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Posted by: mturnipseed on 09/18/2009 11:16 AM
Updated by: mturnipseed on 09/18/2009 11:16 AM
Expires: 01/01/2014 12:00 AM
California Capitol Hill Bulletin -- September 17, 2009
California Institute for Federal Policy Research
California Capitol Hill Bulletin
Volume 16, Bulletin 26 -- September 17, 2009 [view online or pdf]
To expand communications between Washington and California, the California Institute provides periodic bulletins regarding current activity on Capitol Hill that affects our state. Bulletins are published weekly during sessions of Congress, and occasionally during other periods.
CONTENTS OF THIS ISSUE:
Appropriations: Institute Publishes California Implications of House Homeland Security Appropriations
Immigration: House Homeland Security Examines SBInet
Resources: House Natural Resources Bills Move Forward
Education: House Passes HR 3221, The Student Aid and Fiscal Responsibility Act
Climate: Senate Energy & Natural Resources Explores Impact of Greenhouse Gases Trading Program
Health: Report Released on Reforming Physician payments In CA
Event: California Institute to Host Smart Grid Lunch
Report: PPIC Finds Californians Want Change But Approach Reform Cautiously
California Institute for Federal Policy Research
California Capitol Hill Bulletin
Volume 16, Bulletin 26 -- September 17, 2009 [view online or pdf]
To expand communications between Washington and California, the California Institute provides periodic bulletins regarding current activity on Capitol Hill that affects our state. Bulletins are published weekly during sessions of Congress, and occasionally during other periods.
CONTENTS OF THIS ISSUE:
Appropriations: Institute Publishes California Implications of House Homeland Security Appropriations
Immigration: House Homeland Security Examines SBInet
Resources: House Natural Resources Bills Move Forward
Education: House Passes HR 3221, The Student Aid and Fiscal Responsibility Act
Climate: Senate Energy & Natural Resources Explores Impact of Greenhouse Gases Trading Program
Health: Report Released on Reforming Physician payments In CA
Event: California Institute to Host Smart Grid Lunch
Report: PPIC Finds Californians Want Change But Approach Reform Cautiously
---------------------------------------------------------------------
Appropriations: Institute Publishes California Implications of House Homeland Security Appropriations
The California Institute has prepared an analysis from a California perspective of the House FY10 Appropriations for the Department of Homeland Security. This analysis is now available on the website (www.calinst.org) at: FY10 Homeland Security - http://www.calinst.org/pubs/dhs10house.shtml .
A PDF version of the report is also available on the website. Additional analyses of the House and Senate FY 2010 Appropriations bills will be published in the near future.
Immigration: House Homeland Security Examines SBInet
The House Homeland Security Subcommittee on Border, Maritime and Global Counterterrorism, chaired by Rep. Loretta Sanchez (Lakewood), held a hearing Thursday, September 17, 2009 on “The Secure Border Initiative: SBInet Three Years Later.” The focus of the hearing was the Department of Homeland Security’s Secure Border Initiative physical infrastructure fencing and the virtual fence known as SBInet.
The witnesses were: Chief David Aguilar, U.S. Border Patrol, U.S. Customs and Border Protection; Mr. Mark Borkowski, Executive Director, Secure Border Initiative, U.S. Customs and Border Protection; Mr. Timothy E. Peters, Vice President and General Manager, Global Security Systems, The Boeing Company; and Mr. Richard Stana, Director, Homeland Security and Justice Issues, Government Accountability Office.
In her opening statement, Chair Sanchez noted that the Boeing SBInet contract is expiring soon and the hearing would give the Subcommittee the opportunity to assess “the progress, or lack of progress in this program.” She was particularly concerned by the SBInet program’s ongoing struggle with transparency and the pattern of delaying planned deployments. She pointed out that in the Tucson sector two projects, Ajo-1 and Tucson-1, were expected to be fully operational and able to be accepted by DHS by the end of the 2008. Instead, Tucson-1 is not expected to be ready until December 2009 and Ajo-1 not until June 2010. In fact, she said, SBInet’s full deployment along the southwest border, now estimated by Boeing and CBP to occur in 2016, will be 7 years after the original contract end date of 2009.
She was also concerned about the increasing costs of the physical border fencing. The cost of pedestrian fencing has increased from $3.5 million per mile to $6.5 million per mile, Sanchez stated, and the cost of vehicle fencing has increased from $1 million to $1.8 million per mile.
Chief Aguilar and Director Borkowski testified that as of the end of August, approximately 632 miles of fence has been constructed. Of that, approximately 334 miles are pedestrian fence and the remaining 298 miles are vehicle fence. The target is approximately 670 miles. They acknowledged the delays, but focused on the lessons learned from them. They testified that they now felt they were making “appropriate progress towards the deployment of SBInet. They also stated that “SBI has not been fully satisfied with Boeing’s performance to date. It is worth noting, however, that Boeing delivered Project 28 on a firm fixed price task order basis and absorbed tens of millions of dollars in losses in order to correct the initial deficiencies, demonstrating a significant commitment to deliver a useful capability.”
Mr. Peters discussed the lessons learned from Project 28, the initial effort to prototype a system of networked sensor towers that can provide surveillance and situational awareness over stretches of the border. Many of those lessons have now been incorporated into the development of a new system called Block 1, including:
- Active involvement of the entire user community in the system design and function;
- Laboratory testing of components, systems and subsystems, and the creation of an operationally
representative test-bed for field testing; and
- A substantially improved Common Operating Picture.
Peters also pointed out the commitment and investment Boeing has made to SBInet, noting it has built a systems integration lab in Huntsville, Alabama; established the Rapid Application Development/Joint Application Development lab in Arlington, Virginia; and created modeling and simulation tools to support development.
For the testimony of all the witnesses, go to: http://homeland.house.gov .
Resources: House Natural Resources Bills Move Forward
Several bills under the jurisdiction of the House Natural Resources Committee were considered during the past two weeks.
- H.R. 1043, introduced by Rep. George Miller (Martinez), was passed by the House under suspension of the rules on September 8, 2009. It provides for a land exchange involving certain National Forest System lands in the Mendocino National Forest in the State of California, and is titled, the “Deafy Glade Land Exchange Act.” Sen. Feinstein has a companion bill in the Senate, S.1571.
On September 10, 2009, the Committee approved the following bills:
- H.R. 2442, sponsored by Rep. Miller, to amend the Reclamation Wastewater and Groundwater Study and Facilities Act to expand the Bay Area Regional Water Recycling Program, and for other purposes. "Bay Area Regional Water Recycling Program Expansion Act of 2009;" and
- H.R. 2522, sponsored by Rep. Elton Gallegly (Simi Valley), to raise the ceiling on the Federal share of the cost of the Calleguas Municipal Water District Recycling Project, and for other purposes.
For further information, go to: http://resourcescommittee.house.gov .
Education: House Passes HR 3221, The Student Aid and Fiscal Responsibility Act
On September 17, 2009, the House passed HR 3221- the Student Aid and Fiscal Responsibility Act by a vote of 253 to 171.
Generally, the bill, SAFRA:
- invests $3 billion to bolster college access and completion support programs for students.
- strengthens the Perkins Loan program, a campus-based program that provides low-cost federal loans to students, by providing the program with more reliable forms of credit from the federal government and expanding the program to include significantly more college campuses.
- keeps interest rates low on need-based - or subsidized - federal student loans by making the interest rates on these loans variable beginning in 2012. These interest rates are currently set to jump from 3.4 percent to 6.8 percent in 2012.
- simplifies the FAFSA form
- invests $2.55 billion in Historically Black Colleges and Universities and Minority-Serving Institutions to provide students with support to stay in school and graduate.
- provides loan forgiveness for members of the military who are called up to duty in the middle of the academic year.
- converts all new federal student lending to the Direct Loan program. Beginning July 1, 2010, all new federal student loans will be originated through the Direct Loan program, instead of through lenders subsidized by taxpayers in the federally-guaranteed student loan program.
- provides funds for community college campuses in need of repair.
- creates an Early Learning Challenge Fund, which would award competitive grants to states that implement comprehensive standards-based reform of the state's early learning system aimed at:
- transforming early education standards and practices, building an effective early childhood workforce, and improving the school readiness outcomes of young children.
- provides schools with access to funding for green, energy efficient modernization, renovation and repair projects
- provides school districts with funds for school modernization, renovation, and repair projects
- saves $87 billion over ten years by switching to the Direct Loan program
- reduces entitlement spending by $10 billion.
The bill also includes $40 billion to increase the maximum annual Pell Grant scholarship to $5,550 in 2010 and to $6,900 by 2019. Starting in 2011, the scholarship will be linked to match rising costs-of-living by indexing it to the Consumer Price Index plus 1 percent.
Total Pell funding for each California Congressional District is provided below (in millions of dollars):
District No. of 2010 Pell Students 2010 Pell SS Total Pell Dollars HR3221
CA-01 17,440 $68.7 $85.4
CA-02 23,692 $91.3 $113.5
CA-03 23,131 $89.9 $111.7
CA-04 14,846 $54.8 $68.2
CA-05 24,771 $96.9 $120.4
CA-06 8,991 $35.2 $43.7
CA-07 13,820 $53.2 $66.1
CA-08 16,322 $67.9 $84.4
CA-09 17,990 $74.4 $92.5
CA-10 10,824 $41.7 $51.8
CA-11 16,304 $63.5 $78.9
CA-12 12,349 $50.6 $62.8
CA-13 16,013 $64.1 $79.6
CA-14 6,968 $27.4 $34.1
CA-15 12,521 $51.2 $63.6
CA-16 16,688 $68.6 $85.3
CA-17 15,393 $58.4 $72.6
CA-18 23,926 $95.8 $119.1
CA-19 23,745 $93.2 $115.8
CA-20 22,605 $89.5 $111.2
CA-21 26,409 $104.5 $129.8
CA-22 25,300 $97.5 $121.2
CA-23 13,285 $51.3 $63.7
CA-24 11,127 $43.2 $53.7
CA-25 22,751 $87.0 $108.2
CA-26 15,677 $62.5 $77.7
CA-27 16,813 $68.5 $85.1
CA-28 16,581 $68.3 $84.9
CA-29 23,677 $101.0 $125.5
CA-30 10,608 $44.7 $55.6
CA-31 17,037 $73.0 $90.8
CA-32 24,760 $105.2 $130.8
CA-33 22,321 $93.3 $116.0
CA-34 18,923 $77.6 $96.4
CA-35 23,552 $94.6 $117.5
CA-36 11,520 $45.4 $56.4
CA-37 26,838 $105.0 $130.5
CA-38 19,640 $77.8 $96.6
CA-39 17,253 $67.6 $84.0
CA-40 13,590 $55.1 $68.5
CA-41 22,801 $88.2 $109.6
CA-42 11,775 $47.3 $58.7
CA-43 21,645 $83.7 $104.0
CA-44 17,938 $68.4 $85.0
CA-45 18,497 $70.8 $87.9
CA-46 13,474 $56.8 $70.6
CA-47 18,159 $75.6 $94.0
CA-48 8,777 $35.2 $43.8
CA-49 13,394 $50.3 $62.5
CA-50 11,876 $47.2 $58.7
CA-51 26,169 $104.0 $129.2
CA-52 14,619 $57.4 $71.3
CA-53 17,459 $69.5 $86.3
More information about the bill can be found at: http://edlabor.house.gov .
Climate: Senate Energy & Natural Resources Explores Impact of Greenhouse Gases Trading Program
On September 15, 2009, the Senate Energy and Natural Resources Committee held a hearing on how the greenhouse gas trading program might affect costs and price volatility in the energy sector. Witnesses included: Eileen Claussen, President, Pew Center on Global Climate Change; Jason Grumet, Founder and President, Bipartisan Policy Center; Joseph Mason, Associate Professor, Department of Finance, Louisiana State University; Michael Wara, Law Professor, Stanford University Law School; and Brent Yacobucci, Specialist, Energy and Environmental Policy, Congressional Research Service.
The Committee discussed the costs associated with a greenhouse gas trading program and specifically, H.R. 2454, the American Clean Energy and Security Act of 2009, as passed by the House of Representatives on June 26, 2009.
According to the Congressional Research Service, "cost containment" within the context of a cap and trade system, has two components, the first involving mechanisms designed to limit or contain the potential cost of the program, and the second involving mechanisms designed to prevent potential short-term instability in the system's allowance market. "A critical policy decision that one is faced with in determining any appropriate cost containment mechanism," said Brent Yacobucci of CRS, "is whether maintenance of the program's overall cap is paramount, or whether there are conditions under which economic or energy policy concerns may mandate a change in the reduction system."
Michael Wara told the committee that he believes that "offsets hold limited promise, both as a cost control mechanism and a method for reducing emissions beyond the sectors covered by the cap-and-trade scheme," suggesting that "alternative cost-containment measures, such as a symmetry safety valve with revenues dedicated to a climate trust fund," are more likely to produce the hoped for benefits. Wara described the major lessons learned from studies and analysis of the Clean Development Mechanism- a compliance grade carbon offset market established under the Kyoto Protocol, including: the crediting of counterfeit emissions reductions and the failure of the CDM to prevent the crediting of business-as-usual behavior, and the unreliability of cost-containment strategies.
More information and testimony from each witness can be found at: http://energy.senate.gov .
Health: Report Released on Reforming Physician payments In CA
The California Healthcare Foundation released a report in September 2009 on "Reforming Physician Payments: Lessons from California." The issue brief was authored by Eric Hammelman, Narda Ipakchi, Jennifer Snow, and Bob Atlas of Avalere Health, LLC.
The report focuses on the issue in the current health care debate on whether insurance programs should replace fee-for-service payments with a system that encourages health care providers to make better use of resources, rather than rewarding the volume of care supplied. The report notes that many Californians already receive health care services through such an approach, known as capitation, under which physician groups receive comprehensive global payments to provide care for enrolled patients. The issue brief explores California's experiences with capitation and its implications for the national health care debate.
The authors conclude that "California's broad-based use of capitation demonstrates that it could be employed on a large scale. However, its successful adoption hinges on certain conditions, including:
- For capitation to take hold, formal physician groups and business arrangements must be in place.
- To prevent undesirable outcomes, such as physician group insolvency and stinting on needed care, robust regulatory oversight is needed.
- Documenting capitation’s potential to improve efficiency and value will require more transparent and accountable monitoring than now exists.
To view the report go to: http://www.chch.org
Event: California Institute to Host Smart Grid Lunch
On Monday, September 21, 2009 from Noon - 1:30 P.M. in Cannon House Office Building Room 121, The California Institute will host an informational luncheon on "Smart Grid Activities in California."
The session, which will focus on sharing and understanding California's experiences with smart grid adoption, investments in renewable energy, smart metering, and energy efficiency, will feature senior representatives of California's investor-owned utilities, as well as the president of the GridWise Alliance. Participants will include: Lee Krevat, San Diego Gas & Electric; Darren Deffner, Pacific Gas & Electric; Paul De Martini (invited), Southern California Edison; and Katherine Hamilton, President, GridWise Alliance.
Creating a smart grid integrates 21st century technology with a 20th century electrical grid to help manage energy more efficiently. The 2009 American Recovery and Reinvestment Act provides $4.5 billion to develop projects to support a smart and secure electrical grid.
Through its utilities, California has led smart grid innovation and continues to pursue innovative approaches to transform its power network into a cleaner and more cost-effective delivery system.
To RSVP for this event (acceptances only ), e-mail the Institute at rsvp@calinst.org or call 202-785-5456.
Report: PPIC Finds Californians Want Change But Approach Reform Cautiously
According to a report released by the Public Policy Institute of California on September 10, 2009, Californians' trust in their state government has reached a record low, and their desire for change is high.
The following are some of the more major findings:
- When asked about two ideas that may reach the ballot, 70 percent support a shift to an open primary system, but only 23 percent favor changing the legislature to part-time status.
- Nearly three-fourths (73%) say government is run by a few big interests looking out for themselves.
- A strong majority (62%) say state government wastes a lot of the money Californians pay in taxes.
- A majority (56%) say that decisions made through the initiative process are probably better than those made by the Governor and Legislature and far fewer (28%) say they are probably worse.
- Californians continue to feel that Proposition 13 and term limits -- two constitutional changes made by initiative -- have mainly been good for the state.
- Nearly all (96%) view the budget situation as a problem, with 78 percent seeing it as a big problem and 18 percent calling it somewhat of a problem.
- Most (80%) Californians say the state budget process is in need of major changes, a steady increase since March 2008 (65% March 2008, 65% May 2008, 76% September 2008, 78% May 2009).
- Governor Arnold Schwarzenegger's approval rating (30%) is near his record low in July (28%), and his disapproval rating has hit a new high of 61 percent. The legislature's rating (21%) inched up from its low (17% July). Californians' approval of their own legislators (34%) remains near its lowest level (32% March 2009).
- A solid majority (63% approve, 32% disapprove) approve of President Barack Obama's performance.
- California's U.S. Senators each get majority support. Both have seen increases in approval since September 2008, with 54 percent approving of Sen. Dianne Feinstein's job performance today (48% September 2008) and 53 percent approving of Sen. Barbara Boxer's (44% September 2008). House Speaker Nancy Pelosi has a 49 percent approval rating, also up from September 2008 (40%).
- Although just 39 percent approve of the job Congress is doing -- a decline from 47 percent approval in May -- Californians rate their own representatives higher. A majority (56%) approve of the way their own House members handle the job, up 7 points from September 2008 (49% approve).
- Half (50%) say the federal government's actions in dealing with the financial crisis will help and 43 percent say they will not. 56 percent oppose additional federal spending to stimulate the economy, while 38 percent support it.
For more information, visit: http://www.ppic.org .
----------------------------------------------------------------------
Mary Beth Sullivan, Executive Director,
Calif Institute for Federal Policy Research
1608 Rhode Island Avenue, NW, Suite 213,
Washington, DC 20036-3206
sullivan@calinst.org ~
www.calinst.org ~
direct 202-785-5454 ~
fax 202-223-2330
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