Wednesday, December 22, 2021

Subsidiarity Economics. The times more or less locally, Party VII Going Nuclear

I saw the above posted the other day on, yes, Twitter. No matter what a person thinks about the underlying matter this goes to, it's correct that nuclear energy is the greenest realistic energy source we have.  Those who have opposed it for all of these years were advocating, unthinkingly, for the ongoing massive use of fossil fuels, no matter what they may claim. Actions, including unthinking or ignorant ones, have consequences.

November 17, 2021

Kemmerer Wyoming is getting the new Naughton nuclear power plant.

November 18, 2021

Payments from local governments will keep Casper's Delta flights operating for the time being

Unit 2 of the Jim Bridger power plant near Rock Springs is six weeks away from being out of compliance with Federal environmental regulations. The state has threatened to sue, which seems to be the state's response to unhappy news to the state in general, which if carried forward will likely result in yet another defeat in court for the state on matters of this type.

Water officials are asking for $281,000,000 for dam infrastructure funding in the upcoming 2022 legislative session.  A logical question would be whether the agency is anticipating making a claim on some of the new Federal infrastructure money.  My guess is that it is.

November 20, 2021

The House has passed a $2T social and environmental spending bill.

American Indian Tribes will receive $11B of the Federal infrastructure money.

Contrary to widely held belief, internal migration in the United States fell to its lowest level last year in 73 years.

November 24, 2021

While the amount of oil it contributes to the daily supply is minimal, the US will release 50Mbbl from the strategic oil reserve, a reserve whose purposes have seriously morphed over the years from being a reserve for the Navy to being some sort of economic oil buffer.

Industry has criticized the move.

A bill imposing a fee for methane releases in the oil and gas industry has passed the House but faces tough opposition in the Senate.

November 27, 2021

Stock markets plunged yesterday with the news that a new COVID 19 variant is now spreading.  The price of oil dropped $10.00 yesterday.

The Department of Interior is for raising the price of drilling on public lands, stating:

The review found a Federal oil and gas program that fails to provide a fair return to taxpayers, even before factoring in the resulting climate-related costs that must be borne by taxpayers; inadequately accounts for environmental harms to lands, waters, and other resources; fosters speculation by oil and gas companies to the detriment of competition and American consumers; extends leasing into low potential lands that may have competing higher value uses; and leaves communities out of important conversations about how they want their public lands and waters managed.

The fiscal components of the onshore Federal oil and gas program are particularly outdated, with royalty rates that have not been raised for 100 years. States with leading oil and gas production apply royalty rates on State lands that are significantly higher than those assessed on Federal lands. The Texas royalty rate, for example, can be double the Federal rate. Likewise, bonding levels have not been raised for 50 years. Federal minimum bids and rents have been the same for over 30 years. These antiquated approaches hurt not only the Federal taxpayer but also State budgets because States receive a significant share of Federal oil and gas revenues.

 December 2, 2021

Governor Gordon Criticizes Biden Administration’s Oil and Gas Leasing Review

CHEYENNE, Wyo. – Governor Mark Gordon has responded forcefully to Friday’s release of the Department of the Interior’s report on federal oil and gas leasing and permitting. The Governor noted that this unnecessary review was used as an excuse for the Biden Administration’s illegal moratorium on oil and gas leasing on Federal lands. The Governor’s full statement follows:

The Biden Administration’s long-awaited review, released quietly the day after Thanksgiving, lacks merit and is a frontal assault on Western lands that leaves nothing to be thankful for.  The report encourages increasing the cost of producing oil and gas in Wyoming by hiking the royalty rate, taking more areas off the table for federal leasing  and increasing the costs of bonding. None of these options are wise or necessary for Wyoming.

Wyoming is not over-leased. In fact, only 23% of the total mineral acreage held by the Federal Government is leased. With our state’s  oil and gas industry just showing signs of recovery, this is the worst time to needlessly increase expenses such as jacking up royalty rates or instituting higher bond requirements. Wyoming already has an industry-funded, successful plugging and abandonment program. While we are asking our enemies to produce more oil, under less stringent regulations and drain our own national security reserves, further weakening our economy, we need to remember that the only result of the President’s actions will be driving more activity to foreign countries and to states with fewer federal lands and minerals.

 Instead of selling energy to our allies, as we used to, this administration wants to make us more dependent on our adversaries. And for what? We can do more to reduce CO2 emissions by innovating new technologies that improve our standard of living than regulating into oblivion. Any potential modifications to the oil and gas leasing program identified by this review could have been brought forward without the illegal and devastating moratorium. As I have stated on multiple occasions to the Biden administration, the leasing moratorium does nothing to achieve their climate agenda.

-END-

Governor's Strike Team to Hold Virtual Town Hall on American Rescue Plan Proposals

CHEYENNE, Wyo. – Members of Governor Gordon’s Cabinet will hold a public Virtual Town Hall to discuss American Rescue Plan (ARP) proposals currently under consideration. Governor Gordon announced on Nov. 19 that there are more than $3 billion in proposals that the Strike Team is evaluating. Many of these proposals will not qualify for the $1 billion of ARP funds, but could qualify for other one-time funds or be funded through the new Infrastructure funding package. 

The Virtual Town Hall will take place on Friday, December 3 at 1 pm and include the following members of the Governor’s Strike Team. Each will present briefly on the Governor’s 10 goals and the associated proposals:

  • Robin Cooley, Director, Wyoming Department of Workforce Services.
  • Josh Dorrell, CEO, Wyoming Business Council.
  • Korin Schmidt, Director, Wyoming Department of Family Services.
  • Stefan Johansson, Interim Director, Wyoming Department of Health.
  • Renny MacKay, Policy Director, Governor Mark Gordon. 

To register, please visit: https://wyo-dws-gov.zoom.us/webinar/register/WN_KW99hgpRSZa2YH93kxCodA

-END-

December 3, 2021

Wyoming coal has jumped to record prices.

December 6, 2021

The Federal infrastructure bill will provide $63,000,000 for water projects to the state.

There is a Shop Wyoming website.  I only know this as the state, which maintains the site, is being sued by a Cody firearms manufacturer as the state won't put her business on the site.   The state maintains that it can't list their products as they vend through PayPal which won't accept payments for firearms related items.

December 13, 2021

Only two airports in the Continental United States gained passengers in 2020.

And those were the Rawlins Wyoming and Riverton Wyoming airports, both of which are part of Wyoming's Capacity Purchase Agreement program, which is a state program guaranteeing some level of ongoing air service.

Neither airport has been featured here, even though at one point or another, I've seen both (but of course haven't flown into either).

December 15, 2021

New York City has banned new natural gas hookups and oil burning equipment.  New buildings in the city will use heat pumps for heating, air conditioning, and hot water. 

December 16, 2021

Finally reacting to inflation, the Fed is getting set to raise interest rates in 2022.

December 17, 2021

2020 was the worst year economically for Wyoming since 1986.

1986 was the year I graduated from the University of Wyoming with a degree in geology, and yes, that year was pretty bad.

Governor Unveils ARPA Proposals to Support a Thriving Wyoming

 

CHEYENNE, Wyo. – Governor Mark Gordon today unveiled his proposals for the use of the first round of the American Rescue Plan Act (ARPA) funding. In a letter to the Wyoming Legislature’s Joint Appropriations Committee, the Governor recommends dedicating just under $500 million in funds to a range of programs and investments. Wyoming will receive more than $1 billion directly from ARPA. The Governor recommended the additional funds be set aside for savings or utilized for future ideas. 

The Governor noted that nearly $4 billion in requests were brought forward for consideration, and that he supported funding some proposals through other sources, including the recently passed federal Infrastructure bill. Wyoming received  $534 million of the $1.68 billion in ARPA funding in May and is set to receive a second payment of the same amount in 2022.

“This winnowing of proposals was not done casually, but thoughtfully in accordance with the principles outlined at the start of this endeavor to preserve opportunity and foster long-term resilience,” Governor Gordon wrote. “In many cases we reduced the initial request to an amount that could be used as a preliminary investment, as I believe it prudent to analyze the effectiveness of a program or proposal before committing additional dollars.”

The Governor proposed investments across 10 Goal Areas identified by his Strike Team. The proposal includes $207 million deployed using general fund revenue replacement-eligible dollars and $279 million in ARPA Coronavirus State and Local Fiscal Recovery Funds (CSLFRF), which must be spent consistent with federal law and guidance from the U.S. Treasury. In addition, the Governor recommends placing $100 million in the Legislative Stabilization Reserve Account (LSRA) to utilize as matching funds for a wide range of energy-related projects. 

Included in the Governor’s proposal are:

  • $100 million be placed in the Legislative Stabilization Reserve Account (LSRA) earmarked to match private sector or federal funds for large-scale energy projects, including carbon capture on a coal-fired power plant, a hydrogen hub, carbon sequestration, and nuclear power projects.)
  • $55 million for the next phases of the Wyoming Innovation Partnership to help expand the state’s workforce and economy. 
  • $75 million to the Wyoming Wildlife Trust Fund, which would fully fund the Trust and save general funds in future years.
  • $50 million for local government support projects 
  • $40 million for grants to enhance outdoor recreation in Wyoming and to help communities pursue construction of new outdoor recreation products and infrastructure 
  • $30 million to economic development efforts to support mining, agriculture and entrepreneurship. 
  • $10 million for the Cultural Trust Fund to promote arts and historic preservation in Wyoming. 
  • $10 million to match federal funds for wildlife/highway crossing projects. 
  • $10 million to expand Health and Human Services Staffing Stabilization efforts to include providers caring for vulnerable and at-risk populations 

Governor Gordon welcomes feedback on the proposals, both from the legislature and the public. Comments on the proposals are continuing to be accepted through forms available on the Governor’s Drive and Thrive website.

The Governor’s letter, including a complete list of the proposals and the amounts, is attached and can be found here

-END-

December 20, 2021

Yesterday, West Virginia Senator Manchin announced he would not vote for the "Build Back Better" bill that has been a signature bill of President Biden's administration.

This is consistent with what he has been saying all along, and is based on the enormous level of the proposed expenditures.

December 21, 2021

President Biden ordered an increase in fuel mileage standards, which will commence in 2023.

December 22, 2021

Joe Manchin has been giving interviews about his decision not to support the Build Back Better agenda, some of which have expressed real anger with those who attempted to pressure him on the matter.  The failure of it to pass is being regarded as a real critical failure of the Biden Administration.

President Biden addressed the matter at a press conference on the COVID 19 Pandemic he gave yesterday, stating:

Q    Mr. President, you often talk about the importance of keeping your word of trust.  Do you believe Senator Manchin kept his word to you?  And how do you rebuild trust with progressives in your party to advance your legislation now?

THE PRESIDENT:  You know, I told you before — you’ve heard me say this before: Some people think maybe I’m not Irish because I don’t hold a grudge.

Look, I want to get things done.  I still think there’s a possibility of getting Build Back Better done. 

What I don’t want to do is get into — and Joe went on TV today and — I don’t know if it was TV or not; I’m told he was speaking to the liberal caucus in the House and said, “Joe Biden didn’t mislead you, I misled you.”

And so, look, I’m not — I’m not looking for — let me say something: You saw what happened yesterday.  All the talk about how my Build Back Better plan was going to increase inflation, was going to cause these debts and all the like — what happened?

Goldman Sachs and others said if we don’t pass Build Back Better, we’re in trouble — because it’s going to grow the economy.  And without it, we’re not going to grow.

And what happened?  Stock prices went way down.  It took a real dip

If you take a look, the va- — I wasn’t — everybody thinks because I quoted 17 Nobel laureates saying, “This is going to help inflation” — think about it in terms of if you’re a hardworking person and you’re making 60 grand if you’re alone, if you’re mom or just on her own; or if you’re making 80 grand — a mom and dad, 90 grand, like a lot of people do, and you’re worried about inflation: You should be worried about it because it’s a devastating thing for people who are working class and middle-class folks.  It really hurts.

Where is most of the cost now?  The cost is finding it in gasoline, even though I’ve put — even though I was able to bring it down 12 cents a gallon and will come down more, I believe.  We talked about what the cost in food prices going up, et cetera.

But look what’s in — look what’s in Build Back Better: Childcare — you can reduce it by up to 70 percent.  That will be the difference between 20 million women who go — aren’t back in the workforce being able to go back, if you pass it.

We’re talking about — we’re talking about healthcare, insulin.  We’re in a situa- — we got — we got 200,000 kids with Type 1 diabetes.  You know what it’s costing?  It cost somewhere between 10 cents and 10 dollars to come up with a formula — okay? — a while ago.  All right?

You know what it’s costing on average?  $560, $640 a month, up to $1,000 a month. 

What do you do if you’re a mom and a dad working with minimum wage, busting your neck, and you look at your kid and you know if you don’t get that vaccine for them — I mean, that — excuse me — if you don’t get that drug for them, if you don’t get that — that — that — be able to take that, what happens?  They’re like to go into a coma and maybe die.

Not only do you put the kid’s life at stake, you strip away all the dignity of a parent looking at their child.  I’m not joking about this.

Imagine being a parent, looking at a child, and you can’t afford — you have no house to borrow against, you have no savings.  It’s wrong.  But all the things in that bill are going to reduce prices and cost for middle-class and working-class people.  It’s going to reduce their costs. 

What’s inflation?  Having to pay more than the money you have because things have gone up.  Well, it’ll bring down all those costs across the board, from childcare to a Child Care Tax Credit.

But I’m not supposed to be having this press conference right now.

Q    Mr. President, did Senator Manchin break his commitment to you?  When you announced the framework, the White House says that all 50 senators were believed to get behind it — all 50 Democratic senators.  So, did Senator Manchin break his commitment to you?

THE PRESIDENT:  Senator Manchin and I are going to get something done.  Thank you.

December 22, cont: 

President Biden suspended payments on student loans until May.

Note, we have a related thread up on this topic, today.

Blog Mirror: Tom Purcell: The AOC’s of student loan debt

Prior Threads

Subsidiarity Economics. The times more or less locally, Part VI. Bringing Brunton Home.



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