{"id":18812,"date":"2012-09-27T15:49:29","date_gmt":"2012-09-27T20:49:29","guid":{"rendered":"http:\/\/stateimpact.npr.org\/texas\/?p=18812"},"modified":"2013-07-30T15:18:30","modified_gmt":"2013-07-30T20:18:30","slug":"a-closer-look-at-whether-millions-of-dollars-in-texas-epa-lawsuits-are-a-bargain","status":"publish","type":"post","link":"https:\/\/stateimpact.npr.org\/texas\/2012\/09\/27\/a-closer-look-at-whether-millions-of-dollars-in-texas-epa-lawsuits-are-a-bargain\/","title":{"rendered":"A Closer Look at Whether Millions of Dollars in Texas EPA Lawsuits Are a &#8216;Bargain&#8217;"},"content":{"rendered":"<div id=\"attachment_18814\"  class=\"wp-caption module image right\" style=\"max-width: 300px;\"><a href=\"http:\/\/stateimpact.npr.org\/texas\/2012\/09\/27\/a-closer-look-at-whether-millions-of-dollars-in-texas-epa-lawsuits-are-a-bargain\/house-holds-hearing-on-the-energy-tax-prevention-act-of-2011-4\/\" rel=\"attachment wp-att-18814\"><img decoding=\"async\" loading=\"lazy\" class=\"size-medium wp-image-18814\" title=\"House Holds Hearing On The Energy Tax Prevention Act of 2011\" alt=\"\" src=\"http:\/\/stateimpact.npr.org\/texas\/files\/2012\/09\/108940501-300x200.jpg\" width=\"300\" height=\"200\" srcset=\"https:\/\/stateimpact.npr.org\/texas\/files\/2012\/09\/108940501-300x200.jpg 300w, https:\/\/stateimpact.npr.org\/texas\/files\/2012\/09\/108940501.jpg 594w\" sizes=\"(max-width: 300px) 100vw, 300px\" \/><\/a><p class=\"wp-media-credit\">Photo by Brendan Smialowski\/Getty Images<\/p><p class=\"wp-caption-text\">The Texas Attorney General says that $TK million in lawsuits against the Obama administration has been a &quot;bargain&quot; for Texans.<\/p><\/div>\n<p>Despite a mixed record of suing the Obama administration (five wins, eight losses, and two dismissals <a href=\"http:\/\/www.star-telegram.com\/2012\/09\/09\/4244548\/states-lawsuits-against-federal.html\">as of last count<\/a>), Texas Attorney General Greg Abbott says today that all these lawsuits are a &#8220;bargain&#8221; for Texans.<\/p>\n<p>In an op-ed published in the <a href=\"http:\/\/www.dallasnews.com\/opinion\/latest-columns\/20120925-greg-abbott-lawsuits-against-obama-are-taxpayer-bargain.ece\"><em>Dallas Morning News<\/em> <\/a>and emailed to reporters, Abbott says that one recent victory against the Environmental Protection Agency (EPA) &#8220;saved more than 500 jobs and protected Texans\u2019 access to reliable electricity \u2014 which was jeopardized by the EPA\u2019s draconian regulations.&#8221;<\/p>\n<p>But it wasn&#8217;t clear which recent case he was referring to. Or where that 500 jobs figure came from.<\/p>\n<p>So we called up Abbott&#8217;s press office to ask which case it was.<\/p>\n<p>Charles Castillo picked up the phone. &#8220;Do you really think your listeners are going to care which case?&#8221; he said, laughing.<\/p>\n<p>Well, yes, we do. It turns out Abbott is referring to the Cross State Air Pollution Rule, which aims to reduce pollution &#8212; mostly from coal power plants &#8212; across state lines. A federal appeals court <a href=\"http:\/\/stateimpact.npr.org\/texas\/2012\/08\/21\/appeals-court-turns-down-cross-state-air-pollution-rule-epa-must-revise\/\">vacated that rule in August<\/a>, sending it back to the EPA. It could be revised within a year.<\/p>\n<p><!--more--><\/p>\n<h4>The EPA, Luminant, and a Financial Cliff<\/h4>\n<p>When asked where he got that 500 jobs number from, Abbott&#8217;s press office emailed two references that they said &#8220;back this claim up.&#8221; Both of them come from the company that stood to lose the most with the rule&#8217;s passing: Luminant.<\/p>\n<p>Luminant is a company with the reputation as <a href=\"http:\/\/blogs.edf.org\/texascleanairmatters\/2011\/09\/13\/why-luminant-shouldn%E2%80%99t-get-a-free-pass-to-pollute\/\">one of the biggest polluters in the state<\/a>, and the Monticello plant has the <a href=\"http:\/\/environmentalintegrity.org\/documents\/Report-TopUSPowerPlantToxicAirPolluters.pdf \">most toxic emissions of any power plant in Texas<\/a>, according to the environmental integrity project&#8217;s review of EPA data.<\/p>\n<div class=\"related-content alignleft\"><h4 class=\"related-header\">Related<\/h4><div class=\"links\"><h5>Posts<\/h5><ul><li class=\"link\"><a href=\"http:\/\/stateimpact.npr.org\/texas\/2012\/08\/14\/texas-claims-a-victory-against-epa-but-the-point-may-be-moot\/\">Texas Claims a Victory Against EPA, But the Point May Be\u00a0Moot<\/a><\/li><li class=\"link\"><a href=\"http:\/\/stateimpact.npr.org\/texas\/2012\/08\/14\/whats-texas-losing-in-its-war-on-the-epa\/\">What\u2019s Texas Losing in its War on the\u00a0EPA?<\/a><\/li><li class=\"link\"><a href=\"http:\/\/stateimpact.npr.org\/texas\/2012\/08\/15\/what-does-the-texas-attorney-general-do-for-fun-sue-the-obama-administration\/\">What Does the Texas Attorney General Do For Fun? \u201cSue the Obama Administration\u201d<\/a><\/li><li class=\"link\"><a href=\"http:\/\/stateimpact.npr.org\/texas\/2012\/08\/21\/appeals-court-turns-down-cross-state-air-pollution-rule-epa-must-revise\/\">Appeals Court Turns Down Cross-State Air Pollution Rule, EPA Must Revise<\/a><\/li><\/ul><\/div><div class=\"topics\"><h5>Topics<\/h5><p class=\"topic\"><img class=\"alignleft\" src=\"http:\/\/stateimpact.npr.org\/texas\/files\/2011\/08\/Emissions-2-60x60.jpg\" height=\"60\" width=\"60\" \/><a href=\"http:\/\/stateimpact.npr.org\/texas\/topic\/texas-and-epa\/\">Understanding the Conflict Between Texas and the\u00a0EPA<\/a><\/p><\/div><\/div>\n<p>The EPA claims they did &#8220;<a href=\"http:\/\/www.epa.gov\/region6\/region-6\/tx\/luminant.html\">extensive outreach<\/a>&#8221; to the industry to make the rule work, specifically with Luminant. They said they had figured out a way for a &#8220;no-shut down, no-layoff solution.&#8221;<\/p>\n<p>But Luminant said two of their units at the <a href=\"http:\/\/www.luminant.com\/plants\/pdf\/Monticello_Facts.pdf\">Monticello coal power plant<\/a> in Northeast Texas would likely have been shuttered by the new rule if they didn&#8217;t make upgrades. The units are nearly forty years old.<\/p>\n<p>Which is interesting, because shortly after the rule was turned down last month, Luminant announced they would <a href=\"http:\/\/www.texastribune.org\/texas-energy\/energy\/texas-coal-plant-scales-back-operations\/\">close the coal plants for half the year anyways<\/a>. These were the <a href=\"http:\/\/www.luminant.com\/news\/newsrel\/detail.aspx?prid=1218\">same plants it had threatened to shut down<\/a> because of the EPA rule, it&#8217;s just that now they would be shuttered because they weren&#8217;t making enough money. The company said that no job losses would result because of the idling.<\/p>\n<p>Luminant&#8217;s parent company, <a href=\"http:\/\/www.energyfutureholdings.com\/\">Energy Future Holdings<\/a>, could be facing a serious financial cliff. The company <a href=\"http:\/\/www.star-telegram.com\/2012\/08\/07\/4162940\/energy-future-holdings-plans-to.html\">currently holds $42 billion of debt<\/a>. Part of the company could <a href=\"http:\/\/www.bloomberg.com\/news\/2012-08-16\/energy-future-paves-way-for-unit-s-bankruptcy-corporate-finance.html\">go bankrupt<\/a> soon. The billionaire investment mastermind Warren Buffett, who put some $2 billion into the company a few years ago, is open about where things went wrong. &#8220;That [investment] was a mistake \u2013 a big mistake,&#8221; Buffet <a href=\"http:\/\/www.berkshirehathaway.com\/letters\/2011ltr.pdf\">wrote in a letter<\/a> to investors earlier this year. &#8220;In large measure, the company\u2019s prospects were tied to the price of natural gas, which tanked shortly after our purchase and remains depressed.&#8221;<\/p>\n<p>After the Attorney General&#8217;s office sent us the two Luminant statements claiming the new rules would have resulted in the loss of 500 jobs, we emailed the Attorney General&#8217;s office back to see if they had any independent reports.<\/p>\n<p>&#8220;We are assuming they understand best how their company works and would have been affected by CSAPR, and we are also assuming that they are not putting out misleading information,&#8221; Lauren Bean, Abbott&#8217;s Deputy Communications Director, wrote in an email to StateImpact Texas.<\/p>\n<p>The Attorney General has made no secret of the enjoyment he gets out of filing suits against the administration and the EPA. \u201cWhat I really do for fun is I go into the office,\u201d Abbott <a href=\"http:\/\/stateimpact.npr.org\/texas\/2012\/08\/15\/what-does-the-texas-attorney-general-do-for-fun-sue-the-obama-administration\/\">said recently<\/a>, \u201c[and] I sue the Obama administration.\u201d<\/p>\n<p>Those lawsuits have come at a cost of $2.5 million, a figure Abbot&#8217;s office doesn&#8217;t dispute, and which today he called a &#8220;bargain.&#8221;<\/p>\n<p>&#8220;When Texas challenges the federal government, it\u2019s about more than money,&#8221; Abbott writes today. &#8220;It\u2019s about principles \u2014 fundamental principles enshrined in the Constitution and recently reaffirmed by the U.S. Supreme Court.&#8221;<\/p>\n<p>The<em> Associated Press<\/em> recently<a href=\"http:\/\/dfw.cbslocal.com\/2012\/09\/09\/texas-spends-millions-suing-federal-government\/\"> looked into the return on investment<\/a> for those suits, finding that of the 24 lawsuits Abbot has filed (sixteen of them over environmental regulations), &#8220;many of the lawsuits have resulted in defeats.&#8221; They peg the cost of Abbott&#8217;s suits at over $2.5 million and using up &#8220;more than 14,113 hours spent by the staff and state lawyers working those cases.&#8221; (Abbott sued the Bush administration, too, but only three times.)<\/p>\n<div>&#8220;Texas has won five of Abbott&#8217;s 27 cases, lost eight and had two others dismissed because the regulations or laws being challenged were lifted or repealed by Congress,&#8221; the <em>Associated Press<\/em> writes. &#8220;The 12 others are pending.&#8221;<\/div>\n<div><\/div>\n<div>\n<p>In an interview for the article, Abbott said those &#8220;saved&#8221; jobs from Luminant (estimates his office hasn&#8217;t independently verified) help cover his office&#8217;s high costs for litigation. &#8220;That case alone probably pays for all of the cases combined,&#8221; Abbott told the Associated Press.<\/p>\n<\/div>\n<p>But the <a href=\"http:\/\/www.loc.gov\/crsinfo\/\">Congressional Research Service<\/a>, a non-partisan, independent research arm of Congress, looked at the question of job losses and plant retirements because of EPA regulation (including the CSAPR rule) and found that coal power was <a href=\"http:\/\/www.lawandenvironment.com\/uploads\/file\/CRS-EPA.pdf\">threatened more by cheap natural gas prices<\/a> (mostly due to the rapid boom of drilling using fracking) and old plants that haven&#8217;t upgraded their pollution controls.<\/p>\n<p>&#8220;Many of these plants are inefficient and are being replaced by more efficient combined cycle natural gas plants, a development likely to be encouraged if the price of competing fuel\u2014natural gas\u2014continues to be low, almost regardless of EPA rules,&#8221; the report says.<\/p>\n<p>And in another case against the EPA that Abbott &#8220;won,&#8221; the point is largely moot. Almost all of the refineries and plants affected under revisions to the state&#8217;s air permitting program <a href=\"http:\/\/stateimpact.npr.org\/texas\/2012\/08\/14\/texas-claims-a-victory-against-epa-but-the-point-may-be-moot\/\">went ahead and came into compliance anyways<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Despite a mixed record of suing the Obama administration (five wins, eight losses, and two dismissals as of last count), Texas Attorney General Greg Abbott says today that all these lawsuits are a &#8220;bargain&#8221; for Texans. In an op-ed published in the Dallas Morning News and emailed to reporters, Abbott says that one recent victory [&hellip;]<\/p>\n","protected":false},"author":50,"featured_media":18814,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[60],"tags":[96,219,39],"acf":[],"_links":{"self":[{"href":"https:\/\/stateimpact.npr.org\/texas\/wp-json\/wp\/v2\/posts\/18812"}],"collection":[{"href":"https:\/\/stateimpact.npr.org\/texas\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/stateimpact.npr.org\/texas\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/stateimpact.npr.org\/texas\/wp-json\/wp\/v2\/users\/50"}],"replies":[{"embeddable":true,"href":"https:\/\/stateimpact.npr.org\/texas\/wp-json\/wp\/v2\/comments?post=18812"}],"version-history":[{"count":4,"href":"https:\/\/stateimpact.npr.org\/texas\/wp-json\/wp\/v2\/posts\/18812\/revisions"}],"predecessor-version":[{"id":18871,"href":"https:\/\/stateimpact.npr.org\/texas\/wp-json\/wp\/v2\/posts\/18812\/revisions\/18871"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/stateimpact.npr.org\/texas\/wp-json\/wp\/v2\/media\/18814"}],"wp:attachment":[{"href":"https:\/\/stateimpact.npr.org\/texas\/wp-json\/wp\/v2\/media?parent=18812"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/stateimpact.npr.org\/texas\/wp-json\/wp\/v2\/categories?post=18812"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/stateimpact.npr.org\/texas\/wp-json\/wp\/v2\/tags?post=18812"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}