keystone xl pipeline as well as the export of the finished product made from that oil. so it is not just the raw crew that is put into the line but it's like going down to and it is refined into product, whether it is diesel or other products and prohibit the export of that. and it essentially says that all every part of this canadian resource will be brought into the united states and it will stay here. my colleague has raised a concern that the united states shouldn't be that kind of

pass-through entity and so the president and the argument is that the americans gave the benefits. well, if we didn't get any of the benefits, i think that we should be confident about that. and it's important to know that this is not the first time had this discussion in front of us and it was defeated 33 to 65 and we have many of our democratic colleagues join with all the republicans to reject a statutory ban on exports.

and this amendment that is pending, a they will see the same thing. and i say that because it continues to be unnecessary and i believe that it takes a pause in the wrong direction. and the department of energy has looked critically at this issue at the keystone xl oil being exported. whether or not that makes sense. so they have sent it pretty physically that without a surplus of heavy oil in the gulf

coast area, there would be no economic incentive to ship canadian oil to asia where it is coming out of. the department of energy's conclusion was pretty -- it was a pretty broad discussion about it. and that conclusion was reinforced by the state department. in its final supplemental for keystone, which is a document that everybody should read it's a thousand pages long, but there is an executive summary that helps to condense so much of this. and in this final they say that it appears to be given transport

costs on market conditions. so if we think about that these conclusions make some pretty good sense. and the purpose of the keystone xl pipeline is to bring canadians and americans and let's not forget the hundred thousand girls coming out of north dakota, it is to bring this oil to the gulf coast. and so it doesn't make any sense to bring oil on the way this is 849 -- 850 miles, all the way to refineries that can refine it. these refineries are set up to deal with exactly this kind of oil. and so we have the line that brings it from the north to the south where you have refineries that are able to handle this. and so tell me why it would make

sense to just use this as a conveyor belt or a straw and then ship it to refineries around the world. adding that transport a cost to it. as the state department says, it is not economically justified. and it is important to understand kind of what is going on down there in the gulf coast with a refinery. the state department looks at this and what they found was that the traditional sources of heavy oil use on the gulf coast are declining. why are they declining? well what we traditionally see coming in as imports their coming in from venezuela, coming in from mexico, we are seeing a drawdown of bad, if you will a lessening of that.

for a host of different reasons coming out of venezuela and out of mexico not the least of which we are producing more here in the lower 48 and so we talk a lot about the misalignment that is going on within the refinery and what is being produced and what we are capable of refining. and what we are seeing in the gulf coast is an ability to take on more capacity for a heavy oil is. and so the opportunity to refine the product coming out of canada in the gulf coast refinery is real and it is they are. and it is important to be honest

here and i don't want to be written up in someone's fact checker because believe me, we look at those. but there are small amounts of oil from keystone that could be exported as a matter of economic efficiency. but that should not get everyone all excited here or have a reason to panic it may come as a surprise to some, but the re-export of canadian oil that is not comingled with the domestic crude is already completely legal. it is already a routine matter and this is no big deal, this is no change in policy that is dramatic area the obama administration has already approved dozens of licenses to re-export crude oil across the

world. and i think it's important to recognize that again this amendment offered by my colleagues from massachusetts would not just block the export of the crude, but it would block the export of finished products. as was said it would be everything, the crude everything that is then produced every bit that we have, he would have stayed here. the blocking the export of the finished product would be a reversal of existing law and current practices and if you think about it from a practical how do you enforce this? so really, how would you realistically enforce this --

this -- this measure that came from this refinery and this pipeline, that you can go ahead and export and this is what we do and it's not any great secret, but we moved our refined products and we do so in a significant way because of the benefits in our nation. and so how do we sense off everything that comes out of this and say that the refined product from this particular pipeline, you cannot move outside this country and i don't know, maybe that is the point here, but i do think that the senate should recognize that this amendment is not going to improve this bill and i don't think it will change anyone's mind and i do not think it will bring new support.

i think that it is meant to kind of poison the well here. and perhaps ensure that the pipeline is never going to be built. then it cannot operate. so i would encourage my colleagues. look at a couple different documents here. i mentioned the supplemental environmental impact statement that the state department did. it is an important read for the critical analysis that went into it. and i have cited those areas where they speak specifically to the impact of the export. but there are other is that have reviewed not only that but other documents and other outside fax

and i mentioned that president obama had made reference to the conveyor belt theory, tagging the keystone xl is being a conveyor belt for oil. he made that statement in burma in november. his specific words were that this would provide the ability of them to send it down to the gulf where it will be sold. the fact checkers got on president obama for that and it gives a pretty good analysis laying it out in clear english and ultimately deciding that the president was going to be awarded three pinocchio is for

that statement which is are those or not familiar if you have made significant factual error, you get three pinocchio points. it wasn't just "the washington post" that did this assessment but we also had another fact check coming out from political act and they also raided that statement mostly false on the truth meter. and i will submit both of these fact checks to the record after unanimous consent for that. >> without objection. >> mr. president i think it is important to look at a full understanding when we talk about the export of the keystone

pipeline and the imperative that in order for something to work as the senator from massachusetts has the suggested, it has to make sense for those who are moving this product there has to be economic justification at the other end and where it makes sense is to move that product to the gulf coast where the refineries have the capacity to handle that heavy crude. turning it into product and continuing to create the jobs within that region and event. and i think that i am not going to be supporting the senator's amendment. i think that is obvious from my statement. but it is important to give some

of the background there and we commend some of these articles that i have referenced. and there are two other amendments that are pending before us at this time. i will speak very quickly to the amendment that has been offered by the senators from ohio as well as new hampshire they have once again teamed up to offer this bipartisan amendment on energy efficiency and they have worked very closely on the issues over the years. we are at a point where you cannot think about energy efficiency without this so i commend my colleagues for their diligence and i have been happy to support them in their effort. and i'm quite honestly happy that we will have an opportunity to vote on an amendment that does relate to the energy

efficiency. it is not the full on bill but it is one with a text that is identical to the measure that came out of the house and the energy efficiency improvement act. this is a bill that moved through the house 375 to 36 during the last congress towards the end. we tried to move it through in the senate and became close to advancing it by unanimous consent area but there was still a few that were outstanding that we couldn't get around. so it's back before us once again. but really nothing has changed since then and in my view, this is a good reason why this proposal is truly regarded as important and noncontroversial, it contains four contributions

and it's extremely time sensitive, sometimes people don't want to get down into the weeds of certain aspects of what we are dealing with, this provision that we are dealing with is the federal efficiency standards related to water heaters where we have this in 2010 that our water heater manufacturer spot until april 15 when they would have to meet the revised efficiency standards from the doe, but the problem that we've got here is that the doe standards effectively ban production of these grid enabled water heaters that many of the rural co-ops use for thermal storage or programs. so instead of saving energy the

revised standards actually working against these goals you have a bizarre unintended consequence here and we have been working for a couple years to address this and to fix that and now it is urgent and now we have to deal with it because again we are in three short months and the manufacturers were you want is going to happen. and i think to the cooperation of the senators from ohio and new hampshire once again there are other provisions in this that are equally noncontroversial and it all relates to voluntary efficiency programs and focuses on the efficiency of commercial office buildings and another provides greater information and the third looked at energy efficient government technology and

practices. so again, this is one that i would hope that we could advance without further delay. this is really a commonsense effort fix a real problem. more importantly, let's embrace energy efficiency around here. we are talking now with the discussion about increased production being very real. i started off talking about this and the national energy economy and i kind of view this as a three-legged stool perspective, increase production, all the technologies that are going to allow us to achieve our potential with clean and renewable resources which is hugely important and we will also have the efficiency and the conservation peace and we don't talk about that enough around here because we need to do more

and this is one way to get us there and it will be that way in a small way. and the last amendment that we have pending is an amendment that is offered by my colleagues on the other side of the aisle from minnesota. and also serving on the energy committee, he has introduced an amendment that would require that all of the iron and steel and manufacturing that is used to construct the keystone xl be produced in the united states. and i think that all of us want to do everything that we can certainly to encourage more jobs and job creation in this country to put in place policies that would allow us to do so and i do appreciate the senator's amendment that inserts language in the amendment that avoids a conflict with the

international trade agreement because we know that that could have threatened the bill and given the president real reason to threaten to veto this bipartisan bill but they have addressed that within the amendment and i also appreciate that the amendment allows the president to waive the ironman for this based upon findings and that is language that is included in it. and we are sitting here 310 days 3010 days since this application was submitted for the project and i was reminded that when the initial application was first presented the president was then senator

obama and that much time has elapsed and so i see this language but i believe that it is included in good faith, but i can't be convinced that the president would actually exercise this type of a waiver in a timely manner. he certainly hasn't demonstrated it at any point throughout this long and drawn out process that we have been on after six years. so i am going to be opposing this amendment for the same reason that i oppose the one we had it inside of this 2012 it was included as part of a broader amendment at that time and it did fall upon a strong bipartisan basis and, you know these important issues we are

thinking about and considering and i did take a good time to review this. but again i believe that all of us want to do more to encourage job production job creation i buy american and i buy local wherever and whenever i can i strongly support the use of american materials, whether it is in my state or round the country and i know that you probably do as well, the senator from minnesota does it well. but considering whether we here in the congress should mandate specific materials of the keystone xl pipeline, i have come down on the side that we should not mandate that and i

think we need to look at several things, first off it is a commitment that has been made to buy american without any sort of mandate or any requirement coming out of congress, at least 75% from this project will come from north america. [inaudible] and this is part of the commitment that has been made to ensure that america does derive benefits and we do see those direct and indirect jobs. so when you make a commitment you say that we will pledge a full 75% of the project from north america and that is important and it would be

important enough that transcanada announced that three years ago. so this is not just something that they decided oh, in order to facilitate this, we are going to save 75%. no, they made this the while ago. so we have passed this act and bad act specifically is applied to projects that are federally funded. but keep in mind when we are talking about the keystone xl that this is a private project they get no subsidy is they receive no taxpayer dollars it will be built to the government specifications and we have seen that when we look to that final were the additional mitigation measures that are required once the permit is approved it will

be built to the specifications. but i do not think that the government should decide what it is actually the web. we are going to decide the parameters in terms of mitigation but again, this is a private project that receives no federal funds and so it would be somewhat precedent-setting. so i asked them to see, can you identify for me any other projects where the congress has got to force or direct the private company to purchase domestic goods and materials. until all of the materials that go into it, not just us but everything else as well, and we have some pretty sharp folks

over there and so far they have not been able to come up with an example in our lives. so i am concerned about this quite honestly, as much as i support buying american, making sure that we see the benefits of these jobs from creating these products, i am concerned about the congress setting a precedent here and i think it has put us on a very slippery slope. so if we are going to set the precedent president and say that we have to do it for the pipeline, why would we not do it for other images as well? wouldn't that be a representative or meant that we have to place as well? i know that some of my colleagues in some states where they manufactured goods made in america, i am all over that, but is that a policy that we are going to take on where we are going to say no, it is an

important industry? it is an important sector and it requires that it be all made in america? if that is the case why not everything. i worry about that. i worry about where we go beyond the keystone xl beyond the ironman and i think it's also important to listen to industry's perspective on this perspective. the american iron and steel institute has been a huge supporter for years now and i think they have 19 different member companies, 125 associate members and on january 8 is when right after we came in to session before this amendment was even filed the american iron and steel institute sent every one of us reiterating

their support for the keystone pipeline and letter is pretty definite. they are not nuancing about it. they say that it is essential that congress act to ensure the approval without further delay. and so i think we need to listen to those words because those words are not coming from transcanada or an oil company, they are coming from an association and from workers around the country. those believed earnestly they believed earnestly and honestly that construction of the pipeline will be good for this country and it will be good for these families. so let's agree that 2310 days and counting is more than enough time to make a decision. we saw the supreme court

nebraska came out with their determination and the decision had come out of nebraska, it was not unconstitutional. and so there is a way that excuse for that reason to say that we cannot move forward, there is really nothing holding up a decision at this point in time other than the president's unwillingness to do so. and so i think that if we want to move forward and we want to provide these jobs and we had the debate about how many jobs are really created, we have had this final in terms of direct and indirect jobs if you want tos on the permanent

jobs, that is definitely a much lower number, 35 to 50 per minute. but when you build something the opportunity for good honest work and well-payingobs and for welders and truck drivers and operators people are looking for an opportunity like this. .. in alaska, when we're debating how we're going to move our natural gas to market and how we're going to build this natural gas pipeline that will move this, nobody is saying we can't build this because it's only going to be temporary construction jobs. that's not what they're talking about. they know that there is benefit there. and they're hoping that they're going to be part of that benefit.

so when we talk about where we are with some of these amendments coming forward i think -- i think it's good to have this debate. i think it's good to have this disawtiondiscussion whether it's talking about exports because that's a legitimate part of the discussion talking about requirements that may be placed on construction. but i think we have to remember, we are not the zoning board here in the senate or in the congress. this bill doesn't have anything to do with siting. we are not determining the route. that is what the states do, and rightly so. what this bill does, what this two-page 400-word bill does is prove what this bill does is approved the issuance of that permit to allow for

construction but we are not the ones that are determining this is the way that the line goes. i would urge colleagues look critically at the language understand that we're talking about the benefits and burdens of a pipeline it is true. pipelines are not 100 percent failsafe not much that we build his 100%'s failsafe, but what we try to do at every turn and every opportunity is to make it as close as possible but when you look from a safety perspective, from an environmental perspective the safest and most environmentally sound way to move this oil is in the

pipeline. it is not putting it in real to other parts of the country. it is not putting enough as we are seeing and those of the options right now because whether or not people as part of the champ jack is accessing resources and access to resources and will move the resources. right now the way they are moving is in no way quite honestly that adds to emissions has greater potential for spill, environmental incident. i'm looking at it from the

perspective of canada is going to move that. they they have made it clear. in fact, there was an article just yesterday out of the "wall street journal" talking about the impact of lower oil prices and the impact on what is happening in canada is our producer. next modem response to oil prices? we will we are seeing is almost -- don't want to describe it as a doubling a doubling down because that is an inaccurate phrase, but what we're seeing is continued effort within canada to access their oil

resources. some of the statements that are made by some of the canadian oil companies are really quite telling. canadian natural as an oil company who insures the oil sands will continue adding to the global glut for club for a long time to come regardless of the price of crude. they go on to say, it is not well understood just how almost the oil sands are. are. you would have no decline in the production base for decades. the largest producers in canada and vision scaling back production at the royal celebration, so what we are seeing there was big investment up front with the oil sands in canada and

accessing a resource that is responsible but if you were to believe some of the statements from these canadian companies they are going to continue to produce the resource even in the face over we're seeing with declining world oil prices. so if canada is going to continue to produce how is that price.to be moved into a part of the country over your set up to accommodate that resource in our refineries so that we can refine the product to our benefit.

to me that makes sense. we will have energetic debate about amendments is coming days. you can see from my comments will have amendments that are alike and some that i won't support but what i am looking forward to is the fact that we're at a.that we're describing his regular orders voting on amendments has been toward final passage of this bipartisan bill. i look forward to the exchange that live. without thinking for your attention in the yield the floor. >> thank you for joining

the sen. from alaska is doing a fantastic job leader energy committee. i still appreciate her of the community. it really goes to the heart of over trying to do with legislation. not just the debate that the opportunity to vote. republican and democrat alike. come alike. come on down here and bring amendments. offer your amendments, make your case, and let's go. you can get people to support the amendment that gets attached to the legislation. as were supposed to work right here. super encouraging her colleagues to join with us

and get the work done us the right way to do business. that's what we were elected to do. working to get something done for the people who sent us here for that reason. when you look at what is going on in energy today, you ought to feel pretty good about it. if not for if not for the gas station until your car. prices of the pump are about a dollar lower than they were this time a year ago. the savings that consumers are receiving at the pump it $100 billion tax cut for hard-working americans. but the is often not just happen and it certainly did

not happen because opec and the white house decided they wanted to close a break. by consolidating the oils to 18 billion barrels of oil a day. get her companies to invest and create jobs and produce more energy. energy. its report will virtually have north american energy security. here at home and with

canada. america is in controversy. we hear the president said he would continue to block this project and feel this legislation is music to opec fears. synergy, jobs, economic growth hundreds of millions of dollars of revenue, state, and local revenue. it's a huge and important impact in the project. it is about national security with energy security. i want to emphasize that again because that is the work of the american people sentence or to.

the opponents, couple of things i heard this morning and i hear on an ongoing basis, we should be doing renewable energy instead of fossil fuel. why not do all of the? how does doing this project in any way prevent us from doing any renewable project back in my home state we use steam to produce biofuels to power biofuel plants use wastewater from communities and those biofuel plants wind energy, geothermal or policies. the 2nd largest producing country. the not mutually exclusive. household health will enable us to do the other.

during this project just helps us provide more energy arguing. arguing that should do is not an argument against this project. the other firm. again i submit that the fires in the backs of the science. the report says no significant environmental impact. designed to look specifically at the environmental impact has been done of the course of six years. and there is the result in the report keystone xl pipeline has no significant environmental impact.

in fact the higher greenhouse gas emissions without the pipeline that we do with the pieces of the teefourteen railcars a day. i find both of the west coast of canada. doing tanker ships purifying and refineries. while you hillary you slice it without the pipeline and higher greenhouse gas emissions. usually want to touch on. i'll talk about more next week. canada is working aggressively to get investment in the oil sands to reduce the greenhouse gas emissions.

class project. in both cases that bringing down the greenhouse gas emissions in the oil sands by investing in new technologies. cogeneration carbon capture and storage hundreds of billions of dollars being invested along with the canadian government and carbon reduction technologies as the technology is developed what happens back its adopted in other places here in this country, places like china and others around the world. the advances that make and technology in reducing greenhouse gas emissions and reducing the footprint of this world production and find better and more cost-effective and efficient ways, environmentally friendly ways to produce energy that technology is adopted around the world.

the finding the finding solutions to some of the concerns being raised other critics of this project. project. instead of stopping that investment and advancement why do we find ways to continue to develop it which is not only a benefit in the oil sands and alberta but one that we can utilize to produce energy in this country and other places around the globe true for oil, gas all fossil fuel energy's. that is how america has worked. we create a business business climate, encourage investment, get american security to encourage companies to make investments to not only create good jobs but produce more energy and deploy the very technologies that give us better environmental stewardship that we want.

but when we thought these projects, when we prevent the investment and don't let them build the infrastructure you bring all that to a grinding stop. why would we give that back is not 1 penny of us taxpayer money going into this billion-dollar project. it's private investment. why would we want the private investment that helps us build the infrastructure and goal from the part of the technology that gives us better environmental stewardship. is that what it's all about the mac is that why all power plants and energy production in this country is light-years light years ahead of what they are doing in countries around the world? in many cases they are still using third world energy approaches. let's lead the way forward in technology and power that to happen. because. because i know that time is wrapping up i will come back to the floor next week.

exxon is doing a project working with the provincial government and alberta to develop carbon capture and storage. something we talk all the time want to do. here we have private companies working to put hundreds of developing the technology. since 1990. 1990. they continue to find ways to improve the geothermal search you can reduce the greenhouse gas missions. as: versus continuing to import oil that has a desire and you don't have that kind

of investment in technology, investment in environmental stewardship so as we talk about this issue, let's talk about it in a way where we advance the ball and do it the right way energy, jobs economic growth and build with canada rather than saying work with you and at the same time get better environmental stewardship. we can. let's do it. with that, i thank you for the time and yield the floor. >> coming up state of the state addresses from washington governor of wyoming governor, and virginia. virginia. they are followed by the inauguration for oklahoma governor beginning her 2nd term in office.

[applause] >> mr. president mr. speaker, mr. majority leader mme. chief justice, distinguished distinguished justices of the court honored officials members

of the washington state legislature, tribal leaders local government officials, members of the core, and my fellow washingtonians, good afternoon. i i want to begin today by thinking chaplin johnson for the wonderful four-part harmony from the members of the school choir. my family members especially trudy. the 13 members of the legislature of symptoms the plate to serve our state and people and the community's washington for the past hundred and 25 years have given us the greatness that we celebrate today. i i also want to memo to commission a number of our legislative families. roger was brought to represent his community, but community but most of all he was a proud father to his two children and a devoted husband to his wife. i know all of our thoughts are with them today.

the new representative from the 30th 30th district is carol gregory, and i extend a warm welcome to her and thank her for taking on this task. thank you for for stepping up to the plate. [applause] in our country's country's northwest corner facing both the pacific ocean in the future is the most innovative, most resourceful, most endemic state and our nation. we are known as the evergreen state, not only because of our prodigious forest and the burden green of our spring we and also because of our ever present entrepreneurial zeal, zeal, our social progress in our technological genius him. washington state has remained evergreen throughout its 1st hundred 25 years because in every moment of crisis and every year of challenge and every

decade of change washingtonians have chosen the path that takes us forward. we invest ourselves. we invest in a legacy worthy of our children and our grandchildren. we have done this time and time again with the firm conviction that our people, our community, and our economy will grow and prosper if we summon the confidence to make these investments. today our state stands at another crossroads. one path leads to an economy that works for all washingtonians, supports thriving communities, and preserves a healthy preserves a healthy environment. the other path leads to a slow erosion of our shared prosperity, widening gap of income inequality and deterioration of our clean air and water.

the choice is ours. if we rise to the challenge as we have always done we we will choose the best path for washington. as you know from day 1 i i have focused as governor on job creation in our state and the issues we talk about today education transportation, clean energy all work together to build an economy that works for everyone. it should please us all to no that our economy continues to be better. our state has added 150,000 jobs of the past two years but that growth has not been shared equally, equally, neither geographically or across the economic spectrum the bypass for washington is an economy that provides opportunities for all. and i believe -- [applause]

we know that expanding educational opportunities, lodging and transportation construction program and fighting carbon pollution will put us on the right course. our most fundamental commitment needs to be to the very youngest washingtonians. we know the greatest untapped asset in the state is the potential of a three or four-year-old. the. the latest neuroscience research at the university of washington shows at this age children's minds of a tremendous capacity for learning. early learning is the best investment we can make. [applause] so that is where we start.

our success will require a continuum of education from early learning all the way through higher education. that is why my proposal makes a $2.3 billion investment in our children's future including the largest ever state investment in early learning. this means 6000 low income children can attend high-quality preschools, a preschools a proposal fully funds reductions in kindergarten through 3rd grade providing all day kindergarten across the state, giving teachers the 1st cost-of-living allowances 2,008 and helps families struggling with the cost of higher education by freezing tuition and boosting financial aid so that 17,000 more students commute scholarships. these investments are not based upon wishful thinking. they are based on rocksolid

foundations of proven strategies established reforms and demonstrable student performance. we know what works. we know what it takes. i visited a lot of classrooms in the past two years. although these must be available for all children in all schools i tell you this we have kids that are ready for takeoff. the future -- [applause] the future demands a higher level of achievement investing in workforce training pays off attracting the most innovative companies on the planet.

today we can celebrate the law must in his announcement that they plan to open no space x engineering center washington with the potential to hire hundreds of people. we know that a child spends an average of six hours a day in a school building. we also also no what children need and those other 18 hours they need to start the day with nutritious food and abilities way to get to school safely, a safely a coach to protect them from the elements and that night at night they need a warm safe, stable place to sleep with a roof over their heads. [applause] the budget we agree on

should nurture all of our students in and out of the classroom because we no how hard it is to educate a homeless hungry, sick child our families and communities also need the vital services that allow them the function, nurses, mental health facilities, police officers and firefighters, the full range of services. over the past six years we have kept existing and projected spending in our state budget by $12 billion. we have found savings and efficiencies as well. well. saving an average of $1.6 million annually.

the department of social health services is three and a half-million dollars in energy costs in 2013 loan. saving $2 million year and long distance charges through a knew service and need to continue this work but we have reached the.where multiple courts have said we cut too much neglected to fund adequately and have now ordered us to do a better job on foster care, mental health and protecting vulnerable children. i know some people say that they have not noticed these cuts come about so you this due to lack of beds in a mental health work he notices. the woman who was a victim a victim of domestic violence and cannot get emergency housing, she notices.

the college students is tuition went up 50%, they short notice. what can. what can seem invisible to some of us is painfully real to others. [applause] in the prosperous future we all want way me cannot leave so many people buy. some see the road ahead with cuts to services, some consider only revenue as options. neither view is the definitive answer. a bold spirit of speaking solutions rather than finding solutions. with a can-do attitude of

kicking aside our differences instead of kicking the can down the road the same is true with transportation. without action and transportation the session there we will be a 52 percent cut in the maintenance budget prostate. seventy-one bridges will become structurally deficient or functionally obsolete. they will continue to rise robbing us of time with families. without without action our ability to move goods efficiently will be diminished. the tragic and catastrophic landslide last year reminds us that entire communities are cut off from the rest of the state. but now imagine a transportation system that moves the entire state

forward, one that improves reliability and safety addresses congestion and maintenance, creates jobs and offers more choices. as you know, i have been been working for balance multimodal transportation package is my 1st the in office. in the summer of proposed a plan that builds on the bipartisan spirit of past efforts sparking action the session keeping us safe and fixing our bridges packaging our roads including iron water. also embracing efficiency saves time and money and drives the results of the public can trust with real reform. finally, it is a plan that delivers a transportation system that truly works as a system, system that transcends our divide and rivalries. now, i really do welcome your suggestions for

improvement but the state cannot accept a continued failure to move on transportation. transportation. let's get this done. let's get this done. [applause] there's another thing my transportation plan does. it institutes a carbon pollution charge that would have our largest polluters pay rather than leaving the gas tax to everyone. under my plan it is the polluters who pay. we face many challenges but it is the growing threat of carbon pollution that can permanently change the nature of washington as we no it. it is already increasing the acidity of our states water.

it is increasing wildfires increasing asthma rates in our children, particularly in low income communities and communities of color. we have a moral obligation to act a moral duty to protect the birthright future washingtonians deserve a healthy washington i believe -- [applause] this is not unique to our generation. every generation has this duty to pass on healthy air and water to the next. and when we do we we will no that although we are a small part of the world we are 7 million washingtonians strong to stand for

preserving the grandeur that is our state. if we all all stand up for the health of our state who will? the people who are less than 1 percent of the world today are leading the world in aerospace leading the world in software and now we can lead the world in clean energy because that is who we are. [applause] i believe this because what we lack in numbers way more than make up for in our innovative spirit. and we are not acting alone. by next year countries and states that are responsible for half the world's carbon pollution will have instituted limits on these emissions and when we act together with other states

and nations we can do something even bigger by locking arms with oregon and california and british columbia through the pacific coast collaborative we become our region of 53 million people comprising the world's fifth-largest economy. wouldn't it be great when the west coast leads while washington dc is stymied by gridlock. [applause] i'm pleased that there is a growing consensus that it is time to act. we must meet the carbon pollution limits that were enacted by this body in 2,008. i propose a comprehensive solution that's carbon emissions, creates incentives for clean

technology, and technology, and transportation invests in energy and makes operations more efficient. for all we do here together in the next few months, months, for all our fiscal woes, for all our short-term demand we no that the most enduring legacy we can leave is a healthy, clean, beautiful evergreen state. i will not end in the deepest part of my heart hope you we will not allow this threat to stand. we also no the challenge of carbon pollution brings great economic opportunity to our state. companies fall to five companies move falls be the head. not only one of our state's largest solar panel manufacturers that produces the most powerful solar panels in the energy. groundbreaking batteries

leading the way in the field of storage technology for renewable energy. mcdonald miller, not only not only reducing the carbon footprint of commercial buildings the last year added 300 jobs in our state. we are leaders in the state when we act others follow. let's shape that action together just there ideas, fashion an action plan suited to the genius and capabilities of our great state. we can -- [applause] we can do this. has already been done successfully in many other places including ten american states and 35 countries. i can i can tell you today where our joint effort we will produce but i can say that after six

years of no progress on this front washingtonians deserve action. developing my budget i took the same approach of looking to tested solutions for revenue proposals. here's a sad truth. washington state has the nation's most unfair tax system, the nation's most unfair tax system. our lowest paid workers pay nearly 17 percent of there income in taxes. the top 1% pay less than 3%. a new teacher page three times more in taxes as a percentage than our wealthiest citizens. we know that their are many forces driving inequality

but we can make policy choices that move us toward an economy that works for all washingtonians. we can work toward a fairer a fairer tax system command we should. [applause] [applause] >> that is why i am proposing to eliminate five tax loopholes that no longer measure up when compared with educating our kids. we are asking the wealthiest washingtonians to do a little more proposing a new capital gains tax. estimated

that less less than 1 percent of the state's taxpayers would be affected. this exempts any capital gains or retirement accounts and for street. this idea is new to us but certainly not a knew concept nationally. forty-one states have the system already. it works. here's something else we can do to bring a modicum of fairness to our tax system. a system that relies so heavily on sales tax revenue and effexor working families so disproportionately i am proposing that we fund the working families tax rebate which was passed by the legislature in 2008 but never funded. let's get it up. [applause] lets get help, one in 500,000 working families thousand working families in

washington, mostly in rural and economically struggling families. i have always believed that if you work full time you should be able to provide your family's most basic needs. that is why we continue to work with legislators to help working families through policies such as the minimum wage increase. so we begin this 64 legislative session at a clear crossroad the time of recession and hollowing out is behind us. it is now time for reinvestment. i have a deep and abiding belief in our ability to lead the world and to build on our 1st hundred and 25 years.

that is why we should choose the upward path that leads to more opportunities, greater prosperity, and a better quality of life for everyone. let's walk this path together. we can make this choice with the full confidence that their are no better people to invest and then washingtonians and no better place to invest in washington and no better time to invest in 2015. [applause] so let's get to work. [applause] 's thank you. [applause] [applause]

>> wyoming governor matt neas delivered his annual state of the state address on wednesday. he talked about the effect of federal air quality regulation and state budget priorities. from the state capitol capital this is an hour. >> good morning. thank you for the warm welcome. thank you very much. very kind. mr. pres., mr. speakers

mr. president, mr. speakers, members of the 63rd wyoming legislature's superintendent, federal circuit judge, chief justice, all members of the judiciary, all military veterans from fellow citizens, good morning. fellow citizens, good morning. thank you all for being here and thank you for those who are participating via the internet or other media. we welcome all of you and are pleased that technology has many benefits including the freedom to be wherever you want to be in wyoming or anywhere else to take part in these proceedings. i want to say good morning to my family, for those of you that have been here for four years you have seen some growth. i mentioned that the inauguration that one placed on the gov.'s residence wall which we will make sure we get painted before we leave we mark the height of our children over the years, and it is remarkable.

they have grown not only in height but in other ways and in many ways have grown up with this body. but it costs us all to reflect on one of the main reasons why we are here and i cannot imagine being here without the love and the support of carol and mary and pete. i thank all of you for helping me get here and do this job. [applause] >> i i think it was my 1st state of the state before i gave pete wrote me a note. his handwriting, you have to decipher a little bit. he said good luck, dad you we will do great. he signed it not pete but best son ever. him i am lucky to have the

confidence of my family and a confident family. these are exciting times. a new year, new legislature. i look forward to working with all of you. as i have told this body in the past we are so fortunate in wyoming to have a citizen legislature. everyone of you you here has made a sacrifice to be here and before we start the session i just want to say to the president, to the speaker to all of you, how much i appreciate and how much it means to the entire state to have your service, and i thank you for that. i am excited about the state and where we are. as i have done in the past

i have asked some citizens of wyoming to be here with me today so that i can recognize them because we recognize that the state is strong because individual citizens do so much and have committed so much to our state. first i want to start with max maxfield. he served two terms as state auditor followed by two terms as secretary of state. last year he decided to retire from state service. he served with energy optimism, intelligence, honesty, and civility. we are sad to say farewell but farewell, but wish you the best. you both have served wyoming making a better place for us all. your friends dear friends and i ask all of us to join me in recognizing max and gala and their service. please stand. [applause]

[applause] >> we are fortunate to have with us as we have in years past members and representatives of the tribes, and i got got to meet with them before i came up it today. they were gracious and letting me no that they had time on their hands and offered to write my speech for me. that message was not passed on through staff, otherwise i would have taken them up on that. no questions we have challenging issues to deal with which is sometimes the case for with sovereigns, but no matter what we remain friends and neighbors with a common interest a great affection for his beautiful place that we all call home.

if the tribal members would please stand we enjoy the opportunity to welcome you. thank you for being here. [applause] >> i do wish on occasion that i could articulate what my eyes have seen the work of the men and women that they guarded due to absolutely amazing. and when i see them off now

this, these men and women are hugging their spouses can goodbye to the grandparents are very limited by and sometimes a cam mother dad kissing a union said goodbye. it's a remarkable thing because each one of them stand, raise their hand and included with everything that it takes, including their life, to serve and defend this country. we have about 2800 members in the guard. they're ready for duty here at home and when duty duty here at home and when duty calls them to a distant land. the guard fights fires and much more. soldiers have been busy serving bravely, missing home and family as we miss them and anticipate the return. over the course of a a long military career, it's no small thing to give.

we are are hugely grateful. wyoming is at its general is here, and we appreciate what our guard military members and and military members are given for wyoming and america. general we want you to stand so that we may recognize you and the guard. [applause] [applause] >> today this morning i think it is appropriate that we remember john sheffer's served as wyoming senator for over 20 years from 93 until his death last june.

in his long public service career he served in numerous positions and advocate for the national resource and wildlife trust and was a supporter of education and mental health programs. he brought great intellect and the rancher's common sense of the legislature and had those big, big strong hands that were representative of his big heart and care for wyoming and made a positive difference for each of us and all of wyoming. i ask you now to join me for a moment of silence in his memory. [silence] >> and thinking today also saw those in the cold in the dark to battle on december

30. we thank you. the fire was a tragedy. a tragedy. we are thankful there were no deaths or injuries. please note, you also are in thoughts and prayers. i have broken my speech into two parts. i want to 1st talk about the last four years and then where we should go from here. the last four years we did what we said we would do and have gotten results and it is the way government should operate. we built upon the success of prior government and have made great strides for wyoming. when i take office in january 2011 the unemployment rate was six and a half percent. the state budget and doubled the previous decade in the state was coming off a time of government expansion. high-speed broadband was limited.

only two cities that ethan at there schools. there was no state energy strategy water strategy, and in my mind there was a a growing need to push back against federal overreach. i announced my vision for wyoming and said we would be focusing on the economy broadband, infrastructure assisting local government, consolidating state government, government education, and federal actions that were adverse to our state. as part of a focus on the economy we continue to support our big three in the five big three industries and would also seek to diversify our economic base. this was a tall order, but this is wyoming and we do not shy away from big tasks. we took we took this on and four years later we see the difference.

we made a real push for jobs, economic growth, diversification, and supporting our big three. we we have been able to welcome new enterprises. we have been developing and beginning to implement energy. you energy. you provided funding to continue with initiatives and energy strategy. i have and some of you have gone to trade missions to places such as hong kong canada, south korea to promote tourism. we have helped provide relief for drought of employment, provided strategic incentives and recruiting hard for data centers. efforts are paying off. microsoft recently opened an innovative bio soft data center. the company is investing in data center expansion bringing investment to nearly half a billion dollars.

wyoming was recognized as a leader a leader in the country for data center recruiting. this is the 3rd year in a row wyoming has received the recognition. we have built tourism and established markets and established new markets. we love telling people about all wyoming has to offer and love to show it to them. two years ago we added a new sporting event to annual summer activities. to those of you who have not seen that, it has to be the toughest race in the world as far as i am concerned. wyoming walmarts on the 25th and 25th anniversary, and other special occasion for all of us to enjoy. our focus on the economy has paid off. we see the success and national recognition of our success.

wyoming has received a number of accolades including the highest possible rating from standard & poor's for the last four years, the number one ranking for 2015 is a state is a state with the best tax cut for businesses. ranked as ranked as having the best return on investment for taxpayers in 2,014. ..

>> >> and we will continue to do so and last year as you know, i ask for funding for the unified networks. i simply is to report as of today is to leave bill in less than one year it brings a broad thing and with more fiber optics and gigabit its at this date is a facilitator to help to friday infrastructure upgrades for schools and government and also available to the private sector. can we prepare the ground to that the private sector is

now delivering the goods. president of silver star communications, last november they launched an initiative of gigabit broad band to communities in western wyoming. this makes while the more competitive for tech businesses for people who want to run global businesses from home base where reporter uses a computer. the gigabit level has access that makes though leader and broadband. we should be proud of this effort to diversify our economy. to recognize what business leaders are doing in broadband please stand so we can recognize your efforts.

[applause] i have talked about the economy and a broad band and infrastructure was another priority. for communities to thrive in economic growth and commerce as a structure is essential. we have been paying attention to wyoming's infrastructure and here are a few examples. to recognize future funding needed for completion. that produces $47 million for road maintenance. 95 million for construction. in initial funding for five state facilities that need renovation including the the life resource center

center, veterans, and state hospital. for fiscal year 2015. we have provided funding for municipal landfills for community development. three have and should continue to invest and we should save and we have seen record savings we have opportunities to invest more infrastructure. we do this that the wyoming that we enjoy today is by those with a vision and courage. it will also be judged on teacher generations.

so have we made wyoming a better place for another priority for years ago is assisting local government like it's done in the cities and towns will know how great it is to live here for one into our communities to do better. with these to these last four years during which time the office more than once i have suggested longer term solution for funding local government that included in looking at a portion of the statutory 1% diversion. but when it comes one year at a time for differing amounts it tends to hamper the local planning and development efforts. no question the past four years we still need to

decide on longer-term funding for local government that they can count on. letter said the other areas that we have stressed is consolidating government. rehab addressed backlogs and delays. we have all state employees of this e-mail systems emerged to agencies to develop a meaningful evaluation system with high tea services and reduce the budget by 6% reducing ongoing spending by 60 million per year. and have rules. by almost 50 percent did we have amended state law to provide the updated database we have fewer employs now

been reduced four years ago. state government is more effective more efficient and we're doing more with less. as a state may sizable investment education through school construction funding and in turn such an investment should field the best education possible for our kids. this session you will consider a bill for the state system. we broke ground for funding for science programs and facilities and more is in the budget this year. or ask for your support of the proposal. rejoined completes college america and though the demands for students to have a post secondary education

is rising. is another tool to help oil minister ince get their education for career technical education in need to succeed. for school district's one is important that every level to look for two more events like this. all this work and education is lost without great teachers like tyler. with the 2015 wyoming teacher of the year and a math teacher at new castle the school he loves his job. he said there is a lot that goes into being a successful teacher sometimes to focus too much on teaching and none of from learning the

students have to be learning. wise words and tyler puts them to work in his classroom. into the representative please stand so we can recognize shoe. >> early childhood education k through 12 our committee colleges to get things right to for the future of our state we have to get education right. another priority for years ago and now is federal action that adversely affect

our state. of those say wyoming has spent very aggressive to oppose federal actions that oppose our state. sometimes we prevail and sometimes we don't though we know we cannot look the of their way because the impact is too grave. we must continue together to stand against federal overreach. one of my first acts in office was asking the attorney general to join in the constitutional challenge to the aca and wyoming had to be a part of it. many of us do not like the results that wyoming did not need to be involved. also to support creasing rates to know how to label it is not just to our state but to the country and it is one thing to not fuel -- fuel yourselves but not to feed yourself said we

continue to have strong support and in december there is the case for blm to better manage wild horses and it is a good plan last year the tenth circuit upheld the state's plan with sulfur dioxide and recently we've filed the brief in support of the state's plan as it relates to a nitrogen oxide. we have most frequently done battle with the epa. the reason is epa rulemaking under hautboys administration has been troubling at best. it is opposing power plant rules as well as other epa actions and will continue to do so. precatory overreach will not stop. along with the support of

the body we must continue fighting for wyoming. looking back there are other matters i will mention. we have undertaken in job initiatives including those with disabilities. we will continue our work in this area with the employment first concept for grab my direction it has appointed a homeless were later to create a kid your plan to address homelessness and we have renewed our focus on suicide prevention with a statewide initiative for:with worker safety i supported appreciate the safety alliance for by a real gas refinery and construction industry. at that state level we have created a $500,000 fine for matching grants him we have

created a program for those were willing to participate in safety consultations and in addition workforce services has a dual reporting for better analysis for of a job access. in 2013 we had a better year tusis statistics with fewer fatalities of hospitalizations and that was encouraging. we haven't got the numbers of 2014 but we believe that 2013 will be better than in 2014 we need to continue how we do better as a state to improve job safety. i know that employers care if we all do about getting workers' home safely. we have been headed in the right direction but there's more progress to be made and we have to keep at it. we will. but of my funding request

that his safety related. and i am proud we passed a law for veterans. in 2011 we created the veterans welcome home day. at the end of march every real hold ceremonies around the state especially for vets like vietnam's and korean and gulf war vets who did not receive a proper homecoming after their service ended. it is a remarkable thing what you have done on the welcome home day because after you agree to them with a few words it is astounding because vietnam vets will agree to some time with a nod or a handshake or a hug oftentimes with tears in their eyes saying it is all i ever wanted is for

somebody to say welcome home and thank you for your service. [applause] certainly that is the least so i congratulate this body on a wonderful concept. and today we have faith that with us to knows what it is like to not get what you should. serving as the army infantry men he was wounded in action and earned a purple heart a few years ago it came to light the metal was never awarded. 63 years after the fact the situation was put rights. he received his purple heart

in a cheyenne. it is never too late to put things right. special license plates or recognition for professional licensing and in-state tuition convey our respect and gratitude. we thank you for serving to make sacrifices for our country please stand so we can recognize you. [cheers and applause] [applause]

to some of the wyoming has come far comparing employment at 65 5% we have unemployment of four 1/2% is significantly lower than the u.s. and employ a radiant estate operations the state budget is relatively flat for have to approve state government for infrastructure giving extra support to local government developing the energy strategy to diversify the economy and tackle other tough issues. i am pleased to report with a confidence this state of the state is strong and getting stronger. [applause] this is because of the work

you have done to create a great climate for business of natural advantages of mineral and energy resources. this is because of wyoming people, our great strength we should not take our eye off the ball now. to build a solid foundation for future to move ahead not by standing still to harvest the crops if we continue to plant we will be krieger pastures in the better legacy. we have a fiscal resources the people and natural resources in civic leadership to make a difference for generations to come looking at the next four years i looked at them with great optimism. into my second term i will focus on areas that our

important from dave number one to add to these initiatives i would say advancing energy strategy to increase international trade medicaid expansion in implementing the strategy i ask that we take on a great deal but that i say wildling is up to the challenge. regarding coal, it is critical to wyoming the beyond that it is critical to this country's future and in my lifetime i have never seen the onslaught of a single industry or single commodity like neil balm administration and tie:agenda. the epa has the green light but six years later it is still targeted by federal regulators it provides 40 percent of electricity

for the country to keep us warm in winter and cool in the summer and the lights on and the fastest growing energy source in the world. here in wyoming and provides revenue for schools and infrastructure but in the coming years i will continue to work with determination on a cold initiatives and new technologies and value-added products we don't need to let up but double down to ensure the continuity. with the integrated test center project and we must seize some. we will fight for gas and uranium and other resources if they are targeted by repressive regulations party that is idiocy of the energy strategy. the last session you funded on initiatives of energy

strategy. our task is to go further that was issued two years ago by continuing to work on initiatives to identify new initiatives for a pro with international trade here's an interesting statistic international trade grew from 983 million from 1. 35 billion aggressive 36% into at $350,000 to develop international trade we can use this productively to continue the progress we have made. our forests have been a challenge in they are of great resource for wildlife and lumber and places for recreation we want to force

to be as healthy as possible as so many have been devastated by deal killed. looking at the condition to make recommendations i support these and have included funding in my budget proposal last session the legislature asked the department of health to find the best deal possible under that hca is we have seen much more flexibility in our department of health was able to kraft what we believe is the best plan for wyoming. some are looking at the alternative plan for and i appreciate their work. regarding the hca we may not like it but it is upon us. we challenged it, two years ago in my state of this

stage i said let us try within the law upon us to find the best deal or the best fit for wyoming under the a california. i feel the same today. and here's some facts small and large hospitals are acres businesses make clear they cannot make clear and to not keep people with reasonable health care in this small hospitals closed they will suffer a tremendous loss an opportunity for the future. we have working men and women in wyoming who cannot afford health care. this is true now as it was as when i and the legislature had frontiers to address the issue.

the hospital association talks about one reimbursed care but they believe it is around 100 million. economic analysis shows medicaid expansion would create 800 jobs in wyoming. many of us do not like that hca including me but here is another fact our federal tax dollars pay for it wyoming federal tax dollars help pay for it. to reach used to have that support the wyoming many returned to colorado or california or wyoming? i say wyoming my plan or yours or something better we fought the fight to we have done our best to find a fit to for wyoming and we are out of timeouts we need to address medicaid expansion this session.

filming is subject you to supreme court decrees water reared not committed to provide others under the compact belongs to us and it is wyoming's water it is key to our future. we all the water as visibility's and individuals it is our most important natural resource. for more than anything is tied to everything we do everything we have done and will be in the future. developing a water strategy was the initiative identified over the last year with wide public input we put together a very good strategy being issued tomorrow on line and in hard copy with a 10 and 10 proposal with 10 small

reservoir projects in 10 years including a proposal from fatah nil. we need to protect our water now and we cannot afford to delay as a state. the supplemental budget gets us started a requested transfer of 18.6 million i hope he will approve this request and the rest of my budget proposal anger consider supporting the water strategy as you have to put this is a general session so i have before you a modest $156 million budget proposal it is a conservative supplements in the years ahead strengthens the community college system for strategic areas the state has the funds there is well over $100 million of

money that was used by agencies that would fully fund my proposal. with your recognition of funding is available. my proposal keeps government operating cost relatively flat to keep the budget trim less than one-half of a percent of the standard budget has increased by a budget and is for operating the ongoing expenditures. i did make some funding requests that do not add to the onetime proposals that include 25 million local government, a 6 trillion for the transport program, and 21 million for highway 59. dash did not to for the trading center and an unconventional and gas reservoirs and entrepreneur

ship finished -- initiative and athletic competitiveness also object to private matching funds. we have one, a four year land grant university that is important to wyoming such as aicher culture culture, science, engineerin g, we do not need to except playing second fiddle to anyone. private citizens are recognizing this. the private citizens of wyoming have been giving millions of dollars for their own pockets to you w and with engineering the science initiative has ability to be transformational to make you wa leader. we want to uw to be top tier. also with the athletics to compete and win it not only

brings pride as basketball is in the top 25 and then it increases alumni dollars to build the diversity. to serve notice loud and clear. we will be leaders in business education, science, athletics and other areas. and it may be occurred to be asked with a new initiative by introducing today called wyoming grown. . .