Plocal ages Lorain-Medina Rural Electric Cooperative Part 29 Political battles are fought on three fronts in the U.S. Sometimes a member will ask why the cooperative is so involved in the political debate, since we provide a “monopoly” service. We operate the cooperative and provide that service in an environment governed by various laws, regulations and court cases. It is simply a necessary part of business for your cooperative (and for every other business really paying attention and trying to succeed) to understand and remain involved in the political process. The key to understanding the political process is first understanding the unique structure of American government and why our founders set it up that way. The drafters of our Constitution had a great distrust of centralizing power in any one person or group due to their bad experiences with the British Crown. Based upon the experience of ancient Rome and their understanding of human nature, they also worried that even an elected president could assume the dictatorial powers of a king. (Even the Roman Senate was not able to stop the development of an emperor). At the same time, they distrusted creating a direct democracy fearing the danger of “mob rule” led by political passions of the moment. They had examples from ancient Greek history where the will of the majority stamped out the rights of the minority. After all, the point of the American Revolution was for the colonies to secede from the British Crown to preserve the rights and liberties of colonial citizens. This point was emphasized in the first 10 amendments to the U.S. Constitution — also known as the 20D COUNTRY LIVING • JULY 2013 Bill of Rights. Their solution to these fears is provided in our Constitution by two concepts: 1) separation of powers and 2) checks and balances. Consequently, we have three co-equal branches of government — the executive, the legislative and the judiciary — along with constitutional boundaries (or in the words of one founder “chains”) that limit the role of each branch and allows for “checks” on the power of each branch of government by the other. The practical reality is that political battles today (especially over energy and environmental policy) are fought on three fronts. 1. Legislation enacted by Congress 2. Regulations issued by the departments of the executive branch, and 3. Litigation in the federal courts. Lorain-Medina Rural Electric bands together with the other electric cooperatives through the Ohio Rural Electric Cooperatives (OREC) on state legislation and regulation and with other cooperatives in the U.S. through the National Rural Electric Cooperative Association (NRECA) to protect our members’ wallets from unnecessarily burdensome and costly laws and regulations at the federal level. This is accomplished by lobbying Congress on our members’ behalf and by commenting on regulations proposed by various federal agencies. In some cases, our associations will either initiate or join with others in lawsuits over the constitutionality and/or interpretation of a law or regulation. We have asked our members to support these efforts Plocal ages Lorain-Medina Rural Electric Cooperative by writing letters, sending e-mails or making phone calls to our state legislators and especially to members of congress or to federal agencies. We have also asked you to join ACRE Co-op Owners for Political Action®. ‘Climate change’ battle report How does a policy “battle” play out over these three fronts? Let me give you two examples. The first is the climate change/greenhouse gases policy conflict. The U.S. House of Representatives (one half of the legislative branch) passed a cap and trade bill in June 2009 to reduce greenhouse gases and their alleged effect on “climate change” (previously known as “global warming”), but the legislation died in the Senate (the other half of the legislative branch). However, the president (executive branch) announced he would find another “way of skinning the cat…” through the regulatory process he controls. Also in June 2009, the Supreme Court (judicial branch) in a lawsuit brought by Massachusetts against the Environmental Protection Agency ruled the EPA (part of the executive branch) has the authority under the Clean Air Act to regulate greenhouse gases. So the issue was defeated in the legislative branch, then resurrected by the judicial branch, and so the “battle” moves to the executive branch (the EPA). The current fight is over EPA greenhouse gas emission regulations for power plants powered by coal, natural gas or oil. Regulations for new power plants already have been proposed by the EPA and regulations for new power plants are under development. We are working with Congress to pass legislation to “check” EPA’s authority to regulate greenhouse gases and effectively overturn the Supreme Court’s decision. We believe greenhouse gas emission rules, if any, should be legislated by Congress and not by the EPA. Meanwhile, legislation has been introduced in Congress to impose a carbon tax in an effort to limit greenhouse gas emissions (another way to “skin a cat”?). This policy battle rages on… Water heater ‘efficiency’ battle report Congress has passed laws directing the Department of Energy or DOE (executive branch), to set efficiency standards for appliances, encourage load management programs for power generators and promote renewable energy projects. As I discussed last month, the DOE has adopted rules starting in 2015 prohibiting the manufacture of electric resistance water heaters greater than 55-gallon capacity. Your cooperative, NRECA and OREC testified at a DOE hearing in favor of modifications to a proposed waiver to these rules allowing the manufacture of large water heaters for specific utility purposes, such as load management and wind energy storage. In late April electric cooperatives called on Congress and asked Congressmen and Senators to write letters to the DOE in support of our position. Ninetyfour members of Congress signed letters. We also asked them to support legislation, if necessary, to “check” DOE’s overly restrictive water heater rule. NRECA also asked our members to weigh in with their Congressman or Senator on this issue through their “Our Energy, Our Future” take charge program. This battle continues. Our members’ role The two sample “battle” reports above illustrate how energy and environmental policy issues are fought over three fronts corresponding to our three branches of government. These “battles” are often fought over many years. More than ever, your cooperative needs your sustained support to maximize our effectiveness when lobbying Congress or working with regulatory agencies. You can assist us by 1. Read your Country Living magazine and our local pages every month to keep up-to-date on the issues; 2. Write letters, send e-mails and make phone calls when we ask you for help, and. 3. Become a member of the ACRE Co-op Owners for Political Action. Please review the sign up information to the right for details on how to become a member. Can we count on your help to defend your wallet? YES! I’d like to join ACRE I want to help keep the voice of rural electric cooperatives heard in the state and national political process by joining ACRE Co-op Owners for Political Action®. Please add the following amount to my monthly electric bill. ____ Regular COPA member $2.08 per month ($25 per year) ____ Century Club member $8.03 per month ($100 per year) ____ President’s Club member* $41.60 per month ($500 per year) ____Other $ Only active cooperative members may enroll in ACRE. I affirm that my contribution has been made with non-corporate funds: Name:______________________ Address:_____________________ Account No.__________________ Signature: ___________________ *Federal electron law requires the following information for contributions exceeding $200. Employer: ____________________ Occupation:___________________ Detach and return to Lorain-Medina Rural Electric Cooperative, P.O. Box 158, Wellington, OH 44090 Contributions to ACRE are for political purposes. Contributions to ACRE through ACRE Co-op Owners for Political Action® are strictly voluntary. Contributions to federal and state political action committees are not deductible for tax purposes. You have the right to refuse to contribute without reprisal. The contribution guidelines are suggestions only. You may contribute more or less than the recommended amount. Contributions may be stopped at any time upon notification to the cooperative. JULY 2013 • COUNTRY LIVING 20E
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