Environment, Manufacturing, & Critical Materials

Washington, D.C. — In a new letter to the Environmental Protection Agency (EPA), Energy and Commerce Committee Republicans are pressing for answers regarding Greenhouse Gas Reduction Fund (GGRF) awards. The letter to Administrator Regan, signed by Committee Chair Cathy McMorris Rodgers (R-WA), Subcommittee on Oversight and Investigations Chair Morgan Griffith (R-VA), and Subcommittee on Environment, Manufacturing, and Critical Materials Chair Earl L. "Buddy" Carter (R-GA), requests an unredacted copy of all GGRF award agreements that have been finalized.  It follows up on an Oversight Subcommittee hearing from earlier this year, where Mr. Zealan Hoover, Senior Advisor to the Administrator, assured Committee Members that the award agreements that EPA entered into with recipients to receive GGRF program awards would address the concerns raised.   LETTER TEXT BELOW:   Dear Administrator Regan,  We write to you as part of the Energy and Commerce Committee’s (the Committee) continued oversight of the Environmental Protection Agency’s (EPA) Greenhouse Gas Reduction Fund (GGRF). As you know, Committee Members have many questions regarding this first-of-its-kind, $27 billion program, including those discussed at a January 30, 2024, Subcommittee on Oversight and Investigations hearing on the GGRF, with Mr. Zealan Hoover, Senior Advisor to the Administrator, testifying on behalf of the EPA. In numerous instances, Mr. Hoover assured Members that the award agreements that EPA would enter into with recipients that the EPA selected to receive GGRF program awards would address the concerns they raised.   For example, in response to a question from Committee Chair Rodgers about what conflicts of interest policies would govern funding recipients responsible for further distributing this money, Mr. Hoover responded that “they will be subject to all of the terms and conditions of their financial assistance agreement.” After Representative Guthrie pressed for more information on whether organizations with foreign ties could receive GGRF funding, Mr. Hoover stated that “one of the terms and conditions in each of the award agreements is going to be a prohibition against entering into any form of contractual relationship with a foreign entity of concern.” Mr. Hoover also replied to Representative Lesko, “[e]ach grantee is applying with a rigorous investment plan, proposed project pipeline, and timeline for a wide array of necessary activities covering their investment work, their governance, their organizational structure. All of that will be enshrined in our terms and conditions of the grant agreement.”   Members also submitted follow-up questions for the record after the hearing. Oversight and Investigations Subcommittee Chair Griffith requested more detail about performance audits, and the EPA responded, in part, “[w]e expect that the terms and conditions of GGRF grants, as provided in 2 C.F.R. § 200.208, will authorize the project officer to closely monitor recipient performance and compliance with grant requirements.” Additionally, in response to Chair Griffith’s inquiry on how the EPA could evaluate the past performance of applicants that included new organizations or coalitions, the EPA stated that it required applicants to submit risk management plans, and that awardees would have to comply with specific terms and conditions in their award agreements. In response to a question on Build America, Buy America Act (BABA) compliance, the EPA stated that it was “including terms and conditions in the award agreements to reinforce that all grants are subject to [BABA] by statute,” and that “EPA will hold selected applicants accountable to BABA requirements through the terms and conditions of the award agreements.” Finally, the EPA also responded to a question from Representative Crenshaw, saying that “EPA will include a term and condition in all award agreements to protect against federal funds flowing to entities with certain connections to the People’s Republic of China.”  In short, the EPA repeatedly sought to reassure the Committee that its award agreements with selected recipients would address the issues of concern and potential risks. The Committee seeks additional detail on how these award agreements will address the issues of concern and potential risks.    As such, please provide a complete and unredacted copy of the award agreement, including all of the attachments, appendices, and any amendments, that the EPA executes with each funding recipient under the GGRF. By no later than August 29, 2024, please provide a copy of all award agreements that have been finalized as of the date of this letter, and please provide a copy of all remaining agreements as soon as they are finalized. 

Washington, D.C. — House Energy and Commerce Committee Chair Cathy McMorris Rodgers (R-WA), Energy, Climate, and Grid Security Subcommittee Chair Jeff Duncan (R-SC), and Environment, Manufacturing, and Critical Materials Subcommittee Chair Buddy Carter (R-GA) yesterday sent a letter to Department of Energy (DOE) Secretary Jennifer Granholm urging the Department of Energy to prioritize the onshoring of our critical mineral supply chains following the Chinese Communist Party’s July 1 declaration that rare earth metals were the “property of the state.” CLICK HERE to read exclusive coverage by E&E News. KEY QUOTE “Critical minerals are essential to America’s economy and to America’s capacity to manufacture goods and high-tech devices. Many critical minerals are essential to the energy sector, as they are needed to manufacture solar panels, batteries, and electrical equipment. As the DOE is aware, the CCP announced limitations on gallium, germanium, natural and synthetic graphite last October. These critical minerals are vital for our defense and energy technologies and are listed as critical and at high risk of supply disruption. On November 21, 2023, the Committee on Energy and Commerce sent a letter raising security concerns over the CCP limiting exports of gallium, germanium, natural graphite, and synthetic graphite. Your response to that letter failed to address these concerns and lacked basic information to help Members of Congress assess the risks of America’s increasing dependence on CCP controlled minerals.” [...] “The administration should prioritize the onshoring of domestic mining and processing industry for these critical minerals and materials. The answer to a lack of mining and processing is not to extend credits to companies using minerals from a major geopolitical adversary that relies on child labor and exploitation.” Chairs Rodgers, Duncan, and Carter asked Secretary Granholm to answer the following questions by August 13, 2024: Are you concerned by reports that the Chinese government has declared rare earth metals property of the government of China? What actions will the DOE take in response to the Chinese government’s announcement? Please describe any actions DOE has taken to prioritize onshoring domestic mining and processing of synthetic and natural graphite. Please describe any actions DOE has taken to prioritize onshoring domestic mining and processing of gallium and germanium. How will DOE work to expedite projects to ensure a secure and stable supply chain of these critical minerals and materials given these recent announcements? What actions will DOE take to mitigate potential domestic supply shortages of these minerals? Were you consulted about the Treasury Department’s decision to extend the graphite exemption through 2027? Did you advise or recommend that the White House extend the graphite exemption through 2027? Please explain. CLICK HERE to read the letter to Secretary Granholm. CLICK HERE to read the November 21, 2023, letter to Secretary Granholm raising concerns over the CCP’s decision to limit exports of gallium, germanium, natural graphite, and synthetic graphite.

Washington, D.C. — House Energy and Commerce Committee Chair Cathy McMorris Rodgers (R-WA) and Oversight and Acoountability Committee Chair James Comer (R-KY) sent letters to eight federal agencies today following the recent Supreme Court decision on Loper Bright Enterprises v. Raimondo , in which the court overruled Chevron deference. Science, Space, and Technology Committee Chair Frank Lucas (R-OK) and House Agriculture Committee Chair GT Thompson (R-PA) joined Chairs Rodgers and Comer on an additional letter sent to the Environmental Protection Agency. KEY LETTER EXCERPT: “We write to call to your attention Loper Bright Enterprises v. Raimondo, a recent Supreme Court decision that precludes courts from deferring to agency interpretations when the statutes are ambiguous. In its decision, the Court explicitly overruled Chevron U.S.A. Inc. v. Natural Resources Defense Council, Inc., 467 U.S. 837 (1984), which required deference to agency interpretations of ambiguous statutes. By allowing such deference, the Court in Chevron enabled the ‘Administrative State’ to usurp the legislative authority that the Constitution grants exclusively to Congress in Article I. The Chevron decision led to broader, more costly and more invasive agency regulation of Americans’ lives, liberty, and property.   “Perhaps no administration has gone as far as President Biden’s in issuing sweeping Executive edicts based on questionable assertions of agency authority. The Biden administration has promulgated far more major rules, imposing vast costs and paperwork burdens, than either its most recent predecessors. Many of these rules...have been based on overreaching interpretations of statutes enacted by Congress years ago, before the issues now regulated were even imagined.   “The expansive Chevron deference has undermined our system of government, creating an unaccountable Administrative State. Thankfully, the Court has now corrected this pattern, reaffirming that ‘[i]t is emphatically the province and duty of the judicial department to say what the law is.’ Given the Biden administration’s record of agency overreach, we are compelled to underscore the implications of Loper Bright and remind you of the limitations it has set on your authority.”   CLICK HERE to read the letter to the Environmental Protection Agency. CLICK HERE to read the letter to the Federal Communications Commission.  CLICK HERE to read the letter to the Consumer Product Safety Commission.  CLICK HERE to read the letter to the Federal Trade Commission.  CLICK HERE to read the letter to Department of Commerce.   CLICK HERE to read the letter to the Department of Energy.  CLICK HERE to read the letter to the Federal Energy Regulatory Commission.  CLICK HERE to read the letter to the Nuclear Regulatory Commission.  CLICK HERE to read the letter to the National Highway Transportation and Safety Administration.

Washington, D.C. — In a new letter to the Environmental Protection Agency (EPA), Energy and Commerce Committee Republicans are pressing for answers regarding Greenhouse Gas Reduction Fund (GGRF) awards. The letter to Administrator Regan, signed by Committee Chair Cathy McMorris Rodgers (R-WA), Subcommittee on Oversight and Investigations Chair Morgan Griffith (R-VA), and Subcommittee on Environment, Manufacturing, and Critical Materials Chair Earl L. "Buddy" Carter (R-GA), requests an unredacted copy of all GGRF award agreements that have been finalized.  It follows up on an Oversight Subcommittee hearing from earlier this year, where Mr. Zealan Hoover, Senior Advisor to the Administrator, assured Committee Members that the award agreements that EPA entered into with recipients to receive GGRF program awards would address the concerns raised.   LETTER TEXT BELOW:   Dear Administrator Regan,  We write to you as part of the Energy and Commerce Committee’s (the Committee) continued oversight of the Environmental Protection Agency’s (EPA) Greenhouse Gas Reduction Fund (GGRF). As you know, Committee Members have many questions regarding this first-of-its-kind, $27 billion program, including those discussed at a January 30, 2024, Subcommittee on Oversight and Investigations hearing on the GGRF, with Mr. Zealan Hoover, Senior Advisor to the Administrator, testifying on behalf of the EPA. In numerous instances, Mr. Hoover assured Members that the award agreements that EPA would enter into with recipients that the EPA selected to receive GGRF program awards would address the concerns they raised.   For example, in response to a question from Committee Chair Rodgers about what conflicts of interest policies would govern funding recipients responsible for further distributing this money, Mr. Hoover responded that “they will be subject to all of the terms and conditions of their financial assistance agreement.” After Representative Guthrie pressed for more information on whether organizations with foreign ties could receive GGRF funding, Mr. Hoover stated that “one of the terms and conditions in each of the award agreements is going to be a prohibition against entering into any form of contractual relationship with a foreign entity of concern.” Mr. Hoover also replied to Representative Lesko, “[e]ach grantee is applying with a rigorous investment plan, proposed project pipeline, and timeline for a wide array of necessary activities covering their investment work, their governance, their organizational structure. All of that will be enshrined in our terms and conditions of the grant agreement.”   Members also submitted follow-up questions for the record after the hearing. Oversight and Investigations Subcommittee Chair Griffith requested more detail about performance audits, and the EPA responded, in part, “[w]e expect that the terms and conditions of GGRF grants, as provided in 2 C.F.R. § 200.208, will authorize the project officer to closely monitor recipient performance and compliance with grant requirements.” Additionally, in response to Chair Griffith’s inquiry on how the EPA could evaluate the past performance of applicants that included new organizations or coalitions, the EPA stated that it required applicants to submit risk management plans, and that awardees would have to comply with specific terms and conditions in their award agreements. In response to a question on Build America, Buy America Act (BABA) compliance, the EPA stated that it was “including terms and conditions in the award agreements to reinforce that all grants are subject to [BABA] by statute,” and that “EPA will hold selected applicants accountable to BABA requirements through the terms and conditions of the award agreements.” Finally, the EPA also responded to a question from Representative Crenshaw, saying that “EPA will include a term and condition in all award agreements to protect against federal funds flowing to entities with certain connections to the People’s Republic of China.”  In short, the EPA repeatedly sought to reassure the Committee that its award agreements with selected recipients would address the issues of concern and potential risks. The Committee seeks additional detail on how these award agreements will address the issues of concern and potential risks.    As such, please provide a complete and unredacted copy of the award agreement, including all of the attachments, appendices, and any amendments, that the EPA executes with each funding recipient under the GGRF. By no later than August 29, 2024, please provide a copy of all award agreements that have been finalized as of the date of this letter, and please provide a copy of all remaining agreements as soon as they are finalized. 

Washington, D.C. — House Energy and Commerce Committee Chair Cathy McMorris Rodgers (R-WA), Energy, Climate, and Grid Security Subcommittee Chair Jeff Duncan (R-SC), and Environment, Manufacturing, and Critical Materials Subcommittee Chair Buddy Carter (R-GA) yesterday sent a letter to Department of Energy (DOE) Secretary Jennifer Granholm urging the Department of Energy to prioritize the onshoring of our critical mineral supply chains following the Chinese Communist Party’s July 1 declaration that rare earth metals were the “property of the state.” CLICK HERE to read exclusive coverage by E&E News. KEY QUOTE “Critical minerals are essential to America’s economy and to America’s capacity to manufacture goods and high-tech devices. Many critical minerals are essential to the energy sector, as they are needed to manufacture solar panels, batteries, and electrical equipment. As the DOE is aware, the CCP announced limitations on gallium, germanium, natural and synthetic graphite last October. These critical minerals are vital for our defense and energy technologies and are listed as critical and at high risk of supply disruption. On November 21, 2023, the Committee on Energy and Commerce sent a letter raising security concerns over the CCP limiting exports of gallium, germanium, natural graphite, and synthetic graphite. Your response to that letter failed to address these concerns and lacked basic information to help Members of Congress assess the risks of America’s increasing dependence on CCP controlled minerals.” [...] “The administration should prioritize the onshoring of domestic mining and processing industry for these critical minerals and materials. The answer to a lack of mining and processing is not to extend credits to companies using minerals from a major geopolitical adversary that relies on child labor and exploitation.” Chairs Rodgers, Duncan, and Carter asked Secretary Granholm to answer the following questions by August 13, 2024: Are you concerned by reports that the Chinese government has declared rare earth metals property of the government of China? What actions will the DOE take in response to the Chinese government’s announcement? Please describe any actions DOE has taken to prioritize onshoring domestic mining and processing of synthetic and natural graphite. Please describe any actions DOE has taken to prioritize onshoring domestic mining and processing of gallium and germanium. How will DOE work to expedite projects to ensure a secure and stable supply chain of these critical minerals and materials given these recent announcements? What actions will DOE take to mitigate potential domestic supply shortages of these minerals? Were you consulted about the Treasury Department’s decision to extend the graphite exemption through 2027? Did you advise or recommend that the White House extend the graphite exemption through 2027? Please explain. CLICK HERE to read the letter to Secretary Granholm. CLICK HERE to read the November 21, 2023, letter to Secretary Granholm raising concerns over the CCP’s decision to limit exports of gallium, germanium, natural graphite, and synthetic graphite.

Washington, D.C. — House Energy and Commerce Committee Chair Cathy McMorris Rodgers (R-WA) and Oversight and Acoountability Committee Chair James Comer (R-KY) sent letters to eight federal agencies today following the recent Supreme Court decision on Loper Bright Enterprises v. Raimondo , in which the court overruled Chevron deference. Science, Space, and Technology Committee Chair Frank Lucas (R-OK) and House Agriculture Committee Chair GT Thompson (R-PA) joined Chairs Rodgers and Comer on an additional letter sent to the Environmental Protection Agency. KEY LETTER EXCERPT: “We write to call to your attention Loper Bright Enterprises v. Raimondo, a recent Supreme Court decision that precludes courts from deferring to agency interpretations when the statutes are ambiguous. In its decision, the Court explicitly overruled Chevron U.S.A. Inc. v. Natural Resources Defense Council, Inc., 467 U.S. 837 (1984), which required deference to agency interpretations of ambiguous statutes. By allowing such deference, the Court in Chevron enabled the ‘Administrative State’ to usurp the legislative authority that the Constitution grants exclusively to Congress in Article I. The Chevron decision led to broader, more costly and more invasive agency regulation of Americans’ lives, liberty, and property.   “Perhaps no administration has gone as far as President Biden’s in issuing sweeping Executive edicts based on questionable assertions of agency authority. The Biden administration has promulgated far more major rules, imposing vast costs and paperwork burdens, than either its most recent predecessors. Many of these rules...have been based on overreaching interpretations of statutes enacted by Congress years ago, before the issues now regulated were even imagined.   “The expansive Chevron deference has undermined our system of government, creating an unaccountable Administrative State. Thankfully, the Court has now corrected this pattern, reaffirming that ‘[i]t is emphatically the province and duty of the judicial department to say what the law is.’ Given the Biden administration’s record of agency overreach, we are compelled to underscore the implications of Loper Bright and remind you of the limitations it has set on your authority.”   CLICK HERE to read the letter to the Environmental Protection Agency. CLICK HERE to read the letter to the Federal Communications Commission.  CLICK HERE to read the letter to the Consumer Product Safety Commission.  CLICK HERE to read the letter to the Federal Trade Commission.  CLICK HERE to read the letter to Department of Commerce.   CLICK HERE to read the letter to the Department of Energy.  CLICK HERE to read the letter to the Federal Energy Regulatory Commission.  CLICK HERE to read the letter to the Nuclear Regulatory Commission.  CLICK HERE to read the letter to the National Highway Transportation and Safety Administration.