President Bush on Dec. 26, 2007, signed into law a $555 billion omnibus spending bill that includes the “Secure Handling of Ammonium Nitrate Act of 2007” (H.R. 1680). The AN legislation, which is supported by the fertilizer industry and was spearheaded by Rep. Bennie Thompson (D-Miss.), chairman of the House Homeland Security Committee, creates a uniform, national regulatory system for securing AN.
Ford B. West, president of The Fertilizer Institute, said “TFI has been a lead supporter of this legislation since it was first introduced in 2005 and is grateful to Chairman Thompson for his tireless efforts to move this important legislation forward.” The AN legislation was included in the House’s domestic spending bill approved on Dec. 17, and also by the Senate on Dec. 18 in an amended version of the omnibus spending bill.
The legislation will require the Department of Homeland Security (DHS) to create a regulatory system to help keep AN out of the hands of those with criminal intent. Specifically, the bill requires all AN facilities and purchasers to register with DHS. The bill states that all registrations are to be checked against terrorist watch lists, and requires all thefts or unexplained losses to be reported to federal law enforcement within 24 hours. The bill also includes provisions for expedited reviews of registration applications, notification of application status, and appeals process. In addition, the bill would require producers and sellers to maintain records of all sales for two years, including the buyer’s name, address, phone number, and registration number, as well as the date and quantity of AN sold.
The bill preempts state regulations that are inconsistent with the federal legislation, but allows states to provide for additional protection. States that currently have or are in the process of implementing laws regulating AN sales include Kansas, Oklahoma, Nevada, South Carolina, Maryland, California, New York, and Michigan.
“The goal of TFI and our affected membership has been to pass legislation that would require traceability of ammonium nitrate being sold in the United States,” said TFI in a recent letter to Rep. Thompson. “By requiring facilities and individuals who possess ammonium nitrate to register with the Department of Homeland Security (DHS) and keep records of all sales, we believe the security surrounding ammonium nitrate use in agriculture will be greatly enhanced and our beneficial product will be kept out of the hands of those with criminal intent.”
TFI noted that in many areas of the country AN is directly applied by retail fertilizer dealers or other custom application businesses. “In many cases,” TFI said, “farmers do not physically possess or control the application of ammonium nitrate; the dealer maintains custody and applies the purchased product directly to the field. TFI believes that anyone not taking physical possession of ammonium nitrate should not have to register with DHS as this would be unnecessary and of no added security benefit when the facility having possession of ammonium nitrate is required to register and keep records.”
President Bush criticized Congress for including nearly 10,000 earmarks, worth about $10 billion, in the spending bill, but praised the bill for not including any new taxes and for providing adequate funding for the wars in Iraq and Afghanistan without “arbitrary timelines for withdrawal” from Iraq.
Funding for the Iraq war effort was a potential stumbling block, as the House version of the spending bill specified $31 billion for fighting in Afghanistan but none for the war in Iraq. President Bush had indicated he would veto any bill that did not include spending for operations in Iraq. The Senate on Dec. 18 added $70 billion for Iraq war funding in its version of the bill. The House then passed the Senate version on Dec. 19 before sending the legislation on to President Bush.
Bush in a statement said, “I am disappointed in the way the Congress compiled this legislation, including abandoning the goal I set early this year to reduce the number and cost of earmarks by half.” He added, “These projects are not funded through a merit-based process and provide a vehicle for wasteful government spending.”
White House spokesperson Scott Stanzel said that Bush expects Office of Management and Budget Director Jim Nussle to examine the earmarks to determine where cuts can be made.