection Agency’s (EPA) finalized Utility MACT rule that was released in December. The CRA would allow Congress an opportunity to disapprove of the EPA’s air emissions regulation on utilities, which would force power plants to install costly pollution control technologies. The NAM supports Sen. Inhofe’s action against a regulation that would cost utilities an estimated $10 billion annually by 2016. During a time when our economy is still struggling to rebuild and grow, regulations that cause increased expenses for industry and the public are damaging to our nation’s economic well-being. Utility MACT is another example of the EPA’s overreaching agenda that is creating an unfavorable environment for the U.S. economy in the global market. The NAM will continue to monitor developments on the resolution of disapproval.
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NAM Weighs in on Senate Cybersecurity Bill. The Cybersecurity Act of 2012 (S. 2105) was introduced in the Senate this week, and it will have a significant impact on every manufacturing industrial sector. Hours after the bill was made public, the NAM posted a blog entry outlining manufacturers’ commitment to our nation’s cybersecurity. While there are many encouraging sections of the proposed legislation that would help manufacturers mitigate current cyber threats, the bill also creates significant regulatory uncertainty that will have little impact on the cybersecurity of much of the critical infrastructure owned and operated by NAM members. The NAM is working with leaders in both the House and Senate to ensure that any legislation that moves forward is thoroughly vetted and works to build on manufacturers’ efforts to secure our country’s assets.
Federal Agencies Confirm Threat to GPS Technology. Lawrence Strickling, head of the Department of Commerce’s National Telecommunications and Information Administration (NTIA), sent a letter to Federal Communications Commission Chairman Julius Genachowski confirming what the NAM has been telling the Hill and the Administration for close to a year—a proposed mobile broadband network that would be launched by a company called LightSquared “will impact GPS services and that there is no practical way to mitigate the potential interference at this time.” GPS technology is utilized widely across many manufacturing sectors including agriculture, aviation, telecommunications and transportation. The deployment of broadband to all manufacturers is an NAM priority—but not at the expense of GPS manufacturers and users.
More Wireless Broadband Is Critical to Manufacturers. This week, the NAM sent a letter to the leaders of the House Energy and Commerce Committee in support of the Jumpstarting Opportunity with Broadband Spectrum (JOBS) Act. As manufacturers become increasingly dependent on the wireless Internet and advanced telecommunication devices in their daily connections with customers, employees, suppliers and valued partners, it is critical that there is enough spectrum available so that business growth and job creation are not adversely impacted. The JOBS Act will increase the availability of wireless spectrum and let the marketplace decide how it is best used.
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