CQ TODAY ONLINE NEWS
– ECONOMIC AFFAIRS
July 4, 2009 – 9:39 a.m.
Both Parties Try to Cash In on Passage of Climate Change Bill
By Avery Palmer, CQ Staff
Within hours of House passage June 26 of sweeping energy legislation, the party fund-raising letters were already going out.
The Democratic message, delivered the day of the vote, said the bill to combat climate change would “create millions of new jobs” by investing in clean energy sources. Three days later, an appeal to Republican supporters took the opposite tack, calling it an “energy tax” measure that “will put millions of Americans out of work.”
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“Nobody’s going to be running away from this vote,” said Chris Van Hollen , D-Md., chairman of the Democratic Congressional Campaign Committee. “People are going to be going and proudly talking about this.”
Key Democratic leaders, including Van Hollen, had initially worried about a vote that could increase energy prices in the middle of a recession. But reports from the EPA and the Congressional Budget Office helped soften these concerns by concluding the bill’s impact on consumers would be modest.
Republicans, meanwhile, view the bill as an unacceptable government intrusion into the economy. They see parallels with a narrow House vote in 1993 to tax energy sources based on their British thermal units (BTU), which may have been a factor in the GOP takeover a year later.
Whether the vote will have any effect on next year’s midterm election remains to be seen, particularly with a health care overhaul looming as an even more consequential vote. The complexity of the energy bill makes it difficult to explain to the public, except in districts with heavy coal, oil or gas production that could see a direct impact.
“The question is, between now and November of 2010, will this still be a big vote?” said Bruce Oppenheimer, a professor of political science at Vanderbilt University. “It isn’t clear to me, other than in coal country, how to make a constituent linkage to this legislation.”
Democrat Vic Snyder of Arkansas, who voted for the bill, noted that everyone expects changes as it moves through the Senate and to conference.
“This is like the third or fourth inning of a nine-inning game,” he said. “I certainly reserve the right to vote against a final product.”
A more immediate consequence may be to galvanize core supporters in both parties. Some GOP activists are predicting a revolt against the three New Jersey Republicans who voted for the bill: Leonard Lance , Frank A. LoBiondo and Christopher H. Smith . In total, only eight Republicans voted in favor of it.
“These members are just acting like liberal Democrats and thinking they can get away with it,” said Steve Lonegan, a conservative Republican who lost the primary last month in the New Jersey governor’s race.
Rick Shaftan, a conservative strategist in New Jersey, called the vote “the straw that broke the camel’s back.” He expects a primary challenger against Smith to emerge within a week, followed by an announcement against Lance soon afterward.
The GOP has launched radio ads and robo-calls against 14 Democrats who voted for the bill, along with television advertising that targets Tom Perriello of Virginia. But a party spokesman says Republicans aren’t worried about primary challenges to their own members.
“These Republicans are veterans of tough campaigns who understand what works and what doesn’t work in their states,” said Paul Lindsay, spokesman for the National Republican Congressional Committee. “Democrats in swing districts will have a harder time explaining why over 40 members of their own party voted against this and they did not.”
But even Democrats who could face tight elections next year are defending their vote, saying the bill will help the economy. “It’s going to do more to create jobs than anything we voted on yet,” Perriello said. “I want us to be manufacturing the technology of the new energy sources here in the United States.”
Some Democrats also sealed last-minute deals that could bring jobs directly to their districts. Marcy Kaptur , D-Ohio, added language allowing the secretary of Energy to create a regional power marketing authority to distribute loans for new electricity projects.
“With the Midwest taking the brunt of the economic crisis, my priority was to bring our region additional tools to create jobs and promote energy independence,” she said in a statement.
Rick Boucher , a Virginia Democrat from a coal-producing district, also doubts the political impact will be anything like the 1993 BTU vote.
“There had not been a lot of homework done on that energy tax vote,” he said. “This work was done after years of consultation, hearings, talking with stakeholders. People have had a lot of opportunity to contribute to this bill and gain an understanding of it.”
Coral Davenport contributed to this story.




Comments
Dr. Gabriel Calzada, an economics professor at Juan Carlos University in Madrid provides this study: http://www.juandemariana.org/pdf/090327-employment-public-aid-renewable.pdf Here are some highlights: • -"Spain is a strong example of the government spending money on green ideas to stimulate its economy." • "Every "green job" created with government money in Spain over the last eight years came at the cost of 2.2 regular jobs, and only one in 10 of the newly created green jobs became a permanent job." • "No other country has given such broad support to the construction and production of electricity through renewable sources. The arguments for Spain's and Europe's 'green jobs' schemes are the same arguments now made in the U.S., principally that massive public support would produce large numbers of green jobs." • ".... the renewable jobs program hindered, rather than helped, Spain's attempts to emerge from its recession. • "Green jobs" policy clearly hinders Spain's way out of the current economic crisis, even while U.S. politicians insist that rushing into such a scheme will ease their own emergence from the turmoil." • "This study marks the very first time a critical analysis of the actual performance and impact has been made." Nevertheless, our current administration is determined to follow Spain's lead. President Obama repeatedly has said that the United States should look to Spain as an example of a country that has successfully applied federal money to green initiatives in order to stimulate its economy.
you would have to be a crazed crack whore to believe this bill will create jobs. This is an economy killer that belies any logic
I have worked for decades as an energy conservation manager at a large heavy industrial facility. I can assure you raising the cost of energy (particularly during a recession) will kill jobs, kill businesses, reduce gnp and discourage reinvestment in existing facilities let alone new ones. When I started, energy costs in the US were lower than our foreign competitors which let us have higher wages and benefits. Now our competitors have equal or lower energy costs and we are struggling because our policies have pushed electrical production from low cost coal or nuclear power to expensive natural gas. The elevated demand for natural gas to make electricity has also raised the cost of natural gas. Raising energy costs even more will break these companies backs and the backs of those companies that service them. Why are our blue collar unions selling our manufacturing industries that employ their members down the drain by supporting this radical dangerous policy?
People get the Government they deserve, afterall, they voted for this fraud. So let them lose their jobs.
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