Washington Update
National Waterways Conference release
18 December 2014
FY15 Appropriations
The President has signed into law the Consolidated and Further
Continuing Appropriations Act, 2015, funding most federal agencies
through the fiscal year, with a continuing resolution funding the
Department of Homeland Security through February
27th.
The Corps of Engineers’ civil works program is funded at $5.5
billion, ($13M less than FY14 but 20% or $922M more than
requested) as follows:
General Investigations: $122 million
Construction General: $1.639 billion
Operations & Maintenance (O&M): $2.908 billion,
including $1.1B from the Harbor Maintenance Trust Fund
Mississippi River & Tributaries: $302 million
Regulatory: $200 million
Office of the ASA(CW): $3 million
The Congress again added additional funding pots, in lieu of
earmarks, as follows:
O&M: Deep Draft 165M; Inland 42M; Small ports
42.5M; Nav Maintenance 45M; Other 35M
Investigations: Navigation 5M; Deep Draft/coastal 4.1M;
Inland 4M; Small ports 2.2M
Construction: Navigation Construction 95M; IWTF projects 112M
The Corps has 60 days to submit work plans, and is required to
provide a detailed description of the ratings used to evaluate
projects in each account, how the funds were allocated, a summary
for each allocation, and a list of projects considered and the
reasons they did not receive funds. (The explanatory statement
also provides that projects may not be excluded on the basis of
being “inconsistent with Administration policy.”)
Other highlights:
The bill includes a provision, applicable government-wide,
prohibiting the use of funds to implement a new Federal Flood Risk
Management Standard until the Administration has solicited and
considered input from Governors, mayors and other
stakeholders.
The explanatory statement accompanying the bill again includes an
expression of concern over the ongoing effort to revise the
Principles and Guidelines, and directs the Corps to continue to
use the 1983 version. (additional information below)
Regarding lock and dam levels of service, the Corps is directed to
undertake an economic analysis of whether this reduced service is
in the best economic interests of the nation.
A directive to the Corps and EPA to withdraw its interpretive rule
regarding applicability of the Clean Water Act section
404(f)(1)(A). The bill does not address the pending Waters
of the US rulemaking.
With respect the WRRDA, the explanatory statement notes that most
of the funding decisions for FY15 were made in the absence of
WRRDA and that it is anticipated that WRRDA provisions will be
more fully integrated into the FY16 budget.
In support of the significant cut from $5 million to $3 million
for the Office of the ASA (Civil Works), the explanatory statement
expresses significant concern with “a breakdown in the traditional
roles and responsibilities of the White House, the Office of the
Assistant Secretary of the Army (Civil Works) and the Corps
headquarters,” and stresses that “the Administration needs to
return its focus to executing the Civil Works program and not to
addressing multiple conflicting agendas with program execution as
an afterthought.”
In the section funding OMB, OMB is prohibited from using funds to
evaluate USACE projects or reports to determine if they are in
compliance with all laws, regulations and requirements. OMB
is required to perform all policy reviews within 60 days and
notify committees when review is initiated, and that if the
appropriate committees are not provided the required reports
within 15 days of the due date, the Congress will assume that OMB
concurs with the report.
CEQ Releases Final Interagency Guidelines
The Administration has released the final Principles,
Requirements and Guidelines (PR&G) for Federal investments in
water resources. The final Principles and Requirements were
released in March of 2013, and the final Interagency Guidelines
were released yesterday. Together, they are intended to
establish the framework for how the Federal government analyzes
investments that impact water resources in light of economic,
environmental and social impacts. The PR&G direct agencies to
develop their Agency Specific Procedures.
Under a rider in the omnibus, the Corps is directed to continue to
use the 1983 Principles and Guidelines and submit a report to
Congress. The appropriations languages states:
“Concerns persist that the effort to update the Water
Resources Principles and Guidelines is not proceeding consistent
with the language or intent of section 2031 of the Water Resources
Development Act of 2007. No funds provided to the Corps of
Engineers shall be used to develop or implement rules or guidance
to support implementation of the final Principles and Requirements
for Federal Investments in Water Resources released in March 2013.
The Corps shall continue to use the document dated March 10, 1983,
and entitled "Economic and Environmental Principles and Guidelines
for Water and Related Land Resources Implementation Studies"
during the fiscal year period covered by the Energy and Water
Development Appropriations Act for 2015. If Interagency Guidelines
for implementing the March 2013 Principles and Requirements are
finalized, the Corps shall be ready to report to the appropriate
committees of Congress not later than 120 days after finalization
on the impacts of the revised Principles and Requirements and
Interagency Guidelines. The Corps shall be prepared to explain the
intent of each revision, how each revision is or is not consistent
with section 2031 of the Water Resources Development Act of 2007,
and the probable impact of each revision on water resources
projects carried out by the Secretary including specific examples
of application to at least one project from each main mission area
of the Corps.”
Based upon a brief review of the document released yesterday,
multiple concerns remain that the PR&G does not establish a
balanced, consistent and effective approach to the development of
the nation’s water resources. Further analysis will be
provided. The Interagency Guidelines can be viewed here:
http://www.whitehouse.gov/administration/eop/ceq/initiatives/PandG
Barge Diesel Fuel Tax Increased
The Senate passed tax extension legislation that included a
provision to increase the diesel fuel tax that funds major
rehabilitation and construction projects on the inland
waterways. Widely supported by industry, the legislation
increases from 20 cents per gallon to 29 cents the tax paid into
the Inland Waterways Trust Fund, effective April 1, 2015.
The measure is now headed to the President for his
signature.
2015 Legislative Summit
Save the date: March 16-18. Registration details coming
after the New Year.
National Waterways Conference, Inc.
1100 North Glebe Road
Suite 1010
Arlington, VA 22201
703-224-8007
info@waterways.org
www.waterways.org