American Oil and Gas Reporter - December 2015 - 106

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Cross noted that they grew 20 percent
the year before that. "USFWS says that
is because of the conservation plans," he
stated. "We say it is because of the rain."
Later, McDonald suggested another
species, the northern long-eared bat, could
prove especially significant because of
its 37-state range and the fact that whitenose syndrome was the chief reason for
the bat's decline. "The bat's geography
brings in a lot of states that previously
have not been very concerned about ESA
issues," she related. "Also, the main
reason for the decline of the species is
white nose syndrome, a fungal disease,
not a habitat issue. Penalizing industry
for it, whether it is forestry or oil and
gas, is the wrong prescription."
While the northern long-eared bat was
listed as a threatened species in April 2015,
she noted, the USFWS is expected to issue
a final special rule by the end of 2015 that
will allow incidental takes without an additional permit for specific industries, if
individual measures are taken.
Seeking A Vehicle
On the subject of ways to loosen U.S.
crude oil export restrictions, IPAA Executive Vice President Lee Fuller discussed
how Washington developments had
prompted industry advocates to transition
from a strategy focused on administrative
actions to one that sought a legislative
remedy. The makeup of the U.S. Senate
is likely to stymie a stand-alone crude
export bill, he advised, so industry allies
are on the watch for legislation to which
they can attach it as an amendment.
Even so, he reminded, "The president
holds the trump card. He can veto it if he
chooses and-to some extent-can set the

Petroleum Association of
Wyoming President Bruce
Hinchey (left) visits with Denbury
Resources Executive Director of
Governmental Relations J. Greg
Schnacke. The Liaison Committee held its Nov. 9 meeting in
conjunction with the Independent
Petroleum Association of America's 86th Annual Meeting, Nov.
8-10 in New Orleans.

framework for what he will accept. That
is the dynamic in Congress, where a veto
override is unlikely."
Pete Regan, executive director of the
Domestic Energy Producers Alliance,
pointed to the statement of policy the
White House issued prior to the U.S.
House of Representatives' October passage
of HR 702, legislation to end the U.S.
crude export ban.
"That statement says now is not the
time," Regan characterized. "It is a veto
threat, but it does not say 'I will veto
this.' It says, 'advisers will encourage
the President to veto.'"
Regan went on to indicate that highranking staff members at numerous cabinet
agencies-including the departments of
State, Commerce, Energy and Defense-
had quietly expressed support for U.S.
crude exports. "They basically are saying
they want them because of jobs or geopolitical reasons," he stated.
But in early November, Regan observed,
President Obama seemed squarely focused

Visiting before the Liaison Committee meeting are, from left, Indiana Oil & Gas
Association representative Stacee Dover with CountryMark Refining & Logistics;
Service, Transmission, Exploration & Production Safety Network Chairman Rick Ingram
with BP America; Illinois Oil & Gas Association President Bryan Dicus of BJ Dicus &
Associates; and IOGA Executive Director Brad Richards. During the meeting, Ingram
told the Liaison Committee that the Occupational Health and Safety Administration was
on the verge of introducing a rule on silica dust.

106 THE AMERICAN OIL & GAS REPORTER

on the world climate change summit in
Paris. "Getting past Paris, if this can find
its way into must-sign legislation, we think
the president will sign it," he predicted.
"He can tell his base he has helped them
with the Keystone rejection, but that this
is important as part of another bill."
Even so, Fuller said it was important
to pay close attention to the big picture,
and pointed to a committee hearing in
which Senator Mark Warner, D-Va., floated the possibility of trading crude exports
for a federal production tax. "That undermines the premise of allowing exports
because it takes away the benefit," Fuller
reasoned. "It helps foreign producers get
access to the U.S. market by raising our
costs and reducing U.S. activity."
As for potential legislative vehicles
for crude export language, Naatz said the
omnibus appropriations legislation was a
possibility, but he also emphasized the
situation was in flux. "It is halftime," he
compared. "Congress will have to pass
some other bills, and I hate falling into
statements that say this is the last train
leaving. That was a bit of a problem when
we were trying to get it into the highway
bill, and it does some damage. Members
of Congress are going to remember if
they get their hands burned. We have to
be smart and pick our battles."
Moreover, he expressed hope that
crude exports would not become a major
issue in the presidential campaign. "The
less the GOP presidential candidates talk
about oil exports the better, because we
would like to have the president sign a
bill," Naatz advised. "We do not want
this thing to become Keystone."
To that end, Regan emphasized the
importance of bipartisanship. He noted
that the Democratic House leadership
had officially urged their caucus to vote
against it, but it still garnered support
from 26 Democrats.
However, Fuller said Democrats were
feeling pressure from various constituencies, including unions that represented
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