Pipeline had been at the heart of payroll-tax debate.
Nati Harnik
The Obama administration is reportedly planning to announce Wednesday afternoon that it will reject plans to build the controversial Keystone XL oil pipeline. TransCanada, the firm that applied to build the pipeline, will reportedly be allowed to reapply for a permit if it presents plans that would have to include rerouting the line away from Nebraska’s Sandhills. The 1,700-mile pipeline raised the hackles of environmental activists, and later top Democrats, who worried over its potential effects on local habitats. The pipeline has been at the heart of a bitter debate between Democrats and Republicans: Republicans have long been trying to get a decision on the pipeline and attempted to force a decision prior to approving the payroll-tax cut—but eventually Republicans agreed that the White House had to come to a decision by February.
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