TESTIMONY OF PEGGY FANTOZZI 6/3/99 RE: Senate Bill 547

I am pleased and honored to be allowed to present testimony in support of Senate Bill 547, a bill to encourage reduction of greenhouse gases by providing credit for voluntary mitigation actions. As noted, I am currently Chair of the Massachusetts State Commission for the Conservation of Soil, Water and Related Resources. I am also the immediate past President of the Massachusetts Association of Conservation Districts and am currently the Massachusetts Director of the National Association of Conservation Districts, a member of the Legislative Committee for the National Association of Resource Conservation and Development Councils and Partnership liaison member of the United States Department of Agriculture/Natural Resources Conservation Service Team on Carbon Sequestration. I would emphasize that my testimony here today reflects my expertise, experience and ongoing work at state, regional and national levels on behalf of the Conservation Partnership.

We, the conservation districts are strongly supportive of Senate Bill 547 and applaud its adoption of a voluntary incentive-based problem solving approach We, as your constituent based, local connection to non-regulated and regulated landowners, business operators and land managers, recognize the value of and need for this type of approach. The Conservation Partnership consisting of USDA/Natural Resources Conservation Service (NRC S), state environmental agencies and local volunteers have been practicing implementation of best land use practices and delivery of technical assistance throughout the country for more than 60 years.

Senate Bill 547 as proposed

--will diminish the regulatory and financial risk for voluntary, "common good" actions initiated by corporate leaders, business owners, farmers and foresters. The passage of this bill will allow industry to put a real value on credits, rather than current speculative value.

--puts the marketplace in the driver's seat to determine new cost-effective ways to reduce greenhouse gas emission and sequester more carbon . The passing of this bill will result in a market based/market driven commodity that has real value to the buyer and to the seller. Passage of this bill will lessen a governmental role both in terms of regulation and potential subsidy.

--provides direct one for one credit to an entity if it reduces its aggregate emissions from U.S. sources below the applicable baseline and/or a one for one credit if an entity increases its net sequestration above the applicable sequestration baseline. The passage of this bill would provide investment security and promote a land use ethic to all involved in the process.

--recognizes the need to require that government credits are issued for verifiable and legitimate actions that contribute to climate stabilization. The passage of this bill would require performance standard evaluation based on scientific documentation and monitoring from credible sources. The Conservation Partnership, recognizing NRCS for its technical expertise, is ready to serve in this capacity now as evidenced by the information provided in the attachments to this testimony and would be the perfect connection given its existing local delivery system linked to state and federal agencies.

--recognizes the need and opportunities for domestic and oversees sequestration activities.

--provides the mechanism whereby businesses and landowners can serve their own economic self-interest while bringing about environmental improvements and promoting a sustainable land use ethic for all.

--creates opportunities to deal with an existing problem in a creative and flexible manner. Passage of this bill does not establish federal performance standards but allows for local, state and regional climate (soils, vegetation, rainfall and temperature) characteristics to be evaluated for credit in the verification process. This is significant and necessary for state support, recognition of state efforts to date( like the 1998 Coalition of Northeast Governors conference) and scientific validation.

This bill does not

- promote regulation

--inhibit private enterprise

--require linkage to existing or proposed international agreements

--restrict private business options

--subsidize commercial interests

--create additional bureaucratic layering.

Although we strongly support Senate Bill 547 as proposed, we believe that it could be significantly improved by inserting language that specifically

1) urges the President to

--recognize a leadership role for USDA/NRCS and the Forest Service to share in setting guidelines for the Voluntary Credit System. These agencies should rely on their internal technical expertise as well as their Partnership capabilities and connection to the private sector

--recognize technical expertise within USDA/NRCS, EPA, NOAH, DOI/Forest Service, etc in the development of region and/or state specific guidelines for credit validation, verification and monitoring

--instruct federal agencies to revisit their own land management policies and practices to encourage minimization of greenhouse gas emissions and maximization of best land use practices for carbon sequestration on federal lands as well as other public lands that receive federal dollars

2) recommends Congress to allocate funding for regionally located Demonstration Projects partnering greenhouse gas emitters, landowners providing carbon sinks, and federal technical expertise to provide preliminary scientific baseline information

In addition to this direct testimony, I would call your attention to the attachments provided. Included are letters of support for Senate Bill 547 from the National Association of Conservation Districts, the National Association of Resource Conservation and Development Councils and USDA/Natural Resources Conservation Service, with general information about the Conservation Partnership also provided.

If you have any questions on any items of my testimony or the attachments please let me know so that I can provide clarification and follow up. Also if I may be of assistance to you or your staff in following through with the recommendations made please let me know.

In closing, I would take this opportunity to thank the Committee and the authors and sponsors of Senate Bill 547 for their efforts in bringing this issue forward. I would also like to express the sincere appreciation of the Conservation Partnership here in New England, the East Region and across the nation for Senator Chafee's support of our efforts and his constant championing of the environment for its own sake as well as for the common good. He and his staff are to be commended for their relentless efforts to do the right thing for the common good in a way that makes common sense. I have family ties to Bristol and Providence and therefore have taken pride in Senator Chafee's service to Rhode Island but as a resident of Massachusetts I can tell you that I am honored to lay claim to him as a New Englander and as a United States Senator. I say thank you for myself, for my family, for this region and for future generations.