Statement of Administration Policy: H.R. 2788 - Department of the Interior and Related Agencies Appropriations Bill, 1990

(Senate)
(Byrd (D), West Virginia)

The Senate Committee mark provides only $174 million for Federal land acquisition, compared to the President's request of over $200 million. The Committee also substitutes many of its own acquisition projects for those proposed by the Administration. Although limited adjustments to acquisition priorities would not be objectionable, the Administration is concerned that the Committee's changes, combined with a reduced funding level, would result in less effective protection of nationally significant natural and cultural resources than would the President's proposal.

The Administration is also concerned with the scoring of appropriations of $868 million for Interior and Agriculture forest fire-fighting. Congressional scoring of fire-fighting appropriations classifies most of the amount provided as mandatory. However, $271 million of the amount would finance purely discretionary, planned activities (fire management and presuppression). Planned fire-fighting costs are discretionary.

Moreover, while the Administration supports the Committee's decision to fully fund both Interior and Agriculture fire costs on an up-front basis, it is concerned that these costs are not offset, e.g. by reducing certain payments to States from Federal mineral and timber receipts as proposed by the budget. Furthermore, the Committee's proposed funding level includes $258 million to repay amounts previously borrowed from Forest Service's Knutson-Vandenberg Cooperative Work Trust Fund. This repayment is not required to meet any programmatic need and will unnecessarily increase the unobligated balance of the Fund.

The Administration also objects to increases over the request of $244 million for fossil energy research and development and $104 million for energy conservation research and development. Many of the increases are for low priority and special interest projects which are not likely to advance technology in these areas.

The Administration objects to an increase of $209 million over the request for energy conservation grants. This additional amount is unnecessary because states have been supporting conservation grant activities with over $3.1 billion they have received from petroleum overcharge violation cases.

The Administration objects to the earmarking of a portion of the receipts from the Naval Petroleum Reserve for oil acquisition of the Strategic Petroleum Reserve. Earmarking of these receipts of the Strategic Petroleum Reserve will increase domestic discretionary outlays by $120 million.

The Administration continues to object to the remaining moratoria restrictions on OCS leasing and exploration. An interagency task force was established by the President to address environmental concerns regarding three controversial lease sales.scheduled for FY 1990. It would be inappropriate for Congress to impose more leasing moratoria until the task force has had an opportunity to assess the environmental risks and report to the President by January l_f 1990.

The Administration also opposes the provision to prohibit, beginning in FY 1991, oil tanker traffic in designated OCS tracts under leasing moratoria. While a prohibition on oil tanker traffic recognizes that tanker traffic poses significant greater risks to the environment than oil and gas drilling, the prohibition could adversely affect tanker safety and efficiency. Requiring tankers to avoid OCS moratoria areas could increase traffic in near-shore State waters and decrease oil and fuel supply availability on both the East and West coasts and parts of Alaska.

The Administration urges the Senate to pass a responsible bill that (1) continues to fund essential programs, and (2) addresses satisfactorily the provisions opposed by the Administration.