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Legal Case: White House Argues Against Considering Climate Change on Energy Projects

9:20 am in Uncategorized by Steve Horn

Cross-Posted from DeSmogBlog

The White House

The White House

Just over a month before the United Nations convenes on September 23 in New York City to discuss climate change and activists gather for a week of action, the Obama White House Council on Environmental Quality (CEQ) argued it does not have to offer guidance to federal agencies it coordinates with to consider climate change impacts for energy decisions.

It came just a few weeks before a leaked draft copy of the Intergovernmental Panel on Climate Change’s (IPCC) latest assessment said climate disruption could cause “severe, pervasive and irreversible impacts for people and ecosystems.”

Initially filed as a February 2008 petition to CEQ by the International Center for Technology Assessment, the Sierra Club and the Natural Resources Defense Council (NRDC) when George W. Bush still served as President, it had been stalled for years.

Six and a half years later and another term into the Obama Administration, however, things have finally moved forward. Or backwards, depending on who you ask.

NEPA and CEQ

The initial February 2008 legal petition issued by the plaintiffs was rather simple: the White House’s Council for Environmental Quality (CEQ) should provide guidance to federal agencies it coordinates with to weigh climate change impacts when utilizing the National Environmental Policy Act (NEPA) on energy policy decisions.

A legal process completely skirted in recent prominent tar sands pipeline cases by both TransCanada and Enbridge, NEPA is referred to by legal scholars as the “Magna Carta” of environmental law.

CEQ oversees major tenets of environmental, energy and climate policy. It often serves as the final arbiter on many major legislative pushes proposed by Congress and federal agencies much in the same way the White House’s Office of Information and Regulatory Affairs (OIRA) does for regulatory policy.

In February 2010, Obama’s CEQ showed signs it would utilize NEPA in its policy decision-making process with regards to climate change, issuing a “Draft Guidance for Greenhouse Gas Emissions and Climate Change Impacts” and opening up a 90-day public comment period. Read the rest of this entry →

Big Rail Cites Bin Laden, Al Qaeda to Fight Oil-by-Rail Route Transparency

8:21 am in Uncategorized by Steve Horn

oil train

Big Rail done little to halt the very terrorism threats it claims a desire to stop

While many states around the U.S. have released information to the public about the frequency and routes of trains carrying oil obtained from hydraulic fracturing (“fracking”) in North Dakota’s Bakken Shale basin, holdouts still remain.

Why the delay? Homeland security concerns, claim some companies.

In an ongoing Maryland court case over the issue of transparency for in-state oil-by-rail routes, a July 23 affidavit from Carl E. Carbaugh — director of infrastructure security for Norfolk Southern — goes into extensive detail about the supposed risk presented by terrorism attacks on “Bomb Trains.”

In so doing, Carbaugh mentions Al-Qaeda.

“The most recent edition of Inspire magazine, March 2014, the online, English-language propaganda publication of [Al-Qaeda in the Arabian Peninsula], presents a full-page collage depicting varied images…in order to construct an explosive device,” reads Carbaugh’s affidavit.

“Among these images are a derailed passenger train and a partly covered note paper listing cities in the [U.S.] as well as the terms ‘Dakota’ and ‘Train crude oil.’”

Carbaugh also cited Osama bin Laden, the late Al-Qaeda international ring-leader, in his affidavit.

“Among the materials seized in the May 1, 2011, raid on Osama bin Laden’s compound in Abbottabad, Pakistan, were notes indicating interest in ‘tipping’ or ‘toppling’ trains — that is causing their derailment,” Carbaugh wrote.

Jay Apperson, director of communications for the Maryland Department of the Environment (MDE), told DeSmogBlog that no hearing date has been set yet for Norfolk Southern’s legal complaint nor the companion complaint filed by CSXCorporation.

In its lawsuit filed against the Maryland environment department, CSX deployed similar arguments.

Apperson says both lawsuits were redundant because “we reiterated [to both companies] that we would not release the documents under state open records law until the court challenge is resolved.”

MDE filed a response arguing such in July 25 legal motions issued to CSX and Norfolk Southern.

CSX, according to its website, does not even have any oil-by-rail lines running through Maryland.

Like Old Dominion, Like Garden State

Big Rail has used a similar approach in New Jersey, another state that has not yet publicly-disclosed oil-by-rail route information.

Lee Moore, a New Jersey Department of Law and Public Safety spokesman, explained why to The Record.

“Releasing all of the records, which include the rail lines on which Bakken crude oil is being transported, would pose a homeland security risk,” said Moore.

“Clocks and Windows”

William Larkin Jr., a Republican member of the New York Senate, believes the argument put forward in both Maryland and New Jersey is flawed on its face.

“I feel that both the U.S. Department of Transportation and a number of critics seemed to have missed the point, at least the larger point,” Larkin Jr. told the Poughkeepsie Journal on July 20. “[People] already know which rail lines oil companies are utilizing. Clocks and windows provide this information.”

As reported on DeSmogBlog, Big Rail has historically shored up exemptions from “right to know” laws and they have pushed hard to keep it that way.

Security Concerns: Holes in the Story

If the rail companies have serious concerns about terrorism threats to Bakken oil trains, their recent actions call such concerns into question.

Prior to the release of the new proposed oil-by-rail regulations, Big Rail lobbied against any regulations requiring the trains to be attended at all times. And they were successful, as this is not included in the proposed regulations.

Further, Burlington Northern Santa Fe (BNSF) — owned by Warren Buffet, a major campaign contributor to President Barack Obama — is currently in the midst of a stand-off against organized labor. The battle centers around BNSF’s push for single person train operation, trains driven by a one-man ‘crew’ rather than the traditional two member crews.

Other ways experts have suggested to reduce risks of oil trains include lowering speed limits and stripping volatility of the oil prior to shipping via a process called stabilization.

However, prior to the release of the new proposed DOT regulations, the American Association of Railroads and the American Petroleum Institute both said two things should be off the table: train speeds and mandatory stabilization.

“Citizens for Rail Security”

Despite holes in its narrative about national security risks associated with disclosure of oil-by-rail routes, one measure some companies have taken is to create citizen volunteer security groups.

Read the rest of this entry →

Court: Key Environmental Law Doesn’t Apply to Part of Enbridge Keystone XL “Clone”

6:06 pm in Uncategorized by Steve Horn

A judge's gavel

A judge just ruled federal law doesn’t apply to this pipeline firm.

U.S. District Court for the District of Columbia has ruled that Enbridge’s 600-mile-long Flanagan South Pipeline, a Keystone XL “clone,” is legally cleared to proceed opening for business in October.

Approved by the U.S. Army Corps of Engineers via a controversial regulatory mechanism called Nationwide Permit 12 (NWP 12), Judge Kentanji Brown Jackson, an Obama-appointed judge, ruled NWP 12 was not a federal government “action.” Thus, Brown posited that Enbridge did not need to use the National Environmental Policy Act (NEPA) regulatory process and NWP12 was up to snuff.

The case pitted the Sierra Club and the National Wildlife Federation (NWF) against the Army Corps of Engineers and Enbridge and has lasted for just over a year, with the initial complaint filed on August 13, 2013 (Case #: 1:13-cv-01239-KBJ).

Sierra Club and NWF submitted the recent precedent-setting Delaware Riverkeeper v. Federal Energy Regulatory Commission (FERC) case as supplemental authority for Sierra Club v. U.S. Army Corps of Engineers on the day that decision was handed down.

But Jackson brushed it aside, saying it doesn’t apply to Flanagan South, despite the fact that the Delaware Riverkeeper v. FERC decision said that a continuous pipeline project cannot be segmented into multiple parts to avoid a comprehensive NEPA review.

Although Enbridge will operate this project as a single pipeline, Flanagan South was broken up into thousands of “single and complete” projects by the Army Corps of Engineers. This helped Enbridge skirt the requirement of a more comprehensive and public-facing NEPA review, which involves public hearings and a public comment period.

“Here, not only was there no NEPA analysis of this massive project, there was never any public notice or opportunity for involvement before it was constructed across four states,” Sierra Club attorney for the case, Doug Hayes, told DeSmogBlog. “The entire thing was permitted behind closed doors.”

For all intents and purposes, then, Flanagan South is a fait accompli and tar sands diluted bitumen (“dilbit”) will begin pumping through it as summer turns to fall.

Private Company, Hands-Off Approach

At 48-pages, Jackson’s ruling centers around a key central argument: Enbridge is a private company and Congress has never given executive agencies the green light to regulate domestic oil pipelines.

“Congress has not authorized the federal government to oversee the construction of private domestic oil pipelines; consequently, Enbridge has undertaken to build the planned [Flanagan South] Pipeline largely on its own, primarily by securing easements from the landowners who own the property over which the pipeline will operate,” wrote Jackson.

Judge Jackson said that a laissez-faire governmental approach to authorizing pipelines is appropriate, according to her reading of the law on the books.

“[T]he gist of the Court’s conclusion is that Plaintiffs are wrong to insist that any federal agency had an obligation under NEPA or any other statute to conduct an environmental review of the impact of the entire [Flanagan South] Pipeline before Enbridge broke ground on the project,” she opined.

“Connected Action” Doctrine

Another key legal precedent discussed in Jackson’s ruling was Delaware Riverkeeper v. FERC, covered by DeSmogBlog in June.

She weighed the merits of the “connected action” doctrine as applied to a lack ofNEPA review for Flanagan South, writing it does not apply to the pipeline because the Army Corps of Engineers has no obligation to do a NEPA review in this case.

“In [Delaware Riverkeeper v. FERC] the connected actions rule applied because the courts were required to assess whether the agencies had improperly limited the scope of the review of actions within their own jurisdiction—a determination that is fundamentally different from the question Plaintiffs present here, i.e., whether [NEPA] must be expanded to include an environmental review of actions completely outside the agencies’ purview,” Jackson wrote.

Army Corps Abusing NWP 12?

Hayes told DeSmogBlog back in November that the Army Corps of Engineers’ intricate involvement in permitting massive tar sands pipeline projects is at the root of the problem.

“The Corps is abusing the nationwide permit program. Nationwide permits were intended to permit categories of projects with truly minimal impacts, not tar sands oil pipelines crossing several states,” said Hayes. “What the Corps is doing is artificially dividing up these massive pipelines, treating them as thousands of individual projects to avoid NEPA compliance.”

Congress Passed NEPA in 1969

The greatest irony of Jackson’s decision is that Congress passed NEPA — known by legal scholars as the “environmental Magna Carta“ — in 1969, and it was signed into law by President Richard Nixon in 1970.

Read the rest of this entry →

Industry Data: Oil-By-Rail in North America Moving at Record Levels

2:15 pm in Uncategorized by Steve Horn

Cross-Posted from DeSmogBlog

A line of oil tanks on a train

A look at oil trains by the numbers.

On July 3, the Association of American Railroads (AAR) released June 2014 data showing oil-by-rail and petroleum products at-large are moving at record levels throughout North America.

The release of the data comes on the heels of the ongoing oil-by-rail nationwide week of action launched by environmental groups.

For the 26th week of 2014 (the half year point) in the U.S., 18.5% more tank cars were on the tracks carrying petroleum and/or petroleum products than last year, a total of 15,894 cars.

Examined on a year-to-date basis, 7.0% more of those same tank cars were on the tracks in the U.S. this year than last, totaling 380,961 cars to date.

Across the border in Canada, the same trend lines exist: for the 26th week of 2014, 6.9% more cars moved petroleum and/or petroleum products by rail than in the 26th week of 2013.

Looked at in terms of year-to-date compared to 2013, that totals a 7.7% increase in tank cars moving the commodity by rail.

Bomb trains,” as some critics call them, move oil obtained from hydraulic fracturing (“fracking”) in North Dakota’s Bakken Shale basin to terminals, holding facilities and markets both in the U.S. and Canada.

Hence the upsurge in unit cars carrying petroleum and/or petroleum products both north and south of the border.

Looked at through the lens of North America, 14.6% more tank cars carried petroleum and/or petroleum products during the 26th week of 2014 compared to the same time in 2013.

And 7.0% more of those tank cars have moved petroleum and/or petroleum products to market so far this year as compared to last year.

AAR: Stats Provider, Lobbying Tour De Force

Beyond crunching numbers and statistics, AAR also is a lobbying tour de force for Big Rail in the same way the American Petroleum Institute (API) is for Big Oil.

With its public relations work overseen and advised by SKDKnickerbocker — co-owned by former Obama White House communications director Anita Dunn — AARhas landed numerous meetings with the White House Office of Information and Regulatory Affairs (OIRA) in the attempt to water down crude-by-rail regulations currently being drafted by the U.S. Department of Transportation (DOT).

As revealed on DeSmogBlog, AAR members gave a presentation to OIRA on June 10 on how companies would be faced with “far reaching economic impacts” if speed limits were imposed on trains carrying oil by rail.

According to a DeSmogBlog review of federal lobbying disclosure documents, AAR has spent roughly $1.82 million on lobbying at the federal level so far in 2014.

Additionally, AAR has doled out over $150,000 in campaign contributions to congressional candidates for the 2014 electoral cycle and is also active at the state level.

Put another way, AAR’s political activism clarifies its hopes to produce more numbers and figures of the sort just unveiled in its most recent report.

But will events like the oil-by-rail week of action block such hopes and dreams?

Read the rest of this entry →

Recent Federal Court Decision Could Muddy Waters for Keystone XL South, Flanagan South

2:20 pm in Uncategorized by Steve Horn

Cross-Posted from DeSmogBlog

The case depicts a collision between long-standing principles of environmental law and President Barack Obama’s March 2012 Executive Order expediting pipeline reviews — an order issued six days after delivering a speech in front of the pipe segments that would two years later be pieced together as Keystone XL South, now open for business.

On June 6, the U.S. Court of Appeals for the District of Columbia Circuit handed down a ruling that will serve as important precedent for the ongoing federal legal battles over the Keystone XL and Flanagan South tar sands pipelines.

In the Delaware Riverkeeper v. Federal Energy Regulatory Commission (FERC) case, judges ruled that a continuous pipeline project cannot be segmented into multiple parts to avoid a comprehensive National Environmental Policy Act (NEPA) review. This is what Kinder Morgan proposed and did for its Northeast Upgrade Project.

As reported on DeSmogBlog, the U.S. Army Corps of Engineers did the same thing to streamline permitting for both the southern leg of TransCanada’s Keystone XL and Enbridge’s Flanagan South. Sierra Club and co-plaintiffs were denied injunctions for both pipelines in October and November 2013, respectively.

Delaware Riverkeeper v. FERC dealt with breaking up a new 40-mile long pipeline upgrade into four segments. For the other two cases, the Army Corps of Engineers shape-shifted the two projects — both hundreds of miles long each — into thousands of “single and complete” projects for permitting purposes.

On the day of the Delaware Riverkeeper v. FERC decision, Sierra Club attorney Doug Hayes submitted the case as supplemental authority for the ongoing Flanagan South case.

On May 5, Hayes also submitted paperwork to appeal the Keystone XL Southdecision in front of the U.S. Court of Appeals for the Tenth Circuit, which was docketed by the clerk of Ccurt the next day.

Hayes told DeSmogBlog his side will file an opening brief for the appeal on July 30. It seems likely Delaware Riverkeeper v. FERC will be a key part of that appeal.

In a sign of the importance of the outcome for the oil and gas industry, theAmerican Petroleum Institute (API) entered the Sierra Club v. Army Corps of Engineers case on Keystone XL as an intervenor on May 16, represented by corporate law firm Hunton & Williams.

At the federal level, Hunton & Williams lobbies on behalf of Koch Industries, a company with a major stake in tar sands leases and refining.

“No Uncertain Terms”

Hayes told DeSmogBlog that Delaware Riverkeeper v. FERC could prove a game-changer for the Keystone XL southern leg (now dubbed the Gulf Coast Pipeline Project) appeal, the Flanagan South decision and far beyond.

“Delaware Riverkeeper is important in many respects,” Hayes said. “In general, the D.C. Circuit is considered the second most powerful court in the country and here it held, in no uncertain terms, that agencies must analyze all parts of these interrelated projects under NEPA to get the full picture of the environmental impacts.”

The case depicts a collision between long-standing principles of environmental law and President Barack Obama’s March 2012 Executive Order expediting pipeline reviews — an order issued six days after delivering a speech in front of the pipe segments that would two years later be pieced together as Keystone XL South, now open for business.

Executive Order 13604

Executive Order 13604, signed on March 28, 2012, said “agencies shall…coordinate and expedite their reviews…as necessary to expedite decisions related to domestic pipeline infrastructure projects that would contribute to a more efficient domestic pipeline system for the transportation of crude oil.”

Read the rest of this entry →

Meeting Logs: Obama Quietly Coddling Big Oil on “Bomb Trains” Regulations

8:53 am in Uncategorized by Steve Horn

Cross-Posted from DeSmogBlog

The exploding CSX Corporation oil-by-rail train in Lynchburg, Virginia owned by Plains All American was on its way to the Yorktown facility. Yorktown has been marked a potential export terminal if the ban on exporting U.S. oil is lifted.

When Richard Revesz, Dean Emeritus of New York University Law School, introduced Howard Shelanski at his only public appearance so far during his tenure as Administrator of the White House Office of Information and Regulatory Affairs (OIRA), Revesz described Shelanski as, “from our perspective, close to the most important official in the federal government.”

OIRA has recently reared its head in a big way because it is currently reviewing the newly-proposed oil-by-rail safety regulations rolled out by the Department of Transportation (DOT) and Pipeline and Hazardous Materials Safety Administration (PHMSA).

During his presentation at NYU, Shelanski spoke at length about how OIRA must use “cost-benefit analysis” with regards to regulations, stating, “Cost-benefit analysis is an essential tool for regulatory policy.”

But during his confirmation hearings, Shelanski made sure to state his position on how cost-benefit analysis should be used in practice. Shelanski let corporate interests know he was well aware of their position on the cost of regulations and what they stood to lose from stringent regulations.

“Regulatory objectives should be achieved at no higher cost than is absolutely necessary,” Shelanski said at the hearing.

With the “cost-benefit analysis” regarding environmental and safety issues for oil-by-rail in OIRA’s hands, it appears both the oil and rail industries will have their voices heard loudly and clearly by the White House.

A DeSmogBlog review of OIRA meeting logs confirms that in recent weeks, OIRAhas held at least ten meetings with officials from both industries on oil-by-rail regulations. On the flip side, it held no meetings with public interest groups.

“Cost-Benefit”: A Brief History

OIRA was created in 1980 by President Ronald Reagan with the goal of getting rid of “intrusive” regulations.

“By instructing agencies to clear drafts of regulations through OIRA, Presidents have made the agency…a virtual choke point for federal regulation,” explains theCenter for Progressive Reform, a think-tank critical of OIRA and its cost-benefit analysis.

Cost-benefit analysis was put on the map by Harvard Law School professor Cass Sunstein, “regulatory czar” and head of OIRA for President Barack Obama before Shelanski. Read the rest of this entry →

Earth Day Greenwash: API Front Group Iowa Energy Forum Sponsors Pro-Keystone XL Event

4:30 pm in Uncategorized by Steve Horn

Cross-Posted from DeSmogBlog

The political carnival that is the prelude to the Iowa caucuses has started over a year and a half early. At the center of it this time around: a game of political hot potato over the northern leg of TransCanada‘s Keystone XL tar sands pipeline.

Official Portrait of General Jones

General James Jones has become an energy industry shill.

American Petroleum Institute (API) deployed one of its paid consultants — former Obama Administration National Security Advisor General James “Jim” Jones — to deliver an Earth Day address in the home state of the presidential caucuses at Drake University in Des Moines, Iowa.

James Jones used his time on the podium to promote the Keystone XL tar sands pipeline, which another James — retired NASA climatologist James Hansen — once called a “fuse to the biggest carbon bomb on the planet.”

“General James Jones…will discuss the benefits of the pipeline initiative, including more jobs, less dependence on foreign oil, and cheaper energy costs for Americans,” explained an April 15 Drake University press release promoting the event.

Days after the Obama Administration decided to delay making a decision on Keystone XL North until after the 2014 mid-term elections, API went on the offensive, with Jones acting as the group’s surrogate.

API is using one of its numerous front groups that could factor most prominently during election season: the Iowa Energy Forum, chief sponsor and organizer of the event titled, “The Pipeline to National Security Discussion.”

Iowa Energy Forum is part of API’s broader astroturf campaign called “America’s Energy Forum,” the privacy policy on its website reveals. In tiny print at the bottom of the Iowa Energy Forum website, it also says, “Sponsored by American Petroleum Institute.”

API paid the powerful Des Moines-based public relations (PR) firm LS2group to help them promote the Earth Day event.

An April 17 press release published in Des Moines’ Business Record lists Matt Bierl of LS2group as the contact person. And a glance at the guest list for the Facebook event page for Drake University event shows eight of the 22 attendees work at LS2group.

LS2group and the 2012 Elections

Mark Twain once quipped, “History doesn’t repeat itself, but it does rhyme.”

In that vein, rewind back to 2012 and the activities by Iowa Energy Forum before the Iowa caucuses, with PR efforts overseen by LS2group.

Among other things, former Minnesota Republican Governor Tim Pawlenty — who ran for president in the 2012 GOP primaries — had two campaign advisers that wore two hats, Charles Larson Jr. and Karen Slifka. Both of them also worked for LS2group in the run-up to the Iowa caucuses, where they work full-time now.

Both Larson and Slifka denied they were coordinating Iowa Energy Forum’s agenda with the Pawlenty campaign in an interview with The Des Moines Register. But evidence suggests otherwise.

“An air-conditioned ‘igloo’ paid for by the Iowa Energy Forum will rise up from the straw poll campus in Ames next month, an attraction meant to woo Iowans’ affection with free treats, kids’ rides and displays about energy technology,” explained an article in The Des Moines Register. “The Republican Party of Iowa has received $100,000 from the organization.”

Drake Students Protest Event

In response to Jones’ jaunt to campus, Drake University students held a protest outside of his speaking engagement.

Read the rest of this entry →

Exposed: Stratfor’s 3-Step Plan To Conquer & Divide Activists

5:51 pm in Uncategorized by Steve Horn

Cross-Posted from Mint Press News

Part 1 of this exclusive Mint Press News investigation examined the strategies employed by Stratfor precursor Pagan International. So named for its founder Rafael Pagan, corporate clients hired the company with the aim of diffusing grassroots movements mobilized against them around the world.

Stratfor logo

A look at Strategic Forecasting, the private intelligence agency.

Part 2 takes a closer look at how Pagan International’s successor, Mongoven, Biscoe & Duchin (MBD), revised and refined these strategies — and how what began as a corporate public-relations firm evolved into the private intelligence agency Stratfor, which wages information warfare against today’s activists and organizers.

Rafael Pagan — who died in 1993 — was not invited to be a part of his former associate’s new firm, Mongoven, Biscoe & Duchin. His tactic of conquering and dividing activist movements and isolating the “fanatic activist leaders” lived on, though, through his former business partner, Jack Mongoven.

Mongoven teamed up with Alvin Biscoe and Ronald Duchin to create MBD in 1988. While “Biscoe appears to have been a largely silent partner at MBD,” according to the Center for Media and Democracy, Mongoven and Duchin played public-facing starring roles for the firm.

Duchin, like Pagan, had a military background. A graduate of the U.S. Army War College and “one of the original members of [Army] DELTA” — part of the broader Joint Special Operations Command that killed Osama Bin Laden — Duchin had jobs as a special assistant to the secretary of defense and as spokesman for Veterans for Foreign Wars prior to coming to Pagan.

Duchin served as head of the Pentagon’s news division during “Operation Eagle Claw,” President Jimmy Carter’s failed 1980 mission to use special forces to capture the hostages held in Iran.

Referred to by The Atlantic as the “Desert One Debacle” in a story Duchin served as a key confidential source for — as revealed in an email in the “Global Intelligence Files” announcing Duchin’s 2010 death — “Eagle Claw” ended with eight U.S. troops dying, four wounded, one helicopter destroyed, and President Carter’s reputation in the tank. The failed and lethal mission served as the impetus for the creation of the U.S. Special Operations.

Largely avoiding the limelight while working as Pagan’s vice president for Issue management and strategy — the brains of the operation — Duchin became a notorious figure among dedicated critical observers of the public relations industry while co-heading MBD. During MBD’s 15 years of existence, its clients included Big Tobaccothe chemical industryBig Agriculture and probably many other industries never identified due to MBD’s secretive nature.

MBD worked on behalf of Big Tobacco to fend off any and all regulatory efforts aimed in its direction. Philip Morris paid Jack Mongoven $85,000 for his intelligence-gathering prowess in 1993.

Get Government Off Our Back,” an RJ Reynolds front group created in 1994 by MBD for the price of $14,000 per month, serves as a case in point of the type of work MBD was hired to do by Big Tobacco.

“The firm has developed initiatives for RJ Reynolds that advocate pro-tobacco goals through outside organizations; among other projects, the firm organized veterans organizations to oppose the workplace smoking regulation proposed by OSHA,” explains a 2007 study appearing in the American Journal of Public Health. “[It] was created to combat increasing numbers of proposed federal and state regulations on the use and sale of tobacco products.”

Paralleling the Koch Family Foundations-funded Americans for Prosperity groups of today, “Get Government Off Our Back” held rallies nationwide in March 1995 as part of “Regulatory Revolt Month.”

“Get Government Off Our Back” dovetailed perfectly with the Republican Party’s 1994 “Contract with America” that froze new federal regulations. The text of the “Contract” matched “Get Government Off Our Back” “nearly verbatim,” according to the American Journal of Public Health study.

‘Radicals, Idealists, Realists, Opportunists’

While its client work was noteworthy, the formula Duchin created to divide and conquer activist movements — a regurgitation of what he learned while working under the mentorship of Rafael Pagan — has stood the test of time. It is still employed to this day by Stratfor.

Read the rest of this entry →

State Dept Keystone XL Environmental Reviewer Claimed Delaware Tar Sands Refinery Made Air Cleaner

8:07 am in Uncategorized by Steve Horn

Cross-Posted from DeSmogBlog

DeSmogBlog investigation reveals Environmental Resources Management, Inc. (ERM Group), the contractor that performed the environmental review for TransCanada’s Keystone XL tar sands export pipeline, was also recently hired by a major Delaware City refinery to study air quality around the plant.

This “study” was funded by the refinery itself, owned by Delaware City Refining Company, a wholly-owned subsidiary of PBF Energy. Delaware City Refinery is the recipient of 180,000 barrels per day of fracked oil from North Dakota’s Bakken Shale along with oil extracted from Alberta’s tar sands - both referred to as the “holy grail” by the Refinery’s owner at a Feb. 2013 meeting - which sojourn eastward via mile-long freight rail cars owned by Norfolk Southern.

Conducted in March 2013, the study concluded the “air quality [near the refinery] is as good as, and in some cases, better than samples taken during the 2011 study before the refinery restart,” as explained on a flyer obtained by DeSmog promoting two public meetings hosted by ERM to discuss results.

However, an independent air sample study detected the cancer-causing compound benzene far above levels set by the Environmental Protection Agency, as well as soot and sulfur dioxide, in an area one mile from the refinery.

ERM Group – a dues-paying member of American Petroleum Institute (API), which hasspent over $22 million lobbying on tar sands and Keystone XL since its June 2008 proposal – said that because Alberta’s tar sands will get to market with or without Keystone XL, the tube’s northern half “is unlikely to have a substantial impact on the rate of [tar sands] development.”

Under that logic, Keystone XL – which President Obama said in in the Climate Action Plan he will only approve if it doesn’t “significantly exacerbate…carbon pollution” – won’t have a “substantial impact” on climate change. That could mean “game on” for the pipeline.

Yet Another Illegal ERM Group Lie

This latest discovery proves – once again – that ERM Group lied on its conflict-of-interest form which it submitted to the State Department, claiming it has no ”direct or indirect relationship (financial, organizational, contractual or otherwise) with any business entity that could be affected in any way by the proposed work.”

The false claim – given ERM’s current ties to the Alaska Gas Pipeline Project, the Delaware City Refinery and the refinery’s direct relationship with tar sands refining and marketing - may violate 18 USC § 1001. That law says making a “materially false, fictitious, or fraudulent statement or representation…[to the] executive, legislative, or judicial branch of the Government of the United States” is a crime punishable by up to five years in jail.

Friends of the Earth and the Checks & Balances Project have called for a full-throttle State Department Inspector General investigation into the contractual relationship between ERM Group and the State Department.

The false contractual claim is far from the only tall tale ERM told.

Independent Air Studies, Citizen Anecdotes Fly in Face of ERM Study

study released by Delaware City Environmental Coalition in late-May - just weeks before ERM’s study was released – came to diametrically opposite conclusions as ERM Group’s refinery-funded effort.

“Air-quality tests commissioned by a Delaware City citizens group show a jump in local chemical, soot and sulfur levels after the opening of the Delaware City refinery, with at least three toxic pollutants exceeding some public health limits in one spot a mile from the plant,” explained The News Journal.

Beyond the study itself, many individuals have anecdotes of how the refinery has impacted their lives and how quality of life was better before the plant reopened in 2011, when PBF Energy purchased the refinery from Valero for $220 million after it was idled for one year.

“I can tell you that the year the plant was shuttered, I did not suffer from my normal seasonal sinus condition in the same manner that I have both before and after,” Delaware City citizen Kristina Lynn told DeSmogBlog in an interview.

“While it is a seasonal allergy that causes my pain, it was nearly absent that year. The town was quiet, no smells, even the sky looked bluer. No rumblings, it was so quiet at night I could hear a horse neigh on a farm a half mile away. I had never heard that before.”

Another Delaware City citizen shared a similar story.

Read the rest of this entry →

API Spent $22 Million Lobbying for Keystone XL; State Dept Contractor ERM an API Member

6:20 am in Uncategorized by Steve Horn

Cross-Posted from DeSmogBlog

Screenshot from API’s homepage

In President Barack Obama’s Climate Action Plan address, he stated that TransCanada’s Keystone XL tar sands pipeline would only receive State Department approval “if this project does not significantly exacerbate the problem of carbon pollution.”

As it stands, that means Keystone XL – which if built to full capacity would pipe diluted bitumen, or “dilbit” from the Alberta tar sands down to Port Arthur, TX refineries for shipment to the global export market - may likely receive Obama’s approval.

That’s because Obama’s State Dept. – assigned to make a final decision on KXL because it crosses the international border – contracted its Draft Supplemental Environmental Impact Study (SEIS) out to Environmental Resources Management, Inc. (ERM Group).

ERM Group is a dues-paying member of the American Petroleum Institute (API), as is TransCanada.

The SEIS concluded KXL’s “approval or denial” – misleading because its southern half is already 75-percent complete via an Obama March 2012 Executive Order - “is unlikely to have a substantial impact on the rate of development” of the tar sands. Therefore, it will also have little impact on climate change, according to ERM’s SEIS.

It’s important to remember that ERM was chosen on behalf of State by TransCanada itself. Futher, one of the ERM employees tasked to conduct the SEIS, as exposed in a Mother Jones investigation, is a former TransCanada employee.

DeSmog investigation also reveals that API has spent $22.03 million dollars lobbying at the federal level on Keystone XL and/or tar sands issues since the pipeline was initially proposed in June 2008. Further, some of those oil lobbyists have direct ties to both President Barack Obama and U.S. Secretary of State John Kerry, the two men who have the final say on KXL.

API Keystone XL Lobbyists Ties to Obama and Kerry

One of the lobbyists helping in the API Keystone XL lobbying effort was Marty Durbin, the nephew of U.S. Sen. Dick Durbin (D-IL). Sen. Durbin was President Obama’s former U.S. Senate colleague from Illinois before Obama won the presidency in 2008.

Initially hired by API to fend off proposed congressional climate change legislation in 2009, Marty Durbin was named President and CEO of America’s Natural Gas Alliance (ANGA) in March 2013, the industry lobbying powerhouse on hydraulic fracturing (“fracking”) matters.

API hired Ogilvy Government Relations to lobby for KXL in 2012, as well. One of Ogilvy’s key hired guns lobbying on behalf of API and KXL is Moses Mercado.

Mercado served as a key aide to Obama’s 2008 presidential campaign, as well as a super-delegate representing Texas for the 2008 Democratic National Convention. He also served as campaign director in New Mexico for U.S. Sec. of State John Kerry’s 2004 presidential campaign.

“The waves are being generated by Mercado’s other line of work – as a lobbyist with Ogilvy Government Relations who is registered to represent several dozen big-name clients, including the National Rifle Association, the Carlyle Group, the Blackstone Group, Monsanto, Pfizer Inc., United Health Group, Sempra Energy and Constellation Energy,” a Sept. 2007 Washington Post article explained about Mercado joining the Obama campaign team (emphasis mine).

Obama’s national political director for his 2008 presidential campaign, Matthew Nugen, now also works at Ogilvy. He took the job less than a week after Obama’s Jan. 2009 inauguration.

Lobbying Coupled with a Dose of PR and Astroturf

Above and beyond lobbying, API has also devoted much time, money and effort on pro-Keystone XL public relations. Its most recent ongoing campaign is called Oil Sands Fact Check (OSFC).

As explained by the Houston Chronicle, OSFC was created as a tar sands parallel to Energy in Depth (EID), another industry-created front group to promote fracking:

[OSFC] is borrowing a page from Energy In Depth’s playbook, with regular “issue alerts” to reporters and others, and plans for touting the message via Facebook, Twitter and other social media. To lure in critics as well as supporters, the group has ads that appear on Google when users search for “tar sands” – a synonym often used derisively – and other related terms.

Before OSFC’s creation, API ran an astroturf campaign called Vote 4 Energy run byEdelman Public Relations.

“They’re using deception to talk to Americans about the oil and gas industry,” said Gabe Elsner of the Checks and Balances Project at the time, who auditioned to appear in one of API’s commercials. “These multi-million dollar campaigns are clearly being crafted to give the appearance that it’s ordinary people talking. What we experienced was that it was well scripted and totally set up to be the perfect commercial.”

API also created an astroturf group called Energy Citizens during the climate change legislative battle in 2009.

“The objective of these rallies is to put a human face on the impacts of unsound energy policy and to aim a loud message at those states’ U.S. Senators to avoid the mistakes embodied in the House climate bill and the Obama Administration’s tax increases on our industry,” wrote API head Jack Gerard in a memo obtained byGreenpeace USA explaning the rationale behind the campaign to API members. “We are asking all API members to assist in these…activities. The size of the company does not matter, and every participant adds to the strength of our collective voice.”

Can State Dept./ERM SEIS Be Trusted?

With a history of rubber-stamping ecologically-hazardous projects, it should surprise no one that the southern half of KXL already has dents and poorly-welded metalrecently replaced by contractor Michels Corporation. An ominous sign for KXL’s future, to say the least.

“It’s clear that, devoid of factually-based energy and climate arguments, API needs to spend vast sums on lobbyists and campaign contributions to secure the access it needs to political power,” Tyson Slocum, Director of Public Citizen’s Energy Program told DeSmog in an interview.

Friends of the Earth-US Senior Campaigner Ross Hammond echoed Slocum in an interview with DeSmog.

“It’s no wonder that API and its members continue to tout the ERM report as ‘proof’ that Keystone will make a minimal contribution to climate change despite the fact that the EPA and top scientists all take the opposite view. The fact that ERM is a paid member of API should have disqualified it from writing the Draft SEIS,” said Hammond.