Mr. Speaker, I yield myself 4 minutes. Mr. Speaker, I rise in strong support of the pending legislation, and I urge my colleagues on both sides of the aisle to do likewise. As others have stated, it…
Mr. Speaker, I yield myself 4 minutes.
Mr. Speaker, I rise in strong support of the pending legislation, and I urge my colleagues on both sides of the aisle to do likewise. As others have stated, it is clear that refinery capacity has not been able to keep up with demand. Although current refiners have been able to ramp up their production sometimes in excess of 100 percent, which is an interesting mathematical challenge, the fact of the matter is that our population has grown, our economy has grown, and the resulting demand for more energy across the board has created a situation where, when we have a disaster similar to the one we had last summer with Hurricane Katrina where refiners were clustered in one specific area of the country, they were running at full capacity, they were shut down for a period of time, we had a short-term crisis which we were able to get over, but it was not easy.
Historically, utilization has been much lower than it has for the last 20 or so years; and the reason for that is we have not built a new refinery.
I agree that this bill is not going to circumvent any of the procedural hurdles that need to be crossed in order to build a new refinery. But what it does do is something that is, in my opinion at least, is innovative and imaginative in that it establishes a coordinator that will help make sure that the process, although not shortened because you are circumventing any regulation, makes this process work coterminously rather than successively.
Nobody will lose the ability to have their voice heard. There will be no part of the process circumvented. But an investor, a developer, a refiner, will have the certainty of knowing that there is a master plan in place, that there is a Federal coordinator and that there is a process that can be more predictable.
And I don't see how you can be against a process that uses the current system and all of its hurdles that need to be crossed but simply makes it run more efficiently. That is all this bill is trying do.
Now, there is a provision that allows the President to simply suggest that three base closures be identified for possible location. There is no requirement that it be done. And it also contains a provision that allows for the same expedited process to apply to biorefineries as well. And as one who comes from New Hampshire, we need to develop biorefinery capacity in this country. We are moving away from MTBEs as an oxygenate for gasoline, and I have as a high-priority project the development of an ethanol refinery from cellosic fiber, in other words, wood products somewhere in the northeast. And this process, although not circumventing, as I said before, any particular rule or regulation, will make the process go quicker.
And I understand my colleague's concern about not having enough hearings and so forth. But this bill simply speeds up the process. And if you want the process to last as long as possible and not have any new refinery capacity in this country, vote ``no'' on this bill. I understand that. But I believe in the process, but I believe that it should be quick and expedient but fair.
Mr. Speaker, I reserve the balance of my time.
Mr. Speaker, I include for the Record a letter dated May 3, 2006, from the National School Transportation Association, expressing their support for the pending bill.
National Association for Pupil
Transportation,
Albany, NY.
National School Transportation
Association,
Alexandria, VA, May 3, 2006.
Hon. Dennis Hastert,
Speaker, House of Representatives,
Washington, DC.
Hon. Nancy Pelosi,
Minority Leader, House of Representatives, Washington, DC.
Dear Mr. Speaker and Minority Leader Pelosi: On behalf of
school transportation interests around the country (both
public and private), I am writing to urge quick action on
H.R. 5254, to increase the availability of reasonably priced
fuel by streamlining the permitting process for new or
expanded refineries and H.R. 5253, to ensure that the Federal
government has the authority necessary to investigate price
gouging by fuel suppliers. Our industry is struggling with
staggeringly high fuel costs that are threatening our ability
to provide low-cost, safe transportation for 25 million
school children each day. Enactment of these two measures can
help drive down the cost of fuel in the long-run and we
support their approval by the House.
The nation's school bus fleet is the largest mass
transportation fleet in the country, 2.5 times the size of
all other forms of mass transportation including transit,
intercity buses, commercial airlines and rail, combined. This
system is also the safest way to transport children to and
from school every day. The National Academy of Sciences has
reported that there are approximately 800 fatalities per year
among children who do not ride school buses, while the school
bus related annual fatality rate is less than 20. Keeping our
school buses running is vital to the safety of our children.
In the wake of instability in crude oil supplies, Hurricane
Katrina and other factors, rising fuel costs have devastated
the industry and now threaten to force the involuntary
reduction of school bus transportation nationwide. In
addition, today's diesel fuel prices are significantly higher
than they were one year ago and are more than twice what they
were four years ago. This is proving to be a burden to public
and private operators alike.
Public school systems and their school transportation
providers are not able to pass
on the costs to the students they drive to and from school
every day. Instead, many school districts have responded to
this crisis by eliminating field trips and worse, reducing
transportation to and from school, forcing students to find
less safe and reliable ways to access their education or even
temporarily closing schools. For example, in Ohio school
districts have eliminated school bus service to 80,000 school
children a day and, just last week a local school system in
Tennessee closed for two days due to the inability to provide
school transportation due to the high cost of fuel for their
buses.
We understand that there are no easy solutions to this
problem, but are writing to ask for your help nonetheless. We
ask that Congress act quickly to help increase supplies of
fuel by ensuring that adequate refining capacity is available
as quickly as possible and that any allegations of price
gouging are fully investigated. We understand that the House
is preparing to act on H.R. 5254 and H.R. 5253 later today.
We welcome and support these initiatives and ask for broad,
bipartisan action to enact these important measures as a way
to help bring down prices for fuel as quickly as possible so
that school children will continue to be able to have access
to the safest possible mode of transportation. We also pledge
to work with you to find and advance other solutions that
might provide more immediate relief, such as H.R. 4158,
legislation introduced earlier this year to provide grants to
cover the cost of energy for financially strapped school
districts.
Sincerely,
Leonard Bernstein,
President, National Association of Pupil Transportation.
John D. Corr, Jr.,
President, National School Transportation Association.
Mr. Speaker, I yield 2 minutes to my friend from New York (Mr. Boehlert).
Mr. Speaker, I yield myself 30 seconds.
I just want to correct the record if I could. It is my understanding that the bill only allows the President to identify a possible closed military base for a refinery location. It is only drawing attention, and it does nothing more than that.
Mr. Speaker, I yield 1 minute to my friend from California (Mr. Herger).
Mr. Speaker, I yield myself 30 seconds simply to say that it is interesting that my friend from California now is on the same side as ExxonMobil, which opposes this bill because they claim there is no need for new refinery capacity, and I would only point out that he makes a great argument for the passage of the bill, because what this bill does is take the argument that government red tape and bureaucracy is holding up the process completely off the table. And if that doesn't lead to more production, more construction after passage of this bill, I will be the first one to step forward and blast the industry for not creating more capacity.
So I appreciate the apparent support that my friend from California has for making sure that this process, permitting process, is sped up.
Mr. Speaker, I yield 3 minutes to my friend from Illinois (Mr. Shimkus).
Mr. Speaker, will the gentlewoman yield?
The date of the letter?
Thank you.
Mr. Speaker, I yield 1 minute to the gentleman from Illinois (Mr. Kirk).
Mr. Speaker, I yield myself 30 seconds.
This is a very odd debate. One of the previous speakers said that this bill would do nothing to lower gasoline prices. If you increase refinery production, you are going to have more supply, and obviously more supply is going to lead to lower prices.
Another speaker said that this bill would somehow create more environmental pollution. It does absolutely nothing to change any existing environmental rule or regulation. It just increases the time. So if you want less supply, higher prices and the only reason you are against that is because you think that an additional refinery would create more pollution, then you should vote ``no'' on the bill.
Mr. Speaker, I have no further requests for time, and I reserve the balance of my time.
Mr. Speaker, I yield myself the balance of my time.
Mr. Speaker, I urge my colleagues to support the passage of this bill.
I will match my environmental record in this Congress with anybody else's and certainly my record in supporting the development of alternative energy resources. And, quite frankly, this bill does just that because the expedited permitting process, which does not in any way change the requirements for the process at all but simply makes it more organized and more manageable, also applies to coal to liquid and biorefineries. And this is critical for my part of the country. We cannot afford to wait 5, 6, 7, 8, 9, 10 years to increase our supplies not only of traditional motor fuels but also these alternatives. We need to remove the uncertainty that a successive permitting process creates and the chilling effect that has on the ability of investors where large amounts of money are involved to stick with the process year after year after year.
There is nothing in this bill that will reduce in any fashion the ability of the Environmental Protection Agency, the States, or any other entity to go through the appropriate process in order to permit a new refinery. But what it does do is for the first time in 30 years is make it incrementally more possible that we will get more capacity.
So when your constituents call you and say that they are unhappy with the high cost of fuel, remember that part of that high cost is associated with the fact that we have a very, very tight inventory of fuel in this country. As the chairman of the committee said a few minutes ago, we are consuming considerably more gasoline in this country than we are producing domestically, so some of it is imported. Our refineries are clustered in one region of the country.
If you want to answer your constituents by saying that you voted against a bill that would not have any environmental impact but would simply make it possible for us to address this issue in a more timely, quicker fashion, that is your choice.
But we are doing what we can quickly and expeditiously and incrementally to address the issue of refinery capacity in this country. I hope the House will adopt this bill, and I urge its passage.