>Dear Friends:
Last week, the House of Representatives took another step toward lowering the price of gas at the pump. I was proud to support the Refinery Permit Process Schedule Act (H.R. 5254), which would increase our domestic supply of gasoline by removing obstacles to the refinery permit process.
Because of an overly burdensome regulatory process, no new refineries have been built in the U.S. since 1976. The total number of domestic refineries has dropped down to a mere 148 and nearly half of all our operating refineries are located in the Gulf states, where they continue to be affected by Hurricane Katrina. The average retail price for gas rose by 46% within one week of Katrina’s landfall. And, production shut-downs in the Gulf have resulted in an estimated 340,438 fewer barrels of domestic oil on any given day.
The Refinery Permit Process Schedule Act will help to eliminate needless bureaucratic delay, while preserving high environmental standards. And, by increasing our supply of domestic gasoline, we’re reducing cost to the consumer. Specifically, the bill establishes a Federal coordinator to help manage the multi-agency permitting process, giving special attention to the role of the Environmental Protection Agency (EPA) to ensure strict compliance with environmental standards.
The bill also directs the President to designate three military bases closed during the recent base closure and realignment process as locations for refineries. And, it ensures that at least one of those new refineries will be specifically designated as a biofuel refinery. H.R. 5254 passed the House by a vote of 238 to 179 and now awaits consideration in the Senate.
Skyrocketing gas prices are putting too much pressure on family budgets, and Congress needs to tackle the issue from all angles. That means passing tax credits and other incentives for expanded alternative fuel research and development. It means increasing domestic oil production. It means supporting enhanced fuel efficiency. And, it means passing gas tax relief, such as that I have drafted in my Surface Transportation and Transportation Equity Act, which would reduce the Federal gas tax for any corresponding increase in state gas taxes.
Furthermore, just a couple of weeks ago, I crossed party lines to support a Democrat amendment to end a subsidy program for oil companies. I am committed to a multi-faceted strategy to end your pain at the pump.
Sincerely,
Scott Garrett
Member of Congress
