Those dramatic negotiations between President Obama and congressional Republicans seeking an agreement on the national debt ceiling dominated the headlines this past week, but another clash between the White House and Hill GOPers that is almost as significant was also moving toward a potentially consequential conclusion. The main players in this mostly unnoticed clash include on one side Obama’s top appointees at the U.S. Office of Management and Budget and the U.S. Department of Energy, and on the other, House Energy and Commerce Committee Chairman Fred Upton of Michigan and Rep. Cliff Stearns, the Florida Republican who chairs the Upton panel’s subcommittee on oversight and investigations. At the center of their controversy is the familiar struggle with the executive branch occasioned by congressional oversight.
Here’s the background. Following passage of Obama’s economic stimulus program, the Department of Energy awarded a $535 million loan guarantee to Solyndra Inc. for construction of a manufacturing facility for its propriety solar energy equipment. The March 2009 award was the first by the Energy Department under the stimulus program in Obama’s efforts to increase federal subsidies for clean energy resources. Unfortunately, Solyndra has since encountered major financial difficulties that cast great doubt about its future viability without substantial additional government subsidies. For that reason, beginning in January this year, Upton and Stearns asked officials at OMB and DOE to explain how and why Solyndra was selected. They also requested all of the official documents that shed light on the process.
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