My name is Peter Wray and I am Co-Chair of the Conservation Committee, Allegheny Group of the Sierra Club. The Sierra Club is pleased to be allowed to join other organizations in presenting to you this morning our concerns regarding the potential impact of the Bush Administration?s proposed Budget for FY 2004.
First, I would like to emphasize that the Bush administration's proposed budget for fiscal year 2004 continues the assault on environmental protection that started on day one of the administration. I will deal with three areas: the EPA itself, conservation of natural resources, and energy issues.
The Environmental Protection Agency. Over two years the EPA Budget has been reduced six percent, to $7.6 billion for FY 2004. However, this cut is actually more severe in some areas that have potential impact for Pittsburgh. Water Quality. As the Congressman knows, there is a need to address the major problem of storm water flowing into our sewer systems. In this regard: The Clean Water Act State Revolving Fund, which loans money to states to pay for sewage plants, would decline from $1,350 million in FY 2002 to only $850 million in FY 2004, a cut of 37 percent. Projects addressing particular needs in specific places and including a range of activities, including water treatment, sewage control, and non-point pollution -- would be reduced from $459 million to a mere $98 million. How these funding cuts may affect the plans to refurbish the sewer system in AlleghenyCounty is not yet clear. Enforcement. Programs of civil enforcement, compliance monitoring and incentives are the backbone of federal enforcement, but the Bush budget would leave the enforcement workforce with 100 fewer staff positions than in 2001. Superfund.
Conservation of Natural Resources National Parks. The Bush administration continues to shortchange America's national parks. The proposed budget fails to meet the administration's repeated commitment to eliminate the $4.9 billion maintenance backlog by 2006. While the FY 2004 budget contains a $1 billion backlog reduction proposal, in fact, much of this money will go not to reducing the backlog, but to new and unavoidable facility maintenance and construction needs. We do not know the status of funding for NP initiatives in this region. Land and Water Conservation Fund. As authorized by Congress, a portion of the vast revenues generated by oil and gas drilling in the Outer Continental Shelf are set aside in a trust fund to pay mostly for land acquisition to protect important land and water resources, including urban and historic preservation, building urban parks. Although the Land and Water Conservation Fund has never received its full authorization of $900 million annually, it has worked well for decades. Bush's budget betrays this fund, raiding it to pay for 15 other extraneous programs while claiming to fully fund the LWCF. In reality, it slashes at the core of the Fund reducing federal land acquisition by more than 50 percent, from $429 million in FY 2002 to $187 million for FY 2004.
Department of Energy Renewable Energy. Under Bush's budget, renewable energy funding would increase by $62 million to $444 million. However, this deceptive increase funds unproven new initiatives while cutting or flatlining proven, core renewable energy programs including solar, wind, geothermal power and biomass. The increases in the renewable energy account are largely attributed to an additional $60 million to fund the president's FreedomFUEL initiative, and $15 million to fund a vague new climate program. This shift in funding would benefit initiatives that will take decades to materialize, while shortchanging proven clean energy programs that provide us a clear path toward energy independence today. Energy Efficiency. Bush's budget proposes reducing the overall energy conservation program by $20.7 million from FY 2002, despite increases in weatherization and additional funding for hydrogen fuel technologies. The core energy efficiency line items for building and industrial technologies would be cut by 21 percent and 36 percent, respectively. These programs help reduce energy usage by homeowners, consumers and industry. SUV Tax Credit.
While the president talked about the need to reduce our dependence on foreign oil during his State of the Union address, his budget would expand a tax loophole that encourages small businesses to purchase the heaviest, most gas guzzling SUVs.
The administration proposal would allow any taxpayer who uses their vehicle for business purposes to deduct up to $75,000 if they purchase monster SUVs that weigh more than 6000 pounds, such as the Hummer H2, Lincoln Navigator, and Toyota Land Cruiser. Nuclear Energy Research and Development.
Bush's budget proposes nearly a 19 percent increase over FY 2002 appropriations for nuclear energy research and development. The budget proposal includes $63 million in funding for pyro-processing in the Advanced Fuel Cycle Initiative (AFCI). Pyroprocessing poses nuclear proliferation risks because it separates out materials that can be used in nuclear weapons. The proposal also requests $48 million for the Nuclear Energy Technologies program, the objective of which is to pave the way for new nuclear power plants by 2010.
To summarize the impact of the Bush administration's budget on environment-related programs in Pittsburgh, we should be concerned about the effect on EPA enforcement, on the upgrade of our sewage and water treatment system, on the clean-up of industrial sites, on efforts to improve energy efficiency, and on developing heritage sites.