Democrats made last-minute changes to their controversial climate change policy Thursday before voting it out of committee along party lines amid strenuous objections from Republicans in the Senate and a walkout in a House committee.

Senate Bill 1530 now moves to the Joint Ways and Means committee and closer to an answer on the critical question: Will Republicans stick around for a floor vote on the legislation or stage another walkout to deny Democrats a quorum to vote on the policy.

The House Committee on Energy and Environment voted on a different cap-and-trade bill earlier Thursday. Both Democrats and Republicans on the committee acknowledged that House Bill 4159 is unlikely to pass in its current form. Rather, by moving the bill to the House Rules Committee, Democrats can keep a backup to the Senate version alive in case they need it later in the session.

Yet Republicans on the House committee made their position clear by stepping out of the hearing room before the vote.

“This is only being moved to Rules to be a vehicle in case something goes wrong over there to pass this agenda item which, frankly, is … a bone of contention throughout the state,” said Rep. David Brock Smith, R-Port Orford.

Thursday’s hearing in the Senate committee was also a showdown of sorts. Democrats delivered a 177-page amendment to the bill late Wednesday, less than 24 hours before it was scheduled for a vote. Republicans objected to holding vote on the bill before they’d had time to digest the changes and before a public hearing on them.

They also trotted out a well-worn litany of complaints about the policy in general: that’s it unnecessary; that it won’t be effective in reducing carbon emissions; that it’s too big a policy to handle in a short session; that it will cost Oregonians jobs and money; that there are no offramps in the policy if the state gets it wrong; that it’s a closet tax increase that will redistribute wealth.

Democrats listened politely. They pushed back a bit. Then they voted down a series of amendments proposed by Republicans. Senate Republicans did stay in their seats, and the bill ultimate passed by a 3-to-2 vote.

Sponsors of the bill didn’t ignore their colleagues. The amendments introduced and passed Thursday incorporated feedback and changes from a variety of legislators and interest groups. But the basic policy remains the same as last year’s failed House Bill 2020 that prompted a lengthy walkout by Senate Republicans.

The bill still establishes a gradually more stringent cap on statewide carbon dioxide emissions and requires polluters from the transportation fuels, utility and industrial sectors to acquire “emissions allowances” to cover every metric ton of their emissions.

As the supply of those allowances declines over time, the theory goes, their price will go up and force polluters to clean up — by electrifying transportation, building more wind and solar farms or adopting more efficient production technology.

Democrats made a slew of changes to the bill this year to lessen its impact on fuel prices for rural Oregonians and the cost of compliance for large industrial firms – two sources of loud opposition to last year’s unsuccessful bill.

Among the big changes is a geographic phase-in of the requirement for fuel providers to buy credits. The requirement will kick in in Portland in 2022 and most counties west of the Cascades in 2025. The new amendments exempted Coos and Curry counties, Bend and Klamath Falls until 2028. It also increased the number of counties that need to opt in before it triggers statewide adoption of the policy from 20 to 23.

The amendments also incorporated suggestions from Senators Alan Olsen, R-Canby, and Lynn Findley, R-Vale, about electric vehicle procurement by state and local agencies and streamlining a state energy efficiency audit process for industrial companies.

The amendments also included ideas from the rural advocacy group, Timber Unity, about tree planting in public spaces, using the state’s purchasing power to buy local and expanding recycling and compost infrastructure in the state.

Findley said the shift encompassed by the amendments was “draconian” and that he couldn’t be expected to digest those changes in less than 24 hours. “It’s very frustrating to me that’s we’ve rushed to judgment,” he said.

Olsen, like Findley, insisted that he was no climate denier but called the program a massive redistribution of wealth with no assurances that it will actually reduce carbon emissions.

“We can certainly do more, but this is a social engineering project,” he said. “We can do it. We just don’t have to pay so much damn money for it.

“Any bill that puts in there, ‘We guarantee there will be job losses’ is a bill I can’t support,” he added. “We should not be penalizing Oregonians.”

Sen. Michael Dembrow, D-Portland, closed out the debate on Senate Bill 1530 by noting the Legislature has been working on the policy non-stop since the winter of 2017, so it was certainly no rush job. He said the value of the program went well beyond Oregon, in that it will encourage other states and private organizations to take action.

He also quoted one of the experts who testified before the committee. That analyst suggested there will be virtually no economic disruptions or major fallout from the program and it will accelerate employment growth in the clean economy.

“This has been a hard week, a difficult week,” Dembrow said. “The shining light for me is I get to see my grandchildren this weekend. They’ll be with us til Monday evening. They are the reason I’m engaged in this effort. It’s all about the future.”

On the House side, the Environment Committee did not hold any public hearings on their version of the climate bill before they brought it up for a vote on Thursday. That prompted Republicans to issue a press release demanding hearings.

During the committee meeting, Rep. Daniel Bonham, R-The Dalles, and the two other Republicans took pains to speak complimentarily about committee chair Rep. Karin Power, D-Milwaukie, and their other colleagues.

“The level of professionalism that you move this committee forward with is second to none,” Bonhan said to Power.

At the same time, Bonham and other Republicans said they were left out of pre-session discussions to shape the bill.

“At the end of the day, this process that has led us to this moment we feel like is an abuse of the short session,” Bonham said. “Keeping this bill alive without any vetting of it whatsoever before this committee and without any discussion, you have taken the process to drive an outcome, as opposed to utilizing the process to build the best outcome. And so for that reason and chair with all due respect, we are going to make a statement here today by stepping out and not voting on this bill.”

Power acknowledged the Republicans’ point that they were not included in early discussions about the bill, and said Democrats worked with companies and interest groups that represent them in an attempt to address their concerns about cap-and-trade. Power explained that House Democrats learned in November of a similar effort in the Senate and knowing that would likely be the primary bill, they did not invite House Republicans to work on what would become House Bill 4159.

Rep. Ken Helm, a Democrat from Washington County, said House Bill 4159 may be a placeholder but “we’re moving a pretty darn good bill down to Rules.”

After the Republicans exited, all Democrats on the committee voted to send it to the Rules Committee.

-Ted Sickinger; 503-221-8505; @tedsickinger

- Hillary Borrud; 503-294-4034; @hborrud

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