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By Lynn L. Bergeson 

The Senate Committee on Environment and Public Works held a hearing on April 6, 2022, on the U.S. Environmental Protection Agency’s (EPA) proposed fiscal year (FY) 2023 budget. The only witness was EPA Administrator Michael S. Regan. In his written testimony, Regan states that EPA has significant responsibilities under amendments to the Toxic Substances Control Act (TSCA) to ensure the safety of chemicals in or entering commerce and addressing unreasonable risks to human health or the environment. President Biden’s proposed budget would provide $124 million and 449 full-time equivalents (FTE) to implement TSCA, an increase of more than $60 million. According to Regan, these resources will support EPA-initiated chemical risk evaluations, issue protective regulations in accordance with statutory timelines, and establish a pipeline of priority chemicals for risk evaluation. EPA “also has significant responsibility under the Federal Insecticide, Fungicide, and Rodenticide Act (FIFRA) to screen new pesticides before they reach the market and ensure pesticides already in commerce are safe.” Regan notes that in addition, EPA is responsible for complying with the Endangered Species Act (ESA) and ensuring that federally endangered and threatened species are not harmed when EPA registers pesticides. The FY 2023 budget includes an additional $4.9 million to enable EPA’s pesticide program to integrate ESA requirements in conducting risk assessments and making risk management decisions that protect federally threatened and endangered species from exposure to new active ingredients.

After Regan gave his opening statement, the Committee asked questions. Committee Chair Tom Carper (D-DE) stated that President Biden requested $124 million and hiring of about 450 FTEs to implement the Frank R. Lautenberg Chemical Safety for the 21st Century Act (Lautenberg Act). According to Carper, despite the previous Administration’s failure to request funds to support implementation of the Lautenberg Act, EPA professionals have worked hard to meet the aspirations and mandates of the Act. Carper asked Regan to describe the resource challenges that the TSCA program is currently facing and how EPA plans to fulfill its obligations under the Lautenberg Act if Congress appropriates the increase in resources requested by the Biden Administration. Regan stated that the previous Administration missed nine of ten deadlines for chemical risk review evaluations. Meanwhile, the workload for the Biden EPA has doubled, with 20 high-priority risk evaluations to do and ten risk management rules to write, but EPA is still working with the same budget that it had before the Lautenberg Act. As a result, EPA has only about 50 percent of the resources that it thinks it needs to review the safety of new chemicals quickly and in the way that the law requires. The proposed FY 2023 budget reflects what EPA thinks it will actually take to implement the Lautenberg Act in the way that Congress and stakeholders expect and deserve. According to Regan, EPA would put those resources to good use. EPA wants to keep pace with what Congress requested.

According to Senator Kevin Cramer (R-ND), the North Dakota Agricultural Commissioner sent a letter to EPA’s Office of Pesticide Programs (OPP) (still waiting for a response) about unused stocks of chlorpyrifos. In August 2021, EPA issued a final rule revoking all tolerances for chlorpyrifos. Cramer stated that under the final rule, farmers and retailers have six months to dispose of it. To date, there has been very little to no guidance on how to dispose of it, and without guidance from EPA, there is worry about improper disposal or illegal use. Cramer asked Regan if he could provide some assurance that EPA is not going to seek to punish growers that currently have product in their possession. Regan responded that in this case, like others, EPA found itself in a situation where, because of inaction over decades, the court put it on a timeline to take action. Regan stated that he can commit that the EPA regional office is working with North Dakota now to think about how to address the situation.

Commentary

As Regan noted in his testimony before the Committee, the Lautenberg Act includes statutory deadlines that EPA must meet as it evaluates existing chemicals. In addition to these mandates, after reviewing the risk evaluations completed by the previous Administration, the Biden EPA announced June 30, 2021, its plans to review and address certain issues. The Biden EPA is working to complete its revisions to the final risk evaluations and move to the risk management rulemaking stage. Under the previous Administration, EPA, in 2020 and 2021, directed significant energy to developing risk evaluations for the “Next 20” chemicals designated as high priority for risk evaluations through the TSCA prioritization process, completing scoping documents in September 2020. In light of the Biden Administration’s revised approach to risk evaluations, however, those scoping documents will need to be revisited and revised as appropriate, and work is expected to continue through 2022 and probably much of 2023. EPA also now has received four manufacturer-requested risk evaluations, three of which have been granted as of mid-December 2021, and one of which is pending. Without significant resources, the Biden EPA will struggle to meet the ambitious goals of the Lautenberg Act.

Tags: Senate, Budget

 

By  Lynn L. Bergeson

On May 28, 2021, the Biden-Harris Administration submitted President Joseph Biden’s budget for fiscal year 2022 (FY 2022) to Congress. According to EPA’s May 28, 2021, press release, the budget request advances “key EPA priorities, including tackling climate change, advancing environmental justice, protecting public health, improving infrastructure, creating jobs, and supporting and rebuilding the EPA workforce.” The President’s FY 2022 budget request supports:

  • Rebuilding Infrastructure and Creating Jobs: The budget provides $882 million for the Superfund Remedial program to clean up some of the nation’s most contaminated land, reduce emissions of toxic substances and greenhouse gases (GHG) from existing and abandoned infrastructure, and respond to environmental emergencies, oil spills, and natural disasters;
     
  • Protecting Public Health: The budget includes $75 million to accelerate toxicity studies and fund research to inform the regulatory developments of designating per- and polyfluoroalkyl substances (PFAS) as hazardous substances while setting enforceable limits for PFAS. In FY 2022, EPA will advance public health by providing an additional $15 million and 87 full-time equivalent employees (FTE) to build agency capacity in managing chemical safety and toxic substances under the Toxic Substances Control Act (TSCA);
     
  • Tackling the Climate Crisis with the Urgency Science Demands: The FY 2022 budget recognizes the opportunity in tackling the climate crisis by developing the technologies and solutions that will drive new markets and create good paying jobs. The budget restores the Air, Climate, and Energy Research Program and increases base funding by more than $60 million, including $30 million for breakthrough research through the Advanced Research Projects Agency-Climate (ARPA-C) with DOE. The budget provides an additional $6.1 million and 14 FTEs to implement the recently enacted American Innovation and Manufacturing (AIM) Act and reduce potent GHGs while supporting new manufacturing in the United States;
     
  • Advancing Environmental Justice and Civil Rights: The budget includes more than $900 million in investments for environmental justice-related work, collectively known as EPA’s Accelerating Environmental and Economic Justice Initiative, elevating environmental justice as a top priority across the agency. The budget also proposes a new national program dedicated to environmental justice to further that goal;
     
  • Supporting States, Tribes, and Regional Offices: Almost half of the total budget, $5.1 billion, will support states, tribes, and localities through the State and Tribal Assistance Grants account;
     
  • Prioritizing Science and Enhancing the Workforce: The FY 2022 budget includes an increase of 1,026 FTEs “to stop the downward slide in the size of EPA’s workforce in recent years to better meet the mission.” Within this increase are 114 FTEs to propel and expand EPA’s research programs to ensure the agency has the science programs that communities demand from EPA. Also included are 86 additional FTEs to support the criminal and civil enforcement programs to ensure that environmental laws are followed.

 

By Lynn L. Bergeson

On June 3, 2021, from 2:00 p.m. to 3:00 p.m. (EDT), the U.S. Department of Energy’s (DOE) Office of Energy Efficiency & Renewable Energy (EERE) Acting Assistant Secretary Kelly Speakes-Backman and the Deputy Assistant Secretaries (DAS) for EERE’s three technology pillars and Operations will host a webinar to discuss EERE’s fiscal year 2022 (FY 2022) budget request. DOE EERE’s three technology pillars are: Energy Efficiency, Renewable Power, and Sustainable Transportation. EERE has requested $4.7 billion in an effort to lead the transition of the national economy into a 100 percent clean energy economy. The budget request includes more than $1 billion in new funding to deploy clean energy technologies. The one-hour webinar will cover activities, programs, and initiatives proposed in EERE’s budget request. EERE’s main goals include the decarbonization of the electricity, industrial, and transportation sectors. Registration is available at https://www.zoomgov.com/webinar/register/WN_80xUPhvCQOmKaId8TNUJ7Q.


 

By Lauren M. Graham, Ph.D.

On May 23, 2017, President Trump released the Administration’s proposed budget for fiscal year (FY) 2018, which includes significant cuts to the U.S. Department of Energy (DOE), U.S. Environmental Protection Agency (EPA), and U.S. Department of Agriculture (USDA) budgets.  According to the proposed budget, funding for DOE would be cut by 5.6 percent to $28 billion, with $636 million allotted for the Office of Energy Efficiency and Renewable Energy (EERE) and $56.6 million for the Bioenergy Technologies Office (BETO).  The proposed DOE budget aims to eliminate the Advanced Research Projects Agency – Energy (ARPA-E), which advances high-potential, high-impact energy technologies that are too early for private-sector investment.
 
The proposed EPA budget of $5.7 billion would cut funding by 31 percent when compared to estimated 2017 appropriations.  Funding for the Clean Power Plan and climate change research and partnership programs, such as the Energy Star program, would be eliminated.  Also included in the cuts would be a $17 million reduction in funding for the Federal Vehicle and Fuels Standards and Certifications program, which oversees the Renewable Fuel Standard (RFS) program.  According to EPA, it will continue to implement, maintain oversight of, and evaluate compliance with the RFS program in 2018
 
Under the proposed budget, funding for mandatory USDA programs would decrease from $123 billion in FY 2017 to $116 billion in FY 2018 and funding for discretionary programs would decrease from $26 billion to $21 billion.  The Biomass Crop Assistance Program and the Rural Energy for America Program are among the programs targeted for elimination. 
 
More information on the proposed agency budgets is available at the DOE, EPA, and USDA websites.

Tags: DOE, EPA, USDA, Budget

 

On February 2, 2015, the White House released the 2016 fiscal year budget request for the U.S. Department of Energy (DOE). Under this proposed plan, DOE would receive $29.9 billion, an increase of $2.6 billion from the 2015 fiscal year. The increase in funding for DOE would focus on renewable energy, energy efficiency, and clean power technology with some of the additional money coming from DOE's fossil fuel programs. A total of $7.4 billion of the funding would go specifically towards clean energy technology, including renewable and biobased developments. The budget request would also make the renewable energy production and investment tax credits permanent. In addition to making the existing tax credits permanent, new credits were proposed that will focus on carbon capture, utilization, and storage technologies. In contrast to the proposed additional tax credits for renewables, existing tax incentives for the oil, gas, and coal industries would be repealed. The current budget request is unlikely to pass in the House of Representatives, but shows the focus on renewable energy that the current Administration holds 


 

The U.S. Department of Agriculture (USDA) released its fiscal year 2016 budget request on February 2, 2015. The proposed budget is $156 billion total, with $6 billion going directly to loans that will encourage cleaner fossil fuel use and support renewable energy in rural America. The $6 billion allocation is an increase of $1 billion that would be allocated towards loans from the 2015 fiscal year. Agriculture Secretary Tom Vilsack stated that the proposed budget "fosters innovation and advances technologies that address climate change vulnerability, improve pollinator health, combat antimicrobial resistance, encourage the development of renewable energy, and support the efficiency, sustainability and profitability of America's farmers and ranchers, particularly those just starting out."

 

 

On June 26, 2014, the Congressional Budget Office (CBO) issued a 38-page report on the federal Renewable Fuel Standard (RFS), "The Renewable Fuel Standard: Issues for 2014 and Beyond." The report examines potential compliance with the RFS through 2017 under three scenarios and evaluates the effects on food and fuel prices under each one. A copy of CBO's summary of the report is available online. A copy of the full report is available online.

The report evaluated the impact on food and fuel prices under the following three RFS scenarios through 2017: compliance with the RFS requirements for advanced, biodiesel, and corn ethanol (not cellulosic); compliance with the RFS volume requirements consistent with EPA's proposed 2014 RFS requirements; and repeal of the RFS requirements. While CBO found that food prices would be similar whether the RFS is continued or repealed, it found varying potential effects on fuel prices. For instance, CBO concluded that continuing RFS statutory requirements through 2017 would lead to increased price of all types of transportation fuels, except E85.

Advocates on both sides of the RFS debate are already using the report. Some opponents have already argued that the report's findings further support reforming or repealing the RFS. Some RFS supporters have dismissed the report's conclusions as contrary to those of other respected economists who have studied the RFS and come to different conclusions. The report comes as RFS stakeholders are eagerly awaiting EPA's release of its final 2014 RFS rule.


 

On March 4, 2014, President Obama released his fiscal year (FY) 2015 Budget request, which includes aggressive proposed funding to carry out the Administration's Climate Action Plan designed to reduce harmful greenhouse gas (GHG) emissions and the impacts of climate change. The President's FY 2015 Budget includes funding for several programs and initiatives to help facilitate the continued development and production of biofuels and biobased products. Consistent with the newly enacted Farm Bill, the Budget for the U.S. Department of Agriculture (USDA) includes increased funding for biobased product manufacturing. Given political realities and this midterm election year, it is not expected that the President's FY 2015 Budget Request will be enacted as proposed. It represents a starting point in the budget process, however, and indicates the Administration's priorities.


Here are highlights from the FY 2015 Budget proposal:


U.S. Environmental Protection Agency (EPA): While the total budget request for EPA of $7.9 billion represents a decrease of $0.3 billion from last year, the cuts are mostly found within water infrastructure funds, with several programs seeing an increase over last year's levels. EPA's budget summary document notes that the Agency intends on evaluating its workforce and "identifying needed skills for a streamlined EPA." EPA's Appendix notes that under the "TSCA Confidential Business Information [CBI] Fund," the "Budget proposes to expand EPA's existing authority to collect fees to recover a portion of the costs of reviewing and maintaining the CBI."

U.S. Department Of Energy (DOE): The FY 2015 Budget includes $27.9 billion for DOE, a 2.6 percent increase over FY 2014 enacted levels. This funding includes several programs designed to encourage and facilitate the development and production of advanced biofuels. For instance, the FY 2015 Budget would fund the DOE's:

        o Bioenergy Technology Program At $253 Million: A $12 million decrease over FY 2014. This program funds research, development and demonstration (RD&D) projects to advance biofuels technologies and to validate and assist in the commercialization of integrated biorefinery technologies that will help transform the nation's transportation sector.

        o Energy Security Trust At $2 Billion Over Ten Years: According to the DOE's FY 2015 Budget Appendix, this trust would be newly created to "support research into a range of technologies -- like advanced vehicles that run on electricity, homegrown biofuels, hydrogen, and domestically produced natural gas -- to allow the Nation to transition from oil towards more secure alternatives. The [t]rust will be funded from existing royalty revenues generated from [f]ederal oil and gas development. Establishing a guaranteed source of funding will allow the Department of Energy to maintain targeted and sustained investments that will directly advance U.S. energy security."

        o Energy Efficiency And Renewable Energy At $2.3 Billion: An increase of approximately $0.2 billion over FY 2014. Under this program, DOE invests in the development of renewable generation technologies, sustainable transportation technologies, and advanced manufacturing technologies, as well as in improving energy efficiency in our homes, buildings and industries.

        o Advanced Research Projects Agency At $325 Million: An increase of $76 million over FY 2014 levels. This program provides funding for research and development of transformational clean energy technologies.

USDA: The FY 2015 Budget includes $23.7 billion in discretionary funding for USDA, a decrease of approximately $1 billion from FY 2014. The Budget provides for the USDA launch of three new multidisciplinary agricultural research institutes, one of which would be dedicated to advanced biobased manufacturing. It also includes the mandatory funding provided in the newly enacted Farm Bill for important energy programs designed to help encourage the production of biofuels and biobased chemicals. For instance, the FY 2015 USDA Budget Request provides funding for the:

        o Biobased Markets Program At $3 Million In Mandatory Funding, the same level as FY 2014: The Biobased Markets (BioPreferred®) Program creates a procurement preference at federal agencies for biobased products.

        o Biobased Research And Development Initiative At $3 Million In Mandatory Funding, a decrease of approximately $2 million from FY 2014: This program provides competitive funding for RD&D of technologies and processes leading to commercial production of biofuels and biobased products.

        o Biomass Crop Assistance Program (BCAP) At $25 Million In Mandatory Funding: BCAP provides incentives to farmers, ranchers and forest landowners to establish, cultivate and harvest eligible biomass for heat, power, biobased products, research, and advanced biofuels. Crop producers and bioenergy facilities can team together to submit proposals to USDA for selection as a BCAP project area.

        o Biorefinery, Renewable Chemical, And Biobased Manufacturing Assistance Program At $50 Million In Mandatory Funding, a decrease of $80 million from FY 2014: This program provides competitive loan guarantees and grants for the construction or retrofitting of demonstration-scale facilities for the commercial production of biofuels, renewable chemicals, and biobased products.