[Congressional Record Volume 157, Number 63 (Tuesday, May 10, 2011)]
[Senate]
[Pages S2816-S2817]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                         OIL COMPANY SUBSIDIES

  Mr. REID. Madam President, saving money requires a lot of very 
difficult choices: Which programs do we cut in these tough times? Which 
priorities are more important than others? As we have seen in the 
Senate and across the country over the last few months, a lot of people 
have a lot of different answers to these questions.
  Democrats believe we have to get our spending under control, and we 
have to look at what needs to be cut. But we need to have a fair 
program, one that looks at what we are going to do long term with the 
equities of our spending programs. We have to look at what we do with 
revenues to make sure they are fair and balanced. So there are a lot of 
choices.
  My friend, the Speaker of the House, gave a speech last night in New 
York. He talked about raising the debt limit and some of the things he 
thinks would be necessary in order to get that done. But I would direct 
the attention of my friend, the Speaker, to one way it would go very 
quickly to solving some of these problems. We know there is waste in 
the Federal budget and the Tax Code, but what I want to direct the 
attention of my friend, the Speaker, to is these five big oil 
companies.
  We, as taxpayers, are giving billions and billions of dollars every 
year to these companies--billions every year. Every cent of it is 
taxpayer money to oil companies that already are more than successful.
  These oil companies made $36 billion in profits during the first 
quarter of this year. I repeat that: $36 billion in profits during the 
first quarter of this year. ExxonMobil alone made 70 percent more this 
year than they did last year. Exxon holds the record for making more 
than any corporation in the history of our country in years past. These 
oil companies, I repeat, made $36 billion in the first quarter.
  The industry's $36 billion in quarterly profits means they are making 
about $12 billion a month or $4 billion a week, and yet the U.S. 
Government is giving these companies billions of dollars in corporate 
welfare every year. That is unnecessary. Why are taxpayers on the hook 
for oil companies that are doing just fine on their own?
  If we are serious about reducing the deficit, what an easy place to 
start, I say to my friend, the Speaker of the House of Representatives. 
It is a no-brainer. Let's use these savings from these taxpayer 
giveaways to drive down the deficit, not drive up the profits of oil 
companies.
  We need to make one thing very clear: Wasteful subsidies have nothing 
to do with gas prices. These oil handouts have existed for decades. 
Prices have continued to rise. Oil executives' paychecks have also 
continued to rise.
  In the State of Alaska they are paying $8 or $9 a gallon for 
gasoline. In the State of California, there are places where you pay as 
much as $5 a gallon for gasoline. Here at an Exxon station along the 
waterfront, I looked out the other day, and the gas prices there were 
within a few cents of being $5 a gallon. That is in our Nation's 
Capital. So that money Americans are paying at the pump is not related 
to those subsidies I have talked about, but those profits are proof 
enough they do not need them. The companies do not need those 
subsidies. Even big oil CEOs, such as the head of Shell, and 
Republicans in Congress--even my friend, the Speaker--have said on 
occasion these subsidies are not necessary.
  Some of our conservative colleagues have a hard time stomaching 
giving a hand to those who need it the most. But we should all agree--
in the interest of fairness, common sense, and saving taxpayer money--
that we cannot continue with this corporate welfare to those big oil 
companies that need it the least. That is a good place to start.

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