[Congressional Record Volume 153, Number 96 (Thursday, June 14, 2007)]
[Senate]
[Pages S7748-S7749]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Mr. KERRY (for himself and Ms. Cantwell):
  S. 1631. A bill to establish an emergency fuel assistance grant 
program for small businesses during energy emergencies; to the 
Committee on Environment and Public Works.
  Mr. KERRY. Mr. President, last month, Americans emptied their wallets 
at the pump, paying record prices that reached $3.22 a gallon according 
to the Department of Energy's Energy Information Administration. This 
price represented a 28-percent increase over a period of just 2 months, 
and 52-percent increase since the end of January. Rising prices 
underscore the increased attention that small business owners are 
paying to this issue. According to a survey conducted by the National 
Small Business Association, NSBA, 62 percent of small businesses use 
vehicles for delivery or customer transportation, and a majority of 
those who use vehicles travel more than 50 mile a day.
  According to the Energy Information Administration's June 12 update 
to the ``Short Term Energy Outlook,'' gas prices are expected to 
average $3.05 through the 2007 summer months, an increase of 21-cents 
over last summer's average price. Meanwhile, small businesses that 
operate close to the margin and that rely on vehicles every day to 
remain competitive are struggling to keep up.
  These are the same businesses coping with considerable increases in 
the cost of providing their employees health care, the same burgeoning 
entrepreneurs that we count on to create roughly two-thirds of the new 
jobs in this country. These businesses can no longer be expected to 
shoulder a burden created by a Government that has been reluctant to 
shift its priorities from serving the same old special interests.
  The good news is that right now, the Senate is debating legislation 
that would put the country on a clear path towards energy independence. 
In a single month, we could rewrite the shameful story of 
procrastination, manipulation and, most of all, failed leadership that 
has defined our energy policy for 30 years.
  Democrats in the Senate are working to develop a comprehensive energy 
policy that will make America safer and will stabilize and lower fuel 
costs for small businesses and all Americans. But in order to 
effectively address energy security, the final legislation must include 
three components: 1. a major increase in the efficiency of all sources 
and uses of energy, from pickup trucks to fluorescent light bulbs; 2. 
dramatic incentives for all renewable

[[Page S7749]]

energy sources, including the requirement that at least 20 percent of 
our energy come from renewable sources like wind and solar by 2020; and 
3. a comprehensive plan to get clean coal technologies and carbon 
sequestration off the drawing board and under construction.
  These are the first steps Congress must take to address the long term 
security and stability of this country's fuel supply. But there are 
other steps we can take in the short term to make sure our small 
businesses are protected against dramatic interruptions in fuel.
  Today, I am introducing legislation that creates an emergency fuel 
assistance program for small businesses in the event of a severe fuel 
interruption. Under this program, small businesses and farms that rely 
on fuel as a key operating cost would be eligible to receive grants to 
help them stay afloat during periods of extraordinarily high gas 
prices. This program could go a long way toward helping businesses 
operating close to the margin deal with costs that are beyond their 
control.
  Specifically, the Small Business Emergency Fuel Assistance Act of 
2007 would create a program within the Economic Development Agency at 
the Department of Commerce to assist small businesses through State 
grants during declarations of fuel emergency. The program is triggered 
by a Presidential declaration of fuel emergency, and would authorize 
the Secretary of Commerce to give grants to States to provide 
assistance to fuel-dependent small businesses. Eligibility for these 
grants is restricted to businesses with fewer than 50 employees or less 
than $5 million in annual gross receipts. Furthermore, to ensure that 
these businesses are also contributing to America's energy conservation 
efforts, eligibility would be contingent upon a business having a plan 
to become more energy efficient. The program would be authorized at 
$100 million per year, for 5 years.
  For too long, we have asked Americans to put up with an energy supply 
that is unstable and flat out dangerous. The path to energy security, a 
path that is being cut in the Senate as we speak, will lead to 
stability and lower prices at the pump. In the meantime, this is a 
commonsense policy to aid our small business and small farm owners in 
the short term, so that they can continue to do what they do best, grow 
the American economy.
  Mr. President, I ask unanimous consent that the text of the bill be 
printed in the Record.
  There being no objection, the text of the bill was ordered to be 
printed in the Record, as follows:

                                S. 1631

       Be it enacted by the Senate and House of Representatives of 
     the United States of America in Congress assembled,

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Small Business Emergency 
     Fuel Assistance Act of 2007''.

     SEC. 2. EMERGENCY FUEL ASSISTANCE PROGRAM.

       There is established within the Economic Development 
     Administration of the Department of Commerce, an emergency 
     assistance program for small businesses and small farms 
     dependent on fuel.

     SEC. 3. PRESIDENTIAL DECLARATION OF ENERGY EMERGENCY.

       (a) In General.--If the President determines that the 
     health, safety, welfare, or economic well-being of the 
     citizens of the United States is at risk because of a 
     shortage or imminent shortage of adequate supplies of crude 
     oil, gasoline or petroleum distillates due to a disruption in 
     the national distribution system for crude oil, gasoline or 
     petroleum distillates (including such a shortage related to a 
     major disaster (as defined in section 102(2) of the Robert T. 
     Stafford Disaster Relief and Emergency Assistance Act (42 
     U.S.C. 5122(2))), or significant pricing anomalies in 
     national energy markets for crude oil, gasoline, or petroleum 
     distillates, the President may declare that a Federal energy 
     emergency exists.
       (b) Scope and Duration.--The emergency declaration declared 
     pursuant to subsection (a) shall specify--
       (1) the period, not to exceed 30 days, for which the 
     declaration applies;
       (2) the circumstance or condition necessitating the 
     declaration; and
       (3) the area or region to which it applies which may not be 
     limited to a single State; and
       (4) the product or products to which it applies.
       (c) Extensions.--The President may--
       (1) extend a declaration under subsection (a) for a period 
     of not more than 30 days;
       (2) extend such a declaration more than once; and
       (3) discontinue such a declaration before its expiration.

     SEC. 4. AUTHORIZATION OF GRANTS.

       (a) In General.--During any energy emergency declared by 
     the President under section 3, the Secretary of Commerce is 
     authorized to award grants to States under a declaration of 
     fuel supply interruption in accordance with this Act.
       (b) Allocation Formula.--Subject to subsection (c), the 
     Secretary shall award grants to States, in accordance with an 
     allocation formula established by the Secretary, that is 
     based on the pro rata share of each State of the total need 
     among all States, as applicable, for emergency assistance for 
     fuel interruption, as determined on the basis of--
       (1) the number and percentage of qualifying small 
     businesses and small farms operating within a State;
       (2) the increase in price of fuel in a State; and
       (3) such other factors as the Secretary determines to be 
     appropriate.
       (c) State Allocation Plan.--Each State shall establish, 
     after giving notice to the public, an opportunity for public 
     comment, and consideration of public comments received, an 
     allocation plan for the distribution of financial assistance 
     under this section, which shall be submitted to the Secretary 
     and shall be made available to the public by the State, and 
     shall include--
       (1) application requirements for qualifying small 
     businesses and small farms seeking to receive financial 
     assistance under this section, including a requirement that 
     each application include--
       (A) demonstration of need for assistance under this 
     section;
       (B) a plan to decrease the total commercial energy usage of 
     the small business through energy efficiency measures, such 
     as those promoted through the Energy Star Program; and
       (C) if a small business or small farm has previously 
     received assistance under this section, evidence that the 
     small business or small farm has implemented the plan 
     previously documented under subparagraph (B); and
       (2) factors for selecting among small businesses and small 
     farms that meet the application requirements, with preference 
     given to small businesses and small farms based on the 
     percentage of operating costs expended on fuel.

     SEC. 5. ELIGIBILITY.

       A small business or small farm is eligible for a grant 
     under this Act if--
        (a) the average gross receipts of the small business or 
     small farm for the 3 preceding taxable years does not exceed 
     $5,000,000; or
       (b) the small business or small farm employed an average of 
     more than 1 and fewer than 50 qualified employees on business 
     days during the preceding taxable year.

     SEC. 6. DEFINED TERM.

       In this Act, the term ``aggregate gross assets'' has the 
     meaning given such term in section 1202(d)(2) of the Internal 
     Revenue Code of 1986.

     SEC. 7. AUTHORIZATION OF APPROPRIATIONS.

       There are authorized to be appropriated to the Department 
     of Commerce $100,000,000 for each of the fiscal years 2008 
     through 2012 to carry out this Act.
                                 ______