Small Business Energy Efficiency Act of 2007

Mr. President, I rise today to express my unequivocal support for landmark energy legislation before us today that will revive our long dormant energy policy. I want to especially recognize Senator Feinstein for her resolve in including momentous, benchmark CAFE standards for the first time in three decades--without her tenacity this critical component would not be included in this legislation. Furthermore, I want to thank Senators Inouye, Stevens, Bingaman, and Domenici for crafting this historic legislation. And it has been a pleasure to work with Senator Feinstein for the past 7 years toward this goal and authoring with her the CAFE measure that was the basis for the provision included in this bill, and that is central to our environmental well-being.

As record energy costs continue to saddle Americans and hamper the growth of our economy, this legislation is, quite frankly, long overdue. Since the Senate passed the Renewable Fuels, Consumer Protection and Energy Efficiency Act in June, our failed energy policy has proliferated into a crisis. Currently, in my home State of Maine, trucks remain idle because the prohibitive cost of diesel--an astonishing 43 percent higher than last year--has made trucking simply unprofitable and untenable for many. And as I speak, residents in Washington County in Maine as well as other areas around the State--are contemplating whether to purchase food, medicine or heat.

The reality is, our energy policy has ambled aimlessly for decades-- and Mainers and Americans are quite literally paying the price. As a result, this timely energy legislation could not be more critical as it represents the initial step toward the boldness of leadership on this issue that the American people desire and require. Indeed, the bill before the Senate represents a departure--finally--from the regressive policies of the 20th century to a sustained long-term energy policy that both challenges and harnesses the U.S. preeminent attribute of innovation.

And this change comes not a moment too soon. The fact is, while each of us understands the unacceptable cost of gasoline, heating oil, and electricity for our constituents, we must also be cognizant that our energy policy has been a boon to America's adversaries. As Thomas Friedman recently remarked, petro-authoritarianism is sweeping the globe. In 2005, Iran earned $44.6 billion from crude oil exports when oil was $50 a barrel--now it is $90. The reality is, our current energy policy directly shifts America's hard-

earned money to the least democratic countries and most dangerous in the world including Venezuela and indirectly to Iran.

Although this is, in itself, an undeniable reason to change our energy policy, our failed approaches of the past are also manifested in the challenge of global climate change. The release of the Intergovernmental Panel on Climate Change completed in mid-November concluded that climate change is ``unequivocal'' and accelerating. Indeed this summer, the Arctic Ocean exposed 1 million square miles of open water, the most that has been determined since measurements have been taken. Quite frankly, it is beyond dispute that the United States must take immediate action to reduce carbon emissions and stem climate change.

That is why this timely legislation is absolutely essential to our Nation's security and our environment--as well as our pocketbooks and wallets. Indeed this body is on the brink of forging an energy policy that would provide dividends to the American consumer, enhance American security, and reestablish American leadership on environmental issues by confronting climate change. The question now is, Will we?

We can't afford to wait and, on that note, I particularly want to highlight the inclusion of the CAFE provisions that will finally place this country on track to substantially improve our Nation's automobile fleet from 25.2 miles per gallon to 35 miles per gallon by 2020. Because this provision that Senator Feinstein and I authored is the most significant step our Nation can take to address our long-term energy crisis.

As the New York Times stated on November 14th, ``The single most effective way to address the problem of oil imports and consumption is to improve the efficiency of cars and light trucks, which use more than two-thirds of all the oil burned in the United States.'' This legislation will save Americans 1.1 million barrels of oil per day-- nearly the same amount imported from Saudi Arabia. And at a time when thousands of families are struggling to provide the basic necessity of heat in their homes, indisputably we must not squander oil through inefficiency.

There is no question this is a measure whose time has long since come, given the last time Congress comprehensively adjusted CAFE standards was over 30 years ago, in 1975, when the price of gasoline was 60 cents per gallon. Yet all we have done in 32 years is raise CAFE by a measly 5 miles per gallon for light trucks and not at all for passenger vehicles. It is like the program that time forgot. That is why this provision is essential for any comprehensive energy legislation.

The legislation significantly before us achieves the goal of 35 miles per gallon by 2020 through an attribute-based system, incorporating the 2001 National Academy of Science's recommendation that ``Consideration should be given to designing and evaluating an approach with fuel economy targets that are dependent on vehicle attributes such as vehicle weight.'' Why is this important? Because this concept maintains a critical component of America's automobile fleet, and that is consumer choice.

This is the innovative approach that Senator Feinstein and I developed that focuses not on defacto mandates on what type of vehicles are built and sold but rather on the end result of overall fuel savings. And I am particularly pleased that the auto companies have recognized the merits in this proposal and support this initiative. This represents a sea change from the previous divisiveness of this central issue, and I want to applaud my colleagues who worked with Senator Feinstein, Senator Inouye, and I to craft this historic breakthrough that represents a new automotive era, ensuring that we will not return to the wasteful gas-guzzling days of the past.

Furthermore, this legislation provides critical tax incentives for energy efficiency and renewable energy, to wean ourselves off the expensive foreign petroleum that, as I have said, also serves to line the pockets of some of the world's most dangerous tyrants. This country, quite frankly, has abrogated its commitment to a substantial investment in altering our energy policy--a problem encapsulated in a special report in the Economist, which stated that, regrettably ``America's incentives for clean energy'' are ``relatively modest compared to Europe's.'' Furthermore, the article illustrates that, ``what one politician can mandate, another can terminate--and therein lies one of the biggest risks for clean energy. American politicians have periodically allowed a tax break for wind generation to expire, for example. This caused the industry to falter several times, before the credit was renewed again.''

Accordingly, I am extremely disappointed that this legislation fails to extend the vital renewable production tax credit. If we truly want to alter our Nation's energy policy we must make substantial investments and it confounds me why we elected not to make that a national priority.

In addition, I want to voice my strong opposition to the inexplicable removal of the renewable portfolio standard to create a market for sustainable resources. The State of Maine has demonstrated that this provision stimulates the development of hydropower, wind, solar, tidal, and biomass energy with more than 30 percent of our energy flowing from these sources. Enactment of this strong RPS would have promoted fuel diversity and reduced our substantial dependence of natural gas. This reliance on natural gas was unfortunately illustrated in Maine last week when a Canadian supply disruption of imported natural gas forced to shut down two natural gas plants. Frankly, we must promote energy diversity to ensure energy reliance--and this strong Renewable Portfolio Standard that his legislation fails to include would have ensured that Americans would have received 15 percent of their electricity from renewable energy resources and ensured a basic level of diversity while promoting clean energy. I urge my colleagues to address this central issue in the future.

On the more positive side, I am pleased to have worked closely with Senator Kerry, Chairman of the Senate Small Business Committee, and also House Small Business Committee Chair Velazquez and Ranking Member Chabot, to fashion a bipartisan small business title to this Energy Bill. This title includes virtually all of the provisions in the ``Small Business Energy Efficiency Act of 2007'' (S. 1657), which Senator Kerry and I introduced in June.

This year, the Senate Committee on Small Business and Entrepreneurship, of which I am the ranking member, has paid particular attention to the effects of climate change and escalating fuel costs on small businesses, and the role America's entrepreneurs can play in affecting change in these areas. Chairman Kerry and I have already devoted two hearings during the 110th Congress to these subjects as clearly rising gas prices and global warming are having a devastating affect on the health of small business in this country.

As we all recognize, small business is the backbone of our Nation's economy. As the leading Republican on the Small Business Committee and as a longstanding steward of the environment, I firmly believe that small business has a pivotal role to play in finding a solution to global climate change. According to a recent survey conducted by the National Small Business Association, 75 percent of small businesses believe that energy efficiency can make a significant contribution to reducing greenhouse gas emissions. And yet, only 33 percent of those had successfully invested in energy efficiency programs for their businesses.

We must significantly improve energy efficiency investment by small businesses. To that end, the small business title in the Energy bill will make the SBA's Express Loan Program available to small businesses that wish to purchase renewable energy systems or make energy efficiency improvements to their businesses. I firmly believe that the SBA Express Loan will be an attractive option to small business owners looking to make their businesses more energy efficient and environmentally sound because of the program's quick turnaround time and the ability of participating lenders to use their own forms and procedures for fast approval.

Another key provision would encourage small business innovation in energy efficiency, by creating a priority under the Small Business Innovation

Research, SBIR, program for solicitations by small businesses that participate in or conduct energy efficiency or renewable energy system research and development.

The small business title would also create a pilot, competitive grant program that would be administered through the national network of Small Business Development Centers, which would provide ``energy audits'' to small businesses to enhance their energy efficiency practices, as well as offer access to information and resources on energy efficiency practices.

Finally, the small business title will ensure that the SBA completes its requirements under the Energy Policy Act of 2005. Within 6 months of enactment, the SBA, through a final rulemaking, would be mandated to complete all of its requirements under the Energy Policy Act, including setting up a ``Small Business Energy Clearinghouse'' that builds on the Environmental Protection Agency's Energy Star program to assist small business in becoming more energy efficient. Frankly, I am alarmed by the lack of progress that SBA has made on these requirements, which President Bush signed into law nearly 2\1/2\ years ago. Unfortunately, this may be one more example of the administration's unwillingness to lead on actions to address global warming. By contrast, the small business title will help to ensure that the SBA finally completes its requirements under the Energy Policy Act and actually play a leading role in combating global climate change.

It is my hope that the small business title in the Energy bill will spur more small firms to make a smaller carbon ``footprint'' and play a leading role in the actions that are essential in combating global warming. Assisting small firms in this regard will not only help the environment but will also significantly lower the energy costs for cash-strapped small businesses.

Given our Nation's energy crisis, we must pursue every opportunity to pursue energy savings, and I therefore must express my strong disappointment that the issue of truck weights was not considered in this legislation. This is a timely issue that has unnecessarily placed the Maine trucking industry and the safety of our residents in jeopardy.

The issue, quite frankly, defies even the most elementary logic. Currently, arbitrary rules create two distinct truck weight limits that capriciously bisect the State at Augusta. Specifically, from the New Hampshire/Maine border to Augusta trucks weighing up to 100,000 pounds are allowed to travel on Interstate 95. However, beyond this point all the way from Augusta to Houlton--a distance of 200 miles--the regulation recedes to 80,000 pounds.

As a result, north of Augusta, heavy trucks are forced onto smaller, secondary roads that pass through our cities, towns, and villages and they fail to use the Federal highway system. This mosaic of Federal regulations unnecessarily costs our Nation energy by requiring additional truck trips to meet the needless 80,000 limitation. Truckers must make additional trips for the transportation of fish, lumber, blueberries, and potatoes, which increases the costs of these goods and regrettably has become a major safety issue on the secondary roads of Maine with these massive trucks speeding through Maine's communities. With diesel prices upwards of $3.70, the problem has burgeoned into a full crisis and this Federal medley of regulations must end and I urge my colleagues to support me in creating a uniform 100,000-limit restriction on Maine's Federal highways.

Overall, I am pleased that this legislation is reflective of the broad ramifications of our energy plan and provides the beginning of a commensurate response to our energy crisis. The manifestations of our current strategy are discernible in some of the greatest issues facing America. The critical issues of climate change, the trade imbalance, and a restricted foreign diplomacy in the Middle East are all directly related to our failed energy strategy. We are realizing, with increasing clarity, the consequences of an oil-based energy policy.

Now, with this Energy bill before us, this is a critical initial step but is only the first. A glaring absence in this bill is the preeminent issue of climate change. It is incumbent on this Congress to build momentum from the recent G8 meeting and pass legislation that reestablishes American leadership on this critical environmental issue. Currently, the entire world is meeting in Bali, Indonesia, waiting for an answer from America. The Environment and Public Work's Committee passage of the first comprehensive climate change legislation, coupled with the action today, resoundingly declares that American leadership is hopefully on its way. As I have worked with Senators McCain and Lieberman for 4 years on the Climate Stewardship Act, as well as Senator Kerry on Global Warming Reduction Act, I remain absolutely committed to passing climate change legislation. The legislation before the Senate does not replace the need for comprehensive climate legislation, and I look forward to bringing this fundamental energy and environmental issue to the floor of the Senate when we return after the New Year.

Again, this bill represents critical progress toward a comprehensive energy policy. I look forward to working with my colleagues on the additional components to finally achieve American energy independence.

I thank the Chair.

Mr. President, as Ranking Member of the Senate Committee Small Business and Entrepreneurship, I rise today with Senator Kerry to introduce the Small Business Energy Efficiency Act of 2007. The energy debate now underway in this body is a positive initial step for our country, but it is only a first step. Frankly, America must become more innovative and invest in infrastructure that provides a lifetime of savings, both for its citizens and our global neighbors.

This year the Senate Committee on Small Business and Entrepreneurship, of which I am the Ranking Member, has paid particular attention to the effects of climate change and escalating fuel costs on small businesses, and the role America's entrepreneurs can play in affecting change in these areas. Chairman Kerry and I have already devoted two hearings during the 110th Congress to these subjects. Clearly, rising gas prices and global warming are having a devastating affect on the health of small business in this country.

As we all know, small business is the backbone of our Nation's economy. As the leading Republican on the Small Business Committee and as a longstanding steward of the environment, I firmly believe that small business has a pivotal role to play in finding a solution to global climate change. According to a recent survey conducted by the National Small Business Association, 75 percent of small businesses believe that energy efficiency can make a significant contribution to reducing greenhouse gas emissions. And yet, only 33 percent of those had successfully invested in energy efficiency programs for their businesses.

We need to significantly improve energy efficiency investment by small businesses. To that end, our measure will ensure that the SBA completes its requirements under the Energy Policy Act of 2005. Within 90 days of enactment, the SBA, through a final rulemaking, would be required to complete all of its requirements under the Energy Policy Act, including setting up a Energy Clearinghouse that builds on the Environmental Protection Agency's Energy Star program.

Our bill would also create the position of Assistant Administrator for Small Business Energy Policy within the SBA. The duties of this position include: 1. the oversight and administration the Small Business Energy Clearinghouse Program; and 2. the promotion of energy efficiency efforts and the reduction of energy costs for small businesses.

It would also create a Small Business Energy Efficiency Pilot Grant Program. This pilot, competitive grant program would be administered through the national network of Small Business Development Centers, SBDCs, which would provide ``energy audits'' to small businesses to enhance their energy efficiency practices, as well as providing access to information and resources on energy efficiency practices. These practices would include ``on-bill financing'' options.

Our bill would also encourage innovation in energy efficiency. Federal agencies shall give priority to Small Business Innovation Research, SBIR, and Small Business Technology Transfer, STTR, program solicitations by small businesses that participate in or conduct energy efficiency or renewable energy system research and development. The SBA will issue guidelines to assist Federal agencies and departments in determining whether priority has been given.

Finally, our bill would make the SBA's Express Loan Program available to small businesses who wish to purchase renewable energy systems or make energy efficiency improvements to their existing businesses. I firmly believe that the SBA Express Loan will be an attractive option to small business owners looking to make their businesses more energy efficient and environmentally sound because of the program's quick turnaround time and the ability of participating lenders to use their own forms and procedures for approval. Furthermore, lenders and borrowers can negotiate the interest rate, which can result in more favorable terms for a small business owner. The Express Program is the most widely used of SBA's loan products, representing 69 percent of all loans made. In fact, the SBA Express lender network is made up of almost 2,000 financial institutions nationwide.

Many small businesses are already leading the charge in combating global warming. For instance, in my home state of Maine, Oakhurst Dairy, an 86-year-old business, recently announced that it has converted its fleet of over 100 trucks and trailers to a bio-diesel fuel blend. Oakhurst's President Stanley Bennett sent me a letter stating: ``We firmly believe that doing the right thing environmentally is almost always the right thing to do for your business.'' It is my hope that our bill will spur more small firms to make the same investment in the environment and their businesses.

As we engage in this debate, we must remain mindful that potential solutions must fully consider the economic realities facing small businesses. According to the SBA Office of Advocacy, compliance with environmental regulations costs 364 percent more in small businesses than in larger businesses. So, in developing solutions Senator Kerry and I have worked to ensure that small businesses possess a range of cost-effective alternatives and have avoided a one-sized-fits-all approach.

In conclusion, this bipartisan measure will enable small businesses to play a leading role in combating global climate change. Assisting small firms in this regard will not only help the environment, but will also significantly lower the energy costs for cash-strapped small businesses.

Mr. President, as Ranking Member of the Senate Committee on Small Business and Entrepreneurship, I rise today to join with Chairman Kerry in introducing the ``Small Business Venture Capital Act of 2007,'' a bill to reauthorize and improve the Small Business Administration's (SBA) Small Business Investment Company (SBIC) Program. I am deeply committed to supporting our nation's small businesses by increasing their access to capital. Small businesses employ more than half (57 percent) of the total private-sector workforce and are responsible for the creation of more than two-thirds of all new jobs. Clearly, increasing investments in small businesses is crucial to our on-going economic success.

This bill, a product of genuine bipartisan negotiation, will reform and enhance the SBIC program, which is so

vital to fostering innovation, growth, and job creation in small businesses throughout our country. SBICs are privately owned and managed venture capital investment companies that are licensed and regulated by the SBA. SBICs use their own capital, combined with funds borrowed from other private investors and supported by an SBA guarantee, to make equity and debt investments in qualifying small businesses. The SBA shares in the profits of SBICs. The structure of the program is unique and has been a model for similar public-private partnerships around the world.

The program has been successful in mobilizing private venture capital investment and leveraging private investment with additional funds supported by SBA guarantees. According to the SBA's annual reports to Congress, the SBIC program has provided billions in financing to small businesses since its inception. For example, companies like Staples, FedEx, Outback Steakhouse, America Online, Costco, Apple Computers, and Intel have all received SBIC investments at one time in their history.

Each year, financing brought about by the SBIC program allows small businesses to create or retain tens of thousands of jobs. For example, during Fiscal Year 2006, the SBIC program invested $2.987 billion in 2,121 small businesses. Of these, 40 percent were located in government-designated Low and Moderate Income (LMI) areas of the county. Those LMI-district companies received $669 million of the total dollars invested by SBICs in 2006. Since its beginning in 1958, the SBIC program has provided approximately $48 billion of long-term debt and equity capital to more than 100,000 small businesses. In fact, in my home State of Maine, SBICs invested nearly $21 million during FY 2006.

A key proposal in this bill is a technical change made to simplify the maximum leverage limits contained in the current statute. Under current law, the maximum leverage cap or the maximum amount of government-guaranteed capital an SBIC can control for Fiscal Year 2007, is $127.2 million for any one SBIC or for multiple SBICs controlled by the same management team. The cap increases automatically on an annual basis by the percentage increase in the Consumer Price Index (CPI). The problem with current law is that because the leverage cap applies to a whole family of SBICs, it is often impossible for a successful SBIC to operate a second or third fund due to a lack of available leverage. Additional leverage would remedy this issue. Accordingly, the bill increases the leverage cap for anyone fund to $150 million, and the cap for multiple funds held under one management team to $225 million.

Furthermore, this bill will increase leverage available for investment in minority- and women-owned businesses, which are having trouble accessing SBIC dollars. In Fiscal Year 2004, minority-owned firms received 5.2 percent of financing dollars. Women-owned businesses obtained just 2.2 percent of financing dollars. To try to increase financing available to such small businesses, the bill increases leverage limits to $175 million for a single fund and $250 million for a group of funds held under an SBIC license if the SBIC certifies that at least 50 percent of its investments are made in companies that are owned by either women or minorities, or are located in a low-income geographic area.

Mr. President, I urge my colleagues to support this bill. Too much is at stake for small businesses, and the economy as a whole, to allow this critical legislation to languish. Failing to advance this bill would diminish our chances for innovation, and stifle the entrepreneurial opportunities this program has and will continue to produce.

Mr. President, as ranking member of the Senate Committee on Small Business and Entrepreneurship, I rise today to join with Chairman Kerry in introducing the Securing Equity for the Economic Development of Low Income Areas Act of 2007, a bill to reauthorize the New Markets Venture Capital, NMVC, Program. The NMVC program specializes in providing investment dollars to small businesses in underserved, low-wealth urban and rural communities.

Selected by the SBA through a competitive process, NMVC companies are privately owned and managed for-profit entities. They use their own private capital plus debentures obtained at favorable rates with SBA guarantees for investing. In addition, they provide technical assistance to the low-income enterprises in which they invest or intend to invest, by using private resources matched by the SBA in the form of operational assistance grants. While the Consolidated Appropriations Act of 2001, which established the program, contemplated 15 NMVC companies, unfortunately, only six NMVC companies have received final approval.

Despite the shortfall in the final numbers of approved companies, the NMVC program has achieved some remarkable success since Congress created it in 2000. According to the Community Development Venture Capital Alliance, as of March 31, 2006, the six NMVC companies had invested more than $13.4 million of capital into 29 small businesses. Not only have the NMVC Companies brought investment dollars to underinvested areas, but they have also created or maintained 1,626 jobs in low-income communities.

Although the statistics I have just cited pertain to the entire Nation, I want to share an example of how the NMVC program has been a tremendous benefit to my home State of Maine. In 2003, Mike Cote purchased Look's Canning Company in Whiting, ME, which had become one of the last of what had been dozens of canneries along Maine's coast. After changing the canning company's name to Look's Gourmet Food Company, Mike worked with Wiscasset, Maine, based Coastal Enterprises, Inc., a New Markets Venture Capital Company, to help grow the business. Look's Gourmet Food Company is now thriving by selling all-natural, high-quality, shelf-stable seafood products under the ``Bar Harbor T'' and ``Atlantic T'' brands all over the country. As Look's took off, it was able to create 18 new jobs with benefits in Maine's Washington County. That's no small feat for a company doing business in a county that had a 9.1 percent unemployment rate in February, the highest in Maine and more than double the national average. The bill introduced today will go a long way to assisting many low-income communities across America.

Other than reauthorizing the NMVC Program, this bill will make other changes to ensure the program is given the full opportunity to achieve its full potential. For example, the bill will

conform the definition of ``low-income geographic area'' used in the NMVC program to the definition of a ``low-income community'' as defined by the New Markets Tax Credit, NMTC, program. This amendment is beneficial because many investors participate in both the NMVC and NMTC programs, and a uniform definition between the two programs would improve coordination between the two programs. This change would allow NMVC companies to invest in businesses that benefit a low-income population, as well as businesses located in low-income census tracts. This flexibility to serve low income ``targeted populations'' would be particularly important for NMVC companies operating in states like Maine which have large rural areas with dispersed populations. Additionally, the bill ensures that all existing NMVC companies can take advantage of the amended targeting for investments made with the capital they have already raised.

The entrepreneurial spirit of our 26 million small businesses dates back to our Nation's founding. Small businesses are the cornerstone of economic growth and job creation, and it is critical that we support the NMVC program that enables aspiring entrepreneurs to obtain the crucial financing dollars they need to start and grow their businesses. As ranking member of the Senate Committee on Small Business and Entrepreneurship, I have long fought to ensure the success and vitality of our country's small business sector. An investment in small business is an investment in the long-term economic prosperity of America, and I encourage my colleagues to support this vital legislation.

Mr. President, because of the war in Iraq, more than 2 million Iraqis have been internally displaced in their own country, and 2 million other Iraqis are in neighboring countries throughout the region, primarily Jordan and Syria.

The humanitarian needs of the refugees and internally displaced Iraqis are immense. If their needs are not quickly and adequately met, these populations could become a fertile recruiting ground for terrorists.

Iraqi refugees are also a significant financial burden on countries in the region. As the Iraq Study Group concluded, if the refugee crisis ``is not addressed, Iraq and the region could be further destabilized.''

Many Iraqis who have worked in critical positions in direct support of the U.S. Government in Iraq have been killed or injured in reprisals for their support of our effort. Many more Iraqis associated with the United States have fled their country in fear of being killed or injured.

Clearly, we cannot resettle all of Iraq's refugees in the United States, but we have a fundamental obligation to help the vast number of Iraqis displaced in Iraq and throughout the region by the war and the associated chaos, especially those who have supported America's efforts in Iraq.

In April 2007, Assistant Secretary of State Ellen Sauerbray said the United States ``could resettle up to 25,000 Iraqi refugees this year.'' In May 2007, Under Secretary Paula Dobriansky said, ``We are committed to honoring our moral debt to those Iraqis who have provided assistance to the United States military and embassy.'' On June 8, Secretary Rice said ``the people that I'm most worried about in the near term are the people who've worked with us who might be subject to recrimination and reprisal. And we're trying to step up our efforts on their behalf.''

It is essential for the United States to develop a comprehensive and effective approach to meet the rapidly growing needs of Iraq's refugees and internally displaced persons, especially those who are associated with the United States.

The legislation I am introducing today with Senators Smith, Biden, Hagel, Leahy, Levin, and Lieberman seeks to accomplish these goals.

First, the legislation would create a special category of applicants for refugee status in Iraq. Those eligible for this program, a P-2 category for refugees of special humanitarian concern, would be the Iraqis most closely associated with the United States. Iraqis who qualify would be those, 1. who have been employed by or worked directly with the U.S. Government in Iraq; or, 2. who were employed in Iraq by a media or nongovernmental organization based in the United States or by an organization or entity that has received a grant from, or entered into a cooperative agreement or contract with, the U.S. Government; or, 3. who are spouses, children, sons, daughters, siblings and parents of those who worked for or with us; or, 4. who are members of religious or minority communities and have close family members in the U.S.

Those eligible would not have to be referred to our Government by the United Nations High Commissioner for Refugees or a U.S. Embassy. All applicants, however, would need to demonstrate a well-founded fear of persecution. Applicants would be required to go through recently approved extensive security screening.

P-2 visas for these refugees would come out of the overall authorized admissions number for the refugee program, currently established at 70,000. That figure is determined every year by the President in close consultation with the Congress.

In addition to the new P-2 category of refugee applications, the legislation would expand the current U.S. Government program which provides special immigrant visas only to Iraqi and Afghan translators and interpreters. Those eligible for the expanded special immigrant visa program are Iraqis who have been employed by or worked directly with the United States for 1 year in the aggregate since 2003, and need not have served as a translator or interpreter for the military or Department of State.

Applicants for SIV visas would not need to demonstrate a well-founded fear of persecution, but they would need to meet security requirements, demonstrate that they provided faithful service to our Government, and provide a recommendation or evaluation. The Secretary of State would be required to provide applicants with protection or immediate removal from Iraq if they are in immediate danger. Five thousand of these visas would be available yearly for 5 years.

Importantly, our legislation requires the Secretary of State to establish a program for processing P-2 refugees and SIV applicants in Iraq and in countries in the region. The Secretary would be required to report to the Congress within 60 days on plans to establish this program. Currently, there is no mechanism for applying for refugee status in Iraq. Those fleeing persecution and seeking refugee status must find their way to Jordan or Syria, locate an official from the United Nations High Commissioner for Refugees, and then be referred to the U.S. Government by the United Nations. Because of the growing violence and risk for those associated with the United States, we need to find a way to address this problem for Iraqis inside Iraq. Our bill does not eliminate the referral system through the United Nations, or any other existing system, but it does create an essential mechanism for direct applications in country.

To oversee the implementation of this new program, the Secretary of State would be required to establish in the Embassy in Baghdad a Minister Counselor for Refugees and Internally Displaced Persons. This senior official would be responsible for overseeing the in-country processing of P-2 refugee and special immigrant visa applicants, and would have authority to refer them directly to the U.S. refugee resettlement program.

A parallel position would be created in the American embassies in Egypt, Jordan, Lebanon, and Syria to oversee the application process of P-2 refugees of special humanitarian concern. SIV applicants would work through regular consular channels in embassies in those countries.

Recognizing that the United States can only resettle a small number of the most vulnerable refugees within our borders, the Secretary of State would be required to consult with other countries about resettlement of refugee populations, develop mechanisms in countries with significant populations of displaced Iraqis to ensure the refugees' well-being and safety, and provide assistance to the countries in doing so.

In addition, the legislation would allow Iraqis denied asylum after March 2003 based on changed conditions to file a new petition with an immigration judge to reopen their cases. Those denied asylum, for example, on the grounds that Saddam Hussein is no longer in power and the United States is committed to building democracy in Iraq should be permitted to make their case again before a judge.

After 90 days, and annually thereafter, the President would be required to submit an unclassified report to

Congress with a classified annex if necessary, assessing the financial, security, personnel, considerations and resources necessary to establish the programs required in the act. After 90 days, the Secretary of Homeland Security would be required to submit a report to Congress outlining plans to expedite processing of Iraqi refugees, including a temporary expansion of the Refugee Corps, and plans to enhance existing systems for conducting background and security checks for Iraqis applying through the program.

More than 5 years ago, Arthur Helton, perhaps this country's staunchest advocate for the rights of refugees wrote, ``Refugees matter . . . for a wide variety of reasons . . . Refugees are a product of humanity's worst instincts--the willingness of some persons to oppress others--as well as some of its best instincts--the willingness of many to assist and protect the helpless . . . In personal terms, we care about refugees because of the seed of fear that lurks in all of us that can be stated so simply: it could be me.''

A year later, Arthur Helton gave his life for his beliefs. He was killed in Baghdad in 2003 while meeting with U.N. Special Envoy Sergio Vieira de Mello when a bomb destroyed the U.N. headquarters in Iraq.

But his words resonate today, especially when we consider the very human cost of the war in Iraq, and its tragic effect on the millions of Iraqis, men, women, and children, who have fled their homes and their country to escape the violence of a nation at war with itself.

America has a special obligation to keep faith with the Iraqis who now have a bulls-eye on their back because of their association with our Government.

At a hearing in the Senate Judiciary Committee in January, chilling testimony was presented about the dangers Iraqis face because of their association with America.

One Iraqi, Sami, was a translator for U.S. and Coalition forces and who now lives in the United States. He said, ``I too, have been targeted for my death. My name was listed on the doors of several mosques calling for my death. Supposed friends of mine saw my name on the list and turned on me because they believed I was traitor . . . In June 2006, I learned that I had been granted special status. As a result, today I live free from the fear of persecution and threats to my life that I faced on a daily basis in Iraq. My hope is that all brave Iraqis who worked and braved so much will have the same chance as I have had to live in freedom.''

Another Iraqi, John, worked as a water service man for U.S. troops. He said, ``My wife, my six children and myself fled Iraq after terrorist groups targeted me and my family because I aided the Americans by supplying water to their service camps.''

Ken Bacon, president of Refugees International, summed it up well when he said, ``There is a large group of Iraqis who have risked their lives to support the United States . . . people are sacrificing their lives to help the United States.''

The legislation has been endorsed by organizations including Refugees International, Refugee Council USA which encompasses Amnesty International USA, Arab-American and Chaldean Council, Chaldean Federation of America, Church World Service/Immigration and Refugee Program, Episcopal Migration Ministries, Hebrew Immigrant Aid Society, Human Rights First, International Rescue Committee, Jesuit Refugee Service/USA, Jubilee Campaign USA, Lutheran Immigration and Refugee Services, Migration & Refugee Services/United States Conference of Catholic Bishops, Southeast Asia Resource Action Center, U.S. Committee for Refugees and Immigrants, Women's Commission for Refugee Women and Children, and WorId Relief, the International Rescue Committee, and the PEN American center.

I urge my colleagues to support this legislation in order to keep the faith with those many brave Iraqis whose lives are in jeopardy because of their association with our forces in Iraq.

I ask unanimous consent that the letters of suport be printed in the Record.

Mr. President, last year, the Nation was stunned by the terrible tragedies at the Sago, Alma, and Darby mines. Those disasters exposed the many failures in our laws on mine safety and mine health, and made clear that it is essential to bring these protections into the modern world.

Last year, Congress came together to take a vital step toward protecting the Nation's miners with the passage of the MINER Act, which addressed critical lapses in mine safety and accident response, but advances in scientific research and technological development show us that there is much more to be done. In part through the new scrutiny that is taking place under the MINER Act, we have learned a great deal more about what puts miners in danger and how to prevent it.

We need to begin to address these other pressing safety and health needs. That is why today I am introducing the Miner Health and Safety Enhancement Act of 2007.

There is much we can do in the area of mine safety emergencies to increase miners' chances of survival, and this legislation encourages the development of technologies to do so. It requires stronger seal barriers to protect miners from explosions in hazardous mining areas. It also requires mine companies to adopt more sophisticated communications technology to stay in touch with miners underground, and to install rescue chambers to protect miners in the event of an explosion or fire.

The bill does more to eliminate dangerous conditions in mines before they harm miners, by banning the unsafe practice of ventilating mines in the same passageway as coal-dust laden conveyor belts. This practice, unfortunately, has been approved by the Bush administration, and it contributed to the tragic fire at Alma mine last year.

Other reforms are essential as well. Establishing a national call center can quickly coordinate emergency information and enhance mine rescue and recovery operations. To see that accident investigations are objective and thorough, the legislation requires an independent investigation to be conducted if miners or their families ask for one.

Successful prevention depends also on the willingness of miners to tell the truth about their working conditions. Safeguards are needed to allow them to speak out about on-the-job hazards without fearing for their jobs. The bill establishes an independent ombudsman, so miners' safety complaints can be heard and fully addressed, without jeopardizing miners who blow the whistle on job hazards.

Tragically, we continue to see miners developing symptoms of black lung disease and other deadly respiratory illnesses of the past. To protect them, the bill requires operators to provide miners with personal dust monitors developed and certified by the National Institute of Occupational Safety and Health. To make underground air safer, the bill adopts the Institute's levels for exposure to coal dust, silica dust, and other air contaminants. It also adopts the higher OSHA standard for asbestos. We cannot continue to allow miners to work without the protection of these important health standards.

Mining is an essential industry, and the nation's miners deserve the safest possible working conditions. We have a responsibility to see that our mine safety laws make our mines the safest and healthiest in the world. America's miners deserve no less. I urge my colleagues to support the Mine Health and Safety Enhancement Act of 2007.

Mr. President, in March of this year, I convened a hearing in the Committee on Small Business and Entrepreneurship to look at what small businesses can do to confront global warming. In February, the Intergovernmental Panel on Climate Change put forward a report that has been referred to as ``the smoking gun'' on global warming, written by more than 600 scientists, reviewed by another 600 experts, and edited by officials from 154 governments, the report provides indisputable evidence that the ice caps are melting, the sea level is rising, and the earth's surface is heating up at an alarming and potentially catastrophic rate.

Senator Snowe and I have worked together on a number of initiatives to combat global warming, including introducing the Global Warming Reduction Act of 2007, an effort to reduce greenhouse gas emissions by 65 percent by the year 2050. Today, we continue this partnership as chairman and ranking member of the Committee on Small Business and Entrepreneurship by introducing the Small Business Energy Efficiency Act of 2007.

There are nearly 26 million small businesses in this country, nearly 26 million business owners that are focused on keeping their doors open and putting food on the table for their families. And while climate change and national energy security sometimes seem like distant threats compared to rising health care costs and staying competitive in an increasingly global economy, small business owners are telling us that energy costs are indeed a concern. The National Small Business Association recently conducted a poll of its members, asking how energy prices affected their business decisions. Seventy-five percent said that energy prices had at least a moderate effect on their businesses, with roughly the same number saying that reducing energy costs would increase their profitability. Despite these numbers, only 33 percent have invested in energy efficient programs.

The Environmental Protection Agency estimates that small businesses consume roughly 30 percent of the commercial energy consumed in this country, that is roughly 2 trillion kBtu of

energy per year, and it is costing small business concerns approximately $29 million a year. Through efforts to increase energy efficiency, small businesses can contribute to America's energy security, help to combat global warming, and add to their bottom line all at the same time.

The Small Business Energy Efficiency Act of 2007 seeks to assist small business owners in doing all of these things. First, the bill requires the Small Business Administration, SBA, to implement an energy efficiency program that was mandated in the 2005 Energy Policy Act. To date, the SBA has dragged its feet in implementing a program that could help small business owners to become more energy efficient. Administrator Preston should implement this important program today, and this bill directs him to do so.

Second, the bill establishes a program to increase energy efficiency through energy audits at Small Business Development Centers, SBDCs. The Pennsylvania SBDC currently operates a similar program, and has successfully assisted hundreds of businesses to become more energy efficient. As a result of the program, six of the eight winners of the 2006 ENERGY STAR Small Business Awards given by the EPA went to Pennsylvania businesses. This program should be replicated so that small businesses across the country have the same opportunity to cut energy costs through the efficiency measures.

In addition, this bill authorizes the Administrator to guarantee on- bill financing agreements between businesses and utility companies, to cover a utility company's risk in entering into such an agreement. The federal government should encourage utility companies to pursue these agreements with businesses, where an electric utility will cover the up-front costs of implementing energy efficiency measures, and a business will repay these costs through the savings realized in their energy bill.

This bill also encourages telecommuting through a pilot program at SBA. The Administrator is authorized to establish a program that produces educational materials and performs outreach to small businesses on the benefits of telecommuting.

Finally, the bill encourages increased innovation by providing a priority status within the SBIR and STTR programs that ensures high priority be given to small business concerns participating in energy efficiency or renewable energy system research and development projects.

As a Nation, we have much to do to secure our future energy supply and to solve the international crisis that is global warming. This bill represents one step in that process--to engage our small business owners in this effort, and to assist them in becoming more aware of what is possible. I urge my colleagues to support this bill, and I thank Senator Snowe for her work in this area.

I ask unanimous consent that the text of the bill be printed in the Record.

Mr. President, today I am introducing legislation with my colleague, Senator Snowe, to increase access to venture capital for small businesses. This type of financing is essential to grow a company, but it's hard to come by, particularly for start-up firms. The Small Business Administration, SBA, has played an important role in filling this gap for almost 50 years with the Small Business Investment Company, SBIC, program.

Since the SBIC program's inception in 1958, SBIC firms have invested $48 billion in more than 100,000 small businesses. For fiscal year 2006 alone, 30 percent of all SBIC investment dollars went to companies that had been in business for two years or less. Overall in that year, SBIC financing supported more than 2,000 small businesses which employed a total of 286,000 Americans.

Many extremely successful companies that received their start from SBIC financing are now household names: Intel, Federal Express, Jenny Craig, and Outback Steakhouse are all SBIC success stories. Companies receiving SBIC financing have also consistently appeared on a variety of prominent business lists, including Inc. 500, BusinessWeek's ``Hot Growth Companies'' and ``Hot Growth Hall of Fame,'' Fortune magazine's ``Best Companies to Work For'' and ``Most Admired Companies,'' and the

Mr. President, in addition to introducing a bill to reauthorize the Small Business Investment Company, SBIC, program, Senator Snowe and I are introducing a bill to extend the New Markets Venture Capital, NMVC, program. The Securing Equity for the Economic Development of Low Income Areas Act of 2007, or the SEED Act, is important to states like Massachusetts and Maine.

Both of our States are home to pioneers in the field of development venture capital, which uses the discipline of traditional venture investing to focus on economic development in low-income areas. We know the benefits of this type of investment and believe the model should be expanded to other parts of the country.

Our support is not new. In my case, I was the sponsor of the Community Development and Venture Capital Act of 1999, which created the New Markets Venture Capital program. Its purpose was to stimulate economic development through public-private partnerships that invest venture capital in smaller businesses located in impoverished rural and urban areas or that employ low-income people.

Both innovative and fiscally sound, this program was built on two of the Small Business Administration's most popular programs. It developed a financial structure similar to that of the successful Small Business Investment Company, SBIC, program, mentioned earlier, while also incorporating a technical assistance component similar to that of SBA's microloan program.

However, unlike the SBIC program, which focuses on small businesses with high-growth potential, the New Markets Venture Capital program focuses on small businesses that show promise of both financial and social returns--what is referred to as a ``double bottom line.'' These businesses have special needs, and they tend to want intensive, ongoing financial, management and marketing assistance, be higher risk, and need longer periods to pay back money than SBIC investments. However, they more than balance out the equation by providing good, stable jobs and creating wealth in our neediest communities.

Unfortunately, the program expired in 2006, and it has been operating under temporary authority since then. The SEED Act seeks to reauthorize, expand, and improve this important program.

First, the bill will reauthorize the program for the next 3 years until 2010, making it possible for the SBA to license up to 20 more New Markets Venture Capital funds. Those funds will have the potential to invest $250 million in small businesses in low-income areas, by leveraging $150 million in debentures. Building on experiences with this program and the Rural Business Investment Company Program, which proved the matching requirement unreasonable and inefficient, the bill changes the operational assistance grants so that firms can get up to $1 million in funding in order to provide the companies they invest in with management assistance services. This support is absolutely necessary to make their business a success. Also important to making future funds successful, we have clarified that new markets venture capital companies have two years to raise their private capital. The committee has been troubled by the Agency's interpretation of the NMVC statute, which they viewed as giving SBA the authority to choose how much time it can give conditionally approved NMVCs to raise private- sector matching money. The chosen time frames were unreasonable and not what Congress intended. This bill clarifies that they get the full 2 years to raise the money. The bill also establishes an office of new markets venture capital so that there are resources devoted to its management and oversight, something lacking in past years. And to try to expand the reach of development capital in other parts of the country, the bill requires the SBA, to the extent practicable, to try and license funds in each of the Agency's ten regions, so that there is diversity. And it requires the SBA, to the extent practicable, to try and license a fund that focuses on investments in small manufacturers, as a way to help stem the loss of manufacturing in this country.

On behalf of the Nation's small businesses and entrepreneurs, I urge my colleagues to support this important legislation. Mr. President, I ask that the bill be printed in the Record.

Mr. President, I rise today to discuss our efforts to address the energy challenges that are facing our Nation today and the solutions we need for tomorrow. I am pleased that the Senate last night passed a comprehensive energy bill that moves our Nation forward.

We all know how important energy is to our economy, our families, and our quality of life. The high cost of energy is putting a painful squeeze on every sector of my home State: Commuters notice every time they fill up the tank; businesses are struggling with the higher costs of transportation; industry is feeling the impact of higher energy costs, and farmers feel the pain both in the price of fuel and fertilizer.

The question is, what are we going to do about it? It is clear there are no silver bullets.

It is going to take smart policies, carried out consistently over many years, to begin to change the way we use and save energy.

Overall, I believe we must focus on several priorities, including: making America more self-reliant so we are less dependent on foreign sources of energy; using innovation to meet our energy needs in creative ways; supporting conservation to reduce our energy demands; investing in education so we can cultivate the scientists, researchers, and workers of the new energy future; and protecting consumers from unscrupulous energy manipulators.

Before I turn to those specific priorities, I want to share with the Senate some of the innovative things that leaders in Washington State are doing to meet our energy needs.

Washington State is moving forward on renewable sources of energy like wind energy.

In April, I had an opportunity to visit the Hopkins Ridge Wind Farm in Columbia County, WA. This is a Puget Sound energy facility that has 83 wind turbines. When they are running at peak capacity, they can generate enough energy on an average basis to supply about 50,000 homes.

In fact, the Ports of Longview and Vancouver in southwest Washington have become a gateway for bringing wind energy components into the United States. I have been able to support their work through the wind energy tax credit. Last year, I got to visit the Port of Longview and see how our longshoremen expertly handle these massive turbines.

Washington's agriculture community is stepping up and embracing renewable sources of energy. This Spring, I was in Colfax, WA, for a roundtable discussion with farmers, and energy was a big part of the discussion.

I can tell you that Washington State farmers are poised to become active players in the renewable energy market. We talked about ways to help them make the transition into biofuel crops.

And there are other innovative projects. In Gray's Harbor, we are moving forward with a biodiesel plant. It will be a new home for Washington state biofuel production, a new source of jobs for the people of Grays Harbor County, and a new way to combat high gas prices. And in the Tri-Cities, we are moving forward with a new research center on biofuels and bioproducts.

In my home State of Washington, we have also been testing some cutting edge technology that puts information into the hands of consumers so they can make informed decisions about how--and when--they use energy.

With the Pacific Northwest National Laboratory and other partners, I helped kick off a GridWise demonstration project to test smart appliances. These appliances give consumers the power to decide when to run them based on the cost of energy. For example, your thermostat could indicate to you when heat costs are at a premium. Or you could set your dryer to run only when energy is a certain price.

We all know that the cost of energy fluctuates throughout the day. Unfortunately, today's consumers don't know the real cost of energy at any given time. So it is hard for them to make informed energy choices.

These innovative appliances were tested for a year in 150 homes, a water-pumping station and a commercial building. The results are impressive. Researchers found that giving consumers these tools helps save energy and reduce demand on the electricity grid. They found that real-time pricing can also alleviate the need to build a new substation.

So I am really proud of the innovative work that is already underway in Washington State, and both Senator Cantwell and I believe it can serve as a model for the progress we can make in the rest of the country.

Now I would like to turn to my energy priorities and some of the positive steps that this bill takes.

My first priority is to help make America more energy self-reliant. Here at home we have tremendous demand for energy and that demand is growing. Unfortunately, today we are still too dependent on foreign sources of energy, particularly oil. That dependence affects our security and our relations with other countries. We need to reduce our dependence, and we can do that through some of the measures in this bill. This bill includes a renewable fuels standard that will increase our use of renewable fuels, including biofuels like cellulosic ethanol and biogas. It also includes tighter CAFE standards for our auto industry, and it increases the number of bioresearch centers focused on biofuel. This bill will also help us diversify our fuel sources by promoting alternative fuels, such as ethanol, biogas, and biodiesel.

I am disappointed that important tax incentives, which would spur the development of renewable electricity, increase the production of alternative transportation fuels, and help homeowners who make their properties more energy efficient, were blocked in a procedural effort by the minority. I am hopeful that these important investments will be restored as this legislation moves forward.

Second, we need to use innovation to help meet our energy needs. This bill will help move forward our innovation agenda by increasing research and development funding for new technologies. It authorizes funding for research in States with low rates of ethanol production. This investment could help Washington get off the ground in the area of cellulosic ethanol. This bill also boosts research in carbon capture and storage. We are doing some interesting work on that at PNNL in my home State, and I am pleased to support further research.

Third, we need to be more aggressive about conserving energy. It is everything from choosing compact fluorescent light bulbs and energy efficient appliances to consolidating errands so you make fewer trips in your car. Through this bill, the Federal Government will lead by example by using energy efficiently and employing conservation practices. It includes, as I mentioned, higher CAFE standards on our vehicles, which will help conserve gasoline. It will promote efficient lighting technologies, efficient vehicles and advanced batteries.

Fourth, we need to expand education so we have the scientists, researchers, and workers to help us reach a new generation of energy innovation.

The existing and new technologies that we will deploy to increase our self-reliance are complicated, and we need to make sure we have a well- trained workforce that is able to implement these forward-thinking technologies. This entails both continuing education for our current workforce, but also training the workers of tomorrow. We must provide these training programs while our young people are still in our educational system.

In my home State of Washington, several universities are addressing these needs by offering curriculums in this area. For example, Gonzaga University in Spokane has a transmission line worker training program.

Central Washington University in Ellensburg wants to teach its students how to operate the efficiency technologies of the future. I think we should support these efforts by ensuring funding for programs like these. I am pleased that this legislation calls out this important issue.

In Washington State, we are also working to educate the next generation of energy innovators.

Washington State University, the Pacific Northwest National Laboratory, and the State of Washington have worked together to create the Bioproducts, Sciences, and Engineering Laboratory in Richland.

This is a pioneering research center where researchers will develop technology to turn biomass into energy and products. It will have teaching laboratories and classrooms and is located on WSU's Tri-Cities campus. I have been pleased to support this project from its inception, and I will continue to do so.

Finally, we need to protect consumers from those who would manipulate the price of energy to take advantage of high demand. One of the things that the Enron scandal revealed is that some people were happy to create false shortages of energy in order to drive up the price.

This bill helps us fight energy manipulators through a price-gouging bill that I co-sponsored, which is including in the underlying bill.

We have a lot of challenges in front of us as individuals and as a country when it comes to energy. But we also have the ability to craft responsible, smart legislation that will help move us in the right direction.

I am pleased to be working to make our country more self-reliant, to invest in innovation, conservation and education and to help protect consumers. I am honored to come from a State that is producing some of the most innovative energy ideas anywhere, and I am excited about moving this bill forward so we can use that progress to benefit our entire country.