Senators Urge Support of Guaranteed Funding

Seventy-two U.S. Senators have signed a letter to Senate Majority Leader Harry Reid (D-Nev.) and Minority Leader Mitch McConnell (R-Ky.) urging that the upcoming funding resolution for the remainder of 2007 include SAFETEA-LU guaranteed funding levels.

The letter, which is being circulated by Senator John Thune (R-S.D.), is in response to statements made by House and Senate Appropriations Committee Chairs that funding for highways and transit programs would be held to the fiscal 2006 levels.

In addition to warning about the negative economic and safety impacts of losing $4 billion in transportation infrastructure funding, the letter also decries the potential loss of established firewalls and funding guarantees.

In the House of Representatives, Majority Leader Steny Hoyer (D-Md.) announced that the funding resolution is scheduled to come to the House floor for a vote next Wednesday.

Contact Robert Sullivan or David Hubbard.

Law Firm Banned in Cuyahoga County Court

California-based law firm Brayton Purcell has been banned from practicing in the Ohio Cuyahoga County Court of Common Pleas.

Presiding Judge Harry A. Hanna and two colleagues are charged with overseeing tens of thousands of asbestos lawsuits in Cuyahoga County. In the case that caused the ban, asbestos trusts were the issue. Asbestos trusts are sometimes set up by bankrupt companies to pay legal claims.

Brayton Purcell had filed numerous claims against multiple trusts for the same client, each time claiming a different cause for their client's asbestosis.

Judge Hanna found that the firm disobeyed court orders and lied to the court about it. He also found that the firm and its lead attorney, Christopher Andreas, "failed to abide by our rules."

As a result, the judge said "they have forfeited their privileges to practice before this court."

This action continues to illustrate the litigation fraud that takes place in the mass tort legal system. Last year, Judge Janis Graham Jack issued a ruling that underscored the prevalence of silicosis fraud. (Source: The Wall Street Journal)

Contact: Tom Harman or Robert Sullivan.

President Signs New Executive Order on Sustainability

O n Wednesday, the President signed Executive Order 13423, "Strengthening Federal Environmental, Energy, and Transportation Management."

It consolidates five prior executive orders into a more cohesive approach to environmental and energy management and adopts two memorandums of understanding—one on high performance buildings and another on electronics stewardship.

Of particular note to the cement industry are sections Sections 2 (a) & (f) , which require that the head of each federal agency shall:

"Section 2.(a) improve energy efficiency and reduce greenhouse gas emissions of the agency, through reduction of energy intensity by (i) 3 percent annually through the end of fiscal year 2015, or (ii) 30 percent by the end of fiscal year 2015, relative to the baseline of the agency's energy use in fiscal year 2003;

"Section 2.(f) ensure that (i) new construction and major renovation of agency buildings comply with the Guiding Principles for Federal Leadership in High Performance and Sustainable Buildings set forth in the Federal Leadership in High Performance and Sustainable Buildings Memorandum of Understanding (2006), and (ii) 15 percent of the existing Federal capital asset building inventory of the agency as of the end of fiscal year 2015 incorporates the sustainable practices in the Guiding Principles."

Click here to see the document.

Contact John Sullivan.

President Signs Executive Order Amending Regulatory Review

The President last week signed a Further Amendment to Executive Order 12866 on "Regulatory Planning and Review," amending a previous Order (E.O. 12866), issued by President Clinton.

E.O. 12866 outlines the process that the White House Office of Management and Budget (OMB) must follow when reviewing significant regulatory proposals.

The requirements apply primarily to rules that will have an impact on the economy in excess of $100 million annually. The revisions to the Order, authorized by the President last week, will for the first time apply the OMB review procedures to guidance documents prepared by federal agencies.

Agencies have in the past circumvented the regulatory review process by incorporating regulation-like obligations into guidance documents. This practice will no longer be allowed.

In addition, each federal agency with regulatory authority will have to create a Regulatory Policy Office. Regulations developed by an agency will have to first be authorized by this office. These offices will be managed by individuals appointed by the President.

Finally, for each significant regulatory action, the agency will identify the market failure or problem the regulation in question will address. This will allow OMB to determine whether the regulation is warranted.

Click here to see the revisions.

Contact Andy O'Hare.

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