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OMA Environment Committee May 20, 2010 Agenda ronment Committee Chair Welcome & Roll Call Joe Bulzan, OMA Envi Smurfit Stone Legislative & Regulatory Report Kevin Schmidt, OMA Staff Counsel’s Report Frank Merrill, OMA Environmental Counsel, Bricker & Eckler, LLP S Guest Speaker Laura Powell, Assistant Director, Ohio EPA Discussion of Agency Priorities and Internal Developments pecial Lunch SAVE THE DATE: 2010 Schedule Thursday, November 11 OMA Environment Committee Meeting Committee Meetings begin at 10:00 a.m. and conclude by 1:00 p.m. Lunch will be served. lease RSVP to attend meetings by contacting Judy: [email protected] or (614) 224‐5111 or P toll free at (800) 662‐4463. dditional committee meetings or teleconferences, if needed, will be scheduled at the call of the hair. A C Thanks to Today’s Meeting Sponsor:
Transcript
Page 1: OMA Environment Committee Agenda - ohiomfg.com · Recycling Mandate Proposed for Electronics Manufacturers A slew of new government mandates on product producers are pending at the

OMA Environment Committee May 20, 2010 

 

Agenda  

ronment Committee Chair Welcome & Roll Call 

Joe Bulzan, OMA EnviSmurfit Stone 

   Legisla  tive & Regulatory Report  Kevin Schmidt, OMA Staff  C ounsel’s Report 

Frank Merrill, OMA Environmental Counsel, Bricker & Eckler, LLP  S  Guest Speaker 

Laura Powell, Assistant Director, Ohio EPA Discussion of Agency Priorities and Internal Developments 

    

pecial

Lunch   SAVE THE DATE: 2010 Schedule  Thursday, November 11   OMA Environment Committee Meeting  Committee Meetings begin at 10:00 a.m. and conclude by 1:00 p.m. Lunch will be served.  lease RSVP to attend meetings by contacting Judy: [email protected] or (614) 224‐5111 or Ptoll free at (800) 662‐4463.  dditional committee meetings or teleconferences, if needed, will be scheduled at the call of the hair. AC Thanks to Today’s Meeting Sponsor: a

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Table of Contents

Document Page#s Calendar of Events p. 3 Public Policy News p. 4 PPS Report p. 10 Bill Tracker p. 12 PPS Additional Materials (various letters) p. 14 Counsel’s Report p. 29 Kerry/Lieberman Climate Bill Highlights – Marten Law p. 40 Kerry/Lieberman / Waxman/Markey Comparison p.48 US EPA Tailoring Rule Information p.59 BAT Guidance Memo p.61

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On the Calendar BWC - Safety & Hygiene Training Classes - April - June 2010

Safex presents OSHA 10-hour General Industry Safety Training - 05/18/2010 - 05/25/2010

Bricker & Eckler & OU Seminar: Building Ohio's Advanced Energy Industry - Athens, OH - 05/18/2010

OSU Spring Ergonomics Short Course - 05/18/2010 - 05/21/2010

OMA Government Affairs Committee Meeting - 05/19/2010

Georgia Tech, FREE one-day course: Preventing and Mitigating Combustible Dust Fires and Explosions - Cincinnati -05/19/2010

OMA Environmental Committee Meeting - 05/20/2010

OMA/Jackson Lewis Webinar: Health Care Reform 2010 - Key Employer Issues - 05/26/2010

Taft Stettinius & Hollister LLP Seminar: Sustainable Success in the New Regulatory Climate - 5/27/2010

Safex: How to Handle an OSHA Inspection Seminar - "There's a new sheriff in town" - 06/01/2010 Working Partners Webinar: TO THE MINUTE UPDATES! Drug-Free Safety Program (DFSP) - 9:00 a.m. - 06/02/2010 Working Partners Webinar: TO THE MINUTE UPDATES! Drug-Free Safety Program (DFSP) - 3:00 p.m. - 06/02/2010 GBQ Seminar: Managing International and Interest Rate Risk - 06/03/2010 OMA/Safex Safety Training Session: Regulatory/Safety Training Assessments Workshop - 06/15/2010 BWC Division of Safety & Hygiene Courses - Training Center quarterly flyer - July - September 2010 GJ&M Event: 2010 Manufacturing & Wholesale Distribution Industry Update - Perrysburg, OH - 07/08/2010 OMA Government Affairs Committee Meeting - 08/25/2010 OMA Energy Committee Meeting - 11/03/2010 OMA Tax Committee Meeting - 11/10/2010 OMA Environmental Committee Meeting - 11/11/2010 OMA Safety & Workers Comp Committee Meeting - 11/18/2010 OMA Government Affairs Committee Meeting - 12/08/2010

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Public Policy News

U.S. Senator Kerry Unveils New Carbon Legislation

U.S. Senator Kerry introduced his new carbon regulation legislation this week with cosponsor Joe Lieberman. The bill aims to reduce carbon emissions by 17 percent in 2020 and by more than 80 percent in 2050. Senator Kerry expressed hope that the legislation would move before the November elections. Resources developed by the Senator's office can be found here. The OMA will follow this issue closely and provide information as it becomes available. 05/13/2010

OMA Challenges GHG Endangerment Finding

The OMA, joining a group of other trade associations, filed a motion to intervene, which was granted this week, to challenge the U.S. EPA endangerment finding regarding CO2. This endangerment finding has the potential to trigger CO2 regulations on stationary sources through the Clean Air Act.

Governor Strickland points out in his letter to U.S. EPA that control technologies for CO2 in an industrial setting are currently unknown and would likely be very costly for Ohio. The OMA believes that policies that have the potential to affect America's economy so acutely as GHG regulations should be developed by Congress and not by an administrative agency. 05/07/2010

The Dominoes Begin to Fall - U.S. EPA Rule Triggers Regulation of Emissions of Greenhouse Gases (GHGs)

U.S. EPA's final rule on Light-Duty Vehicle GHG Emission Standards, announced on April 1, 2010, was published in today's Federal Register, triggering the regulation of GHGs under the Clean Air Act. Promulgation of the Light Duty Vehicle Rule renders GHGs "regulated pollutants" under the act.

U.S. EPA's interpretation is that GHG emissions from all sources, not just mobile sources, will be subject to regulation beginning on January 2, 2011. Because this will require millions of facilities to obtain GHG permits, U.S. EPA has informally proposed a "tailoring rule" to lower the Clean Air Act threshold from 250-ton/year to 25,000 tons/year for GHGs.

Administrator Jackson has indicated that no stationary source will be required to obtain a Clean Air Act permit for GHGs in 2010 or in the first half of 2011; only those facilities that already must apply for Clean Air Act permits as a result of non-GHG emissions will need to address GHG emissions in their permit applications.

Future questions for manufacturers will include what is "best available control technology" (BACT) for carbon dioxide. U.S. EPA has indicated that energy efficiency must be considered as part of BACT. More questions to come. 05/07/2010

U.S. EPA’s Ozone Proposal Would Cost Ohio

A recent analysis by the American Petroleum Institute shows that every single county in Ohio would be classified as "non-attainment" should U.S. EPA adopt the lower threshold (60 ppb) in its most recent ozone proposal. Ohio EPA Air Division Director Bob Hodanbosi has also stated that none of Ohio’s 49 ozone monitors meet the lower threshold and only two would meet the standard if adopted at the high proposal (70 ppb). Ohio EPA would be required to adopt a plan to achieve the lower standard that would likely include tighter regulations on businesses and invasive regulations on consumers. 04/23/2010

Senator Voinovich Promotes Climate Change Preemption Amendment

Senator Voinovich released an amendment this week intended for the most recent climate change/carbon regulation proposal that would preempt states or regional entities from regulating carbon separately. The

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Senator has stated that his strong preemption language is a prerequisite to his support of any climate change bill. Senator Voinovich stated, “When it comes to climate change, letting ‘a thousand flowers bloom’ will frustrate our ability to address this problem in a manner that protects jobs, consumers, small businesses and the environment.” 04/23/2010

U.S. EPA Seeks Environmental Justice

In a recent USA Today article on Earth Day, U.S. EPA Administrator Lisa Jackson called for the environmental movement to use its significant influence to promote “environmental justice.” The phrase is a term of art referring to regulations that require regulators to look at the demographics of the area in which a manufacturing facility is, or would be located, to ensure that there is not a disproportionate impact on minority communities. This type of non-scientific requirement has been long sought by the environmental community and can be used as a means of stopping nearly any economic development project.

The OMA led the opposition to the most recent attempt to get this job-killer inserted in Ohio law in the last state operating budget. Check out Administrator Jackson’s priorities here. 04/22/2010

EPA Delays Greenhouse Gas Permits For Manufacturing Plants

On April 2, 2010, EPA published a notice delaying the date when PSD and Title V regulations will apply to greenhouse gases until after January 2, 2011. Originally, the requirements were thought to take effect on the date EPA finalized the GHG emissions standards for vehicles. The April 2 final rule therefore both clarified and delayed the applicability of PSD and Title V permitting programs to GHGs. The April notice marks the culmination of a series of events beginning in 2007 but faces challenges.

Read more in this Commentary from OMA Connections Partner Jones Day. 04/09/2010

Climate Change Regulation Webinar

Next week, OMA Member, Nucor Steel, has made available to OMA members the nationally-recognized speaker Tom Mullikin to discuss climate change and environmental regulation. His perspectives have been positively received by Fortune 500 manufacturing leaders, elected officials, and environmental managers around the globe.

This forum will provide a context for the global climate change issue, and will discuss economic impacts of climate change laws and the impacts of greenhouse gases on local communities, as well as clean energy technologies and recycling initiatives. Details and registration. 04/08/2010

Group Calls on Ohio Senators to Support Climate Change Laws

The Ohio Business Council for a Clean Economy recently sent letters to Senators Brown and Voinovich urging them to support a federal measure aimed at curbing greenhouse gasses. While it seems that the earlier Waxman-Markey version might be dead, Senators Kerry, Lieberman, and Graham have been working on an alternative proposal that is expected to be introduced in the near future.

Draft language has not yet been released, but it is rumored to contain a industry sector approach to cap-and-trade, rather than an economy-wide program. 04/08/2010

Recycling Mandate Proposed for Electronics Manufacturers

A slew of new government mandates on product producers are pending at the Statehouse. Among them is HB 447 which requires manufacturers of certain consumer electronic devices to annually register with the Director of Ohio EPA. The registration requirement includes a $5,000 per year fee ostensibly to be

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used to run a new statewide electronics recycling program. The bill also mandates that the manufacturer provide a “take-back” program to facilitate recycling of its product at cost to the manufacturer.

While the OMA is generally supportive of recycling and reuse of various materials, government incentives on consumer behavior is preferable to big-government mandates on manufacturers. The OMA’s Kevin Schmidt has reviewed the bill and is inviting specific comment by concerned manufacturers. Contact Kevin. 04/02/2010

Trial Attorneys: Global Warming is a Public Nuisance

You might recall a while back that some trial attorneys attempted to use public nuisance statutes against law-abiding Ohio paint companies. The General Assembly and the Ohio Supreme Court supported the OMA position against the ever-creative trial attorneys.

Here they come now suing companies that emit greenhouse gases as “public nuisances,” just like a “neighbor with a loud stereo.”

Read a story on this one here (thank you Carter Wood of NAM for passing it on to us all). 03/30/2010

OMA Urges U.S. EPA to Retain Existing Ozone Standards

The OMA and Ohio EPA sent separate letters this week to U.S. EPA this week urging the agency to retain the existing ozone standard and not adopt a proposed lower one.

Ohio only recently came into attainment for the 1997 ozone standard and has not yet developed a statewide implementation plan for the significantly lower 2008 standard. The standards are scheduled to be reviewed every 5 years.

It is unclear why the current administration has proposed another revision, considering that the current framework is leading to cleaner air and that the cost of meeting the proposed standard would damage Ohio's and the U.S.'s economic recovery.

The OMA was joined by a large number of other state associations in another letter here. 03/25/2010

Governor Strickland Asks U.S. EPA to Delay Regulating GHGs

Governor Strickland sent U.S. EPA a letter this week asking the agency to delay implementation of greenhouse gas regulatory activity until Congress passes a comprehensive climate bill. The Governor expressed concern that regulations developed under the Clean Air Act would have a negative effect on Ohio’s economy and working families. The Governor outlined his concerns to Ohio’s congressional delegation last year when they were considering Waxman-Markey. 03/17/2010

U.S. EPA Proposes New Costly Regs

U.S. EPA reports that since 1980, ground level ozone has decreased 25%, SO2 has decreased 71%, and since 2000 particulates (PM 2.5) have decreased 19%. Now U.S. EPA is proposing tighter SO2 regulations that would cost $1 billion if adopted, according to the National Association of Manufacturers (NAM).

NAM has submitted these comments on the proposed SO2 regulations. The comments note, among other things, that the current standards continue to lead to declines in pollution and the new regulations will be incredibly costly for very little gain.

Separately, NAM has prepared draft comments in opposition of the proposed ozone regulations. Provide feedback to NAM through OMA's Kevin Schmidt. 03/12/2010

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OMA Urges Action on U.S. EPA GHG Rule

The OMA, along with individual businesses and other groups, urged United States Senator Sherrod Brown to support a senate resolution that would halt U.S. EPA' s GHG rulemaking using the Clean Air Act. A week ago an identical resolution was introduced in the U.S. House of Representatives and has bipartisan support. 03/04/2010

Brown Challenges U.S. EPA on Greenhouse Gases

In a letter to U.S. EPA Administrator Lisa P. Jackson, U.S. Senator Sherrod Brown questioned EPA intentions to regulate greenhouse gas emissions by rule under the Clean Air Act. Brown was joined by seven other senators. "We write with serious economic and energy security concerns relating to the potential regulation of greenhouse gases (GHGS) from stationary sources under the Clean Air Act. Ill-timed or imprudent regulation of GHGs may squander critical oportunities for our nation, impeding the investment necessary to create jobs and position our nation to develop and produce its own clean energy," the senators wrote. The senators asked a series of questions of the administrator, saying "(w)e need clarification from you on a number of key questions to provide certainty to stakeholders in our states who out of necessity must make long-term capital investment decisions. Putting these investments at risk would further destabilize the economy." Ohio manufacturers have worked closely with the senator and his staff on this issue, and appreciate the letter to the EPA administrator. 02/23/2010

Companies Withdraw from Cap & Trade Support Group

The Wall Street Journal reported this week that Caterpillar, BP, and ConocoPhillips announced that they would not continue participation in the United States Climate Action Partnership (USCAP). USCAP’s stated purpose is “to call on the federal government to quickly enact strong national legislation to require significant reductions of greenhouse gas emissions.” The three companies stated that they believed they could do more to advance those interests outside of the group or have shifted focus to commercializing green technologies. 02/19/2010

U.S. EPA to Finalize GHG Rules - Manufacturers Opposed

U.S. EPA is expected to finalize its “tailoring” rule that would impose new requirements on industrial sources of CO2. The National Association of Manufacturers opposes the rule and has created this petition for manufacturers to sign. The petition requests U.S. EPA to slow down and not impose new costly requirements on manufacturers.

If U.S. EPA moves forward with this rule, it will subject manufacturers to CO2 emission regulation requiring the installation of costly emission controls and a rigorous “prevention of significant deterioration” review to obtain or renew permits. 02/18/2010

Director Korleski Makes a Surprise Visit to OMA Environment Committee

The OMA Environment Committee had planned on meeting with Ohio EPA’s chief counsel Drew Bergman this week. Instead, Ohio EPA Director Korleski stopped by to address the group. Director Korleski spoke about his trip to Copenhagen regarding GHG regulation proposals and the recent federal ruling that reversed common sense air permitting reforms (see separate story). Meeting materials are available to members to review. 02/05/2010

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Federal Magistrate Undermines Common Sense Regulations

In response to a Sierra Club challenge, a federal magistrate ruled this week to enjoin Ohio EPA from issuing permits for small sources of pollution without Best Available Technology (BAT). While BAT does not result in reduced emissions, it often results in operational inefficiency as requirements are written into permits that restrict manufacturring flexibility.

The OMA led industry support in 2006 to get this burdensome requirement removed. The OMA had submitted an amicus brief in this case supporting Ohio EPA’s position that the Sierra Club was without standing to bring the suit, among other arguments.

The OMA is urging the Ohio EPA to mount a vigorous defense of this common sense regulatory reform through all available legal channels. 02/05/2010

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Public Policy Report

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To: OMA Environment Committee From: Kevin Schmidt, OMA Staff Re: Environment Update Date: 5/20/2010

1. Ozone National Ambient Air Quality Standard (NAAQS) The Obama administration has put out notice that it intends to revise the ground-level ozone NAAQS that was set in 2008 by the Bush administration. The proposed standard, between 60 and 70 ppb, would put virtually every county in Ohio out of attainment for ozone. It has been noted that if the Obama administration uses the upper threshold as the new standard it will be incredibly difficult for Ohio to meet, while if the lower bounds of the proposal are implemented, it will be nearly impossible for Ohio to meet. In response, the OMA sent US EPA a letter asking them to retain the existing standards. Additionally, Ohio EPA sent US EPA a strongly worded letter noting the new standard could have significant detrimental effects on Ohio.

2. Carbon Emission Legislation Senators Kerry and Lieberman introduced a new climate change proposal last week that aims to reduce carbon emissions by 17 percent in 2020 and by more than 80 percent in 2050. Industrial sources will not be regulated until 2016. Senator Kerry expressed hope that the legislation would move before the November elections. When an analysis becomes available the OMA will circulate it to its members. Separately, Ohio Senator George Voinovich has drafted and is supporting an amendment that would preempt any other carbon regulations be they state or local. This amendment, if adopted, would preempt California’s and other states carbon regulation schemes.

3. US EPA’s GHG Actions US EPA issued its final light-duty truck rule which contains GHG regulations. This action technically requires US EPA to regulate GHG in all of its permits under the CAA. US EPA has noted that it will not begin requiring GHG regulations in stationary source permits; however, it is unclear if this action is lawful. The OMA, along with other trade groups and individual companies, has intervened in the legal challenge to US EPA’s endangerment finding regarding carbon. Several states are challenging US EPA’s endangerment finding noting that the science US EPA relied upon is not sufficient (recall the recent embarrassing revelations of misconduct within the IPCC). Additionally, the OMA and other Ohio businesses have asked Ohio’s delegation and Governor Strickland to support an amendment that would reverse US EPA’s endangerment finding. It seems unlikely that Speaker Pelosi or Majority Leader Reid will allow such a measure to reach a vote. Finally, On March 15, Governor Strickland sent a strongly worded letter asking to delay its regulatory approach until Congress had time to adopt a new framework better suited to carbon. The Governor noted that control technologies for carbon are currently undefined for stationary sources, the regulatory

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uncertainty could result in dramatic negative effects on Ohio, and the sheer paperwork required by such an action would bury the Ohio EPA.

4. State Legislation The Ohio Senate will hear sponsor testimony on SCR 27 today which is sponsored by Senator Bob Gibbs and urges Congress to adopt legislation invalidating GHG regulations. A similar resolution has been introduced by Representative Kris Jordan (HCR 25). Representative Jordan’s resolution calls on Congress to not enact any cap and trade legislation and, rather, encourage states to adopt their own renewable energy portfolio standards. Representative Jordan’s resolution will likely not see much movement in the House. It remains to be seen how Senate leadership may treat Senator Gibbs’ proposal.

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Environment Legislation Prepared by: The Ohio Manufacturers'

Association Report created on May 17, 2010

HB1 BIENNIAL BUDGET (SYKES, V) To make

appropriations for the biennium beginning July 1, 2009, and ending June 30, 2011 for the operation of state programs.

Current 7/17/2009 - SIGNED BY GOVERNOR, eff. 7/17/09 appropriations; other sections subject to referendum 10/16/09

Status:

Comments: Various fee changes that bear watching. Overall, budget increases resources dedicated to manufacturing needs without directly raising fees on manufacturers.

HB230 COMMON SENSE REGULATION ACT (MORAN, M) To enact the Common Sense Regulation Act to improve state agency regulatory processes, especially as they relate to small businesses, to require state departments to develop customer service training programs, and to require the director of environmental protection to provide environmental regulatory compliance assistance to small businesses.

Current 3/2/2010 - Senate State and Local Government and Veterans Affairs, (First Hearing)

Status:

Comments: None

HB301 ADVANCED ENERGY FUND (FOLEY, M) To replace the current Advanced Energy Fund revenue rider on retail electric distribution service rates with a new rider that will terminate on January 1, 2025 and permit aerospace institutes to receive Advanced Energy Fund money for advanced energy projects and economic development.

Current 1/19/2010 - House

Alternative Energy, (Fourth Hearing)

Status:

Comments: None

HB324 ENVIRONMENTAL REVIEW APPEALS COMMISSION (YATES, T) To eliminate the schedule in accordance with which the Environmental Review Appeals Commission

must issue written orders concerning certain actions that were filed with the Commission and to make an appropriation.

Current 10/27/2009 - Referred to

Committee House Finance and Appropriations

Status:

Comments: None

HCR25 CAP AND TRADE LEGISLATION (JORDAN, K) To urge the Congress of the United States to refuse to enact cap and trade legislation that would negatively impact Americans by increasing the costs of goods and services and instead enact legislation that encourages states to establish and develop their own renewable energy portfolio standards.

Current 6/17/2009 - Referred to

Committee House Public Utilities

Status:

Comments: None

HCR36 GREENHOUSE GAS REGULATIONS (MARTIN, J) To urge the Congress of the United States to pass Senate Joint Resolution 26, which proposes to invalidate regulations of the United States Environmental Protection Agency related to greenhouse gases.

Current 5/11/2010 - Referred to Committee House Environment and Brownfield Development

Status:

Comments: None

HJR1 COMPENSATION FOR VETERANS (PRYOR, R) To provide compensation to veterans of the Persian Gulf, Afghanistan, and Iraq conflicts.

Current 2/19/2009 - House Veterans Affairs, (First Hearing) Status:

Comments: None

SB3 SMALL BUSINESS EMPOWERMENT ACT (FABER, K) To require a rule-making agency to prepare a cost-benefit report for, and regulatory flexibility analysis of, rules that may have any adverse impact on small businesses, to create the Small Business Regulatory Review Board.

Current 5/12/2010 - PASSED BY HOUSE, Vote 96-1 Status:

Comments: None

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SB4 PERFORMANCE AUDITS FOR REGULATORY AGENCIES (SCHAFFER, T) To require the Auditor of State to conduct performance audits of the Bureau of Workers' Compensation, Environmental Protection Agency, Department of Natural Resources, Department of Agriculture, and Department of Health, and to require the Auditor of State to develop a schedule to provide for periodic performance audits of all state agencies.

Current 2/2/2010 - Referred to

Committee House Finance and Appropriations

Status:

Comments: None

SB18 ENVIRONMENTAL LAWS (GIBBS, B) To require the proceeds of fines paid by certain political subdivisions under environmental laws to be expended by the state in the county that incurred the fine and require the proceeds of the fines to be deposited in the General Revenue Fund.

Current 3/3/2009 - Senate Finance

and Financial Institutions, (Second Hearing)

Status:

Comments: None

SCR15 AMERICAN JOBS (WIDENER, C) To urge the Congress of the United States to refuse to enact cap and trade legislation that would negatively impact Americans though the elimination of jobs and by increasing the costs of goods and services and instead enact legislation that encourages states to establish and develop their own renewable energy.

Current 7/1/2009 - Referred to

Committee House Commerce and Labor

Status:

Comments: None

SCR27 GREENHOUSE GASES (GIBBS, B) To urge the Congress of the United States to adopt legislation invalidating regulations of the United States Environmental Protection Agency related to greenhouse gases.

Current 5/19/2010 - Senate

Environment and Natural Resources, (First Hearing)

Status:

Comments: None

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February XX, 2010 The Honorable Sherrod Brown United States Senate 455 Russell Senate Office Building Washington, D.C. 20510 Dear Senator Brown, The Ohio Chemistry Technology Council, Ohio Chamber of Commerce, Ohio Coal Association, Ohio Aggregate and Industrial Mineral Association, Ohio Petroleum Council, Ohio Soybean Association, Timken, Ohio Council of Retail Merchants & Affiliates, Flexible Pavements, the Ohio Manufacturers’ Association, and Ohio Contractors Association collectively write to urge you to support the Murkowski resolution prohibiting the U.S. Environmental Protection Agency (U.S. EPA) from regulating greenhouse gas emissions under the Clean Air Act (CAA). Your support of this resolution will help save Ohio’s businesses, jobs, and families. As you are aware, the U.S. EPA announced last December its intention to regulate greenhouse gas emissions under the CAA. U.S. EPA made this announcement despite ongoing efforts on Capitol Hill to address climate change and energy issues. Sen. Lisa Murkowski has introduced a resolution to prevent the U.S. EPA from regulating greenhouse gases because, she believes, Congress is a more appropriate forum for addressing such major issues that have economy-wide impacts. The above organizations have a variety of different viewpoints on climate change and energy issues. However, we all agree that U.S. EPA regulations would be all cap and no trade. This approach would be inflexible and cost prohibitive, thereby hurting Ohio businesses, workers and families.

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Last fall, you voiced concerns about the impact of cap-and-trade on Ohio’s economy. Our collective organizations appreciate your clear understanding of our concerns as evident in your recent letter to U.S EPA. In the letter you identify many of the same fears we have for the economy and energy security if U.S. EPA continues down this untenable path. The Murkowski resolution is expected to come up for a Senate vote sometime within the next few weeks. We are asking you to declare your support for the Murkowski resolution as soon as possible. The future of Ohio may depend on this vote. Please let us know if you need more information or if we can help you otherwise with respect to this vital matter. Sincerely,

Jack Pounds Jenn Klein President Director of Energy & Environmental Policy Ohio Chemistry Technology Ohio Chamber of Commerce

Mike Carey Patrick A. Jacomet President Executive Director Ohio Coal Association OH Aggregates & Industrial Minerals Assoc.

Terry Fleming Jeff Wuebker Executive Director President Ohio Petroleum Council Ohio Soybean Association

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Robert J. Lapp Gordon M. Gough Vice President – Government Affairs Executive Vice President & CFO Timken Ohio Council of Retail Merchants & Affiliates

Cliff Ursich Chris Runyan President Flexible Pavements Ohio Contractors Association

Kevin Schmidt Director, Public Policy Services The Ohio Manufacturers’ Association

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Purpose: To preempt regulation of, action relating to, or consideration of greenhouse gases under

Federal, State, and common law on enactment of a Federal policy to mitigate climate change.

(no.) _______

(title)

Referred to the Committee on __________ and ordered to be printed

Ordered to lie on the table and to be printed

AMENDMENT INTENDED TO BE PROPOSED BY _______

Viz:

On page___, between lines ___ and ___, insert the following:

SEC. __. OTHER LAWS.

(a) Definition of Greenhouse Gas.—In this section, the term “greenhouse gas” means any of the

following:

(1) Carbon dioxide.

(2) Methane.

(3) Nitrous oxide.

(4) Sulfur hexafluoride.

(5) Any hydrofluorocarbon from a chemical manufacturing process at an industrial stationary source.

(6) Any perfluorocarbon that is an anthropogenic gas, 1 metric ton of which makes the same or greater

contribution to climate change over 100 years as 1 metric ton of carbon dioxide.

(7) Nitrogen trifluoride.

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(8) Any other substance subject to regulation, action, or consideration due to the contribution of the

substance to climate change.

(b) Regulation, Action, and Consideration for Effects Other Than Climate Change.—

(1) IN GENERAL.—The President, the head of a Federal department or agency, the Governor of a State,

the head of a territory of the United States or a unit of local government, or any other government or

independent entity may not promulgate regulations concerning, take action relating to, or take into

consideration the control of emissions of a greenhouse gas unless the regulations, action, or

consideration are—

(A) determined by the President, Governor, or head, as applicable, after notice and opportunity for

comment, to be necessary to protect the public health from imminent and substantial harm caused by

direct human exposure to the relevant greenhouse gas in a concentration that is substantially greater

than current and projected future average concentrations of that greenhouse gas in the global

atmosphere; and

(B) based solely on effects other than effects relating to atmospheric concentrations of greenhouse

gases, including climate change.

(2) EXCEPTION.—The limitation under paragraph (1) does not prohibit regulation of, action relating to,

or taking into consideration a greenhouse gas, other than for the potential or actual effect of the

greenhouse gas on climate change, to the extent that the greenhouse gas is subject to regulation,

action, or consideration under title VI of the Clean Air Act (42 U.S.C. 7671 et seq.).

(3) EXCLUSIVE AUTHORITY.—Except as provided in paragraph (2), the Secretary of Transportation shall

have exclusive authority to regulate the emissions of any greenhouse gas from an automobile, in

accordance with chapter 329 of title 49, United States Code.

(4) JUDICIAL REVIEW.—

(A) IN GENERAL.—In addition to any other remedies available, any person affected by a regulation,

action, or consideration concerning the control of emissions of a greenhouse gas that fails to meet the

criteria described in paragraph (1) may challenge the regulation, action, or consideration.

(B) JURISDICTION.—The United States Court of Appeals for the District of Columbia Circuit shall have

exclusive jurisdiction over any review of any Federal, State, or other regulation, action, or consideration

challenged under subparagraph (A).

(c) Actions at Law.—No cause of action, whether based on common law or civil tort (including nuisance)

or any other legal or equitable theory, may be brought or maintained, and no liability, money damages,

or injunctive relief arising from such an action may be imposed, for—

(1) any potential or actual contribution of a greenhouse gas to climate change; or

(2) any direct or indirect effect of potential or actual atmospheric concentrations of a greenhouse gas.

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(d) Preemption.—Except as provided in subsection (b), this [Act] shall provide the sole and exclusive

authority for regulation of, action relating to, or consideration of any greenhouse gas pursuant to

Federal, State, or other law, including common law, directly or indirectly, whether by rule, permit,

market-based mechanism, consultation requirement, imposition of liability, or other means.

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As Introduced

128th General Assembly

Regular Session S. C. R. No. 27

2009-2010

Senator Gibbs

Cosponsors: Senators Grendell, Seitz, Buehrer

C O N C U R R E N T R E S O L U T I O N

To urge the Congress of the United States to adopt

legislation invalidating regulations of the United

States Environmental Protection Agency related to

greenhouse gases.

1

2

3

4

BE IT RESOLVED BY THE SENATE OF THE STATE OF OHIO (THE HOUSE OF

REPRESENTATIVES CONCURRING):

WHEREAS, The Administrator of the United States Environmental

Protection Agency has formally issued an endangerment finding in

the Federal Register under the federal Clean Air Act regarding six

greenhouse gases, including carbon dioxide; and

5

6

7

8

WHEREAS, The Environmental Protection Agency's efforts to

regulate carbon dioxide and other greenhouse gases under the Clean

Air Act without Congressional input represents a clear

contravention of the principle of separation of powers; and

9

10

11

12

WHEREAS, The regulation of carbon dioxide and other

greenhouse gases has serious implications with respect to the

economy of the United States and would likely result in slower or

negative economic growth, a loss of competitiveness in the global

market, and a reduction of the standard of living of the citizens

of the United States; and

13

14

15

16

17

18

WHEREAS, At a time when the economy is in a fragile period of 19

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recovery from the most severe recession since the Great

Depression, the unemployment rate exceeds ten per cent, and job

growth has been negligible, it would be unwise to embark upon a

new regulatory scheme that would create serious economic

uncertainty; and

20

21

22

23

24

WHEREAS, There are multiple joint resolutions pending in the

Congress, Senate Joint Resolution 26 and House Joint Resolutions

76 and 77, that have been introduced by members of both political

parties. Those resolutions have been introduced pursuant to

provisions of the Congressional Review Act, which authorizes

Congress to review every new federal regulation issued by federal

agencies and, by passage of a joint resolution, overrule a

regulation. The resolutions generally provide that the Congress of

the United States disapproves of the rule submitted by the United

States Environmental Protection Agency related to the endangerment

finding for greenhouse gases under the Clean Air Act; now

therefore be it

25

26

27

28

29

30

31

32

33

34

35

36

RESOLVED, That we, the members of the 128th General Assembly

of the State of Ohio, in adopting this resolution, strongly urge

the Congress to adopt legislation that disapproves of the rule of

the United States Environmental Protection Agency related to the

endangerment finding for greenhouse gases under the Clean Air Act;

and be it further

37

38

39

40

41

42

RESOLVED, That the Clerk of the Senate transmit duly

authenticated copies of this resolution to the Speaker and Clerk

of the United States House of Representatives, the President Pro

Tempore and Secretary of the United States Senate, the members of

the Ohio Congressional delegation, and the news media of Ohio.

43

44

45

46

47

S. C. R. No. 27 Page 2As Introduced

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May 17, 2010

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The American Power ActA New Start for Clean American Power and a New Economy

The American Power Act will transform our economy, set us on the path toward energyindependence and improve the quality of the air we breathe. It will create millions of goodjobs that cannot be shipped abroad and it will launch America into a position of leadershipin the global clean energy economy.

Our approach sets an achievable national pollution reduction target and refunds the moneyraised right back to American consumers and American businesses. This is not a plan thatenriches Wall Street speculators. And this is certainly not a plan to grow the government. Itis a plan that creates jobs and sets us on a course toward energy independence andeconomic resurgence. It is time for Democrats, Republicans and Independents to cometogether to pass legislation that will create American jobs and achieve energy security,while reducing carbon pollution by 17 percent in 2020 and by over 80 percent in 2050.

This bill is supported by a wide and deep coalition of business leaders, environmentalists,political leaders and others. To read just a sampling of what people are saying about thebill, click here.

To watch the press conference unveiling this bill, click here.

For a look at the details of the legislation and related bills in the Senate, please downloadany of these PDF documents:

Read the bill.

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Read a one page explanation of the bill's push to free us from our addiction to foreign oil.

Read a one page explanation of the bill's help for American consumers.

Read the press release announcing the introduction of the bill.

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Counsel’s Report

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