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Washington, DC – Congressman Bill Shuster, in the aftermath of Katrina, voted in support of legislation today calling for more oil refinery capacity to increase America’s energy independence. The Gasoline for America’s Security Act takes action to potentially lower and stabilize the cost of gasoline over the mid- and long-term through energy policy targeting both supply and demand. As the relief and rebuilding costs for the Gulf Coast mount, Congress is also addressing ways to offset spending.
“When the price of gas is not stable and it sky-rockets because of an unexpected shock, everyone takes a hit,” said Shuster. “Meeting the day-to-day demands of a small business is not easy, especially when gas prices are unpredictable. I owned a small business for years, and I understand the budget problems it can cause.”
H.R. 3893 encourages refineries to increase capacity and reduce their concentration along the Gulf Coast. Approximately 47 percent of our refining capacity is in the Gulf Region and 28 percent of our oil production is concentrated in the Gulf of Mexico. Because of this, even one unscheduled refinery shutdown, never mind a disaster such as Hurricane Katrina, can cause gas price inflation. The bill passed the House 212 – 210 and awaits Senate action.
Before Hurricane Katrina Congress was on a path to reduce mandatory spending significantly and to shrink the federal deficit by $67 billion in 2005. Mandatory spending makes up two-thirds of the federal budget. In order to continue this fiscal discipline, the House of Representatives is working together to offset spending increases for relief by restraining future costs.
“There are a lot of ideas on the table but nothing is set,” said Shuster. “One of the options I have heard is to cut across the board by two percent, which probably makes the most sense because it plays no favorites and makes everyone do their part for fiscal discipline. Even if we cut only two percent across the board, the savings would be about $17 billion.” |
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