05.19.08

Maria's Monday Memo

Preserving Wenatchee Valley Medical Center 
 
Last week, I announced that a proposal to ban-physician owned hospitals has been modified to protect and maintain Wenatchee Valley Medical Center.  The proposal, included in an emergency supplemental bill that was passed by the Senate Appropriations Committee, will now exempt the North Central hospital from a requirement that would force it to drastically reduce its percentage of physician owners.  I’m very encouraged that Wenatchee Valley Medical Center’s unique situation has been recognized by my colleagues. Forcing profound changes in this already-fragile hospital system would be disastrous for the thousands of patients in North Central Washington who rely on its services.  The spending bill includes responsible changes that ensure Wenatchee Valley Medical Center can continue caring for those in need.
 
Since last year, I have been working from my seat on the Finance Committee to ensure that Wenatchee Valley Medical Center, a multi-specialty hospital system serving more than 250,000 patients, be excluded from a proposed measure that would bar physician-owned hospitals from receiving payments from Medicare and Medicaid.  The hospital, I have argued, does not fit the mold of the specialty hospitals being targeted by Democratic and Republican leadership on the Finance Committee. 
 
 
Congress Approves Measure to Close “Enron Loophole”
 
Last week, Congress approved a measure I supported to close the “Enron Loophole.” This legislation , included as part of the 2007 Farm Bill,  was  also sponsored by U.S. Senators Dianne Feinstein (D-CA.), Carl Levin (D-MI), Olympia Snowe (R-ME), Susan Collins (R-ME), Byron Dorgan (D-ND), Ron Wyden (D-OR), Charles Schumer (D-NY) ,  and others.
 
I think we have taken an important first step in the right direction towards closing the Enron Loophole. But we have more work to do to stomp out potential manipulation in energy commodity markets.  When Amaranth, an American hedge fund, found room in the Enron Loophole in 2006 to manipulate the natural gas market, natural gas prices skyrocketed to record levels and cost consumers over $9 billion.  And now, with gas prices nearing $4.00 a gallon, we have oil company executives testifying before Congress that oil should be around $50-60 a barrel.  We must establish a clear, bright line to help protect consumers from any illegal activity that could be causing these out of control gas price hikes.
 
Specifically, the legislation will: 
 
·        Require electronic energy traders to provide an audit trail and record-keeping;
·        Monitor for market manipulation;
·        Impose firm speculation limits; and
·        Significantly increase financial penalties for cases of market manipulation and excessive speculation.
 
 
Senate Passes Resolution of Disapproval
 
The U.S. Senate passed a resolution of disapproval last week with my support invalidating the Federal Communications Commission’s decision last December to eliminate its long-standing ban on the common ownership of a daily newspaper and broadcast station in the same market. I spoke on the floor after its passage of the resolution expressing my strong support for the resolution of disapproval and calling for diversity in the media. Diversity in the media energizes our democracy. Viewpoint diversity, program diversity, outlet diversity, source diversity, and woman and minority ownership diversity make us stronger as a nation.Having independent sources of news helps citizens form more intelligent opinions about the world around them – locally, nationally, and globally.While increased media consolidation may be good for Wall Street, it is bad for Main Street.I for one am committed to not letting this happen, and I know many of my colleagues feel the same way.  The Senate sent a clear message to the FCC at the time – voting 55-40 to invalidate the media consolidation rules. 
 
 
 
Farm Bill Passage is A Big Win for Washington State Agriculture
 
As part of my ongoing commitment to improve the quality of life and economic vitality of rural Washington, last Thursday, I praised passage of the 2007 Farm Bill Conference Report. The Farm Bill, which passed by a vote of 81-15, will benefit farmers, in particular specialty crop farmers, in Washington state who grow more than 250 varieties of fruits, vegetables, as well as wheat and other crops. I have worked to make this Farm  Bill the first to meaningfully address the specialty crops section of agriculture, which had been essentially left out of previous farm bills, despite the fact that specialty crops account for approximately 50 percent of agriculture receipts. Passage of this Farm Bill is a huge win for farmers and specialty crop growers in Washington state. My top priority in this year’s Farm Bill was working through the Finance Committee to make sure farmers get the help they need and deserve.  Investing in Washington farmers makes it easier for farmers to compete in an increasingly competitive global market. On top of helping with conservation efforts, this bill expands food and nutrition programs for families, the elderly, and will improve the health and wellness of American children.
 
Especially important for Washington, the bill provides for biomass and bioenergy research programs, with an emphasis on cellulosic feedstocks in the amount of $118 million doubling current funding.  The package includes a new, temporary production tax credit for up to $1.01 per gallon, available through December 31, 2012 for Cellulosic biofuels. This Farm Bill not only makes important strides in helping our state's farmers, and increasing nutrition programs for our nation's children, it also has the potential to reduce our soaring energy costs with biomass and bioenergy research programs. By providing for biomass and bioenergy research programs, with an emphasis on cellulosic feedstocks, scientists will now have more tools to conduct critical research in to how we can curb our addiction to oil and increase sources for alternative fuels.
 
 
Country of Origin Labeling Will Empower Consumers to Make Informed Decisions
 
Included in the 2007 Farm BillConference Report, which passed the Senate last week, was a provision I supported to help consumers make informed decisions about their purchases.  The legislation requires country of origin labeling (COOL) for meat, fish, fruits, vegetables, and other products.  This issue is particularly important to Washington’s cattle industry.  Measured by value of production, cattle is the third largest commodity in Washington state, bringing more than $600 million per year into the state’s economy. According to the most recent figures from the U.S. Department of Agriculture, approximately 10 percent of the beef and 20 percent of the fresh produce consumed in the United States is imported. In order for consumers to make informed decisions, they must have information at their disposal.  Country of origin labeling will enable consumers to ensure that their purchases are not the products of harmful environmental or unfair labor practices, and would allow them to choose to buy American products from American producers.
 
Last year, I sent a letter to the Chairman and Ranking Member of the Senate Agriculture Committee to include the COOL language in the Senate’s version of the Farm Bill and prevent further delay of COOL implementation.
 
 
 
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