Departments of the Interior and Related Agencies Appropriations Act, 2004-Continued

DEPARTMENT OF THE INTERIOR AND RELATED AGENCIES APPROPRIATIONS ACT, 2004—CONTINUED

Ms. COLLINS. Mr. President, I rise today to join the ranking member of the Senate Permanent Subcommittee on
Investigations, Senator LEVIN, in offering an amendment that would require the U.S. Department of Energy to develop and maintain cost-effective procedures to fill the nation's Strategic Petroleum Reserve. The amendment simply requires the Department of Energy to publish procedures for obtaining oil for the Strategic Petroleum Reserve in a manner that maximizes supplies, minimizes costs, and is consistent with national security. The amendment would give the Department of Energy 180 days to publish these procedures and would allow an opportunity for public comment prior to final publication.

Two years ago, Senator CARL LEVIN, who at the time was chairman of the Senate Permanent Subcommittee on Investigations, initiated an investigation into gas prices in the United States. Part-way through this effort he expanded the investigation to include analysis of Department of Energy policies with respect to the Strategic Petroleum Reserve. Last year, I joined Senator LEVIN in requesting information from the Department of Energy on the impacts of filling the Strategic Petroleum Reserve on crude oil prices.

In March of this year, the Permanent Subcommittee on Investigations released a report which described the findings of the investigation. Among other things, the Committee found that inconsistent Department of Energy policies had led to filling the reserve during tight market conditions. The Committee found that this action had increased oil prices, hurt U.S. consumers, and increased the cost to taxpayers.

The Department of Energy should adopt procedures to ensure that oil purchases for the SPR minimize the economic impact on consumers. The Department of Energy needs to take full advantage of techniques such as deferred payments, use of the futures market, and careful cost-benefit analysis in order to lessen the impact of oil purchases on consumers.
Although the Department has used all of these policies on occasion, it should do so consistently.

The United States has the ability to partially mitigate dramatic spikes in gas prices, if we properly use and maintain our domestic reserve. In fact, it is our duty to do so, to ease the economic impact that drastically rising gas prices have on Americans who need to fill their tanks in order to do their jobs, buy their groceries, and drive their kids to school.

Our amendment would ensure that price and market impact are top considerations in managing this vital domestic emergency oil supply. It would give the Department of Energy an opportunity to focus increased attention on its policies and procedures for filling the Strategic Petroleum Reserve, with particular regard to the effect of its policies on gas prices and oil markets. I ask my colleagues to join Senator LEVIN and me in supporting this amendment.

BREAK IN TRANSCRIPT

FUNDING FOR DOWNEAST LAKES FORESTRY PARTNERSHIP, MAINE

Ms. COLLINS. I congratulate the distinguished chairman of the Interior Appropriations subcommittee for the fine work he has done putting together this bill. The bill includes substantial funding for programs to conserve our Nation's treasured lands and resources, including $85 million for the forest legacy program; a program that means so much to my home State of Maine.

There is one Maine conservation project, however, that does not receive funds through the Senate bill. It is the Downeast Lakes Forestry Partnership, the goal of which is the sustainable conservation of 342,000 acres in Maine, including 78,800 acres of pristine lakes, 54,000 acres of productive wetlands, 445 miles of unspoiled shoreline, and 342,000 acres of remote forestland. This important project, which enjoys widespread support in my State, including the support of the Governor, is at a critical stage. But it requires Federal support in the coming fiscal year to help bring the project to fruition.

I would therefore ask the chairman whether he will commit to doing all he can to consider funding the Downeast Lakes Forestry Partnership when this bill goes to conference?

Mr. BURNS. I thank the Senator from Maine for her comments and do pledge to help find funds in conference for the Downeast Lakes Forestry Partnership. The Senator from Maine has been a tireless advocate for this worthy project, and I know that she has suggested that it receive funds from the Forest Service's National Forest System account, or the U.S. Fish and Wildlife Service's Resource Management account. I will use my best efforts to consider funding the Downeast Lakes project as the Senator suggests.

Ms. COLLINS. Thank you, Mr. Chairman, for your pledge of support, and for the leadership you consistently demonstrate on conservation issues.