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Location:Washington DC
Monday, June 17, 2013
Technical difficulties
I may have our Blog technical difficulties worked out! Look for updates later today!
- Posted using BlogPress from my iPhone
- Posted using BlogPress from my iPhone
Wednesday, June 5, 2013
The Legislature is adjourned SINE DIE
Those are such sweet words. Sine Die. From Latin it means "without day" and applied to the legislative process it means without assigning a day for a future meeting or hearing. In Nebraska it means 49 senators heard home until the first Wednesday after the first Monday in January 2014. Business for 2013 is completed.
Yesterday the Legislature passed LB 90, the net metering sales tax bill and the Governor signed the bill late yesterday evening. And, like all other bills that passed this session without an emergency clause, it will become law on September 6. Three months after the end of session.
Bills with the emergency clause, also known as an e-clause, become law as soon as the Governor signs them or after the Legislature overrides a veto. Those bills are designated with an "e" following the bill number. Bills with an e-clause require 30 votes to pass and not 25 as is the case for a regular bill.
LB 517e, the bill that creates the Water Funding Task Force was passed by the Legislature on March 29 and was approved by the Governor on June 4. It is currently law. Meeting dates have already been established and the Task Force will be up and running soon.
Before the Legislature adjourned the Governor addressed the body. He focused on tax breaks for citizens and passing juvenile justice reform. His comments were all positive and appreciative. There was no mention of the overrides on the Governor's line item vetoes in the budget bills. You can read Governor Heineman's Address on the Governor's website.
Since this was the first half of the two-year session, bills that did not pass or were not killed this year will carry-over into the 2014 session. So when we start up next year, things will move quickly as new bills are introduced and carry-over bills are debated at the same time.
While the Legislature has adjourned sine die, there is still work to be done in the interim. Interim studies will be evaluated by the Committees they were assigned to and planning for hearings and study meetings will begin soon. I will update you on interim studies of interest to NREA as soon as we have more information.
As for me, at least for the next week, I will put into high gear the final plans for the NREA Youth Tour. We leave next Friday, June 14, with 23 high school students from across Nebraska.
Kristen Gottschalk
- Posted using BlogPress from my iPad
Yesterday the Legislature passed LB 90, the net metering sales tax bill and the Governor signed the bill late yesterday evening. And, like all other bills that passed this session without an emergency clause, it will become law on September 6. Three months after the end of session.
Bills with the emergency clause, also known as an e-clause, become law as soon as the Governor signs them or after the Legislature overrides a veto. Those bills are designated with an "e" following the bill number. Bills with an e-clause require 30 votes to pass and not 25 as is the case for a regular bill.
LB 517e, the bill that creates the Water Funding Task Force was passed by the Legislature on March 29 and was approved by the Governor on June 4. It is currently law. Meeting dates have already been established and the Task Force will be up and running soon.
Before the Legislature adjourned the Governor addressed the body. He focused on tax breaks for citizens and passing juvenile justice reform. His comments were all positive and appreciative. There was no mention of the overrides on the Governor's line item vetoes in the budget bills. You can read Governor Heineman's Address on the Governor's website.
Since this was the first half of the two-year session, bills that did not pass or were not killed this year will carry-over into the 2014 session. So when we start up next year, things will move quickly as new bills are introduced and carry-over bills are debated at the same time.
While the Legislature has adjourned sine die, there is still work to be done in the interim. Interim studies will be evaluated by the Committees they were assigned to and planning for hearings and study meetings will begin soon. I will update you on interim studies of interest to NREA as soon as we have more information.
As for me, at least for the next week, I will put into high gear the final plans for the NREA Youth Tour. We leave next Friday, June 14, with 23 high school students from across Nebraska.
Kristen Gottschalk
- Posted using BlogPress from my iPad
Location:State Capitol
Tuesday, June 4, 2013
89th day
It is officially the second to last day of the 2013 session. Only bills on final reading today--there is not time for anything else.
Included in the mix of bills on today's agenda is LB 90, legislation that will authorize the collection of sales tax only on the net billing of a customer generator. You may recall that in the past this bill was introduced on behalf of NREA. This year NREA decided to remain neutral on the issue and the original bill sponsor (Ken Haar) moved forward with introduction. The bill had a bit of a battle on Select File--Senator Jim Smith of Omaha spoke in opposition to the bill because he felt that net metering customers would receive preferential treatment regarding sales tax collection. Based on the gross revenues policy of the state, he is correct. He also spoke about the need for the State to establish an energy policy and not pass energy issues in a patchwork process. He is also correct on this point. Senator Smith is a firm believer that it is the role of utilities to provide electricity at the lowest cost possible with the highest level of reliability. He feels that bills like LB 90 are contrary to this objective.
There was a significant amount of anti-net metering discussion that we have not heard before. Surprisingly one the the people to testify against LB 90 and to speak in opposition to the subsidy involved in Net metering was Senator Tyson Larson of O'Neil. It was a surprise because he introduced LB 598, legislation that would expand the mandated threshold of qualified generation eligible for net metering. It will be interesting to see if this was all a matter of political game playing or if there is a change in attitude about subsidizing customer generators on the backs of ratepayers.
It is likely that LB 90 will pass today. You can watch the process when the legislature convenes at 10 am this morning. LB 90 is the first bill up.
Since the bill is on Final Reading it would take a motion to return the bill to Select File for a specific amendment in order for there to be any further discussion. So far none has been filed. If there is no motion the bill will be read and voted on.
Kristen Gottschalk
- Posted using BlogPress from my iPad
Included in the mix of bills on today's agenda is LB 90, legislation that will authorize the collection of sales tax only on the net billing of a customer generator. You may recall that in the past this bill was introduced on behalf of NREA. This year NREA decided to remain neutral on the issue and the original bill sponsor (Ken Haar) moved forward with introduction. The bill had a bit of a battle on Select File--Senator Jim Smith of Omaha spoke in opposition to the bill because he felt that net metering customers would receive preferential treatment regarding sales tax collection. Based on the gross revenues policy of the state, he is correct. He also spoke about the need for the State to establish an energy policy and not pass energy issues in a patchwork process. He is also correct on this point. Senator Smith is a firm believer that it is the role of utilities to provide electricity at the lowest cost possible with the highest level of reliability. He feels that bills like LB 90 are contrary to this objective.
There was a significant amount of anti-net metering discussion that we have not heard before. Surprisingly one the the people to testify against LB 90 and to speak in opposition to the subsidy involved in Net metering was Senator Tyson Larson of O'Neil. It was a surprise because he introduced LB 598, legislation that would expand the mandated threshold of qualified generation eligible for net metering. It will be interesting to see if this was all a matter of political game playing or if there is a change in attitude about subsidizing customer generators on the backs of ratepayers.
It is likely that LB 90 will pass today. You can watch the process when the legislature convenes at 10 am this morning. LB 90 is the first bill up.
Since the bill is on Final Reading it would take a motion to return the bill to Select File for a specific amendment in order for there to be any further discussion. So far none has been filed. If there is no motion the bill will be read and voted on.
Kristen Gottschalk
- Posted using BlogPress from my iPad
Location:State Capitol
Friday, May 3, 2013
To Washington DC and Back Again
For most of this past week I have been in Washington DC with representatives from NREA's member-systems participating in the NRECA Legislative Rally. Unfortunately both the House and Senate were in recess so we were not able to meet directly with our Congressional delegation. All was not lost...we had very productive meetings with key staff members in each of Nebraska's Senate and House offices.
Key issues that we discussed were:
1. Preserving Tax Exempt Financing and ask the Nebraska Delegation to oppose changing a necessary funding tool that has been in place for the last 200 years.
2. Asking our Congressional delegation to oppose the efforts to designate Coal Combustion Residuals (Coal Ash) as a hazardous material and remind the members of the beneficial recycling of the leftover product from coal generation.
3. Ask our Congressional Delegation to support the $4 billion in funding for the Rural Utility Service (RUS) Loan Program, but oppose the efforts to to limit the loan program and prohibit RUS loans for distribution and transmission development. We reminded our Delegation that the RUS Loan Program actually generated revenue for the federal government!
4. Ask our Congressional Delegation to oppose efforts by the Federal Communications Commission to regulate pole attachments for Electric Cooperatives and Rural Public Power Districts.
5. Ask our Congressional Delegation to direct the Department of Energy to allow for long-term waivers from the energy efficiency standards for electric resistance water heaters that are used in demand response (load control) programs.
We left beautiful 70 degree weather to return to Nebraska in a snowstorm!
Yesterday (May 1) the Nebraska Legislature passed LB 154, NREA's bill to add utility vehicles to the "move over" law. The vote passed unanimously with the members that were present. Now the bill will move over to the Governor's desk and await his signature. The bill will officially become law three months following the end of the session. We very much appreciate the efforts of Senator Dubas to bring this bill forward.
The legislative dam has started to break, but we still have many controversial issues to discuss. When the Nebraska Legislature returns from their long weekend off they will begin the state budget General File discussion. Seven budget bills are on the agenda early for Tuesday, May 7. Following the budget discussion will be the continuation of the debate on school financing. I'm making no predictions at this point if they have a chance to move that far on Tuesday.
While things are moving along at a bit quicker pace, it is apparent that some Senator Priority Bills will not be heard this year. There are 18 days left to complete their business and enough work to keep them busy for months!
Kristen Gottschalk
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Location:State Capitol
Tuesday, April 16, 2013
Lengthy Floor Debate Continues
As I type this I am listening to the floor debate on the Medicaid expansion bill LB 577. The debate started at 10 am this morning and it will be the only topic they discuss today and the conversation may very well continue tomorrow. It is after 5:00 pm and senators remain cordial and the debate seems meaningful. The reality is that battle lines are drawn in this debate as to whether to expand Medicaid to at least 54,000 Nebraskans, and very few votes will be changed based on the extended discussion. While bill sponsors feel they have the 25 votes to pass the bill, there is not the same confidence that they have the 30 votes to override a veto by Governor Dave Heineman.
As slow as the process has been, LB 388, the Right of First Refusal Bill has bucked the trend of extended debate. Last Wednesday (April 10) the bill came up on a special Select File agenda at the end of the day. After a brief, obligatory introduction of the bill, senators advanced the bill from Select File to Final Reading on a voice vote. In less than 30 seconds the bill is one step closer to becoming law.
Well today's debate ended at a reasonable 5:15 p.m., there must be an event on the legislative calendar that requires their attention so the conversation will wait until tomorrow morning (April 17). The agenda for April 17 begins with LB 577, once again. While not required by the rules, it is typical for senators to wait until eight hours of debate have taken place before making a Cloture motion. A cloture motion is a motion that suggests that sufficient debate has taken place and it is time to take action on the bill. If there are 33 votes in agreement, then debate will end and senators will vote first on any pending amendment and then on advancement of the bill with no additional discussion.
Kristen Gottschalk
- Posted using BlogPress from my iPad
As slow as the process has been, LB 388, the Right of First Refusal Bill has bucked the trend of extended debate. Last Wednesday (April 10) the bill came up on a special Select File agenda at the end of the day. After a brief, obligatory introduction of the bill, senators advanced the bill from Select File to Final Reading on a voice vote. In less than 30 seconds the bill is one step closer to becoming law.
Well today's debate ended at a reasonable 5:15 p.m., there must be an event on the legislative calendar that requires their attention so the conversation will wait until tomorrow morning (April 17). The agenda for April 17 begins with LB 577, once again. While not required by the rules, it is typical for senators to wait until eight hours of debate have taken place before making a Cloture motion. A cloture motion is a motion that suggests that sufficient debate has taken place and it is time to take action on the bill. If there are 33 votes in agreement, then debate will end and senators will vote first on any pending amendment and then on advancement of the bill with no additional discussion.
Kristen Gottschalk
- Posted using BlogPress from my iPad
Location:State Capitol
Wednesday, April 3, 2013
Slow Moving Process
The agenda continues to move at a very slow pace. Filibustering is the name of the game. While we do hear the voice of one senator more often than others, the filibuster game is being played by many members.
When the hard copy NREA report went out last week I indicated that just past the halfway mark for the legislative session only 61 bills had been passed and approved by the Governor. Here we are on Day 53 and we still have only 61 bills that will become law. I don't see that number changing anytime soon.
Some of the bills being filibustered have managed to overcome a cloture vote (vote to end debate) on General File and advance, but only with the promise that the bill concerns will be worked out before the bill comes up in the next round of debate.
One benefit of the filibustering this year is that senators are now more aware that they need to be intimately familiar with their own bills and not just hope that their "good idea" will move forward with little discussion. Real answers are expected.
LB 388, the right of first refusal bill (ROFR), proved to be an exception to the trend of extensive debate. Today,within 45 minutes, the bill was advanced with the committee amendment, AM454, attached. LB 388 is considered by the electric industry to be a critical issue and necessary to pass this session. The Southwest Power Pool is expected to issue an order to construct new transmission later this year and without a ROFR law on the books, they would be required to put the transmission construction out to bid with no preference to incumbent transmission owners. The bill advanced with no dissenting votes. NREA Supports LB 388.
The Speaker of the Legislature has indicated that full day debate will be just that. It is his intention to continue floor debate until 6 or 6:30 in the evening instead of the usual 5 p.m. end time for the next three weeks. Beginning April 22, senators will work even later on Monday and Wednesday nights. The speaker also has promised late nights throughout the week as soon as the state budget comes out of Committee.
We are optimistically looking for the inclusion of a Consent Calendar to move some non-controversial legislation. It is the Speaker's discretion to offer a Consent Calendar. Consent Calendar is a special agenda consisting of non-controversial bills with no opposition in Committee. The bills will be given 15 minutes from introduction to advancement. Bills that are opposed or last longer the the allowed time limit will be removed from the agenda and will fall to the bottom of the list for future consideration. LB 154, NREA's bill to add utility vehicles to the state's "Move Over Law", is an excellent candidate for Consent Calendar.
Hopefully the blockage of legislation will subside and I will have more to discuss!
Kristen Gottschalk
- Posted using BlogPress from my iPad
When the hard copy NREA report went out last week I indicated that just past the halfway mark for the legislative session only 61 bills had been passed and approved by the Governor. Here we are on Day 53 and we still have only 61 bills that will become law. I don't see that number changing anytime soon.
Some of the bills being filibustered have managed to overcome a cloture vote (vote to end debate) on General File and advance, but only with the promise that the bill concerns will be worked out before the bill comes up in the next round of debate.
One benefit of the filibustering this year is that senators are now more aware that they need to be intimately familiar with their own bills and not just hope that their "good idea" will move forward with little discussion. Real answers are expected.
LB 388, the right of first refusal bill (ROFR), proved to be an exception to the trend of extensive debate. Today,within 45 minutes, the bill was advanced with the committee amendment, AM454, attached. LB 388 is considered by the electric industry to be a critical issue and necessary to pass this session. The Southwest Power Pool is expected to issue an order to construct new transmission later this year and without a ROFR law on the books, they would be required to put the transmission construction out to bid with no preference to incumbent transmission owners. The bill advanced with no dissenting votes. NREA Supports LB 388.
The Speaker of the Legislature has indicated that full day debate will be just that. It is his intention to continue floor debate until 6 or 6:30 in the evening instead of the usual 5 p.m. end time for the next three weeks. Beginning April 22, senators will work even later on Monday and Wednesday nights. The speaker also has promised late nights throughout the week as soon as the state budget comes out of Committee.
We are optimistically looking for the inclusion of a Consent Calendar to move some non-controversial legislation. It is the Speaker's discretion to offer a Consent Calendar. Consent Calendar is a special agenda consisting of non-controversial bills with no opposition in Committee. The bills will be given 15 minutes from introduction to advancement. Bills that are opposed or last longer the the allowed time limit will be removed from the agenda and will fall to the bottom of the list for future consideration. LB 154, NREA's bill to add utility vehicles to the state's "Move Over Law", is an excellent candidate for Consent Calendar.
Hopefully the blockage of legislation will subside and I will have more to discuss!
Kristen Gottschalk
- Posted using BlogPress from my iPad
Location:State Capitol
Friday, March 15, 2013
Day 43
What I thought would be a slow week in Lincoln for the NREA has turned into quite a busy week.
I started my week in Washington DC, escaping the 11 inches of snow that fell on Sunday. My flight was delayed, but I did make it. I participated in the American Public Power Association's (APPA) Legislative Conference. While most of the issues that NREA is interested in are covered by the National Rural Electric Cooperative Association (NRECA), one critical issue is not. That issue is Tax-Exempt Financing.
Federal Policy makers are constantly on the lookout for new revenue to either provide deficit reduction or reduce federal income tax. We have seen an increasing number of proposals to tax the interest on municipal (tax exempt) bonds. While such a change would most certainly increase the cash flow to the federal government, the impact would fall on state and local governments, including public power, through higher infrastructure costs.
Together with other members of the Nebraska public power industry, I was able to visit with our members of Congress on this important issue. We were also able to express our gratitude to Congressman Lee Terry for introducing a resolution that outlines continued support for use of tax exempt financing by public power systems.
Back in Lincoln on Thursday, I received word that the Natural Resources Committee was poised to advance LB 598, Senator Larson's bill to increase the mandated threshold for net metering from 25 kW to 100 kW. While the Committee wanted to create an amendment protecting rural electric providers, by creating an exemption for utilities where the distribution system is not able to accommodate the new generation for a variety of reasons, there was still interest in moving forward with 100 kW to support projects like Danny Kluthe's methane digester. Mark Van Skiver did an excellent job at the hearing explaining the concerns with placement of net metering generation this, no doubt, is why the Committee suggested an amendment.
I was able to visit with each of the Committee members except one and express our concerns with the advancement of the bill. Our managers and grassroots coordinators were contacted to call the committee members and express concern with the advancement of the bill. As a result, they did not vote on the bill and it remains in Committee. I wish I could say that we have stopped this issue entirely, but that is not the case. We have delayed the bill and it will not likely have a chance to pass this year, but there is still interest in it from some of the committee members. I will keep you updated!
Kristen Gottschalk
- Posted using BlogPress from my iPad
I started my week in Washington DC, escaping the 11 inches of snow that fell on Sunday. My flight was delayed, but I did make it. I participated in the American Public Power Association's (APPA) Legislative Conference. While most of the issues that NREA is interested in are covered by the National Rural Electric Cooperative Association (NRECA), one critical issue is not. That issue is Tax-Exempt Financing.
Federal Policy makers are constantly on the lookout for new revenue to either provide deficit reduction or reduce federal income tax. We have seen an increasing number of proposals to tax the interest on municipal (tax exempt) bonds. While such a change would most certainly increase the cash flow to the federal government, the impact would fall on state and local governments, including public power, through higher infrastructure costs.
Together with other members of the Nebraska public power industry, I was able to visit with our members of Congress on this important issue. We were also able to express our gratitude to Congressman Lee Terry for introducing a resolution that outlines continued support for use of tax exempt financing by public power systems.
Back in Lincoln on Thursday, I received word that the Natural Resources Committee was poised to advance LB 598, Senator Larson's bill to increase the mandated threshold for net metering from 25 kW to 100 kW. While the Committee wanted to create an amendment protecting rural electric providers, by creating an exemption for utilities where the distribution system is not able to accommodate the new generation for a variety of reasons, there was still interest in moving forward with 100 kW to support projects like Danny Kluthe's methane digester. Mark Van Skiver did an excellent job at the hearing explaining the concerns with placement of net metering generation this, no doubt, is why the Committee suggested an amendment.
I was able to visit with each of the Committee members except one and express our concerns with the advancement of the bill. Our managers and grassroots coordinators were contacted to call the committee members and express concern with the advancement of the bill. As a result, they did not vote on the bill and it remains in Committee. I wish I could say that we have stopped this issue entirely, but that is not the case. We have delayed the bill and it will not likely have a chance to pass this year, but there is still interest in it from some of the committee members. I will keep you updated!
Kristen Gottschalk
- Posted using BlogPress from my iPad
Location:State Capitol
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