Legislative Update

Provided by: Government Relations Inc.

CONFEREES MEET FOR THE FIRST TIME TO DISCUSS REAUTHORIZATION

House and Senate conferees met for the first time officially today to consider 12 minor, non-controversial portions of the surface transportation bill (HR 3550). While none of the provisions touches funding or other high-profile issues that are expected to vex conferees in the coming days, conferees used the time to talk about all those issues that have plagued this bill for the past several years, including donor/donee, overall funding, and the House memberÕs love affair with project earmarks.

Among the items approved today are provisions that would set aside 10 percent of funds spent for highways, transit and research for small businesses owned by economically and socially disadvantaged individuals; require regulations for high-visibility clothing worn by highway workers; allow public transportation systems to use transit funds for security improvements; end a light rail technology pilot program and emphasize that contracts for services should be competitively bid.

While most of the introductory speeches were similar, following are some of the more interesting points:

Senator Lieberman (D-CT) hoped that the conference could take place under the context that the bill would equal the Senate figure of $318 billion.

Senator McCain (R-AZ) insisted that more be done in the bill to reduce the number of rollovers and accidents that were caused by commercial motor vehicles, he did not mention the large number of earmarks or the price of the bill in his remarks, which is surprising

Congressman Mica (R-FL) said he supported the legislation and moving forward but insisted that the bill would be eliminated if donor states were not treated fairly

Congressman Bachus (R-AL) mentioned that while we may have to spend more on transportation than what the President wants, the cost of not spending on transportation is much higher. He also mentioned that the number one problem Birmingham faces in terms of transportation is ozone emissions created due to congestion.

Senator Nickles (R-OK) was the only serious detractor of the bill. He asserted the SenateÕs finance package does not fully pay for the bill, in fact he said it is about $8 billion short. Nickles does not like the proposed tax changes for ethanol and he also expressed concern that the bill will add to the deficit.

Chairman Inhofe (R-OK) has indicated that the next meeting will take place on June 23rd, at which time the House and Senate Committee staff will brief the committee on the major differences between the House and Senate bills.

Following is the list of issues that were approved:

LIPINSKI TO RETIRE SOON

Congressman Bill Lipinski (D-IL), the third ranking Democrat on the Transportation and Infrastructure Committee, is expected to announce his retirement shortly. However, he has confirmed that he will not do so until the transportation bill is either complete or well on its way to being finished.

Lipinski is the Ranking Member of the Highways, Transit and Pipelines subcommittee. The understanding is once the highway and transit bill is complete he will be gone. However, it is unclear what he will do if Congress does not pass the bill before November. There has also been speculation that he may retire before November.

Lipinski would like his successor to be his son, Daniel Lipinski, who is a professor at the University of Tennessee. Reportedly, his son has taken a leave of absence in order to establish residency in Illinois. Though, there are others who are eyeing the seat. The third district of Illinois that Lipinski represents is a sound Democratic area. Lipinski is expected to work as a consultant after he retires.

House and Senate Start Making the Final Push

According to House and Senate leaders, do not expect to see Congress sitting idle in the next few weeks. Apparently itÕs Ògo timeÓ for Members of Congress as they scramble to hold hearings, mark ups, and pass several pieces of legislation that are pending in Congress. Congress has two full weeks before Members break, once again, for the July 4th recess.

Both the House and Senate hoped this current week would be productive, however, almost all legislative action was postponed to next week with the passing of President Reagan. House and Senate leaders are telling their coworkers to expect five day work weeks in the upcoming weeks.

The House floor schedule is quickly filling for next week. Tentatively the House is scheduled to debate the stalled energy legislation from last year, the international corporate tax bill, and FY05 appropriations bills. Some say a vote on the energy bill could occur as early as next Tuesday. The Ways and Means Committee is scheduled to mark up the corporate tax bill (H.R. 4520) on Monday, and it may reach the floor by Thursday. Votes on the Homeland Security and Interior Appropriations bill may happen next Friday.

In the other chamber, the Senate will be rushing to finish up the Defense Department reauthorization bill and a bill to send more class action lawsuits to federal courts. Majority Leader Frist (R-TN) is also hoping to seek passage of the Budget Resolution, but that is dependent on his ability to persuade two of the four moderate Republicans who are holding out on the measure to vote for it. The Senate will also try and push through 25 pre-arranged, noncontroversial judicial nominees.

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