Dive Brief:
- Americans for Prosperity, the conservative advocacy group funded largely by the Koch Brothers, will buy ads in 15 states targeting dozens of lawmakers as it presses to clamp down on tax extensions including the Wind Production Tax Credit.
- The group said it expects renewal of the wind credit to be folded into a larger tax extenders bill, and said it would work to hold lawmakers accountable for their votes during lame-duck sessions.
- A one-year renewal of the wind credit could cost $13 billion, the group said in an open letter to lawmakers last week.
Dive Insight:
Hopes to reduce the tension in Washington may be fading already, just weeks after the midterm elections gave Republicans control of both the House and Senate. Politico reports the Koch Brothers are spending $200,000 targeting House Republicans on the wind issue, threatening leadership hopes for a less divisive legislative session.
“With wind subsidies, Americans are getting sapped on both ends—their tax bills and their utility bills," said AFP President Tim Phillips. "It’s telling that Congress is considering a renewal of already-expired corporate handouts during a lame duck session when lawmakers think nobody’s paying attention.”
The group, in its letter to lawmakers, said that while discussions about restoring the wind production tax credit are reemerging on Capitol Hill, "there remains strong opposition from your constituents and taxpayers to extending it."
The hard-line has potential political consequences, Politico reports. If Republicans reject the entire package of tax extenders, it could mean a delay in tax refunds come filing time — potentially with the blame falling to the Republicans.
“There is a chorus in the House who do not want to do anything in the lame duck, and that includes the extenders,” a senior Republican aide told Politico.
Utility Dive reported earlier this month that Washington and industry insiders are pushing for the extension of subsidies during the lame duck session.