Posted on 05/19/2008 7:33:29 PM PDT by calcowgirl
SACRAMENTO Powerful state senators from both parties are challenging Gov. Arnold Schwarzenegger's proposed spending spree on selected state programs to address global warming.
Drawing particular scrutiny is the Institute for Climate Solutions, a new creation of the Schwarzenegger-appointed Public Utilities Commission that would cost ratepayers $600 million over its 10-year life.
During a recent Senate committee hearing, Republicans and Democrats claimed the institute was illegal without Legislature approval. That sparked a blunt exchange between lawmakers and Michael Peevey, the commission president who at one time pounded the table to drive home his points.
The confrontation was as much about direction and control as dollars and cents. Democrats say they want to block a potential end-run of their priorities and are concerned that the governor's budget borrows too much from other environmental programs to cover costs associated with his campaign to address climate change.
We want it to be independently funded by the next budget year with sustainable new sources of revenue, said Sen. Alan Lowenthal, D-Long Beach, chairman of a budget oversight subcommittee.
Democrats also interpret Schwarzenegger's budget priorities as a strategic march toward a more business-friendly approach to rolling back greenhouse gas emissions linked to global warming.
For Republicans, some of whom dismiss the threat of climate change as overblown, the issue centers on the cost to taxpayers and businesses when the state is staggering under a huge budget deficit and a slumping economy.
This is no time to be starting new projects, said Senate Minority Leader Dave Cogdill, R-Modesto.
Republicans threaten to hold up any budget-balancing agreement until the governor uses his authority to delay implementation of new emission-cutting regulations aimed at industry. However, many regulations will not become law until Jan. 1, 2010. More far-reaching standards could take at least 18 months to draft and a few years to ramp up, said Mary Nichols, chairwoman of the Air Resources Board.
Foreshadowing a stalemate, both Schwarzenegger, a Republican, and Democrats vowed not to bend to the GOP demand.
The governor is not inclined to slow the greenhouse gas rule-making process, said Linda Adams, secretary of the state Environmental Protection Agency.
The administration is counting on the emerging green-economy to offset potential economic losses.
There are a number of economic analyses out there, said Eileen Tutt, one of Schwarzenegger's climate-change advisers. One thing that is missing is what are the impacts of doing nothing?
Administration officials warn that global warming could prolong dry spells, turn forests into tinderboxes and disrupt food production.
Not convinced, Cogdill noted that the green businesses are not here now. Businesses that are here now are struggling.
Nevada is aggressively pursuing California companies, advertising that it does not have greenhouse-gas-reduction laws.
Those are one of the carrots Nevada is holding up, Cogdill said.
Lowenthal also opposes a temporary delay.
I don't think Mother Nature is slowing down climate change, Lowenthal said.
Democrats are reluctant to rubber-stamp Schwarzenegger's proposed spending on global warming programs, from research to pilot projects.
Leading lawmakers of both parties are looking to slash dozens of positions and millions of dollars in spending sprinkled throughout state agencies, from the agriculture to the water departments. The slice of state departments potentially affected by no means the overall budget for global warming related efforts tallies more than $107 million and about 190 jobs.
One of the targets is the Public Utilities Commission, which legislators contend violated the law by starting its Institute for Climate Solutions without their consent. They also question whether its work would be redundant given the amount of research already under way.
The commission's decision to collect the $60 million needed per year from only investor-owned utilities, such as San Diego Gas & Electric Co., was branded unfair.
With no authority over utility rates, senators on the budget panel voted to strike a similar amount $60 million elsewhere from the commission's 2008-09 budget.
A separate Senate committee that examines utilities and in particular Robert Dutton of Rancho Cucamonga, the Senate Republicans' lead budget writer was equally critical.
After Peevey was taken aback by questions over the institute's $60 million budget, Dutton said, I'm looking at programs I've got to cut for needy people. Don't make light of the fact that it's $60 million.
Peevey pounded the table, reminding lawmakers that they are the ones who passed Assembly Bill 32 that requires dramatic reductions in greenhouse gas emissions, particularly from the energy sector. The $60 million works out to 15 cents a month on the average bill to address the greatest challenge of our time, Peevey said.
Passage of the law, countered Sen. Christine Kehoe, D-San Diego, doesn't mean it's an agency free-for-all to spend millions.
Lawmakers on both committees indicated they will require the PUC to secure legislation before the institute can continue.
Kehoe asked Peevey point-blank whether the PUC will comply.
I can't answer that, Peevey said. Kehoe shot back: You need to think about it.
Democrats are also wary of the governor's emphasis on programs they believe will rely more on a cap and trade program. That policy would allow high-emissions industries that have reached the maximum allowable levels to buy credits from less-polluting companies in order to comply with emission-reduction rules.
Senators are also openly skeptical of progress on Schwarzenegger's broader agenda. His team needs to prove that the efforts are consistent with law and not merely executive orders and press releases, said Lowenthal, the Long Beach senator and chairman of a budget oversight subcommittee.
What's wrong with this picture?
(not like it's anything new)
For what it’s worth, allow me to be the first to say this is the LAST thing this state needs to have on its mind. California must be the most broke, defecited state ever. The bond rating there must be miserable. Why not worry about that?
bump
I’m sure Hussein will be there to revive the military infrastucture so important to California. /s
"Show me just what Mohammed brought that was new, and there you will find things only evil and inhuman, such as his command to spread by the sword the faith he preached." - Manuel II Palelologus
I cannot think of any Arnold idea that has not been a failure. Since he has been elected, it is one massive failure after the other and now he is the laughing stock of both sides.
The left mocks him the right he has attacked and they abandoned him.
Comrade Schwarzennegger is definitely in for the rebranding
One was actually supposed to know better by at least acting like a Republican, but he just could/would NOT do it!!!
OH, BY THE WAY
THE PACIFIC LEGAL FOUNDATION IS FILEING A NOTICE TO THE DEPT. OF INTERIOR TO DELIST THE POLAR BEAR.
http://community.pacificlegal.org/NETCOMMUNITY/Page.aspx?pid=183&srcid=183
Excellent news! Kudos to PLF
Isn't it sad that so much energy has to be expended just to reach sanity?
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