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Permitting: Finding a Path Forward Joint Hearing Committee on Oversight and Government Reform House of Representatives

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Permitting: Finding a Path Forward Joint Hearing Committee on Oversight and Government Reform House of Representatives PERMITTING: FINDING A PATH FORWARD JOINT HEARING BEFORE THE SUBCOMMITTEE ON INTERGOVERNMENTAL AFFAIRS AND THE SUBCOMMITTEE ON THE INTERIOR, ENERGY, AND ENVIRONMENT OF THE COMMITTEE ON OVERSIGHT AND GOVERNMENT REFORM HOUSE OF REPRESENTATIVES ONE HUNDRED FIFTEENTH CONGRESS SECOND SESSION SEPTEMBER 6, 2018 Serial No. 115–102 Printed for the use of the Committee on Oversight and Government Reform ( Available via the World Wide Web: http://www.govinfo.gov http://oversight.house.gov U.S. GOVERNMENT PUBLISHING OFFICE 32–511 PDF WASHINGTON : 2018 VerDate Nov 24 2008 09:00 Nov 16, 2018 Jkt 000000 PO 00000 Frm 00001 Fmt 5011 Sfmt 5011 H:\32511.TXT APRIL KING-6430 with DISTILLER COMMITTEE ON OVERSIGHT AND GOVERNMENT REFORM Trey Gowdy, South Carolina, Chairman John J. Duncan, Jr., Tennessee Elijah E. Cummings, Maryland, Ranking Darrell E. Issa, California Minority Member Jim Jordan, Ohio Carolyn B. Maloney, New York Mark Sanford, South Carolina Eleanor Holmes Norton, District of Columbia Justin Amash, Michigan Wm. Lacy Clay, Missouri Paul A. Gosar, Arizona Stephen F. Lynch, Massachusetts Scott DesJarlais, Tennessee Jim Cooper, Tennessee Virginia Foxx, North Carolina Gerald E. Connolly, Virginia Thomas Massie, Kentucky Robin L. Kelly, Illinois Mark Meadows, North Carolina Brenda L. Lawrence, Michigan Ron DeSantis, Florida Bonnie Watson Coleman, New Jersey Dennis A. Ross, Florida Raja Krishnamoorthi, Illinois Mark Walker, North Carolina Jamie Raskin, Maryland Rod Blum, Iowa Jimmy Gomez, Maryland Jody B. Hice, Georgia Peter Welch, Vermont Steve Russell, Oklahoma Matt Cartwright, Pennsylvania Glenn Grothman, Wisconsin Mark DeSaulnier, California Will Hurd, Texas Stacey E. Plaskett, Virgin Islands Gary J. Palmer, Alabama John P. Sarbanes, Maryland James Comer, Kentucky Paul Mitchell, Michigan Greg Gianforte, Montana Michael Cloud, Texas SHERIA CLARKE, Staff Director WILLIAM MCKENNA, General Counsel EMILY WONG, Counsel KILEY BIDELMAN, Clerk DAVID RAPALLO, Minority Staff Director (II) VerDate Nov 24 2008 09:00 Nov 16, 2018 Jkt 000000 PO 00000 Frm 00002 Fmt 5904 Sfmt 5904 H:\32511.TXT APRIL KING-6430 with DISTILLER SUBCOMMITTEE ON INTERGOVERNMENTAL AFFAIRS Gary Palmer, Alabama, Chairman Glenn Grothman, Wisconsin, Vice Chair Jamie Raskin, Maryland, Ranking Minority John J. Duncan, Jr., Tennessee Member Virginia Foxx, North Carolina Mark DeSaulnier, California Thomas Massie, Kentucky Matt Cartwright, Pennsylvania Mark Walker, North Carolina Wm. Lacy Clay, Missouri Mark Sanford, South Carolina (Vacancy) SUBCOMMITTEE ON THE INTERIOR, ENERGY AND ENVIRONMENT GREG GIANFORTE, MONTANA, Chairman Paul A. Gosar, Arizona, Vice Chair Stacey E. Plaskett, Virgin Islands Dennis Ross, Florida Jamie Raskin, Maryland Gary J. Palmer, Alabama Jimmy Gomez, California James Comer, Kentucky (Vacancy) Michael Cloud, Texas (III) VerDate Nov 24 2008 09:00 Nov 16, 2018 Jkt 000000 PO 00000 Frm 00003 Fmt 5904 Sfmt 5904 H:\32511.TXT APRIL KING-6430 with DISTILLER VerDate Nov 24 2008 09:00 Nov 16, 2018 Jkt 000000 PO 00000 Frm 00004 Fmt 5904 Sfmt 5904 H:\32511.TXT APRIL KING-6430 with DISTILLER C O N T E N T S Page Hearing held on September 6, 2018 ....................................................................... 1 WITNESSES Mr. Frank Rusco, Director, Natural Resources and Environment Issues, U.S. Government Accountability Office Oral Statement ................................................................................................. 7 Written Statement ............................................................................................ 10 Mr. Philip K. Howard, Founder and Chair, Common Good Oral Statement ................................................................................................. 24 Written Statement ............................................................................................ 26 Ms. Christy Goldfuss, Senior Vice President, Energy and Environment Policy, Center for American Progress Oral Statement ................................................................................................. 35 Written Statement ............................................................................................ 37 Mr. Daren Bakst, Senior Research Fellow, The Heritage Foundation Oral Statement ................................................................................................. 42 Written Statement ............................................................................................ 44 APPENDIX Letter for the Record from Ms. Plaskett regarding Limetree Bay Terminals, submitted by Ms. Plaskett ................................................................................... 78 Letter for the Record from Earthjustice, submitted by Mr. Raskin .................... 80 (V) VerDate Nov 24 2008 09:00 Nov 16, 2018 Jkt 000000 PO 00000 Frm 00005 Fmt 5904 Sfmt 5904 H:\32511.TXT APRIL KING-6430 with DISTILLER VerDate Nov 24 2008 09:00 Nov 16, 2018 Jkt 000000 PO 00000 Frm 00006 Fmt 5904 Sfmt 5904 H:\32511.TXT APRIL KING-6430 with DISTILLER PERMITTING: FINDING A PATH FORWARD Thursday, September 6, 2018 HOUSE OF REPRESENTATIVES, SUBCOMMITTEE ON INTERGOVERNMENTAL AFFAIRS, JOINT WITH THE SUBCOMMITTEE ON THE INTERIOR, ENERGY, AND ENVIRONMENT COMMITTEE ON OVERSIGHT AND GOVERNMENT REFORM, Washington, D.C. The subcommittees met, pursuant to call, at 10:02 a.m., in Room 2154, Rayburn House Office Building, Hon. Greg Gianforte [chair- man of the subcommittee on Interior, Energy, and Environment] presiding. Present: Representatives Gianforte, Palmer, Grothman, Duncan, Comer, Plaskett, and Raskin. Mr. GIANFORTE. The Subcommittee on Intergovernmental Affairs and the Committee on the Interior, Energy and Environment will come to order. Without objection, the chair is authorized to declare a recess at any time. Good morning. Today the committee on the Interior, Energy and the Environment and the Subcommittee on Intergovernmental Af- fairs will examine permitting and environmental review process for infrastructure projects. This is the third permitting hearing this committee has held this Congress. Previously we have heard from many witnesses about the ways in which convoluted requirements and lengthy application periods for Federal environmental permits negatively affect infra- structure projects. Today we will continue to explore this important topic and dis- cuss how delaying infrastructure projects hurts the economy and communities in need of modernize improved infrastructure. Environmental protection statutes like the Clean Air Act, the Clean Water Act, and the National Environmental Protection Act were passed with noble intentions years ago. And no one disputes the need for a healthy environment. In recent years, however, Fed- eral agencies have taken it upon themselves to broaden their inter- pretations of these statutes and made too many rules and regula- tions that stretch the bounds of the authority that Congress has provided. As a result, permitting workloads and associated delays have increased. For example, the EPA lowered the national ambi- ent air quality standards for ozone in 2015. Under the new lower standard, 209 counties in 22 States are designated as nonattain- ment areas subjecting all projects in those counties that could produce emissions to more rigorous permitting requirements. (1) VerDate Nov 24 2008 09:00 Nov 16, 2018 Jkt 000000 PO 00000 Frm 00007 Fmt 6633 Sfmt 6633 H:\32511.TXT APRIL KING-6430 with DISTILLER 2 Similarly, the Obama administration’s EPA, along with the U.S. Army Corps of Engineers finalized the Waters of the United States Rule which vastly expanded their jurisdiction to issue permits under the Clean Water Act. These Federal power grabs have in- creased the number of project applicants, lengthened wait times, and caused the cost of projects to balloon. Under President Trump, the administration has prioritized infra- structure modernization and Federal permitting reform. The Presi- dent’s management agenda and the one Federal decision policy im- plemented by executive order direct Federal agencies with permit- ting responsibilities to reduce permit application processing times by instituting a number of best practices. Some of our witnesses today will discuss how these proposals can move the ball forward to address well-known problems with the Federal permitting and environmental review status quo. We will also hear from the Government Accountability Office. GAO has done extensive research into Federal agencies’ management of their permitting responsibilities and, in the process, has observed both common problems and best practices. One major issue GAO has identified across Federal agencies is the lack of quality data on permitting milestones. Many agencies with permitting responsibilities are simply not tracking when ap- plications are submitted or approved. While the administration’s proposals are a step in the right direction, their success relies heavily upon the ability to hold agencies accountable. GAO’s work suggests the data necessary to do so may not be readily available. To that end, my subcommittee has initiated conversations with GAO about creating a permitting scorecard that can be used as a tool to measure agencies’ progress as they begin to implement these necessary reforms. The scorecard would determine a letter grade, A through F, for each agency based on their adoption of agreed-to permitting best practices. Last month I sent a letter to GAO requesting a review of efforts to streamline the Federal permitting process including an assess- ment of key permitting related indicators
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