As war rages in Eastern Europe, Washington’s attention is focusing on how the conflict in Ukraine will impact the United States’ economy and environment, not to mention how it could affect the pivotal midterm Congressional elections.
Western sanctions on Russia – particularly on its energy sector – may significantly impact the global economic picture in the months to come. The Federal Reserve Bank of Dallas said in a report last week that the world economy could very well face an economic downturn longer than the recession in 1991 if the majority of bans on Russian energy exports remain in place through the rest of the year. The report added that “unless the Russian petroleum supply shortfall can be contained,” oil prices will likely need to rise “substantially” and remain elevated “for a long period.”
Recognizing the potential fiscal – and political – fallout from the war, the White House and Congress are taking actions to cushion the blows, including steps that could lead to increased mining and energy projects subject to Section 106.
On the energy front, Sen. Joe Manchin (D-WV), the Chair of the Senate Energy and Natural Resources Committee, has reportedly expressed interest in re-starting negotiations on President Biden’s Build Back Better climate and social spending bill. In particular, Manchin is pushing for steps to increase domestic energy production in light of the current ban on Russian oil which, although only a small portion of U.S. energy imports, is driving up fuel prices worldwide.
Manchin is said to want the legislation to have an “all-of-the-above” approach to energy, including efforts to boost offshore drilling in the Gulf of Mexico and natural gas exports, while also including funding for efforts to combat climate change. As Manchin, along with Sen. Kyrsten Sinema (D-AZ), are the lone Democratic holdouts on Biden’s plan, his support for a middle ground could be pivotal in getting a bill passed – as long as the bill doesn’t veer so far away from its original goals of addressing climate change and repairing the social safety net that it costs the support of progressive Democrats. However, the specter of rising gas prices just months before the midterm elections could grease the wheels for a compromise.
At the same time, the White House and members of Congress are looking at ways to boost domestic mineral extraction to cushion sanctions on Russia. Senate leaders are working to begin negotiations with the House on legislation to bolster the American technology and manufacturing sectors. The bill, commonly known as the America COMPETES Act, has been touted as a way to help the U.S. compete with China. With the possibility that China could decide to aid Russia, Congress is feeling the urgency to pass the bill to ensure the U.S. can weather possible sanctions on Chinese companies that provide rare earth minerals needed for semiconductors and other technology components.
In addition, the Biden administration is drafting an executive order that would use the Defense Production Act to boost mineral supplies that are vital for clean energy storage technology. The draft executive order comes as Democratic lawmakers and others have called on the Biden administration to use the Defense Production Act to boost domestic energy supplies amid Russia’s war in Ukraine.
Meanwhile, policymakers took other steps that address historic preservation and cultural resources management:
- The National Park Service announced last week it has submitted a nomination to the World Heritage List for the Hopewell Ceremonial Earthworks, consisting of eight properties in Ohio, five of which are in Hopewell Culture National Historical Park in Ross County: Hopeton Earthworks, Mound City, High Bank Works, Hopewell Mound Group and Seip Earthworks; and three that are National Historic Landmarks: Fort Ancient in Licking County, owned by the State of Ohio, and the Octagon Earthworks and Great Circle Earthworks in Warren County, owned by the state-chartered Ohio History Connection.
- The Federal Energy Regulatory Commission pulled back on two policies approved last month designed to reduce greenhouse gas emissions and local pollution. FERC Chairman Richard Glick said the commission took this action to collect additional public input “in light of concerns that the policy statements created further confusion about the Commission’s approach to the siting of natural gas projects.” The oil and gas industry, many Republicans, and Sen. Manchin criticized FERC for the new policies, arguing they would place unnecessary barriers to the certification of new pipelines.
Speak Up for the CRM Industry
As the midterm elections near, Congress is confronting many issues it needs to address in the coming months, including ones that impact cultural resources management. ACRA members have a powerful message to tell policymakers about the importance of cultural resources management – and there is no better time to spread that message to lawmakers.
ACRA is holding its second annual Virtual Advocacy Week May 2-6, 2022. That week, you can join other CRM professionals in meeting virtually with your members of Congress to discuss issues important to the industry. ACRA will arrange your meetings and provide training beforehand. Meetings will be scheduled throughout the week to accommodate your schedule and those of congressional offices.
Just because you can’t make it to DC doesn’t mean that you can’t make an impact. ACRA needs time to get your meetings scheduled, so sign up now and make sure the CRM industry is at the table.