Renewable Energy and Job Creation Act of 2008

Floor Speech

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Mr. HOYER. I thank the gentleman for yielding.

Again, I want to say how much respect I have for Mr. McCrery. I think he is one of the most positive Members of this body. I think he has worked productively with Chairman Rangel, and I have great respect for my colleague. He will be leaving, and that will be a loss for the Congress. I wanted to say that before I begin.

Let me say that we have disagreements. However, and on the overall issue that he raised in closing about paying for this, he is accurate. Now, some of these extenders even pre-date the time when the Republicans were in the majority in 1995 and through 2006. But I think there is consensus on extending them. The difference is, should we pay for them? There are only a number of options, a few options available to us. We can pay for them, or our children can pay for them. Somebody will pay for them. There is not a free lunch.

My view is this supply side economics pretends there is somewhere out there where the tooth fairy is going to deliver the money. There is not a tooth fairy. It is the parent who delivers the money under the pillow when the tooth is lost. But we are the parents, and we need to act as adults. We need to pay for what we buy. And if what we buy is giving somebody a tax incentive because we believe that they will do something good that will advantage our community and our country, then that is fine. I am supportive of that. But we ought to pay for it, because that is our decision.

One of the gentlemen spoke about his two children. I have three children. I have three grandchildren, and I have one great-granddaughter. I'm equally concerned. I'm concerned about the $4 trillion in debt that we've added over the last 6-plus years, and now some $400 billion this year alone. But that is the general philosophy.

The specific philosophy here is we need to be energy independent. We need to be sure that our policies that we pursue do not continue to make us hostage to those who have petroleum products.

Mr. Speaker, I first want to commend Chairman CHARLIE RANGEL and all of the members of the Ways and Means Committee for their hard work on this very important, farsighted legislation, the Renewable Energy and Job Creation Act.

This week the American people are paying, on average, $3.79 per gallon for gasoline. Mr. Hensarling observed that I was laughing when he said the Democrats have been in charge and look what's happened to gas prices. I was laughing because the absurdity is rejected by the American public, that somehow policies that we've adopted over the last year, when the President vetoes anything he doesn't want, has affected those gasoline prices to me is patently absurd and clearly rejected by the American people. It was, I thought then and think now, a laughable proposition to make.

Motorists are paying $4 per gallon, more than $2.50 per gallon more than they were paying when the current administration took office.

To show you the difference, when Bill Clinton was President from 1993 to 2001, gas prices rose from $1.06 to $1.46, 40 cents, or a nickel a year, a nickel a year during those 8 years. During this President's administration, prices are rising a nickel a week.

There is no doubt that this explosion in gasoline prices is squeezing hardworking families who live in every one of our districts who also are coping with the rising costs of food and groceries, health care and education.

This legislation is not a panacea to those immediate concerns. Would that we had one. But it does represent an important step in our continuing effort to reduce our dependence on foreign oil.

Among other things, the bill will establish a new tax credit of $1.01 per gallon for cellulosic biofuel production from now through 2015, so that we can rely on the Middle West and perhaps other parts of our country, rather than the Middle East. It will extend this $1 per gallon biodiesel tax credit, and makes it available to all potential sources of diesel that can be made without petroleum. And it allows jet fuel produced from biomass to qualify for the credit as well.

Furthermore, this legislation will reduce our dependence on imported fuel for our electricity sector by extending and expanding tax incentive for sources of renewable energy including wind, solar and biomass.

It also will encourage the use of plug-in hybrid cars and provide incentives for energy conservation in residential homes, commercial buildings and appliances; all of which, I think, the American public applauds.

Additionally, this bill will help create hundreds of thousands of ``green jobs.'' It will spur American innovation and business investment, which will strengthen our economy today and in the future. And it will provide tax relief for millions of Americans, expanding the child tax credit for the families of 13 million children, helping 4.5 million families better afford college through a tuition deduction, and saving 3.4 million teachers money with a deduction for classroom expenses, so when they buy something for their classroom, like a business expense, they'll be able to deduct it.

Now, many on the Republican side object to this bill because the Democratic majority, in keeping with our commitment to fiscal responsibility and pay as you go budget rules, insists that this legislation be paid for and not add to the national debt.

That's a fundamental difference between our two sides. One believes that tax cuts somehow pay for themselves. Mr. Bernanke doesn't believe that, Mr. Greenspan doesn't believe that, but our Republican colleagues clearly believe it, and they've pursued that policy, which has, as I said, put us over $3 trillion in additional debt over the last 82 months.

To them I simply say: It is long past time that the Members here insist that our Nation pay for the things it buys. To not do so takes the discipline out of the democratic process, because if we can simply charge that which we buy, there will be no discipline on the part of the electorate to say no, we don't want to be taxed to buy that. And I guarantee the system would stop buying it. But if there is no discipline, if we're not paying, my grandchildren will not be able to vote and exercise that discipline.

History, I suggest to my colleagues, is littered with the stories of formerly great nations that began their demise through fiscal profligacy. It is within our power to ensure that the United States of America is never added to that list.

The method by which Chairman Rangel and the committee have paid for the cost of this bill is laudable. Important. This legislation closes loopholes that allow corporations and executives to avoid U.S. taxes by shipping jobs and investments overseas. And because our obligations do not stop, average working Americans, therefore, must pay more if the wealthiest among us who can seek tax havens do not pay their fair share.

This legislation is the right thing to do. Mr. Speaker, this is an excellent bill that will help reduce our dependence on foreign oil and protect our environment, create thousands of jobs and strengthen our economy, and provide tax relief to millions of hardworking Americans.

I commend Mr. Rangel, Mr. McDermott, the members of the committee, and I commend Mr. McCrery for his responsible stewardship as the ranking member and his working to try to bring consensus. We have not reached it in this instance, but I do commend him for his efforts.

And I urge my colleagues, support this important legislation which moves us towards energy independence and a fair and equitable tax system.

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