Congress’ Budget Bill Presents Setbacks for Habitat Conservation and Climate, While Preserving Agricultural Funding, Dropping Public Lands Sales
³Ô¹ÏºÚÁÏ assesses how the newly passed budget reconciliation bill affects birds and communities
As Congress spent the first half of the year developing and finalizing its comprehensive budget reconciliation bill, H.R. 1, ³Ô¹ÏºÚÁÏ and its members, chapter leaders, and partners worked tirelessly to influence habitat protections, clean energy, and investments in programs to benefit birds, people and our local communities. The final bill, now signed into law, includes provisions that span a wide range of federal priorities, including energy, agriculture, and conservation.
Where we made progress: Most significantly, the final bill did not include any of the proposals that would have set a new precedent for the sale of federal public lands. For instance, a Senate proposal would have sold more than two million acres across the West with limited public input, potentially endangering essential habitat by opening it to development.
The final bill also preserved, and in some cases increased, future funding for agricultural conservation programs, including the Environmental Quality Incentives Program (EQIP), Regional Conservation Partnership Program (RCPP), Agricultural Conservation Easement Program (ACEP), and Conservation Stewardship Program (CSP). These key programs support the conservation and restoration of habitat important to birds on farm, ranch, and private forest lands.
Where progress stalled: The final bill presents several challenges for conservation and birds, such as a consequential setback in advancing utility-scale renewable energy, by sunsetting and imposing limitations on clean energy tax credits to render them unworkable over time. This is expected to limit not only the deployment of low-cost, renewable energy in the United States, but also the domestic manufacture of energy technologies. These provisions risk reducing the reliability of our electric grid and increasing electricity costs for consumers nationwide.
The final bill also repeals dedicated funding for the National Oceanic and Atmospheric Administration (NOAA) that supports coastal resiliency projects that restore and maintain important sea and shorebird habitats, and mandates expanded oil and gas lease sales in ecologically sensitive parts of Alaska. These provisions could weaken protections for important bird habitats across the United States. Finally, the bill formalizes new National Environmental Policy Act (NEPA) constraints that could impact long-established environmental protections by reducing the environmental reviews undertaken before projects are approved.
As we move forward, ³Ô¹ÏºÚÁÏ remains committed to working with lawmakers in a bipartisan fashion to advance durable policies and investments that protect birds and the places they need. Please read our companion article, Looking Ahead: Advancing Habitat and Climate Progress After the Budget Bill.
How ³Ô¹ÏºÚÁÏ priorities fared in budget reconciliation
|
Proposed Legislation |
Final Bill |
³Ô¹ÏºÚÁÏ Stance |
|
Ambler Road – Potential development of a road threatening pristine ecosystems in Alaska |
Not included in bill |
³Ô¹ÏºÚÁÏ opposes Ambler Road development |
|
Alaska Oil & Gas Leasing – Mandated oil and gas lease sales in the Arctic National Wildlife Refuge and National Petroleum Reserve–Alaska |
Mandates remain – requires multiple lease sales over the next decade |
³Ô¹ÏºÚÁÏ opposed the mandated lease sales |
|
Sale of Federal Lands – Proposals to sell millions of acres of Bureau of Land Management (BLM) and U.S. Forest Service (USFS) lands for housing development |
Not included in bill |
³Ô¹ÏºÚÁÏ opposed the required sale of BLM and USFS lands |
|
Renewable Energy on Public Lands – Increases rent and fees for wind energy by at least double and introduces revenue sharing with states and counties |
Higher rent for wind energy on public lands retained Revenue sharing with states and counties retained |
³Ô¹ÏºÚÁÏ opposed the increased rent and fees for wind energy ³Ô¹ÏºÚÁÏ supported revenue sharing from renewables development |
|
Clean Energy Tax Credits – Elimination of key tax incentives for wind, solar, and energy storage |
Phasedown through 2028, severe limitations on the value of the credit in 2026 and 2027, including restrictions and penalties for sourcing construction materials outside the U.S. |
³Ô¹ÏºÚÁÏ opposed the elimination of tax incentives for wind, solar, and energy storage |
|
Clean Energy Manufacturing Credit – Removal of support for domestic clean energy manufacturing |
Phasedown beginning in 2031 and ending in 2033, wind energy components not eligible after 2027, includes restrictions and penalties for sourcing construction materials outside the U.S. |
³Ô¹ÏºÚÁÏ opposed the elimination of the clean energy manufacturing credit and the additional restrictions placed on wind energy components |
|
Forest Legacy Program – Decrease funding to support forest conservation by landowners |
$100M repealed from Inflation Reduction Act (IRA) funding |
³Ô¹ÏºÚÁÏ opposed the repeal of the IRA conservation funding |
|
Forest Landowner Support Program – Limiting technical and financial assistance to small-scale landowners |
Unobligated IRA funds repealed Innovation grant funding preserved |
³Ô¹ÏºÚÁÏ opposed the repeal of the IRA conservation funding ³Ô¹ÏºÚÁÏ supported the preservation of innovation grant funding |
|
Repeal of Conservation and Restoration Funding – Funds supporting $100s of millions in habitat restoration on public lands and waters (USFS, BLM, NPS, NOAA) |
Unobligated Inflation Reduction Act (IRA) funds repealed |
³Ô¹ÏºÚÁÏ opposed the repeal of the IRA conservation funding |
|
Agriculture Programs – Continued funding and support for EQIP, RCPP, CSP, ACEP and other programs |
Future funding increased for agriculture programs
|
³Ô¹ÏºÚÁÏ supported continued funding for agriculture conservation programs. ³Ô¹ÏºÚÁÏ opposed the repeal of the IRA agriculture funding and the removal of guardrails to promote climate smart agricultural practices.
|
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National Environmental Policy Act – Allows project sponsors to pay for expedited project approvals while removing the ability for legal review of issued permits. |
Project sponsors can pay for expedited review for a federal environmental review and permit Courts may review these permits to ensure they follow the law |
³Ô¹ÏºÚÁÏ opposed the policy allowing project sponsors to pay for expedited project approvals ³Ô¹ÏºÚÁÏ supported ensuring courts may review project permits for legal compliance |