Americans are sick
of the bickering in Washington and want both parties to cooperate and get
something done. Friday, October 9, offered proof that this can still happen.
The house passed H.R. 702, the bill to lift the decades old, and outdated, oil
export ban with 26 Democrats, joining the majority of Republicans, and voting
for it.
Yes, the
Republicans could have passed the bill without the Democrats—but there are
strategic reasons why it was important to bring as many Democrats on board as
possible. And, getting them on board wasn’t easy; it didn’t happen
naturally—especially since, two days before the vote, on Wednesday, October 7,
the White House issued a veto threat in the form of a “Statement of
Administrative Policy.” It says: “Legislation to remove crude export restrictions is not needed
at this time. … If the President were presented with H.R. 702, his senior
advisors would recommend that he veto the bill.”
Twenty-six
Democrats went against the wishes of the president and voted with the
Republicans—but the number could have, and should have, been much higher.
Getting the companion bill through the Senate will be a heavy lift as the
Republican majority there is slim. Because of the threat, a veto-proof majority
will be needed in the Senate—which is possible (remember the Keystone pipeline
bill lacked only a handful of Democrats to have made it veto-proof). The Washington
Post reported: “the measure still faces a Senate that doesn’t
appear eager to take up the issue.” A strong number of Democrats supporting the
bill in the House gets the attention of the Democrats in the Senate.
I was in the room
for the House Energy and Commerce Committee meeting that passed H.R. 702 out of
committee. I’ve met with Representatives about the bill. I’ve had some of them
on my radio show talking about it. I had the opportunity to speak
alongside nearly a dozen Members at a press conference—led by Representative
Kevin Cramer (R-ND)—the afternoon before the floor vote. I watched from the
gallery of the House Chambers when the bill was passed. While I’ve been a part
of this process, I’ve learned a lot about the “process.”
Here’s what I
observed.
The current news
about the potential replacement for House Speaker John Boehner has brought a
split in the Republican Party to the forefront. But there is an equal, perhaps
even greater, divide with the Democrats. And the two sides do have very
different views that were on display in the fight for votes in support of H.R.
702.
In both of the
votes I observed, Democrats decried the bill saying it would put billions of
dollars in the pockets of “Big Oil.” In contrast, understanding that successful
businesses mean a strong economy and employment, the Republicans addressed the
jobs that have been lost in the oil field—representing hundreds of thousands
and real people who are struggling—and touted how H.R. 702 will help.
Bringing these two
sides together is difficult—especially given the divergent views within each
party.
The split in the
GOP, as has been on display, is basically between the new legislators—many of
whom are part of the Freedom Caucus—who have been elected since 2010 and who
have never had to govern in a world where the Republicans haven’t been in the
majority in the House, and the others. These newbies are fighting over ideological
tactics. Their voters sent them to Washington to stand strong and don’t want
them to compromise. Those who have been there longer, often called: “the
establishment,” better understand “the art of the deal”—which requires give and
take.
The Democrat split
can be simply explained with two words: blue and green. On the blue team are
those whose districts contain a high ratio of “blue-collar workers,” who have
been hard hit by the bad economy. These voters care about jobs. The greens are
made up of members whose votes mirror the views of the environmental—or
anti-fossil fuel—movement.
As I’ve previously addressed, the greens indicate that they will vote for lifting
the export ban, but, as a part of the negotiating process, they want more
green/renewable energy subsidies—something that is anathema to the Republicans
who, generally, want less government spending. Inserting, for example, as
Senator Ed Markey (D-MA) wants, a permanent extension of the Production Tax
Credit for wind energy (which expired on December 31 2014), will totally kill
the bill.
Finding a
bargaining chip that both parties can accept was a challenge—especially given
that the newbies want no amendments whatsoever. However, where there is a will,
there is a way.
A coalition of
diverse parties, who want to see the oil export ban lifted, realized that
exporting U.S. oil will require ships—which means: “maritime.” Jobs in the
shipping industry are often in Democrat- as well as Republican-leaning
districts. The Maritime Security Program (MSP) was brought up. While exporting
oil decreases the dependency of our allies on insecure sources of foreign oil,
the MSP provision enhances this security benefit by further ensuring that our
allies (and our troops) do not find themselves dependent on insecure
foreign-flagged and foreign-crewed vessels. The lift-the-ban bill proved to be
an excellent opportunity to do what the defense bill says: enhance the MSP.
Within the Rules
Committee a provision for the MSP was married with the bill. As Congressman Duncan Hunter
(R-CA), a veteran of the wars in Iraq and Afghanistan, explained at the pre-vote
press conference, the MSP is vital to national defense and is something all
conservatives should care about. In short, the MSP is like a retainer that is
provided to U.S.-flagged and -staffed ships so that, in a time of war, they
can/will break the commercial contracts they have, and prioritize transporting
materials, equipment, and weaponry to our troops. Since this type of shipping
services are only needed in times of war, which is, hopefully, occasional and
sporadic, the MSP is an economically wiser choice than keeping a military
shipping fleet on stand-by.
Currently,
according to a 2011 Department of Transportation study, the MSP provides $3.1 million for each of the 60
enrolled ships that are vital to the mission. These ships cost an average of
$12,000-15,000 per day to operate. The retainer has not been updated for
inflation since the program was created in 1996. Considering the importance of
the MSP, the small increase to $5 million provided for within the
lift-the-oil-export-ban bill is a win/win as it supports national security and
appeals to the “blue” Democrats.
Unfortunately, in
the “process,” this point of negotiation got labeled a “sweetener” for the shipping industry. In the form
of the “Amash Amendment,” conservatives launched a campaign to get the MSP
provision stripped from the bill—which, due to the split in the party, likely
resulted in fewer Democrats supporting the bill. The Amendment didn’t survive, but its presence meant Democrat
Representatives could tell their “blue” constituents, “I didn’t vote for the
Amash Amendment” and, therefore, support their issues. They could, then, not
vote for the bill and tell “green” leaning voters that they didn’t vote for a
bill that helped the oil industry. Without the Amendment, the only way to show
support for the “blue,” was to vote for the bill.
Following the
bill’s passage, its author, Representative Joe Barton, (R-TX), told me: “The
maritime security provision helped shore up support for this important
legislation. The MSP helps our national defense and saves money by not
requiring the Navy to invest in new ships.”
Unfortunately, I
saw that the split in the Republican Party made it harder to bring along more
support from the Democrat members from districts where “maritime” jobs are
important. As the lift-the-ban bill moves to the Senate, hopefully its
supporters there will learn from the House and come together in a unified
way—able to end the bickering by negotiating and comprising in a mutually
palatable way to reach a bipartisan, veto-proof majority in the Senate.
The author of Energy Freedom, Marita Noon serves as the executive
director for Energy Makes
America Great Inc. and the companion educational
organization, the Citizens’ Alliance
for Responsible Energy (CARE). She hosts a weekly radio
program: America’s Voice for Energy—which expands on the content
of her weekly column. Follow her @EnergyRabbit.
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