The American Energy Act: “All of the Above” Legislation Unveiled  

“Do It All, Do It Now, Do It For America”
On Wednesday, July 23, 2008, House Republicans unveiled the landmark “American Energy Act: Reducing the Price at the Pump through an ‘All of the Above’ Energy Strategy” on the steps of the Capitol. The American Energy Act brings together a number of bills that are a part of the House GOP’s “All of the Above” energy strategy and includes:

1) Promoting and Incentivizing Energy Conservation & Efficiency
• Tax incentives for businesses and families purchasing more fuel-efficient (e.g., hybrid and flex fuel) automobiles. (HR 1618 and HR 765)
• Monetary prize for developing a vehicle reaching 100 miles per gallon. (HR 6384)
• Tax credits for businesses and homeowners that improve their energy efficiency. (HR 5984 and HR 778)

2) Developing and Promoting Renewable and Alternative Energy Technology
• Propels the development of alternative fuels by repealing prohibition on government procurement and acquisition of alternative energy. (HR 5656, HR 6384, and HR 2208)
• Establishes a renewable energy trust fund through revenue generated by deep ocean and Arctic coastal plain exploration.
• Permanently extends tax incentives for alternative energy production including wind, solar, geothermal, hydrogen, etc. (HR 2652 and HR 5984)
• Removes obstacles to building nuclear power production capacity. (HR 6384)
 
3) Increasing Domestic Energy Exploration and Production
• Opens Outer Continental Shelf to exploration. (HR 6108)
• Opens Arctic coastal plain to exploration. (HR 6107)
• Allows development of domestic oil shale. (HR 6138)
• Removes blockades to building new refineries. (HR 6139)

As an original cosponsor of this bill, I am proud to be associated with a product that reflects the desire of Americans to implement a comprehensive plan to solve the energy crisis. This legislation is all-encompassing, responsive to America’s immediate energy needs, forward-looking to the potential of American ingenuity and resourcefulness, and represents a major step towards achieving energy independence.

We can only bring a solution to the energy crisis if we are committed to considering multiple ways of solving it and that includes domestic energy exploration. My Democrat colleague Gene Green who represents the Houston area is one Democrat who understands this. After rightly deriding the Democrat’s repackaged “Use or Lose it” bill as a “sham” and “hoax,” Rep. Green said, “We need to have it all […] It’s safer to drill than bring in all that imported oil on tanker(s).” 

The only thing standing between the American people and long-term energy independence is Democratic House Speaker Nancy Pelosi and a small (and shrinking) group of Democrats committed to just saying “no” to tried and true means of producing energy. Their persistence in blocking domestic energy exploration and production, no matter what its form (oil, coal, nuclear, hydroelectric, etc.), will ensure that 76% of America’s domestic energy resources remain off limits to the American people. By refusing to consider a comprehensive real energy plan, we have effectively surrendered our long-term economic security to Hugo Chavez and Mahmoud Ahmadinejad. However, I am not resigned to this being the fate of our economic security; I will work tirelessly to bring others on board with this plan to ensure its prompt consideration and passage. 

In Focus: Environmentally-Sensitive Domestic Energy Exploration

75% of Alaskans Support Energy Exploration in ANWR:
This week, I signed a discharge petition (the sixth of seven being offered this summer) for HR 6107, “The American Energy Independence and Price Reduction Act.” Discharge petitions, one of the few tools we have in the minority, are a means of dislodging legislation languishing in a committee and bringing it directly to the House floor for an up or down vote. Discharge petitions require the signatures of a majority of House members to proceed. HR 6107 would reduce gas prices by opening up the Arctic Energy Slope to exploration. With three-quarters of Alaskans, both Alaskan Senators, Alaska’s Governor, Alaska’s only Congressman, and two-thirds of the American people agreeing that we need to explore in ANWR, I am baffled as to why Speaker Pelosi is blocking this legislation. 

Discharge petitions I have signed on bills to provide real solutions to the energy crisis:
• HR 3089 (No More Excuses Energy Act)
• HR 2279 (Expand American Refining Capacity on Closed Military Installations)
• HR 5656 (To Repeal the Ban on Acquiring Alternative Fuels)
• HR 2208 (Coal-to-Liquid Fuel Act)
• HR 2493 (The Boutique Fuel Mandate Reduction Act)
• HR 6107 (American Independence & Price Reduction Act)

Bills I have cosponsored to provide real solutions to the energy crisis:
• HR 6384 (Americans for American Energy Act)
•  HR 6108 (Deep Ocean Energy Resources Act)

This week’s votes on the floor, hearings, and markups:

Each week I get the opportunity to represent you in Congress by: 1) voting on legislation that comes to the House floor; and 2) participating in committee hearings and markups for the Financial Services, Education and Labor, and the Oversight and Government Reform committees. 

Key House Floor Votes

No to Saddling Billions in Debt on the Backs of Hardworking Americans:
On Wednesday, July 23, 2008, I voted against HR 3221, the Mortgage Bailout bill, because it contained several unnecessary provisions and wasteful giveaways. And, though I supported the FHA (Federal Housing Administration) Modernization and GSE (government-sponsored enterprise) reform components, the overall bill was the poster child for government waste. One provision of the bill, the so-called GSE bailout, gives the Treasury Secretary an 18 month window in which the Secretary may exercise virtually unfettered authority and the unlimited funds to proceed with the bailout. Furthermore, this provision relinquishes Congress’ constitutionally-granted authority over the purse and represents a troubling departure from Congress’ oversight responsibilities. A second provision steers $4 billion in block grants to state and local governments to buy, refurbish or rebuild, and resell foreclosed homes, making government a landlord. The third, and perhaps most egregious, component of this bill is the subprime lender and speculator bailout costing $300 billion, which would allow lenders and speculators to unload their riskiest loans on the government. Another troublesome provision requires FHA to insure the riskiest loans of Freddie Mac and Fannie Mae and prohibits FHA from implementing risk-based pricing of mortgage insurance, one of the main reasons for the failure of the housing market. Lastly, supporters of this bill decided to encumber the GSEs with a permanent Affordable Housing Trust Fund mandate; this is nothing more than a permanent entitlement slush fund for subsidizing left-wing political activism that will actually work to tax lower and middle-income Americans looking to purchase a home. The American people deserve a bill that deals with the underlying reasons for the housing crisis, not a bill loaded with giveaways that will only invite waste, fraud, and abuse.    

Committee on Financial Services

Investment Bank Oversight and Regulation:
On Thursday, July 24, 2008, the full Committee held a hearing entitled “Financial Market Regulatory Restructuring.” Testifying before the Committee were Securities and Exchange Commission (SEC) Chairman Chris Cox and Federal Reserve Bank of New York President Timothy Geithner. During the hearing, SEC Chairman Chris Cox asked for Congress to grant the SEC authority to regulate investment bank holding companies, though not in the same manner commercial banks are regulated. He also asked for guidance on how to proceed with handling future crises at major firms, noting that the Bear Stearns case (where the Fed helped JP Morgan Chase purchase the failing firm) was a rare situation; but a similar situation could arise again. Cox noted future responses to potential collapses must be better coordinated and recommended Congress grant the SEC authority to place restrictions on investment banks if capital or liquidity was too low.    

Correlations between the Weakened Dollar and Energy Prices:
On Thursday, July 24, 2008, the full Committee held a hearing entitled “Implications of a Weaker Dollar for Oil Prices and the U.S. Economy.” The value of the dollar, determined by the supply and demand for it on the world market, has depreciated considerably in the past year. With the prices of energy continuing to rise and the value of the dollar continuing to fall, America must confront our diminishing purchasing power, which affects our ability to purchase crude oil on the world market. The cost of transporting goods has also increased, and additional costs are passed on to the consumer at the checkout line. This reality makes the need for energy independence all the more urgent. 

Committee on Oversight & Government Reform

Has the Medicare Drug Benefit been beneficial?
On Thursday, July 24, 2008, the full Committee held a hearing entitled “The Medicare Drug Benefit: Are Private Insurers Getting Good Discounts for the Taxpayer?” Among the entities with representatives testifying before the Committee were the Center for Medicare and Medicaid Services (CMS), the Pharmaceutical Care Management Association, the Pharmaceutical Research and Manufacturers Association, the Medicare Rights Center, and the Center for Medicare Advocacy. The Medicare Drug Benefit has come in $40 billion lower than original cost projections when the bill was first introduced. Furthermore, dual-eligible seniors now have access to a larger variety of prescription drugs than was allowed under Medicaid’s prescription drug plan, which is reflected in the high satisfaction rates (85%+) of Medicare Part D participants.

This week in history:

In 1903, Ford sells its first car.

In 1949, the North Atlantic Treaty is ratified.

In 1969, Neil Armstrong and Buzz Aldrin become the first people to walk on the moon.

In 2003, the 101st Airborne, stationed at Fort Campbell, kill Uday and Qusay Hussein. 

In 2005, Lance Armstrong wins his 7th consecutive Tour de France.

I am honored to represent the 24th District of Texas, and appreciate your interest in my e-newsletter.  Please contact my District or DC office with any further questions you may have or visit my website at www.marchant.house.gov.