House Energy Bill, HR 3221 - text of the bill.

http://www.rules.house.gov/announcement_details.aspx?NewsID=2822

House Renewable Energy Tax Bill, HR 2776 - text

http://www.rules.house.gov/announcement_details.aspx?NewsID=2821

Other Notes

It is a matter of continuing debate and vote counting whether a CAFÉ amendment will be offered. The deadline for Members to submit amendments to the House Rules Committee is COB Wednesday, August 1.

Rep. Markey may offer a revised version of his CAFÉ bill, H.R. 1506. Rep. Baron Hill is planning to introduce an alternate CAFÉ amendment, HR 2927.

It remains to be seen if Rep. Tom Udall will introduce his bill, H.R. 969, or a variation of it to establish a Renewable Portfolio Standard (RPS) mandate for generating electricity from renewable sources.

The Senate earlier approved a separate Energy bill, H.R. 6 as amended which is attached.

Articles for Your Information

CQ TODAY
July 31, 2007 - 1:45 p.m.
Deal Clears Way For Friday House Vote on Energy Package by Jeff Tollefson, CQ Staff

House leaders have brokered a compromise with energy-state Democrats on a few key provisions of a broad energy package, paving the way for a potential floor vote Friday.

The new energy package (HR 3221) is an amalgam of energy bills produced by 11 committees that Democrats say would steer the nation in a new direction on energy policy, increasing efficiency, spurring research and investment in new technologies, and better regulating the oil and gas industry.

Leadership aides say the 786-page bill will come to the floor Friday, along with a $16 billion tax package (HR 2776) produced by the Ways and Means Committee. The bills will be joined in a single rule Thursday but debated and voted on separately on the floor, according to a spokesman for House Speaker Nancy Pelosi, D-Calif.

Responding to pressure from Democrats representing energy-producing states, Pelosi and Natural Resources Chairman Nick J. Rahall II, D-W.Va., D-Calif., agreed to drop or amend several provisions from a bill (HR 2337) Rahall's panel approved June 13. That measure, as approved by Natural Resources, would tighten environmental regulations for new energy projects, address alternative fuels development and energy efficiency, greenhouse gas capture and storage, the impact of climate change on fish and wildlife, and other topics.

With those negotiations settled, the biggest remaining issues are potential amendments to set new fuel efficiency standards for automobiles and a federal mandate for renewable electricity. Advocates of the "renewable portfolio standard" expressed confidence in a strong vote, although the outcome of a potential amendment on fuel efficiency standards remains uncertain.

The new bill drops language that would have all but ended the "royalty in kind" program, which allows companies to pay their royalties in oil and gas rather than cash. The bill also drops language eliminating deadlines for implementing a federal program established in the 2005 energy law (PL 109-58) to designate national energy corridors in an effort to expedite construction of electric transmission lines.

The Bureau of Land Management would have 45 days to process oil and gas drilling permits, instead of 90 days under the previous language; the 2005 law set a 30-day deadline as part of a broader effort to hasten production on federal lands.

The changes are unlikely to satisfy Republicans or the oil and gas industry - and possibly some Democrats - who have said the bill would hamper domestic production. But supporters say the revised bill represents a workable compromise.

Although he still supports the original provisions, Rahall said the new version would help ensure "responsible and honest management" of federal oil and gas resources.

"Any time you compile such a far-reaching piece of legislation, compromises are an inherent part of the process," he said.

Rep. Gene Green, a Texas Democrat who led the negotiations, said the compromise was a significant step forward, but he added that at least four or five of the 25 or so energy-state Democrats he has been talking to plan to vote against the bill anyway.

Tax Bill Still Targeted

Although Pelosi has so far resisted any concessions on the tax package, Green said she did agree to hold a separate vote on the package, allowing members of his group who generally oppose the tax package to vote for the energy bill but against the tax provisions.

"As long as we keep the tax title separate, I think we can pass the underlying legislation," he said. "People say the energy industry is making all kinds of money and they are, but if you keep hitting them with taxes . . . they are not going to be able to reinvest to make sure that we can get energy."

Green said there might yet be hope for a compromise, pointing out that Pelosi has called for another meeting with the group.

A Democratic leadership aide countered Green's assessment of the negotiations over the tax provisions, saying a separate vote was always planned on the tax package.

The bill also includes language intended to recoup billions of dollars in royalties being lost on faulty leases in the Gulf of Mexico. The leases suspended royalties in the late 1990s to spur production when prices were low, but a technical error has allowed many companies to continue producing oil and gas without paying royalties despite a huge increase in prices over the past few years.

The bill would require companies either to renegotiate their leases or to pay a new conservation fee if they want to bid on future leases. Several versions of this language have appeared in various bills in both chambers over the past two years, including the farm bill (HR 2419) passed last week and the energy bill passed by the House in January (HR 6).

Democrats also added language on behalf of Colorado Democrats that would block surface occupancy for potential drilling operations on the Roan Plateau in Colorado.

and this from E&ENews

1. ENERGY POLICY: No 'green light' from Pelosi on CAFE amendment just yet (07/31/2007)
Alex Kaplun, E&ENews PM reporter

House Democratic leaders appear unlikely to press for a vote on vehicle fuel efficiency this week, even as they refuse to close the door on other members who might pursue such a move on their own.

House Speaker Nancy Pelosi (D-Calif.) told reporters this afternoon no lawmaker has informed her of an intention to offer a corporate average fuel economy (CAFE) amendment to the energy bill later this week.

"I am not aware of any intention to bring up such legislation," Pelosi said. "I read about that in the paper and that people would like to see certain things happen, but as to whether [lawmakers] would bring their amendments to the Rules Committee, I am not aware of that at this time."

The Rules Committee is scheduled to meet Thursday to determine which amendments it will allow to the energy package. The underlying bill is expected on the floor Friday.

When pressed by reporters on whether she would back CAFE or renewable portfolio standard amendments, Pelosi responded that she has no intention of preventing members from offering amendments to the bill.

"I have not prohibited anyone from bringing a CAFE standard or an electrical standard amendments to the floor," she said. "They may bring them. They may not. I haven't seen them come forward yet."

She later added, "I am not prohibiting it from happening, the Rules Committee will work its will, but they cannot act on an amendment that has not been proposed."

While Pelosi has said she supports boosting CAFE to 35 miles per gallon, several lobbyists think she has not been personally involved in whipping votes for that legislation, leaving that up to Rep. Ed Markey (D-Mass.) and his allies.

A spokeswoman for Markey said this afternoon the lawmaker has still not made a decision on whether he will ask the Rules Committee to allow a vote on his amendment that would boost CAFE to 35 mpg by 2019.

"The determination [on whether to offer the amendment] is what we think is going to be neccessary to get that strong standard in the final bill," said Markey spokeswoman Jessica Schafer. "We are going to continue to work with the speaker to put together the strategy that ensures that the final bill is going to get a CAFE standard."

Environmental groups are still trying to build support for the 35 mpg mandate, and several have said in recent days that Markey and his supporters are waiting for a green light from Pelosi before deciding whether to offer the bill.

"Markey isn't stupid and neither is [Energy and Commerce Committee Chairman John] Dingell. They're not going to offer their amendment until they get a signal that she will allow a vote on the amendment," said one environmentalist this afternoon.

Dingell (D-Mich.) has thrown his support behind a competing CAFE proposal offered by Reps. Baron Hill (D-Ind.) and Lee Terry (R-Neb.) that would set a CAFE standard of no less than 32 mpg and no greater than 35 mpg by 2022.

An aide for Hill said today the congressman intends to ask the Rules Committee to allow a vote on his legislation.

For his part, House Majority Leader Steny Hoyer (D-Md.) took a more definitive stance than Pelosi, telling reporters that he did not expect CAFE to be part of the House bill, though he maintained that it could emerge out of a conference with the Senate.

"I think you are going to see the energy package that was announced is the energy package we will try to pass," Hoyer said.