Posted on 04/29/2008 7:08:59 AM PDT by Born Conservative
WILKES-BARRE – U.S. Rep. Paul Kanjorski said it’s time for America to stand up to the big oil companies and shout out, “We’ve had enough.”
Kanjorski, D-Nanticoke, was in town Monday to announce his introduction of House Resolution 5800, the Consumer Reasonable Energy Price Protection Act of 2008. The bill, introduced on the House floor April 15, would allow the federal government to tax windfall oil and gas profits resulting from historically high oil and gas prices that average Americans struggle to afford, he said.
The 12-term incumbent acknowledged his proposal and four similar ones in the House of Representatives don’t have a chance of becoming law.
“But even if we can get them through Congress, the president has already said he will veto them,” Kanjorski said. “Thank goodness this is a presidential election year. We really need new leadership. People will be voting on substantive issues in this election – the economy, health care, education.”
Kanjorski said industries yield windfall profits when earnings exceed what a Reasonable Profits Board determines is rational, as laid out in the legislation.
The proposal was referred to the Committee on Ways and Means, and to the Committee on Appropriations, for a period to be determined by House Speaker Nancy Pelosi.
Speaking at Phil’s Sunoco Gas Station on South Main Street, Kanjorski blasted the Bush administration, saying the more than $15 billion in tax breaks given to oil companies have “done nothing” to benefit consumers. Gas was priced at $3.59.9 for octane 87 at Phil’s on Monday.
In 2007, Kanjorski said the Big Five oil companies reported record profits, with Exxon Mobil making more than $40 billion -- the largest corporate profit in American history. In a few days, Exxon is expected to announce its net income will rise around 22 percent. A windfall tax would help discourage these industries from consistently increasing their prices, the congressman said.
Kanjorski said the oil companies are not sympathetic to the plight of the American gas customers. He said things have to change soon.
“We’re paying $120 per barrel of oil, when we used to pay $20 or $30,” Kanjorski said. “And we have sent 130,000 of our sons and daughters to fight to preserve their independence. The oil countries are trying to bring America to its knees, and we can’t let that happen.”
Kanjorski said his bill is the latest of five proposals that have passed the House of Representatives. He said the bills always seem to stall in the Senate.
Kanjorski said he can’t understand why the oil companies can’t take a lesser profit.
“If gas costs $8 per gallon, will people still buy it?” Kanjorski asked. “I’m convinced that the only way to make it affordable is to use less gas. We have to send a message.”
Phil Pisano owns the Sunoco station that his father opened in 1958. He said he hasn’t seen a drop off in gas sales despite the rising cost per gallon.
“They’re still buying it,” Pisano said. “But they are always complaining about the high prices. They understand it’s not my fault.”
Pisano’s dad died on March 12. Pisano said his dad had hoped to celebrate 50 years in the business.
“He never retired,” Pisano said of his father. “My son works here now. Thank God we have our repair business or we couldn’t survive.”
Pisano said even though the price at the pump is higher, his profits haven’t increased.
While Pisano was working, Joseph and Rosemary Morrash stopped to fill up. They were returning to Pittsburgh after attending a family reunion in Wilkes-Barre over the weekend.
“It’s a little ridiculous,” said Mr. Morrash about the price of gas. “I don’t mind them making a profit, but there should be a limit. The oil companies make enough money; they shouldn’t be so greedy.”
Morrash said he will contact his congressman, U.S. Rep. Mike Doyle, D-Pittsburgh, when he returns to ask him to support Kanjorski’s bill.
Kanjorski’s plan • H.R. 5800 would tax industries’ windfall profits.
• The bill would set up a Reasonable Profits Board to determine when these companies’ profits are in excess, and then tax them on those windfall profits.
• As oil and gas companies’ windfall profits increase, so would the tax rate for those companies.
• Kanjorski said his legislation will encourage oil companies to lower prices to prevent them from receiving higher tax rates.
• According to AAA, gas prices have reached a record $3.613 a gallon in Northeastern Pennsylvania, more than 70 cents higher than the pump price a year ago and more than double the price in 2001.
Microsoft and Oprah are making too much money also. /sarcasm
Until then, it's all blather and drivel.
how come this doofus doesnt rail against the huge profit the government makes on the outrageous taxes per gallon????
how come he doesnt lash out at the anti american greenie weenies who have regulated our energy companies and stopped up from using our own abundant oil supplies that would help bring down the cost????
damn leftists...
How is increasing the tax, lowering the return on investment on my 401K, and giving the money to the government a solution to anything?
“The 12-term incumbent acknowledged his proposal and four similar ones in the House of Representatives don’t have a chance of becoming law.”
But it’s OK for him to posture and prate and act like he gives a crap or even knows anything about the subject matter. It’s time to invoke a “loser pays” system for specious bills in Congress, where a representative is charged back for administrative time. Where was this guy with the oil company sob story when oil was $10 a barrel back in ‘00?
Who’s next - Big Pharma, Microsoft, Soros, trial lawyers, unions? Oh.
Who’s next - Big Pharma, Microsoft, Soros, trial lawyers, unions? Oh.
What an idiot!
Your question contains its own answer.
Probably the only true statement in this entire article.
Actually it’s time for America to stand up to the environmentalist pigs and start drilling at home.
Coca Cola is completely out of control.
The last thing the oil industry needs now is uncertainty on how much taxes they will pay.
Say, Paul, find some more railroads to pave over so we can drive our gasoline buggies even more instead.
A windfall tax would help discourage these industries from consistently increasing their prices, the congressman said.
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How about the taxes they already pay? When is government going to quite putting it to us at the gas pump and also open up some resources?
ExxonMobil 2007
Revenue $404.6 Billion
Profit $40.6 Billion (10.0%)
Taxes $102.5 Billion (25.3%)
Sales-Based taxes $31.728B
Other taxes and duties $40.953B
Income taxes $29.864B
2007 Financial & Operating Review
http://www.exxonmobil.com/corporate/files/news_pub_fo_2007.pdf
Page 16
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ConocoPhillips 2007
Revenue $194.5 Billion
Profit $11.9 Billion (6.1%)
Taxes $30.4 Billion (15.6%)
Taxes other than income taxes $18.990B
Income taxes $11.891B
2007 Annual Report
http://www.conocophillips.com/NR/rdonlyres/3838234F-F20C-4BCE-AE8D-78DE29D67455/0/07RevisedARfinal.pdf
Page 60
- - - - - - - - -
Chevron 2007
Revenue $220.9 Billion
Profit $18.7 Billion (8.5%)
Taxes $35.7 Billion (16.2%)
Taxes other than income taxes $22.266B
Income taxes $13.479B
2007 Annual Report Supplement
http://media.corporate-ir.net/media_files/irol/13/130102/reports/CVX_ARsupp07.pdf
Page 3
- - - - - - - - -
Marathon 2007
Revenue $62.8 Billion
Profit $4.0 Billion (6.3%)
Taxes $8.5 Billion (13.5%)
Consumer excise taxes $5.163B
Other taxes $0.394B
Income taxes $2.901B
2007 Annual Report
http://www.marathon.com/content/documents/investor_center/annual_reports/annual_report_2007_book.pdf
Page F-4
Exactly. How does this benefit the average American? This is a tax hike specifically targetting and discriminating against a single industry. Doesn’t this idiot realize that all taxes are ultimately paid by the comsumer and not the corporations? That was a rhetorical question; of course he does. He’s just another Democrat trying to reach into our pockets while telling us it’s for our own good. Why don’t these knuckleheads simply cut out the pork? The government has plenty of money already.
They won't be buying it when your tanks are empty moron!
Yes, lets revisit 1970’s gas rationing. 12 year Congressman and this jackass still doesn't know jack sh** about economics. I can picture people today going through gas lines like we did in the 70’s. The carnage would be spectacular.
Guys like Kanjorski are why we have to put up with Polish jokes.
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