Congressional Update

Republicans and Democrats are barreling towards a potential government shutdown on September 30 as leaders in both parties remain far apart on a stopgap funding measure. This week, Speaker Mike Johnson (R-LA) and House Republicans unveiled a short-term “clean” continuing resolution (CR) to fund the government through mid-November. However, the Republican-led bill immediately ran into Democratic opposition, with House and Senate Democrats unveiling their own funding bill which also includes extensions of expiring health care subsidies and rollbacks of Medicaid cuts enacted as part of the “Big Beautiful Bill”.

Nevertheless, Republicans are forging ahead with their CR, daring Democrats in both chambers to oppose the clean funding extension. With limited legislative vehicles left this year, if Republicans and Democrats can meet at the negotiating table, a compromise CR could also become a vehicle for other policy priorities needed to win support from both conservative Republicans and House Democrats.

On Tuesday Sept. 16, the House Energy and Commerce Committee, Energy Subcommittee held a hearing on appliance and building policies. Full committee Chair Rep. Brett Guthrie in his opening remarks emphasized how Kentucky residents have the option to choose between gas and electrical heating and stated how “all Americans deserve to make that same choice”. Acting General Counsel and Principal Deputy General counsel for the US DOE, Jeff Novak, described two bills – the Energy Choice Act and the Reliable Federal Infrastructure Act, as responses to categorical prohibitions or mandates to reduce or, ultimately, eliminate fossil fuel-generated energy.

Novak stated that 149 jurisdictions have adopted laws or ordinances effectively banning natural gas consumption, and by extension, gas appliances. Whether done directly or indirectly, Novak stated these laws and ordinances deny residents and commercial tenants’ access to energy solutions. Mr. Novak when questioned by Vice Chair of the Energy Subcommittee Rep. Randy Weber agreed that there are gaps in the current NECPA auditing scope, particularly with seasonal energy efficiency rating of an air conditioning or heating system that do not take into effect the loss of energy. Additionally, Rep. Weber asked “what might be the potential impacts on grid reliability if that 344 trillion BTUs currently supplied by fossil fuel was entirely shifted to the federal grid? What do you think the outcome of that would be?” Mr. Novak said, “It would clearly have benefits for the grid.”