Washington Report for 4-21-14

By Steve Kopperud

Immigration back on front burner for both GOP and Democrats

After months of inaction and a lot of talk, both House Democrats and Republicans are saying all the right things about comprehensive immigration reform moving this summer. Whether the House will pass a bill that can be conferenced with the Senate, approved by Congress and sent to the president’s desk before the November election remains to be seen.

President Obama and House Majority Leader Eric Cantor (R-Va.) traded political barbs last week after a phone call between the two. Cantor said he was dismayed the president had blasted Republicans for inaction on immigration reform, then called to push for House action on the Senate comprehensive immigration bill passed a year ago. Cantor said he told the president again the House will not consider the Senate’s reform bill.

House Speaker John Boehner (R-Ohio) confirmed that he’s “hellbent on getting this done this year,” referring to a House version of immigration reform. However, Boehner has said repeatedly the House will not work with the White House on the issue until President Obama “shows he’s a trustworthy partner,” referring to the GOP distrust the president would implement the law as Congress enacts it.

Meanwhile, House Minority Leader Nancy Pelosi (D, CA) continues to push a discharge petition that would bring to the floor the Democrat-sponsored House companion to the Senate immigration bill. Pelosi must convince 30 Republicans to sign on to the petition to hit the needed 218 supporters.

However, Rep. Bob Goodlatte, chair of the House Judiciary Committee through which immigration bills must move, was more upbeat about House action this year. He said last week it was “entirely possible” the House would move on immigration in 2014, likely in the form of floor votes on five to seven separate bills aimed at reforming federal immigration authority. Those bills, once approved, would likely be rolled into a single legislative package for approval and conferencing with the Senate bill.

Rep. Mario Diaz-Balart (R-Fla.) said he’s drafting a bill that would grant illegal immigrants “legal status” while allowing them to seek citizenship through the current system. He’s reportedly been told to have his bill ready for floor debate by late June or early July.

One unknown is the outcome of a review by the Department of Homeland Security as to what administrative actions the president can take if Congress doesn’t act, particularly on federal deportation policy. Rep. Jared Polis (D-Colo.) said some short-term actions by the White House will come as soon as the next few weeks, with longer-term program changes to follow later in the summer.

Business concerned over R&D tax credit as House fails to act on extenders package

The future availability of the research and development federal tax credit – currently in suspension as Congress mulls how to extend about 55 different expired tax credits – has the business community worried. Business leaders consider the R&D tax credit critical to U.S. innovation.

The Senate Finance Committee has passed a two-year extenders package, which includes all 55 tax credits. The credits range from the 20 percent R&D credit to tax credits for biodiesel, renewable diesel and other biofuels to several other personal and corporate tax credits. The House Ways & Means Committee, led by lame duck Chair Dave Camp (R-Mich.) has held hearings on the extenders package, but Camp wants to vet each group of credits, eliminate those considered obsolete or unnecessary and then make permanent the remaining credits. The goal of both committees is to get the extenders package out of the way so it can be part of broad comprehensive tax reform to be taken up in the next Congress beginning in 2015.

The critical need for the R&D credit may pull the other credits along as part of House extension action.

Obama gives strong support to ag biotech in letter to Borlaug granddaughter

Dr. Norman Borlaug, acknowledged father of the “Green Revolution” through his breakthrough work in hybridizing wheat varieties to meet world food challenges, is immortalized now in the Capitol Rotunda with the dedication of a statue in his honor last month during Ag Day celebration. President Obama, in a letter to Borlaug’s granddaughter Julie, gave his strongest endorsement of agriculture biotechnology to date.

“While I was running for president, your grandfather wrote to me about the importance of agricultural development,” Obama wrote. “I share his belief that investment in enhanced biotechnology is an essential component of the solution to some of our planet’s most pressing agricultural problems…our Nation will continue to engage in research and development in support of his life’s mission to feed the world.”

Ag groups want more time to comment on Worker Protection Rule

A number of agricultural groups have formally requested the U.S. Environmental Protection Agency give them at least 90 days longer to file comments on the agency’s proposed changes to its agricultural worker protection standard. While comments aren’t due until June 17, CropLife America said in its request for more time that “the public inspection document is over 300 pages long, is technically dense and practically impactful and therefore requires a range of expertise for development of comments.” If granted, the additional 90 days would make comments due in mid-September.

Methane emissions plan continues to draw Hill skepticism

While reports continue to indicate the White House intends to propose rules to control industrial methane emissions as part of the president’s climate action plan,” farm state lawmakers continue to warn the U.S. Environmental Protection Agency and the White House to stay away from livestock and poultry production.

In a related development, EPA released its annual inventory of greenhouse gas emissions in the United States. Agriculture contributes overall 9 percent of greenhouse gas emissions, and while carbon dioxide (CO2) continues to be the leading greenhouse gas, methane is second. Overall, greenhouse gas emissions were down 3.4 percent in 2012 over 2011.

Last week Sen. Charles Grassley (R-Iowa) sent EPA Administrator Gina McCarthy a letter outlining his questions concerning what the administration calls its “biogas roadmap,” a document to be released in June outlining voluntary steps the dairy industry can take to adopt technology – primarily anaerobic digesters – to reduce its methane emissions 25 percent by 2020. Dairy steps, it’s argued, could be adopted and adapted by other livestock and poultry producers.

Grassley asks McCarthy to give him answers on how many other countries incentivize methane-reducing protocols for their dairy or livestock industries; if livestock producers in other countries don’t reduce or increase their methane emissions, will that negate U.S. actions; what percent of the average dairy farm would need to install anaerobic digesters to hit the 25 percent reduction goal, and what are the typical costs and payoff times for an anaerobic digest on an average size dairy or livestock farm.

PEDv cases continue to rise, cutting swine herd; USDA mulls mandatory reporting

Porcine epidemic diarrhea virus (PEDv) continues to spread through the U.S. swine herd, with 257 more cases reported last week by the National Animal Health Laboratory Network, bringing to over 5,500 the number of cases reported in 30 states since the outbreak began a year ago.

Experts say PEDv reports are more frequent during winter months and warmer weather should bring a decline in the number of cases. Despite this expectation, the U.S. Department of Agriculture is considering making PEDv a reportable disease to facilitate tracking the outbreak.

The outbreak is cutting already low pork supplies, pushing consumer prices higher, experts said. Rabobank has predicted North American hog production and slaughter may drop as much as 7 percent this year and could be as bad as 12.5 percent below 2013. This decline is expected to run through 2015.

In related PEDv developments, it was reported last week Cargill has donated $150,000 to the National Pork Board to be used for research into PEDv detection and eradication. Sen. Al Franken (D-Minn.) joined several other congressional lawmakers calling on Secretary of Agriculture Tom Vilsack “to enhance (USDA) disease detection capabilities for the virus; take measures to prevent its further spread, and stretch efforts aimed at developing countermeasures, such as drugs and vaccines.” Earlier Sens. Kay Hagan (D-N.C.) and Debbie Stabenow (D-Mich.), chair of the Senate Agriculture Committee, called on Vilsack to approve disaster assistance for small producers affected by PEDv.