As Gas Prices Rise, Menendez Calls For A Common Sense Proposal To Help Ease Pain At The Pump

As Gas Prices Rise, Menendez Calls For A Common Sense Proposal To Help Ease Pain At The Pump

If we drill oil in America, WE SHOULD KEEP IT in America, Senator Says

Weehawken - As gas prices continue to squeeze family budgets and local businesses across New Jersey and the country, U.S. Senator Robert Menendez (D-NJ) today called for common sense legislation that would keep more oil that is produced in the United States here in the United States, increasing our supply, and helping to reduce prices at the pump. Menendez made the announcement at a press conference outside a local gas station in Weehawken where gas prices have exceeded $3.60 a gallon.

"Our families and local businesses are getting squeezed, taking it on the chin every time they go to fill up at the gas pump," said Menendez. "For the first time since 1949, the U.S. is exporting more oil products than it imports. What if we kept more of that fuel here? Our families and local business owners deserve to know that oil produced from land belonging to American taxpayers is used to increase the supply here at home, not sent to the other side of the world."

The average price for a gallon of gas in New Jersey is $3.60 according to AAA. That's up 45 cents since January 1, 2012. Many experts predict prices could reach over $4 by summer. America exports more than 3 million barrels a day (mostly in the form of refined products), equal to approximately 30% of U.S. produced crude oil and other liquid fuel production. That includes 73 million gallons of diesel and gasoline that we export for vehicles abroad every day.

Rising gasoline prices are hitting families, decreasing the amount of money they have left over for other expenses. The high cost of diesel affects the prices of most everything consumers buy, by increasing costs for businesses who produce and ship products. Rising diesel prices raise costs for the construction industry, long- and short-haul trucking and cargo delivery, express and regular mail delivery, rail freight costs, and farming and agriculture costs.

Joseph Messina, a Belleville native who works as a CPA in Bloomfield with his father, spoke about how rising gas prices are affecting their business saying, "It would be nice to buy better tax software, better accounting software, but it's just not possible with money going elsewhere."

"What I'm most proud of as a business person is our reputation for sitting down with our clients and really taking the time to give them quality service," Joseph added. "People expect me to come to them. With gas prices being what they are, I have to choose between disappointing a client or paying huge costs on gas."

Mike Horak, a longtime manager at Academy Bus based in Hoboken, joined Menendez at the press conference and also spoke about how the high cost of diesel fuel makes the cost of doing business higher, and tougher on the pocketbooks of their customers. Academy operates a fleet of over 600 buses and HAS been in business in New Jersey and based in Hoboken for almost 50 years. They employ 1300 people.

"Diesel fuel is the largest single variable expense for Academy and most motor carrier operations," said Horak. "A one cent adjustment in the cost per gallon has a tremendous impact on our operations and our passengers who rely on us to get to work. We are a family run business moving tens of thousands of hard working New Jerseyans each day. Our passengers depend on us to keep their costs to commute as stable as possible. Despite incorporating many fuel saving technologies and operational efficiencies, it is impossible to continue to absorb these ever increasing expenses. We support Senator Menendez's call to action. The time for a comprehensive US energy policy to support US interests is long overdue."

Senator Menendez's plan would keep more of the oil produced in the United States here for domestic consumption. His American Oil for American Families Act would ensure that oil or petroleum products that originate within American public lands or waters are not exported as crude or in refined form. That would increase our supply at home, and help reduce prices at the pump.

Menendez has also been a leader in the fight to end taxpayer subsidies for big oil companies. Just last year, the Big 5 oil companies once again reported sky-high profits, making a combined $137 billion. Nearly $2 billion of their profits were from taxpayer subsidies. For every 1 cent increase in gasoline prices, the Big 5 make $800 million more in annual profits.

Background on Senator Menendez's plan to Keep American Oil in America:

Senator Menendez will reintroduce legislation to keep more of the oil produced in the United States here for domestic consumption. The American Oil for American Families Act would ensure that oil or petroleum products that originate within American public lands or waters are not exported as crude or in refined form. Currently, more than 3 million barrels of U.S.-produced crude oil and petroleum products are sent abroad each day.

Facts:

• Because of increased fuel efficiency standards and increased oil production the last few years, America now imports less than half of the oil it uses.

• Domestic production of crude oil and other liquid fuels has grown by more than a million barrels a day since 2008.

• America now exports more than 3 million barrels a day (mostly in the form of refined products), equal to approximately 30% of U.S. crude oil and other liquid fuel production.

• Of the oil that the U.S. produces approximately 30% is produced from public lands and waters. Senator Menendez's legislation will only restrict exports of oil from public lands and waters because this oil is clearly the American people's oil and we should be able to decide how to use it.

• The U.S. exports 73 million gallons per day in gasoline and diesel. This fuel could be used here to lower prices.

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