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[Congressional Bills 106th Congress]
[From the U.S. Government Publishing Office]
[S. Res. 263 Introduced in Senate (IS)]

106th CONGRESS
  2d Session
S. RES. 263

     Expressing the sense of the Senate that the President should 
 communicate to the members of the Organization of Petroleum Exporting 
Countries (``OPEC'') cartel and non-OPEC countries that participate in 
the cartel of crude oil producing countries, before the meeting of the 
OPEC nations in March 2000, the position of the United States in favor 
 of increasing world crude oil supplies so as to achieve stable crude 
                              oil prices.

_______________________________________________________________________

                   IN THE SENATE OF THE UNITED STATES

                           February 28, 2000

Mr. Ashcroft (for himself, Mr. Abraham, Mr. Grassley, Mr. Santorum, Mr. 
 hutchinson, Mr. Smith of New Hampshire, and Mr. Grams) submitted the 
 following resolution; which was referred to the Committee on Foreign 
                               Relations

_______________________________________________________________________

                               RESOLUTION

 
     Expressing the sense of the Senate that the President should 
 communicate to the members of the Organization of Petroleum Exporting 
Countries (``OPEC'') cartel and non-OPEC countries that participate in 
the cartel of crude oil producing countries, before the meeting of the 
OPEC nations in March 2000, the position of the United States in favor 
 of increasing world crude oil supplies so as to achieve stable crude 
                              oil prices.

Whereas the United States currently imports roughly 55 percent of its crude oil;
Whereas ensuring access to and stable prices for imported crude oil for the 
        United States and major allies and trading partners of the United States 
        is a continuing critical objective of United States foreign and economic 
        policy for the foreseeable future;
Whereas the 11 countries that make up the Organization of Petroleum Exporting 
        Countries (``OPEC'') produce 40 percent of the world's crude oil and 
        control 77 percent of proven reserves, including much of the spare 
        production capacity;
Whereas beginning in March 1998, OPEC instituted 3 tiers of production cuts, 
        which reduced production by 4,300,000 barrels per day and have resulted 
        in dramatic increases in crude oil prices;
Whereas in August 1999, crude oil prices had reached $21 per barrel and 
        continued rising, exceeding $25 per barrel by the end of 1999 and $27 
        per barrel during the first week of February 2000;
Whereas crude oil prices in the United States rose $14 per barrel during 1999, 
        the equivalent of 33 cents per gallon;
Whereas the increase has translated into higher prices for gasoline and other 
        refined petroleum products; in the case of gasoline, the increases in 
        crude oil prices have resulted in a penny-for-penny passthrough of 
        increases at the pump;
Whereas increases in the price of crude oil result in increases in prices paid 
        by United States consumers for refined petroleum products, including 
        home heating oil, gasoline, and diesel fuel; and
Whereas increases in the costs of refined petroleum products have a negative 
        effect on many Americans, including the elderly and individuals of low 
        income (whose home heating oil costs have doubled in the last year), 
        families who must pay higher prices at the gas station, farmers (already 
        hurt by low commodity prices, trying to factor increased costs into 
        their budgets in preparation for the growing season), truckers (who face 
        an almost 10-year high in diesel fuel prices), and manufacturers and 
        retailers (who must factor in increased production and transportation 
        costs into the final price of their goods): Now, therefore, be it
    Resolved, That it is the sense of the Senate that--
            (1) the President should immediately communicate to the 
        members of the Organization of Petroleum Exporting Countries 
        (``OPEC'') cartel and non-OPEC countries that participate in 
        the cartel of crude oil producing countries that--
                    (A) the United States seeks to maintain strong 
                relations with crude oil producers around the world 
                while promoting international efforts to remove 
                barriers to energy trade and investment and increased 
                access for United States energy firms around the world;
                    (B) the United States believes that restricting 
                supply in a market that is in demand of additional 
                crude oil does serious damage to the efforts that OPEC 
                members have made to demonstrate that they represent a 
                reliable source of crude oil supply;
                    (C) the United States believes that stable crude 
                oil prices and supplies are essential for strong 
                economic growth throughout the world; and
                    (D) the United States seeks an immediate lifting of 
                the OPEC crude oil production quotas;
            (2) the President should review administrative policies 
        that may put an undue burden on domestic crude oil producers, 
        and should consider lifting unnecessary regulations that 
        interfere with the ability of United States energy industries 
        to supply a greater percentage of the energy needs of the 
        United States; and
            (3) the Senate, when it considers the fiscal year 2001 
        Federal budget, should appropriate sufficient funds for the 
        development of alternative energy resources, including measures 
        to increase the use of biofuels and other renewable resources, 
        to reduce the dependence of the United States on foreign energy 
        sources.
                                 <all>
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