Creating Long-Term Energy Alternatives for the Nation Act of 2007--Continued

Floor Speech

CREATING LONG-TERM ENERGY ALTERNATIVES FOR THE NATION ACT OF 2007--Continued -- (Senate - June 20, 2007)

AMENDMENT NO. 1666

Mr. DURBIN. Mr. President, one of the pending amendments we will consider very shortly is by Senator Inhofe, and this would create an additional mechanism that would interrupt the bill's renewable fuels standard depending on the ratio of stocks of corn to total corn use, known as the stocks-to-use ratio.

Statistics show that stocks-to-use does not correlate to price and supply information. In addition, there is already a waiver provision in the bill that offers protection to consumers if corn prices or availability becomes unsustainable.

According to one economic analysis, the 10-percent stocks-to-use trigger required by this amendment would suppress corn prices to $2.50 to $2.60 a bushel.

In the current farm bill, the target price is $2.63. So by artificially suppressing the price of corn from $2.50 to $2.60, the Inhofe amendment would put downward pressure on prices and cause the triggering of loan deficiency payments. As a result, this amendment would cost the Government more in farm payments.

I am going to urge my colleagues to oppose this amendment. I understand there is a budget point of order. I have notified Senator Inhofe that I will raise that point of order at the appropriate time.

I reserve the remainder of my time.

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Mr. DURBIN. Mr. President, this Inhofe amendment is one I am opposing, and I urge my colleagues to oppose it. There is already a waiver provision in the bill that offers protection to consumers if corn prices or availability become unsustainable.

Unfortunately, the language of the Inhofe amendment could trigger a dramatic decrease in income of farmers and a dramatic increase in Government costs. As a result, I raise a point of order that the pending amendment violates section 201 of Senate Concurrent Resolution 21, the concurrent resolution on the budget for fiscal year 2008.

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Mr. DURBIN. Mr. President, first, I ask unanimous consent to have printed in the Record a letter in opposition to the Inhofe amendment from the American Coalition for Ethanol, the American Farm Bureau Association, the National Association of Wheat Growers, the National Association of Corn Growers, National Farmers Union, National Sorghum Producers, and the Renewable Fuels Association.

There being no objection, the material was ordered to be printed in the RECORD, as follows:

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Mr. DURBIN. I make the point again that there is already a waiver provision in this bill. The Inhofe amendment goes too far in that regard.

If it is the appropriate time, I will raise my point of order.

The PRESIDING OFFICER. The Senator may make the point of order.

Mr. DURBIN. Mr. President, I raise a point of order that the pending amendment violates section 201 of Senate Concurrent Resolution 21, the concurrent resolution on the budget for fiscal year 2007.

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