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Pipeline companies will get a $7 billion tax break through 2016

Pipeline companies will get a $7 billion tax break through 2016

There are people in Washington, D.C., right now scratching their heads and writing memos and trying to figure out how on earth we might possibly avoid budgetary doomsday, the sequestration that will lop some $1.2 trillion out of the federal budget over the next decade. Again, this is only happening because Congress tried to threaten itself. It’s like you threatening to rob yourself by holding a gun to your head and then trying to figure out how to keep from being robbed.

But while all of this is happening, something else is going on in Our Nation’s Capital™: Pipeline companies are getting an even larger tax break than expected. From Bloomberg:

A tax break used by oil and gas pipeline companies such as Kinder Morgan Energy Partners LP (KMP) will cost the U.S. government $7 billion through 2016, about four times more than previously estimated, Congress’s tax scorekeepers said this month.

The nonpartisan Joint Committee on Taxation quadrupled its cost estimate for exempting the fast-growing “master limited partnerships” from corporate income tax in the year ended in September to $1.2 billion from $300 million. The annual cost will rise to $1.6 billion by fiscal 2016, the committee said.

$7 billion. $1.6 billion a year. Tack on the estimated $4 billion in tax breaks the oil industry receives each year, and pretty soon you’re talking about real money.

Some people, new to American politics, think this pipeline tax break will become a political target. If it does, it will only be a target for as long as it takes for the American Petroleum Institute to do some overwrought hand-wringing about job creation. Then it will be ignored once again.

After all, with sequestration threatening to devastate funding for education, public safety, public health, child care programs, worker training, and the military, D.C.’s best minds are already occupied with problem-solving. And they’ll get the job done, no need to worry. In short order, they’ll figure out how to avoid those cuts to the military. That thief won’t steal all their money.

Philip Bump writes about the news for Gristmill. He also uses Twitter a whole lot.

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Pipeline companies will get a $7 billion tax break through 2016

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Louisiana may see the highest-rising seas in the world

Louisiana may see the highest-rising seas in the world

As Hurricane Katrina approached, many Americans for the first time learned about New Orleans’ precarious, below-sea-level orientation. The city is described as “bowl-like,” rimmed by levees and natural structures that might not hold back surging storm water — and might make drying out nearly impossible. It turned out that the analogy was imperfect. New Orleans is more like a TV dinner tray, and only the Ninth Ward ended up flooded.

After Katrina, anyway — a category 3 storm when it hit. But as sea levels continue to rise, and warming promises bigger storms, New Orleans’ complete submersion may be inevitable. From The Lens:

Stunning new data not yet publicly released shows Louisiana losing its battle with rising seas much more quickly than even the most pessimistic studies have predicted to date. …

Southeast Louisiana — with an average elevation just three feet above sea level — has long been considered one of the landscapes most threatened by global warming. That’s because the delta it’s built on — starved of river sediment and sliced by canals — is sinking at the same time that oceans are rising. The combination of those two forces is called relative sea-level rise, and its impact can be dramatic.

Scientists have come up with four scenarios of sea-level rise, ranging from .2 meters (8 inches) to 2 meters (about 6.5 feet). They’re using the mid-range figure, about 4.5 feet, to make local projections of relative sea-level rise.

For example, tide-gauge measurements at Grand Isle, about 50 miles south of New Orleans, have shown an average annual sea-level rise over the past few decades of 9.24 millimeters (about one-third of an inch) while those at Key West, which has very little subsidence, read only 2.24 millimeters.

For decades coastal planners used that Grand Isle gauge as the benchmark for the worst case of local sea-level rise because it was one of the highest in the world. But as surveying crews began using more advanced instruments, they made a troubling discovery.

Readings at a distance inland were even worse than at Grand Isle. “For example,” Osborne said, “we have rates of 11.2 millimeters along the south shore of Lake Pontchartrain — the metro New Orleans area. And inside the city we have places with almost [a half-inch] per year.

The Lens article includes this graph from the National Oceanic and Atmospheric Administration:

The Lens/NOAA

Click to embiggen.

Orleans parish, the one expected to be 85.3 percent under sea level by 2100, is home to the city of New Orleans.

Of course, as noted above, New Orleans is also more than half below sea level already. It’s like taking one of those cafeteria trays with the separate triangular sections and pushing it down into a bathtub. The more you push — or the more the water in the tub rises — the more it encroaches around the rim, surface tension holding it back. Eventually, as happened in 2005, it will give.

The only way to prevent that from happening is to build a larger lip around the outside, requiring a generous outlay of money and a great deal of urgency.

[NOAA’s Tim Osborne said,] “Based on the frequency of storms over the last century, we know we can expect 30 to 40 hurricanes or tropical storms to hit this area by the end of this century. Think of Isaac — not of Katrina — and add up the cost of that kind of destruction 30 or 40 times.

“During Isaac, Louisiana [Highway] 1 to Grand Isle was almost impassable. It will be impassable in a few decades unless something is done. Look at what happened to Plaquemines Parish from Category 1 Isaac. More and worse will happen in the next few decades.”

Osborne stressed the new figures mean the state’s Master Plan should be adjusted to meet the larger, faster-approaching threat.

“People are already questioning the wisdom of spending huge sums to protect Louisiana,” he said. “The state needs to make sure they’re proposing plans that will last more than a few decades, that they aren’t asking for billions to build things that might be ineffective before they are even finished being built.”

In 2009, Louisiana Gov. Bobby Jindal (R) openly opposed efforts to curb climate change. By 2100, of course, he’ll no longer be in office and his name will likely be forgotten. After all, can you name the governor of Atlantis?

Source

New research: Louisiana coast faces highest rate of sea-level rise worldwide, The Lens

Philip Bump writes about the news for Gristmill. He also uses Twitter a whole lot.

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Louisiana may see the highest-rising seas in the world

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So much hope and so many problems for the L.A. river

So much hope and so many problems for the L.A. river

A new, green future awaits the concrete drainage ditch that we know as the Los Angeles River. But it may have to wait for quite a while.

pmong9

The Army Corps of Engineers, which originally poured all that concrete about 80 years ago (thanks for nothing, dudes), is teaming up with city engineers on a $10 million study of the potential for restoring the river’s ecosystem, creating wetlands for animals and hang-outs for people. From The Wall Street Journal:

The study examines an 11-mile stretch of the river on the city’s east side, where some resilient plants have survived in a narrow, muddy strip of so-called soft bottom at the center of the channel.

Efforts to manipulate the river’s concrete form without losing its flood-control function will be a “delicate balancing act,” said Josephine Axt, the Corps’ local planning chief who is leading the study, known as Alternative with Restoration Benefits and Opportunities for Revitalization, or Arbor.

It’s like “setting the table,” said Omar Brownson, executive director of the L.A. River Revitalization Corp., which coordinates economic-development projects along the river. “We’re creating a more attractive destination for investment.”

Yes, well, what’s a revitalized habitat without the business it attracts? I guess?

The Corps is expected to present the results of the study to the public in June. But that public might not take so kindly to the Corps and their master plans by then. Just last month, the Corps razed dozens of acres of the river’s wildlife habitat along the Sepulveda Basin, seriously pissed off the local water agency, violated the Clean Water Act, and potentially also violated endangered species protections.

State Sen. Kevin de León, one of several local officials who has demanded an explanation from the Corps, said the Sepulveda project “doesn’t bode well” for the future of efforts to revitalize the Los Angeles River’s natural landscape.

The Journal plays down the “Sepulveda incident” with this weird statement: “The federal interest, the public’s desires and a noticeable change in recent years in the way Los Angelenos view the river have cushioned the blow of the Sepulveda Basin shearing.”

If anything, the wetlands razing may just motivate the public to push the Army Corps harder to get this one right.

But even if the Corps cleans up its act, Los Angeles has a long way to go to clean up its river, which watchdog groups have found is periodically contaminated by mercury, arsenic, cyanide, lead, and fecal bacteria.

Earlier this month, the Supreme Court ruled that L.A. area governments were not responsible for the polluted water that flows through storm drains and into the Los Angeles and nearby San Gabriel Rivers. But, fearing further litigation and fines (lead! fecal bacteria!), the county is looking at less painful ways to fund the clean-up. It is now considering an “ambitious” property tax to pay for pollution remediation, at about $54 per house, and up to $11,000 per big box store, per year. Not surprisingly, it is not terribly popular with the locals.

Without the cash to pay for the infrastructure to filter the water, these are going to be some dirty, dirty wetlands indeed.

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So much hope and so many problems for the L.A. river

Posted in GE, Uncategorized | Tagged , , , , , , , , , , | Comments Off on So much hope and so many problems for the L.A. river