EPA Budget Bill Includes Important Language on Key Foundry Issues.

In October, President Clinton signed H.R. 4635, the VA-HUD-Independent Agencies appropriations bill that includes funding for the U.S. EPA. The bill provides $7.8 billion in FY 2001 to EPA and includes several legislative riders restricting regulatory action on certain issues of interest to the foundry industry while directing the agency's action on others. These riders include:

* Global Climate Change--H.R. 4635 includes language that prevents EPA from implementing Kyoto-type mandates prior to Senate approval of the Kyoto Protocol. In 1997, the Clinton Administration signed the Kyoto global climate treaty that would force the U.S. to reduce greenhouse gas emissions by more than 30% below 2010 emission projections. Although the Senate has not approved the treaty, EPA continues to try to implement regulations that would "backdoor" the requirements of the Protocol.

* Sustainable Industries--Report language directs EPA to fund the Sustainable Industries Program at FY 1999 levels (approximately $3 million) in order to follow through on the commitments made to specific sectors such as the metalcasting industry. In 1998, the metalcasting industry agreed to partner with EPA under the Sustainable Industries Program. AFS has been working for 3 years to identify sector-based projects and develop compliance tools for the foundry industry. In addition, AFS is beginning to work on several specific products for the foundry industry and hopes to have some of the materials available by March 2001.

* Ozone Non-Attainment Areas--H.R. 4635 also includes language that prohibits EPA from making Clean Air Act non-attainment designations under the agency's new ozone standard until the Supreme Court rules on the validity of the rule next year. In 1997, EPA issued more stringent air standards for small particulate matter and ground level ozone. AFS and numerous industry groups joined together in a legal challenge of these rules. The Federal Court of Appeals ruled that EPA had overstepped its legal authority and had failed to demonstrate that the standards correlated with the public health protection goals of the CAA. EPA appealed the decision, and now the issue is in the hands of the U.S. Supreme Court. The High Court heard oral arguments in November and is expected to issue its ruling next year.