[Congressional Record (Bound Edition), Volume 155 (2009), Part 10]
[Extensions of Remarks]
[Page 13443]
[From the U.S. Government Publishing Office, www.gpo.gov]




              INTRODUCTION OF THE AFFORDABLE GAS PRICE ACT

                                 ______
                                 

                             HON. RON PAUL

                                of texas

                    in the house of representatives

                         Thursday, May 21, 2009

  Mr. PAUL. Madam Speaker, I rise to introduce the Affordable Gas Price 
Act. This legislation reduces gas prices by reforming government 
polices that artificially inflate the price of gas. While the price of 
gas has not yet reached the record levels of last year, over the last 2 
months the average price of gas has risen approximately 16 percent. In 
some areas, the price of gas is approaching $3.00 per gallon. There is 
thus a real possibility that the American people while soon by once 
again hard hit by skyrocketing gas prices.
  High gas prices threaten our fragile economy and diminishes the 
quality of life for all Americans. One industry that is particularly 
hard hit is the trucking industry. The effects of high gas prices on 
the trucking industry will be reflected in increased costs for numerous 
consumer goods, thus further harming American consumers.
  Unfortunately, many proposals to address the problem of higher energy 
prices involve increasing government interference in the market through 
policies such as price controls. These big government solutions will, 
at best, prove ineffective and, at worst, bring back the fuel shortages 
and gas lines of the seventies.
  Instead of expanding government, Congress should repeal Federal laws 
and polices that raise the price of gas, either directly through taxes 
or indirectly though regulations that discourage the development of new 
fuel sources. This is why my legislation repeals the Federal moratorium 
on offshore drilling and allows oil exploration in the ANWR reserve in 
Alaska. My bill also ensures that the National Environmental Policy 
Act's environmental impact statement requirement will no longer be used 
as a tool to force refiners to waste valuable time and capital on 
nuisance litigation. The Affordable Gas Price Act also provides tax 
incentives to encourage investment in new refineries.
  Federal fuel taxes are a major part of gasoline's cost. The 
Affordable Gas Price Act suspends the Federal gasoline tax any time the 
average gas prices exceeds $3.00 per gallon. During the suspension, the 
Federal Government will have a legal responsibility to ensure the 
Federal highway trust fund remains funded. My bill also raises the 
amount of mileage reimbursement not subject to taxes, and, during times 
of high oil prices, provides the same mileage reimbursement benefit to 
charity and medical organizations as provided to businesses.
  Misguided and outdated trade polices are also artificially raising 
the price of gas. For instance, even though Russia and Kazakhstan allow 
their citizens the right and opportunity to emigrate, they are still 
subject to Jackson-Vanik sanctions, even though Jackson-Vanik was a 
reaction to the Soviet Union's highly restrictive emigration policy. 
Eliminating Jackson-Vankik's threat of trade-restricting sanctions 
would increase the United States' access to oil supplies from non-Arab 
countries. Thus, my bill terminates the application of title IV of the 
Trade Act of 1974 to Russia and Khazaskin, allowing Americans to enjoy 
the benefits of free trade with these oil-producing nations.
  Finally, the Affordable Gas Price Act creates a Federal study on how 
the abandonment of the gold standard and the adoption of freely 
floating currencies are affecting the price of oil. It is no 
coincidence that oil prices first became an issue shortly after 
President Nixon unilaterally severed the dollar's last connection to 
gold. The system of fiat money makes consumers vulnerable to inflation 
and to constant fluctuations in the prices of essential goods such as 
oil.
  In conclusion, Madam Speaker, I urge my colleagues to support the 
Affordable Gas Price Act and end government polices that increase the 
cost of gasoline.

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