Pallone Urges Governor Christie Not to Abandon Regional Greenhouse Gas Initiative

WASHINGTON, D.C. – Today, Congressman Frank Pallone, Jr. (NJ-06) sent a letter to Governor Chris Christie urging him to reconsider his decision to withdraw the State of New Jersey from Regional Greenhouse Gas Initiative (RGGI). Pallone stressed that remaining in RGGI will help New Jersey comply with new regulations proposed by the Environmental Protection Agency (EPA). The EPA’s proposal, announced in June 2014, seeks to cut the amount of carbon pollution produced by power plants by 30% to below 2005 levels by 2030. RGGI is a cooperative effort among nine New England and Mid-Atlantic states to cap and reduce greenhouse gas emissions. New Jersey joined other states in implementing the program in 2005, but Governor Christie announced that he would withdraw the state from RGGI in 2011.

“We cannot wait to address climate change,” said Congressman Pallone. “And RGGI allows New Jersey to make meaningful changes. If we do not start taking the prospect of climate change seriously, devastating storms like Sandy will intensify and become the new normal. Continuing to participate in RGGI will allow New Jersey to meet the new EPA carbon standards, while also spurring investments in clean energy technologies and creating jobs in our state. I urge the Governor to reconsider his decision.”

In response to his withdrawal from RGGI, environmental groups sued Governor Christie, saying that he broke the law by not introducing a proposal to change or repeal the regulations regarding the state’s membership in the program. A state appeals court ruled in March of 2014 that the administration had not followed the proper procedures when withdrawing from RGGI because it had not allowed for public input. A public comment period is now open until September 5th.

The full text of the letter is below:

July 11, 2014

Governor Chris Christie
P.O. Box 001
Trenton, NJ 08625



Dear Governor Christie,

I write today regarding our country’s efforts to reduce carbon emissions from power plants. In June, the Environmental Protection Agency (EPA) proposed a rule that aims to reduce carbon emissions from existing U.S. power plants by 30 percent by the year 2030. This rule, once finalized, will be a crucial aspect of America’s efforts to reduce its carbon footprint and address climate change.

I am deeply disappointed with your decision to pursue withdrawal from the Regional Greenhouse Gas Initiative (RGGI), which has been extremely effective in participating states. Investments of RGGI auction proceeds to date are projected to return more than $2 billion in lifetime energy bill savings to more than 3 million participating households and more than 12,000 businesses in the region. Once finalized, the EPA rule will require states to develop plans to meet emissions reduction goals set by the agency. Remaining in RGGI will be the most effective and efficient way for New Jersey to meet the EPA carbon standards.

The World Bank released a report in 2012 on the potential effects of increasing average temperatures by 7.2 degrees Fahrenheit by the end of the century. This type of increase is well within the range of possibility if we don't act. The impacts of this level of warming would be devastating. Sea levels would be over three feet higher, inundating coastal communities.

New Jerseyans know firsthand what the cost of climate change is. If we do not start taking the prospect of climate change seriously, devastating storms like Superstorm Sandy will become the new normal. Climate change leads to changes in the frequency, intensity, duration and timing of extreme weather and climate events, and can result in unprecedented extreme weather and climate events. This increases beach erosion, storm-surge damage and flooding for the many coastal communities in New Jersey.

I urge you to reconsider your decision to withdraw from RGGI. Instead of walking away from this regional program, New Jersey should work with the other Northeast states that are members of RGGI to reduce carbon emissions and spur investments in clean energy technologies. Thank you for your attention to this important issue.

Sincerely,

FRANK PALLONE, JR.
Member of Congress

Newsletter From Rush Holt

With the continuing turmoil in our financial markets, we must address its effect on the retirement security of American families. According to the Congressional Budget Office, American workers have lost as much as $2 trillion in retirement savings over the last year. Americans rightly are worried that their savings will not be there to meet their needs as they hoped. We have also seen leading companies freeze or end their defined contribution, 401(k), plans. Further, even some defined benefit plans, which provide retirees with a guaranteed pension check, may be in doubt.

The House Committee on Energy and Labor, of which I am a member, continues to study ways to preserve defined benefit plans and strengthen 401(k) and other retirement plans. One step we must take is to suspend temporarily a federal regulation that will force individuals over 70 ½ years of age to make a withdrawal from their retirement account. This week, the House passed this with my support, and we await action by the Senate. The Census bureau estimates that 5.5 million seniors have IRA’s or 401 (k) plans and could be forced to sell financial assets at a tumultuous time in the market. I have heard from many New Jersey seniors, about these required minimum distributions for 2008. This Congressional Research Service report contains more information on this issue.

Of course, our committee cannot turn around the stock market and the whole economy. Nonetheless, our committee will continue our work to protect retirement security, and I hope to hear from you about any ideas you may have to address this issue.

Helping the World’s Poor

I previously have written about my interest in lifting millions around the world out of poverty by providing them access to small loans. Such microfinance programs have the power to transform the lives of the world’s poorest by providing access to small amounts of money (often less than $150) to start self-sustaining businesses. Microfinance programs are having a very positive effect around the globe.

Recently, I wrote a bipartisan letter requesting that World Bank President Robert Zoellick expand microfinance efforts. Specifically, my letter, signed by 92 Members of Congress, encourages the World Bank to create a $200 million grant program to reach the very poor with microfinance loans, and to establish regionally-focused Centers of Excellence. The global financial and economic crisis appears to be affecting the world’s poor badly. Increasing the availability of microfinance is one way we can help those most in need, both abroad and here at home as credit remains tight.

Help for Small Businesses
Recently, the Small Business Administration announced it is allowing banks to make 7(a) loans at interest rates based on the London interbank offered rate, which is lower than the standard U.S. prime rate. Many New Jersey banks offer the lower rate, and small businesses in the region will now be able to benefit. All businesses that are considered for financing under SBA’s 7(a) loan program must meet SBA size standards, be for-profit, not already have the internal resources (business or personal) to provide the financing, and be able to demonstrate repayment.

By the way, I was pleased to see Governor Corzine’s announcement this week creating the “InvestNJ Business Grant Program” to help stimulate capital investment and job creation. Under the program, companies can obtain $3,000 grants for each new job they create and sales tax reimbursements on capital purchases of $5,000 or more. Applications will be available next month. More information can be found here.

Sincerely,
RUSH HOLT
Member of Congress