Congressman Greg Walden's Oregon Congressional Connection

Op-Ed

Congressman Greg Walden's Oregon Congressional Connection

Dear fellow Oregonian,

Fuel, Forests, and more. With Congress back in session this week, I'll continue my efforts to build bipartisan support for the energy/county payments legislation I announced at the Pilot Truck Stop in Central Point last week. This measure, as detailed below, would open up American energy reserves, create new royalty revenues and energy and jobs. My legislation dedicates $3.1 billion toward production of renewable energy, $1 billion toward helping low income pay for escalating heating bills, and would fund five years of the county timber payments program.

I'll also focus efforts on my legislation to expand the Healthy Forest Restoration Act authorities. As our forests once again go up in smoke, it's time to give our federal forest managers the ability to reduce fire threats deeper into the forests, as they do around the wildland-urban interface. More on that below, too.

Meanwhile, I hope you had a great Fourth of July. I spent the week on the road traveling more than 1,200 miles, holding more than 18 meetings in five counties, and enjoyed Friday in the ever-growing Fourth of July parade in my hometown of Hood River.

Progress to report on the health care front…ALMOST. Just before Congress recessed for the Fourth of July district work period, the House approved by an overwhelming, bipartisan margin legislation that accomplishes a handful of the legislative goals those of us in the Rural Healthcare Coalition have sought in other legislation. As the co-chair of the coalition, I'm pleased that drafters of the bill recognized that doctors, hospitals, ambulance providers and other practicioners in rural America needed some relief. Here's a brief look at what the measure means for rural residents and those who provide our care:

* Community pharmacists will get promptly and more appropriately paid for dispensing prescription drugs to seniors and Medicaid/OHP patients. I've heard from pharmacists from LaGrande, Heppner and all around Oregon about the challenges Medicare Part D caused them. This should help.

* Medical providers won't have to absorb a 10.6 percent cut in what Medicare pays them for taking care of seniors. A flawed formula threatens doctors and others with cuts every year. Low reimbursement rates are causing many to stop taking seniors as new patients. I'm cosponsoring legislation (H.R. 2585) to fix this problem, but in the meantime this measure should help.

* County health centers, kidney dialysis, rural ambulance care and other services will get better funded. I know from firsthand experience just how valuable these services are in our rural communities and will continue to do all I can to ensure they are able to continue helping those in need.

I said progress "almost" because just before leaving for the Fourth of July district work period, the Senate failed to pass this legislation, which means a 10.6 percent rate cut took effect July 1 on providers of medical services to seniors. As a temporary measure, the Bush Administration decided to hold off process claims and cutting reimbursements for ten days, giving the Congress another chance to solve this problem. Stay tuned…this issue will get much attention in this week.

Speculating about energy. Two weeks ago Sunday, I flew all night so I could participate the next day in an Oversight and Investigation Subcommittee hearing regarding speculation in the energy markets. Time and again I've heard from people in our district who sell gasoline, oil and diesel that they believe speculation in the market is a major contributor to the historic rise in the price of oil. Our witnesses in Washington, D.C. confirmed that fact, although they disagreed on how much of the price results from speculation and they disagreed on exactly what Congress should do.

Most agreed that some level of "speculation" (otherwise known as outside capital) is needed to provide liquidity to the market, but we're seeing an unprecedented infusion of capital by such investors as the California public employees' retirement system, university trust funds, and pension funds.

One area of concern raised during the hearing was the need to close the so-called "Enron loophole," which exempts some energy contract transactions from regulation by the Commodity Futures Trading Commission (CFTC). The Farm Bill, which I supported and is now law, addressed this issue by subjecting exempt over-the-counter exchanges to more CFTC regulations adding more transparency to these highly technical markets. By week's end, the House had voted overwhelmingly to approve legislation calling on the CFTC to investigate speculation in the markets and take action. This "bold" move was really more for show, as near as I could tell, because the Commission chairman testified Monday that they were already taking the steps outlined in the measure.

It's time to access our own energy reserves. With predictions of gasoline hitting $7 a gallon, overseas capacity tightening up in the next five years to less and a million barrels a day, and no relief in sight, it is time to access America's enormous reserves. I announced last week my intention to introduction legislation to do just that, and to use the new royalty revenues to pay for five years of county timber payments and payments in lieu of taxes (PILT).
That's right, the legislation I've crafted would not only allow access to American oil and gas, create American jobs and drive down the price of gasoline and diesel, but also would generate revenue $4 billion dollars for our local roads and schools. In addition, it would dedicate $3.1 billion toward production of renewable energy, and $1 billion dollars would go to help the poor in America pay for their heating costs.

States would gain unprecedented control over their coastlines out to 75 miles, and if they choose to allow gas or oil leasing, they would receive unprecedented royalty payments.

Federal experts tell Congress that there's enough oil to power 60 million cars for 60 years and enough natural gas to heat 160 million homes for 60 years. All of these resources are off limits because of federal law. Meanwhile, the Department of Energy estimates that American energy consumption will increase 19 percent in the next 22 years…even with our conservation measures in place.

While I've supported increased mileage standards for vehicles, new conservation measures, and alternative energy sources, the problem families, farmers and small businesses face is as acute as it is urgent. Some 85 percent of our ocean energy resources are presently off limits because of federal law, while developed nations with coastlines across the world continue to access their reserves. Brazil became energy independent from the cartels by increasing their oil production nine-fold as a result of exploration and development in the ocean.

With our economy on the ropes, family budgets getting whacked and no other obvious alternatives available, it's time for Congress to act. (Actually, past time. The House passed a similar measure two years ago by a large, bipartisan majority, but the Senate failed to do likewise. Perhaps record high prices and the plight of working families will spur Congress to get this job done.)

ON THE OREGON TRAIL

A week ago Friday night, I joined former Governor Vic Atiyeh and Warm Springs Tribal leaders for the start of Pi-Ume-Sha Treaty Days Powwow. This is the annual event recognizing the signing of the Treaty of 1855 that created the Warm Springs Indian Reservation. The Warm Springs are engaged in many activities to help their tribal members. While most of the media attention is on the proposed casino in Cascade Locks, little is said about their ongoing efforts to improve forest health, construct a biomass energy plant, and work cooperatively on energy, fish and water issues throughout the region.

Last Monday, I was in Bend where it was a real pleasure to participate in the opening of expanded clinical services for our country's veterans. The Bend Community Based Outpatient Clinic has expended to include eye, hand and other services for those who have worn our nation's uniform. The Clinic serves about 5,000 veterans from as far east as Burns.

I've actively supported expansion of medical services for veterans, and have applauded the VA's efforts to open clinics in LaGrande, Klamath Falls, Lakeview and Bend over the last 10 years, and plans to expand services to The Dalles and Burns, soon. I am especially pleased at the success of our efforts to prevent the VA from reducing services in White City, and instead begin building new facilities, and continue to urge improvements at the Walla Walla VA facility.

Later I participated in the Project Wildfire awards ceremony, where I learned more about the excellent, collaborative efforts to make homes and communities in Central Oregon more fire-resistant. The group was established by Deschutes County and is coordinating more than $2 million worth of hazardous fuels reductions projects on private lands in the highest risk neighborhoods of Deschutes County.

Afterward, I held a news conference to announce our progress on the expanded Healthy Forest Restoration Act legislation. I've been working with the U.S. Forest Service to clarify the law and allow forest managers the ability to use its expedited procedures to tackle the sickest forests (Condition Class II and Condition Class III). Most fires in Region Six last year started in the backcountry, not around communities. Foresters know that where they've thinned around communities, fire acts more naturally because the forest is back in balance. They want the law changed so they can more efficiently organize thinning projects further out in the forests. I intend to introduce legislation to do just that.

Later in the day I met with Family Access Network (FAN) board members in Bend to discuss how their program brings together local governments, medical providers, schools and private non-profit organizations with the mission to improve the physical, emotional and mental health of children to ensure that children attend school ready to learn. In January, local elected officials had told me how important FAN is to the County and asked for my help in stopping proposed Medicaid cuts (which account for 61 percent of the budget) and they sought a direct federal investment. Last week, I was able to tell them that the proposed Medicaid rule change had been postponed and that their request for funding had gotten initial approval by a House Appropriations Subcommittee. They shared with me the personal stories of children who survive by living in cars with a parent, or who have parents with drug or alcohol issues. Giving these children warm clothes, dental or medical attention, and a meal is pretty basic stuff, and FAN has proven its ability to coordinate services from local public, private, and nonprofit organizations to help families in need in Deschutes County.

From Central Oregon, I traveled to Medford, Lakeview and Chiloquin, focusing mainly on energy and county payments issues during various meetings. In Lakeview, I met with organizers of an effort to make Lake County energy independent by tapping more fully into its enormous geothermal energy sources. I saw the system to that heats the state correctional facility and learned of plans to create a geothermal energy industrial park and a home-heating district, among other things. Meanwhile, work continues on the biomass energy facility at Collins Pine to turn woody waste into energy.

Our district has unsurpassed opportunities to develop renewable energy and many efforts are underway.
Then it was on to Chiloquin where I met with the Klamath Tribes and then participated in the ceremony marking the end of Chiloquin Dam. This irrigation diversion dam built in 1914, blocked nearly 100 miles of habitat for the endangered sucker fish and was singled out as the principal reason the fish was listed under the ESA. In 2001, I read about the problem, visited the site and introduced legislation to deal with the problem. My measure got added to that year's farm bill and brought together local irrigators, tribal and community leaders and the government agencies to develop a local plan.

After years of difficult negotiations and decisions, they reached a solution that works for all parties. It was rewarding to see a serious, long-standing problem get resolved in this way. Local folks can do amazing things if government will empower them to act — rather than jam them with a Washington, D.C. solution. That's also why I hold out hope for a comprehensive settlement in the Klamath Basin. There's probably no more complicated set of issues to work through than those in the Basin. But years of discussions are close to producing a settlement that probably no one party will like in full, but that will potentially give certainty for the future for farmers, fishermen and tribal members.

That's it for now. For more information on my work in Congress, please visit my website at www.Walden.House.Gov. If you would like to unsubscribe from this mailing, simply reply and type the word "unsubscribe" in the subject box.

Best regards,
Greg Walden
Member of Congress

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