11.14.13

DOE Top Lawyer Nominee Commits to Cantwell: I Will Respect BPA’s Autonomy

Cantwell: ‘The Pacific Northwest is not going to tolerate any attack on BPA’s regional authority’

WASHINGTON, D.C. – Today, U.S. Senator Maria Cantwell (D-WA) secured a commitment from the Obama Administration’s nominee for the Department of Energy (DOE) General Counsel that he would respect the Bonneville Power Administration’s (BPA) Pacific Northwest autonomy.

Under questioning from Cantwell at a Senate Energy and Natural Resources Committee, General Counsel nominee Dr. Steven Croley agreed to “respect the regional control of BPA” and not to “micromanage” the general counsel at the BPA. Croley also pledged to work with Cantwell to move forward on a plan to separate military and defense nuclear waste.                                     

During the hearing Cantwell called for the BPA to remain independent of the DOE.

Watch a video of today’s hearing here.

“The Pacific Northwest is not going to tolerate any attack on BPA’s regional authority,” said Cantwell to Croley at today’s hearing. “So, the issue has arisen obviously because of some of the hiring practices and investigation that after six months there will be a review of these efforts. Do you agree that restoring BPA’s traditional autonomy, unless there are very specific concerns raised, is an important part of the process?”

Croley replied: “I fully appreciate BPA’s autonomy. It’s my understanding that the department has no interest in affecting adversely that autonomy. But rather simply to provide a kind of support to the extent that is necessary and to the extent that may be necessary in the future and may not be.”

DOE is examining BPA’s legal and hiring decisions after the DOE’s Office of Inspector General found that hundreds of applicants to BPA jobs, including veterans, were discriminated against. Last week Cantwell along with every Senator and Representative from Oregon, Washington and Idaho sent a letter to Energy Secretary Ernest Moniz urging him to ensure that BPA remains independent.

Dr. Croley was nominated to the position of DOE’s General Counsel by the Obama Administration on August 1, 2013. The General Counsel oversees DOE’s legal affairs and manages more than 100 attorneys at the department.

Senator Ron Wyden (D-OR), Chair of the ENR Committee, echoed Cantwell’s concern.

“Dr. Croley let me just reaffirm the extraordinarily important point that Senator Cantwell made. I think you know she has been our go to person in the region on energy policy issues,” Chairman Wyden said. “Last week the entire Northwest delegation – 23 members, senators and house members – sent a letter to Dr. Moniz trying to make it clear that we feel very strongly that this problem of discriminating against veterans is absolutely indefensible. But it cannot be used as a Trojan Horse to in effect micromanage Bonneville from Washington, D.C.”

As defense waste at Hanford moves closer to being processed, Cantwell also pressed Croley on creating a unique plan for the permanent disposal of defense nuclear waste.                                   

Cantwell asked: “We are on a trajectory where we are going to have defense waste ready to go somewhere and we don’t want to have that be nowhere because we have to come up with a solution. So will you commit to working with me and the DOE and the chairman on separating defense from civilian waste?” 

Croley responded: “Senator, I would be happy, if confirmed, to work with you on that issue and any other issue.”

Cantwell has been a leader in demanding the Department of Energy (DOE) stick to established deadlines and develop a comprehensive strategy to deal with the unique challenge defense nuclear waste presents. At an ENR hearing on July 30, 2013, Cantwell called for a new nuclear waste bill to include a specific plan for disposing defense nuclear waste. 

During Dr. Ernest Moniz’s confirmation hearing to be Energy Secretary earlier this year in April, Cantwell asked Dr. Moniz if defense nuclear waste should be addressed separately from commercial waste in any disposal plan, to which he said he would “push for that evaluation” and “relook” at the issue if confirmed. Dr. Moniz noted that the issue was discussed extensively when he served on the Blue Ribbon Commission on America’s Nuclear Future, but that the final report failed to address defense-related waste.

A full transcript of today’s hearing follows.

Senator Cantwell: Thank you, Mr. Chairman and I certainly want to applaud the nominees and congratulate you on your nomination. And if I could to you, Dr. Croley – obviously the Bonneville Power Administration (BPA) is a very important part of the Pacific Northwest. I want to make sure I get your response as counsel there to some important issues. First, will you respect the regional control of BPA as Congress has repeatedly affirmed?

Dr. Steven P. Croley, nominee to be General Counsel, U.S. Department of Energy: Yes.

Senator Cantwell: Okay. Will you take an expansionist view of Department of Energy (DOE) statutory authority regarding BPA?

Dr. Croley: Senator, I recognize the importance of BPA and its special status within the Department and I wouldn’t take an expansionist view. I would be faithful to the statute and to the understanding between BPA and to the department.

Senator Cantwell: Thank you. Do agree that BPA Administrator needs to be a direct supervisor of BPA’s general counsel to keep authority and responsibility in alignment?

Dr. Croley: My understanding is that the administrator is the supervisor of the general counsel and that the Department’s general counsel stands ready to provide assistance and support but certainly not to micromanage the BPA general counsel or to manage day to day affairs of that counsel’s office.

Senator Cantwell: Ok. I see little daylight in that answer and I just want to be clear that this is a regional organization. I don’t know Mr. Chairman, maybe we need to go to the Tennessee Valley Authority approach. The Pacific Northwest is not going to tolerate any attack on BPA’s regional authority. So, the issue has arisen obviously because of some of the hiring practices and investigation that after six months there will be a review of these efforts. Do you agree that restoring BPA’s traditional autonomy, unless there are very specific concerns raised, is an important part of the process?

Dr. Croley: Yes, Senator. My understanding is that there will be a tentative review at some point. I’m not exactly sure when that is – I think six months or something along those lines. And at that time it would be appropriate to figure out how the department can be supportive. But I want to emphasize in case I was inartful – I fully appreciate BPA’s autonomy. It’s my understanding that the Department has no interest in affecting adversely that autonomy. But rather simply to provide a kind of support to the extent that is necessary and to the extent that may be necessary in the future and may not be.

Senator Cantwell: Well I don’t know if I agree with all of that statement. Because various attempts whether they purposely or just inartfully DOE sometimes tries to propose ideas like regional transmission organizations that would artificially raise the rates of utility payers in the Northwest. And our answer is always “no.” Or administrations come in and try to take the money to offset the budget deficit and the Pacific Northwest answer is “no.” Anyway, I think it comes with the territory for this committee or being a member of the Pacific Northwest and you just have to continue to fight off new people who come and think BPA is something other than a regional organization. But I thank you for those answers. And I’m sorry that I don’t have any easy questions for you because now I’d like to turn to DOE policy and the ability to separate defense waste from civilian waste. One, I want to work with the chairman and the secretary to separate defense from civilian waste. We are on a trajectory where we are going to have defense waste ready to go somewhere and we don’t want to have that be nowhere because we have to come up with a solution. So will you commit to working with me and the DOE and the chairman on separating defense from civilian waste? 

Dr. Croley: Senator I would be happy, if confirmed, to work with you on that issue and any other issue. My own understanding on that –which is somewhat limited – is that there is a study ongoing that Secretary Moniz has initiated. And my understanding is that the study is not complete. But certainly on the legal side, I would eagerly work with you and him and the chairman on that.

Senator Cantwell: Do you see any legal barriers that would prohibit us from looking at something like salt formations as a possibility? Are there any legal barriers that you know of?

Dr. Croley: Not that I know of, Senator, though I haven’t studied that issue in detail.

Senator Cantwell: Okay. I thank the chairman.

Chairman Wyden: Dr. Croley let me just reaffirm the extraordinarily important point that Senator Cantwell made. And I think you know she has been our go to person in the region on energy policy issues. And I want to echo her point. I think you are probably aware that last week the entire Northwest delegation – 23 members, senators and house members – sent a letter to Dr. Moniz trying to make it clear that we feel very strongly that this problem of discriminating against veterans is absolutely indefensible. But it cannot be used as a Trojan Horse to in effect micromanage Bonneville from Washington D.C.

###