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tv   [untitled]    May 21, 2012 12:00pm-12:30pm EDT

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it's worth, is not to say so. >> i think you're right. >> i kind of think i should stay out. but what's your public relations judgment on it? >> it's that you should remain absolutely silent about it. >> you would, huh? >> i would. >> listen at 90.1 fm, nationwide on channel 19 and streaming on c-spanradio.org. >> i think this is one of those markets where i think people don't vote for the party. this the city of wichita votes for the candidate. i think you're seeing a lot more of that, even though this is heavily republican, midwest, which is dynamic and great but i think you're seeing more of that in recent years here in the midwest. they are really voting a little bit more for what the person stands for. >> june 2nd and 3rd, book tv and american history tv explore the heritage and literary culture of
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wichita kansas. >> the first thing i want to show you is the munger house. it was a very important building in our history in that it is a residence but it's also the headquarters of the wichita town and land company that came down here to create shall we say the city of wichita. >> both the house and senate are currently working on their own versions of a 2013 farm bill. the current five-year bill expires at the end of september. a sub commit looked at energy creating crops using biofuels. agriculture and conservation interest groups testified. this is two and a half hours.
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good morning, everyone. this hearing of the subcommittee on conservation, energy and forestry is to discuss energy and forestry programs in advance of the 2012 farm bill will come to order. first of all, let me extend my apologies. votes have a way of getting in the way of things here and so i apologize for the delay of the convening of this subcommittee hearing. i really appreciate the patience of all those who are here, certainly our witnesses and we're looking forward to hearing your testimony. let me get started by saying this is the final hearing of the subcommittee -- hearing that the subcommittees will hold to review the farm bill programs before writing the legislation next month. we had witnesses from usda testify before the subcommittee last summer, offering us
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information on the scope and purpose of each program and today we'll hear from stake holders who work with these programs and can offer insight on ways to improve their functionality. the first information title was written in 2002 farm by to spur development of renewable fuels across rural america, designed to help develop fee stocks and increase energy efficiency and energy supplies are for rural americans. the 2008 bill expanded more than $1 million to existing and new energy programs. it was provided to develop biofuels beyond corn ethanol. there are many sources in my pennsylvania district court that can be used in the advanced biofuels. timber can be used for energy or heat production. many of our -- programs such as
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the biomass crop assistance programs, better known as bkap were developed to foster the creation of the next generation of advanced biofuels. this program has received over $900 million in appropriations. i think it's fair for this subcommittee to ask whether or not this program has achieved its purpose, whether or not it needs to be altered in some ways and if there are new sources of biomass established for energy production as a result of this program. other programs like the rural energy for america program, commonly known as reap were expanded to assist small businesses to implement energy efficiency measures and renewable energy systems. we should be certain that farm bill energy programs do not favor one region over another and that the programs are operating as congress intended. i should note that the last two farm bills were written during more favorable budgetary times
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than the situation we find ourselves in today with the federal deficit and increasing national debt. indeed 37 programs in the farm bill do not have a budget baseline beyond its expiration, including every core program in the energy title. now, this means that not on will we not have the $1 billion that was made available for the last farm bill with you we about l not have allocated any mandatory money for continuing these programs. this is a tremendous challenge in these fiscal times as we look for ways to cut spending and make government more efficient yet still achieve our desired goals. our panel witnesses will offer their feedback on what is most important for them and the energy title given budget constraints. our second group of witnesses will discuss forestry and the farm bill. we share forestry jurisdiction with the national resources committee. it includes land owner assistance programs, forestry
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research as well as overoversight of the forest service. over the past year and a half this subcommittee has been very engaged with the forest service, which as many of you know is located within the department of agriculture. several members of of the subcommittee, including myself, have forest lands in our districts and appreciate the importance of forres industry in supporting a healthy and vibrant rural america. but the role of the forest service goes far beyond the interests of this subcommittee. the forest services manages 125 grasslands. national forests have been intended for multiple use, which include timber harvesting, energy production and recreational activities. the forestry title of the 2008 farm bill included several diverse provisions pertaining to all aspects of forres industry including conservation and energy programs.
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though mmm of the forestry programs do not need to be reauthorized in this farm bill, it is important for us to review these programs to be sure they're being carried out in a man consistent with their purpose. we will hear ideas for improving program delivery for forest landover and those in the timber industry and learn of tools that could be used in timber harvestry. we'll discuss the regulation of forest logging roads. i want to briefly address the topic of forest road regulations since i know it affects several of our witnesses today. i've been ved concerned about this matter since the ninth circuit ruled last year that forest roads can be considered a point source under the clean water act and subject to permitting process before any
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trees can be cut. the ninth circuit decision has been appealed to the supreme court and it's likely the epa will move forward with applying initialwide. this would be an unnecessary action given that the best man angment practices administered by states since 1976 have worked effectively and have not put an undue burden on the forest products industry. now, we will continue to monitor these developments if the epa moves forward with a nationwide permitting process, congress must act to clarify the existing state's specific best management processes that are adequate for protecting our water sources. further regulation is unnecessary and will carry a heavy burden for rural america. i want to thank our witnesses for being here today. i look forward to working with you as we move forward on this process. i know yield for purposes of an opening statement to the ranking member, my colleague from
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pennsylvania. >> thank you, mr. chairman. i would like to thank our witnesses for being here as well. this promotes an important opportunity to look at the programs in advance of the new farm bill. the 2008 bill included many new provisions to move our country toward energy dependence. the bill expanded many of the new energy programs originally authorize medical in the 2002 farm bill. a the bill also provided close to $1 billion in investments demonstrating to a promising but fragile industry our commitment to the renewable energy production. unfortunately implementing many of these energy title programs has been slow, leading to uncertainty in an interest this
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puts us in a difficult situation made even more so during this challenging miss call environment. similarly, the forestry title, which impacts forest land, management and 155 national forests and 20 grasslands in the national forest systems does not have any mandatory funding. to accomplish our goal of a well managed agency dedicated to forest stewardship that continues to meet the needs of present and future generations, we must make sure that title policies are fulfilling the mission of quality land management for quality uses. to sustain healthy, diverse and domestic forests, we must all
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work together and maybe sure we spend taxpayer dollars wisely. thank you, mr. chairman, for having the hearing and i look forward to our witnesses. >> i thank the gentleman. the chair would submit othwere other members submit their opening statements so we can get to the witnesses. >> we're joined by mr. greenwood, a pennsylvania congressman. he's currently president and ceo of the biotechnology industry organization located here in washington, d.c. we're also joined by mr. ryan stroschein. excellent. you only come into this world and leave with one thing and
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that's your name so i really hate to mess them up, director of agriculture energy coalition here in washington. somewhat of a neighbor of mine, neighboring just over the line from mifflin town, pennsylvania, mr. steve reinford, opener and operator of reinford farms. mr. jerry taylor, president and chief executive officer mfa oil company, oil biomass llc in columbia, missouri. and mr. gary haer, chairman of the national biodiesel board in washington, d.c. welcome and thank you for bringing your expertise and experience to the subcommittee hearing. congressman greenwood, please begin when you're ready.
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>> i'm out of practice. chairman thompson and ranking members of the subcommittee, i appreciate the opportunity to be with you today. my name is jim greenwood. i am the president and ceo of the biotechnology industry organization. we have more than 1,100 members world wide. wits w its broad membership, innovative biotechnology companies, we are developing new feed stocks, cat lists for advanced biofuels and biobased products. because these food stocks are based on plants and pie logical processes, they are more efficient, sustainable and environmentally friendly. importantly the development and use ofbiomass for fuels and
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chemicals by a necessity cannot be outsourced to other countries. ten years ago this week, less than a year following the attacks of september 11th, president bush signed into law a farm bill that for the first time embraced the vital role american farmers and foresters can and must play in producing domestic energy and, therefore, improving national security in and rural economic prosperity. because of bipartisan congressional support in 2002 and again in the 2008 farm bill, agricultural energy programs are revitalizing rural communities and ushering a new generation of advanced biofuels, renewable chemicals and biobased products to the cusp of commercialization. in short, the farm bill energy programs are working and biomember companies are beginning to put steel in the
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ground. and please allow me to share with you a few examples. there's the first slide. they are preparing to open the indian river county bioenergy center near vera beach florida within the next few weeks. it is a imagine landmark for this country. the first commercial biorefinery and it's for real. it's a valuable farm bill initiative. lending created over 130 million dollars in private investment for a project that will produce 8 million gallons of cellulosic
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ethanol and create 380 direct or indirect jobs. raising private capital investments to build this first of its kind facility would have been nearly impossible in today's financial environment without the biorefinery assistance program. i'm not sure what you're doing there but i'm going to get the next line up if that's possible. there we go. that's a project based in lakewood, colorado using biotechnology break throughs to convert fast growing popular trees to cellulosic ethanol. it helps farmers surrounding the facility to grow the trees that will feed the demonstration project and commercial facility
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when it is completed in the next few year. x xiacam will provide employment opportunities to another 442 people and invest in infrastructure. in green county, alabama, they're expected to create a thousand new jobs. arm energy programs are also fostering innovation and domestic job creation in the renewable chemicals and biobased products sector. this is a project of mirant. it's one of our partners building a 30 million pound per
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year an acid biorefinery in lake providence, indiana. the biobased market program is expanding consumer aware neness these products. opening the biorefinery assistance program to renewable chemicals would further accelerate these promising technologies. my written testimony, which you have before you, includes several additional examples of the tremendous impact energy title programs are having in rural economies. biotechnology is unlocking the potential to create these for rural economic prosperity. farm bill energy in combination
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with the complementary standards are sped speeding technologies to commercial reality. it is vital for our nation's future that we continue investments in america's energy and agricultural futures as the senate agricultural committee acknowledged when it passed mandatory funding thor these programs and the bipartisan bill that passed the committee last month on a vote of 16-5. i urge this committee to do its part as well and to reauthorize farm bill energy programs with meaningful mandatory funding. >> thank you, mr. greenwood. >> mr. stroschein. >> i was raised on a farm and
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i've seen first hand the growing impact on agricultural renewable energy in the economy. the committee was created to support important energy programs con it and in the farm bill, to on taken funding and promote policy changes that will make them even more effective. in the 2002 and 2008 farm bills, bipartisan majorities in con recognize the potential for american farmers, ranchers, rural by providing significant resources to the programs and the energy title. these foundational policies have promised the -- >> into a growing reality. it is a vital component of the all of the above energy strategy
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that has significant bipartisan support here in congress. across the country we've already soon successes from thesish tifs, as mr. green would point it out. wind turbines are powering farms and rural ranches from maine to california. and pieio based products such as biopalace exand solvents are being produced in states like michigan, ohio and other places for application. the 2008 farm bill allocated only 0.7 of 1% of its total funding to the energy titles program yet many new feed stocks, fuels and technologies are on the cusp of commercialization as a result of that investment. they've fostered products in all 50 states that would not have
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materialized without these programs. >> the many as 700 new job in these three programs, along with the rur energy, i'm not on core programs that our coalition is supporting and urging congress to reauthorize the fund. america's leadership position on energy and bioproduct innovation will ef road. other countries are poised to leap ahead of us and those jobs will go with them. >> this would underminor nick, energy and could put the u.s. in the in the wind power works very well in the midwest and west. solar power works across the
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country, particularly in the west and the south. buy yof gas p-- biogas potentia huge and the potential to use light biomass exists from coast to coast. in other words, every corner of the country will benefit because these programs allow them to exploit their individual, inherent natural resource choices. the senate agreed that these investments are worthwhile by adopting a bipartisan farm bill that makes improvements to sell of these core programs. the coalition supports this outcome and believes that the final farm bill should include these investments. rural america has been at the epicenter of america's burgeons renewal and bioenergies. america agriculture has demonstrated it has the vision,
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the entrepreneurialism and the tenacity to continue to develop these new industries if provided with the tools to do so. a continuing commitment will promote the expansion of energy energy jobs, drive innovation, materially benefit our environment, enhance national security and ensure we continue to lead the world in the development of these new energy programs. thank you. i look forward to your questions. >> thank you, sir. now, mr. reinford, go ahead and proceed with your testimony, please. >> thank you chairman thompson and members of the committee. i wasn't aware until i actually got your invitation that you were one of my neighbors so is a
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joy to here with another pennsylvanian here. this is my first time do doing something will th and i feel privileged to be here. i don't know how it turned about but i only had an eight-day preparation. up in here in this business, i've been eight years sharing my experience on energy at reinford farms. thanks to the incentives with usda and my bagism and the reason was did it was because a gentleman moved in my area here. he was a police officer for a border city. his complain was odor all the time. i went to work and we put
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together this system, and i guess a lot of people are looking at what i'm doing and that's one of the reasons i'm here, to share and move forward in the next years ahead here. the addition a i actually managed to invent some other kek jis. the last income statement we got, it was a live over -- it's really kind of an appealing thing to us here. so it's very environmentally friendly, the community likes me. i mean, i haven't had a complaint since i had it in here now. right now as i sit sit here, there's probably 25 active die that are were so we are kind of
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a runner. what can i my experience set me oft when i was drinking in college and they got me started and they say i'm one of the front-runner here in pennsylvania. this is ain't kind of my thing. i'm here to hopefully move forward. it's a very economic al and chabt call himself about die gesture. you take a -- you can supply energy to your neighbors and every r everybody seems to like that. that technology i can't explain it but it does work.
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it really coming alive here. i know the state of pennsylvania. that's why i can say pennsylvania. i haven't been to other states. i talked to an older gentleman from lancaster. he's a guy that got me started on this whole thing. i did a lot of research, a lot of work before i got started here. i took a lot of digests and duplicated and made something that turned around a pretty good profit. we sized or digester for 1,000 cals --
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>> it's a big part of agriculture, especially in the dairy industry and hog products here. we can actually make renewable energy. it's a win-win for everybody and for the community and the economy. we power right now about 80 and 100 houses, plus run the whole farm. that's kind of amazing technology when you take cow manure, which used to be a waste product for us, people turn that into a commodity. it's another amazing technology. the heat from the generator is where we make a lot of our money off of. we got that technology that's actually heating the house, the barn, everything in the barn. you can read the power graph there, pasteurized milk and dry corn. i just bought my wife a chevy volt so powering our transportation off energy. that's a unique thi

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