WALZ ADDRESSES SKYROCKETING GAS PRICES

07/02/2008

Urges President Bush to Jawbone Oil Companies


(Mankato, Minn) – Today, after listening to constituents at the Mankato Shell gas station, Congressman Tim Walz called upon President Bush to jawbone oil company executives to move swiftly in lowering gas prices and help turn around this sluggish economy.

"Something is out of whack when hard-working Americans – whose incomes have been flat-- must pay for skyrocketing gas prices while major oil companies earn record profits," said Walz. "The oil companies made more than half a trillion dollars in profits since President Bush and Vice President Cheney took office. We now need the President's full attention to bring relief to regular folks."

In 1961, when the steel industry increased prices and threatened the country's economic stability, President John Kennedy asked steel manufacturers to lower their prices. He was successful because he argued that the steel industry had "fared well in recent years" and that its "claim to the support of public opinion will be strengthened by the exercise of price restraint now."

Walz was joined at the station by Steve Martin, local owner of the Shell Gas Station and Paul Kvitek, owner of Paul's Plumbing & Heating in Eagle Lake.

Walz also urged President Bush to help pass a series of legislative initiatives being considered in Congress designed to address high gas prices by restoring responsibility, fairness and consumer safeguards in the oil and gas markets. The legislation will curb reckless speculation in the oil trading markets, halt gas price gouging and force oil companies to drill on the land they've already been given.

"I've heard from constituents about how high gas prices have affected their lives and their pocket books," said Walz. "I've also heard how people think that they are being taken advantaged of by some unscrupulous, bad actors. I can't blame folks for coming to this conclusion especially after the Enron scandal and the ongoing crisis in the home mortgage industry. It is time to bring transparency and fairness to gas prices, and we need the President's help doing it."

The bills Walz asked President Bush to help enact include:

· HR 6346 - Federal Price Gouging Prevention Act - This bill investigates and punishes those who artificially inflate the price of gasoline and diesel fuel. This bill sets criminal penalties for price gouging, and allows states to bring lawsuits against the retailers and wholesalers who are involved in such practices.

· HR 6052 – Saving Energy Through Public Transportation Act of 2008 - This legislation provides grants to mass transit authorities to lower fares for commuters pinched at the pump and expand transit services. This piece of legislation also proposes an additional $24,407,724 in public transportation funding for the state of Minnesota.

· HR 6251 – Responsible Federal Oil and Gas Lease Act – This bill compels the oil industry to start drilling or lose permits on the 68 million acres of undeveloped land they already lease or turn it over to another company.

· HR 6377 – Energy Markets Emergency Act – This bill directs the Commodity Futures Trading Commission to use its emergency tools and authority to curb excessive speculation. Experts believe that as much as $20-60 of the cost of a barrel of oil may be due to excessive speculation.

"Anyone caught attempting to artificially inflate the price of oil or diesel should be brought to justice," said Walz. "The Big Oil companies should 'use or lose' the land that has already been granted by the federal government for drilling."

"Working people, middle-class families, farmers and small businesses in southern Minnesota are feeling economic pain at the gas pump – and it hurts." added Walz. "Locally-run gas stations like the one we're at today are not to blame for the current situation. Stations like this one can barely make a profit on a gallon of gas and are just as frustrated by this situation as the rest of us."