Washington Notebook: Vilsack’s back!

Then Agriculture Secretary Tom Vilsack (at right) and Transportation Secretary Ray LaHood field questions at ABLC, during the Obama Administration.

It’s been a striking 24 hours in the nation’s capital, with news emerging last night from numerous major media outlets that former US Secretary of Agriculture Tom Vilsack will be nominated to lead USDA again in the Biden Administration. Vilsack served as Secretary of Agriculture from 2009 through 2017 and was governor of Iowa between 1999 and 2007. Vilsack received the advanced bioeconomy’s Global Leadership Award at ABLC during his tenure at USDA.

The appointment came as a surprise — most pundits had noted that Vilsack himself was supporting former North Dakota Senator Heidi Heitkamp for the Cabinet post. Vilsack emerged as a candidate only in the past several days, as reports came from sources within Team Biden that the President-elect was looking for additional options. Vilsack has been a long-time advisor to Biden and especially on building a bridge to rural voters.

If confirmed, Vilsack would immediately become the longest-serving US Secretary of Agriculture since James Wilson, who served from 1897 to 1913 under McKinley, Roosevelt and Taft. Ezra Taft Benson of Utan and Orville Freeman of Minnesota also previously served two complete terms in the Cabinet position, since the Department was first elevated to Cabinet rank in 1889.

Also in Washington, U.S. Reps. Bill Pascrell, Jr. (D-NJ-09) and Brian Fitzpatrick (R-PA-01) introduced the Renewable Chemicals Act, legislation that will create an allocated tax credit for production of qualifying renewable chemicals from biomass or investment in production facilities.  Applicants for the tax credit would be evaluated on job creation, innovation, environmental benefits, commercial viability, and contribution to U.S. energy independence.

The renewable chemicals wing of the advanced bioeconomy has long sought a federal tax credit to make the production of biobased chemicals as attractive as the production of fuels. Iowa and Minnesota have created state-based renewable chemical incentives, but no federal tax credit has yet been passed by Congress.

The bill is somewhat symbolic, not expected to advance to a vote before the  Congress adjourns later this month. However, the sponsors would be expected to re-introduce the bill in the next Congress, which convenes in January. Notably, Fitzpatrick began his service in the Congress representing Pennsylvania’s 8th District, a seat long held by former BIO CEO Jim Greenwood. Pascrell was in the headlines last month when he filed complaints on Nov. 20 with the state bar associations of Arizona, Michigan, Nevada, New York and Pennsylvania seeking the disbarment of 23 lawyers representing the President Trump’s campaign, including former New York City Mayor Rudy Giuliani.

Reaction from the stakeholders

“It is imperative that America leads the world in combatting climate change and reducing dependence on fossil fuels. Our bipartisan legislation today will help boost our production of renewable chemicals and clean energy, and decrease our dependence on the fossil fuel industry,” said Rep. Pascrell. “Importantly, our bill emphasizes the need for job creation in these growing industries to ensure that American workers have the opportunities they deserve. Our children and our grandchildren deserve to inherit a world clean of fossil fuels and dirty energy sources. We have the means to make that goal a reality and it starts with this bill.”

“Legislative action taken, or not taken, by this Congress on this issue of climate change will be felt for generations,” said Rep. Fitzpatrick. “We need to continue to work towards building an economy that is supported by renewable energy, and tax credits to boost innovation and job creation in the production of renewable chemicals and biobased products is a crucial piece to our future economic success.”

“We would like to thank Congressman Pascrell’s continued leadership and vision on revitalizing domestic biobased manufacturing for renewable chemicals which will build a resilient biobased economy as reflected in his sponsorship of the Renewable Chemicals Act of 2020,” said Hugh Welsh, President of DSM North America. “This legislation is climate smart, will support employment, grow the economy, and at the same time will encourage global companies like DSM to make additional investments in New Jersey and the entire United States.”

“Special thanks to Rep. Bill Pascrell and Rep. Brian Fitzpatrick for introducing the bipartisan Renewable Chemicals Act of 2020,” said Dr. Rina Singh, Executive Vice President of Alternative Fuels & Chemicals Coalition. “The legislation, if enacted, would create production tax credit based on 15 percent of the sales price of each pound of renewable chemical produced or 30% investment tax credit for renewable chemical production facilities.  This bill encourages innovation, job creation, environmental benefits, and a resilient biobased economy for U.S.”

“The Renewable Chemicals Act of 2020 is an essential tool for fighting climate change and building a more sustainable economy,” said Mike Belliveau, Executive Director of Defend Our Health. “By creative incentives for production of renewable ingredients of everyday products, this bill will help jump-start the replacement of fossil carbon with renewable carbon gathered from forest, farm and sea. The legislation charts a path from plants to products that will help create good jobs, revitalize our rural economy and improve environmental protection.”

“To truly build a 21st century bioeconomy that works to reduce greenhouse gas emissions and limit waste, investments in the development of renewable chemicals will be critical,” said Stephanie Batchelor, Vice President of BIO’s Industrial and Environmental Section. “BIO and its members thank Representatives Pascrell and Fitzpatrick for supporting the sector as it provides solutions to build greener supply chains through this much-needed tax credit.  Renewable chemical breakthroughs—such as the development of bioplastics—will not only help protect the planet but will also revitalize domestic manufacturing, creating new jobs and opportunities for economic growth.”