Hill Dems Blow It for Obama: McCain Allies Kill Gang-of-20 Compromise Energy Bill

Both The Hill and Politico.com have reported that a bipartisan "gang" of 20 Senators will not introduce a compromise energy bill before the election. You can read details of the original compromise here: The Gang-of-10 drilling deal is something for nothing.

This is a huge triumph for McCain and major political blunder by Congressional Democrats. The original energy compromise was, I argued, "the best chance -- indeed, the only chance -- the Dems will have to simultaneously give the lie to McCain's faux bipartisanship and to expose the Big Energy Lie, the absurd notion that McCain and the Republicans believe in an all-of-the-above energy for dealing with our energy crises" (see "Gang-of-10 deal is a must for Dems").

Frankly, it was bewildering that Lindsey Graham was part of the original Gang in the first place, given how much a genuine compromise that benefited the entire nation was against the narrow political interests of his close friend from Arizona. It was even more bewildering that House and Senate Dems didn't immediately pick up this bill and vote on it given that it contained the least amount of coastal drilling imaginable while at the same time providing more long-term support for renewables than the House Dems just voted for. You can find details on the House bill here.

Now, whatever energy bill Senate Democrats come up with, McCain and his allies can claim that it is just a partisan Democratic bill, just as the House GOP stood on the House floor and bitterly opposed Pelosi's bill (see "How is the House GOP's behavior last night different from my 19-month-old daughter's").

Politico.com got duped into pushing what will no doubt be the standard GOP line, that ...

... leaders on both sides -- environmentalists on the left and anti-tax conservatives on the right -- were not ready to embrace a bipartisan energy deal so close to the election.

Note to Politico: Don't you think your article should have mentioned at least in passing that the moratorium on coastal drilling is going to expire at the end of this month, so anybody in Congress who cares about the environment needs to sign on to some sort of a compromise? To the extent that some environmentalists did play a supporting role in allowing McCain's allies to kill this without leaving obvious fingerprints, it is yet more evidence that "The environmental community has had its head in the sand when it comes to reality."

The Hill's analysis is somewhat better, though their reporting is still flawed:

Democrats, under pressure to lift a nearly three-decade-old ban on drilling, seemed open to the plan to deflect criticism that they were standing in the way of finding more domestic supplies.

Uhh, not quite. The ban doesn't need to be "lifted." It is set to die automatically at the end of the month unless it is renewed (which ain't going to happen) or some alternative is put in its place.

But many Republicans criticized the plan, raising concerns that by offering a compromise to Democrats and their presidential candidate Barack Obama, it would blunt a potent election-year attack that has gained traction at the polls. GOP presidential candidate John McCain opposed the plan, and Democrats were preparing to attack the Arizona senator for standing in the way of a bipartisan compromise. And many Republicans, like Sen. McCain, said repealing subsidies from oil companies would amount to a tax hike.

Funny how McCain gets to attack Obama for supporting the 2005 Energy Bill on the grounds it gave big subsidies to Big Oil and also gets to attack Democrats for supporting lower subsidies to Big Oil.

Lawmakers have run into roadblocks as the election-year dynamics have shifted. For instance, in a dramatic reversal, the House passed a Democratic energy bill this week that allowed coastal states to drill more than 50 miles off their shores. Plus Democrats are signaling that they will not try to renew the offshore drilling ban after it expires on Oct. 1.

As a result, the group was negotiating how far to take the drilling provisions. Sen. John Thune (R-S.D.), one of the negotiators, said the bipartisan group wasn't looking to end up "on the left of Nancy Pelosi," referring to the House Speaker.

Once House Dems failed to simply adopt the original Senate Gang proposal for limited drilling, but instead insisted on opening up vastly more of our coastal plains, they effectively made the Gang proposal politically untenable, as Thune's remarks make clear. And that just opened up a bidding war:

According to both Democratic and Republican aides directly involved in key meetings Thursday night, the bipartisan coalition's most significant agreement will be to push for drilling on the outer continental shelf, up to 25 miles off-shore, with revenue sharing for each coastal state that asks to "opt in" and allow drilling off their coast. That's a much more aggressive drilling policy than the one passed by the House, which would allow drilling 50 miles off shore, with no oil revenue sharing for states.

Yeah, "Democratic aides" that is truly the "most significant" achievement -- allowing Republicans to walk away from the far more limited drilling in the original Gang-of-10 proposal.

The Dems have mishandled this so badly that you have to wonder now if they are going to be able to pass anything before the moratorium dies on September 30.

To repeat, had a bill based on the original Gang-of-10 been brought to the Senate floor for a vote, it would have put McCain in an untenable position. There is no simple justification for voting against this compromise for any Republican claiming to be for an "all of the above" energy policy, claiming to be someone who bucks his party to reach across the aisle for the best ideas of both parties.

And yet McCain's new oil industry string-pullers hate the bill because they not only want record profits from record oil prices, they also want tens of billions of dollars in government subsidies that were put in place at a time when oil prices were far lower (see "Dog bites man's compromise"). A vote against the bill would be devastating to McCain's entire energy and political message. But a vote for the bill would largely take the offshore drilling issue off the table. And failing to show up for a vote might have been the worst of all for him.

Not to be. Kudos to Linsday Graham for disposing of this major headache for McCain while leaving few fingerprints. You have a bright future as a mob hitman -- although I'd probably leave off your resume that you helped bump off a baby you yourself fathered

As for Hill Dems and enviros, what is there left to say? Same old same old for you guys and gals. I'd love to know your endgame strategy, assuming you have one.

Comments

[freedog]

With a very bright spotlight on Congress, the Dem's thought the American public was stupid enough not to see their transparent attempt to send a bill to the Senate it absolutely new would not be approved. By moving drilling outside 50 miles, they moved the drills well beyond the prime oil deposits. The Dum's have been stating that it will be ten years before we see any of that oil but a friend of mine in the oil industry said that if they positioned rigs directly over the deposits, that they could have oil up and pumping in less than 2 years. That would really make the Dum's look ridiculous, now wouldn't it?

[texanna]

Everytime the Democratic non-Leadership in Congress does something boneheaded I think they can't do anything more stupid. And, then, they do! As far as I can tell Pelosi and Reid are the perfect examples of the Peter Principle, because they sure as hell don't seem to know what to do in the offices they've achieved. Democrats used to know how to elect leaders in Congress who knew how to get things done, how to use the tools of their office and Parliamentary rules. I don't know what Sen. Clinton's plans are after Nov., but she would sure be doing all of us a favor if she went after Harry's job.

[Beka13]

The Conservatives fight to keep the status Quo because the divisions it creates keep them in power...Republicans are apparently doing fine in this ecomony so they do not want change.

[pmag88]

The reason this legislation was doomed to fail (at least in the short term) is exactly the reason the Dems are winning solid majorities in the house and senate. With every obstructionist victory the Republicans have build an ever larger and more powerful force against them. Their party needs a major overhaul and it's on the way.

[zedthewizard]

although it will end, it can be legislated before anything happens. do you really think the energy company has extra drill bits, materials, etc. lying around. if they did, they would have drilled somewhere when price was almost 1.5x the current price. we better win it all to do what is right though. contribute.

[regurg]

Has this country going insane ? Every 4 years it is the same mindless dribble, crap throwing contest..Dems at Republicans and visa-versa. Finger pointing nonsense !!!! The problem isn't with one party or the other. The problem is, we as American citizens truly are "sheeple" who get sheared every 4 years into believing that somehow bringing a different face into Washington will magically cure problems. Washington is the problem ! We have allowed our representatives to twist, convert , distort and abuse the Constitution to the point that common sense has been destroyed. And our employees in Washington continue to play the game and we will all wake up on Nov.5th going back to life as usual....complacent sheeple for another 4 years ! There is so much that could be fixed by just going to a flat-tax system, all but eliminating the IRS and stop making the American citizens pay for programs voted in by "representatives" with their heads up dark orifices. Amen to OhioJan

[Missmn]

"major political blunder by Congressional Democrats"

Have they shown us anything but? Seriously.

[BottomLine2008]

Trust the Congress to mess up.

[itsok]

Boycott Politico!!!! They have sold out and now only report GOP rhetoric!!!

[freedog]

That's until a favorable story surfacing about the Dum's, right? The left is over-emotional and that's what will cost you the election. Rove like cool, calm calculations is the recipe for success.

[skippypicasso]

Comprehensive energy reform can wait. How many rigs can be put up in six months anyway?

[nomobull]

my guess would be none.

[valleygent]

This will not reach the public radar...calm down.

[whillice]

Other major parts of this bill that we need passed in a timely matter:

1- A renewal of the tax credits for solar and wind manufacturers set to expire at the end of the year. What no one's covering: GOP insiders wanted to kill this because it was paid for by getting rid of corporate welfare ...ahhem, i mean "tax cuts" for the most profitable sector of our economy

Things I'm not so sad to see die and go away: opening up oil shale for drilling in the Rockies, unlimited loan guarantees for nuclear power plants.

I just hope they can get those pieces passed either in a lame duck session or in the first 100 hours of the next Congress.

[Gidster]

Executive signing statement #????
I and anyone I choose forever and ever can ignore any subpoena about anything that happened in the White House while I was president.
Executive signing statement #????
I and anyone I choose for ever need not obey any law I think is beneath my authority while I am President.

Republicans have an "Ignore the Law" President! A robust voter suppression system, and easily hacked and altered voting machines.
What more could they want?

[debrouillard]

I am beginning to think,Democrats really dont have the balls to do anything.

Republicans ALWAYS get what they wants,whether they are in power or not. They could impeach Bill Clinton,but not even Karl Rove could answer a subpoena .

They can attack with anything,to then theres no limit,but the Dems comes across at times as if they are scared.

Now they are going to get their Drill Drill Drill ,because Pelosi doesnt have the guts to force them to vote right now when the entire nation is watching.

If Obama fails to change Washington,u guys must just forget it,because it will mean Washington will never change. 90% of the senate are people who have been there for more than 10 years. The saying "I am my brothers/sister keepers" goes on there.They look out for each other.

[Faith101]

Naw, this emergency trumped every and anything that would have been passed. They need to pass all of it. They are both bipartisan. Nobody is going to be totally happy, nobody.