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[Congressional Bills 106th Congress]
[From the U.S. Government Publishing Office]
[S. 1951 Introduced in Senate (IS)]

106th CONGRESS
  1st Session
                                S. 1951

  To provide the Secretary of Energy with authority to draw down the 
   Strategic Petroleum Reserve when oil and gas prices in the United 
States rise sharply because of anticompetitive activity, and to require 
    the President, through the Secretary of Energy, to consult with 
    Congress regarding the sale of oil from the Strategic Petroleum 
                                Reserve.

_______________________________________________________________________

                   IN THE SENATE OF THE UNITED STATES

                           November 17, 1999

  Mr. Schumer (for himself and Ms. Collins) introduced the following 
bill; which was read twice and referred to the Committee on Energy and 
                           Natural Resources

_______________________________________________________________________

                                 A BILL

 
  To provide the Secretary of Energy with authority to draw down the 
   Strategic Petroleum Reserve when oil and gas prices in the United 
States rise sharply because of anticompetitive activity, and to require 
    the President, through the Secretary of Energy, to consult with 
    Congress regarding the sale of oil from the Strategic Petroleum 
                                Reserve.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Oil Price Safeguard Act''.

SEC. 2. FINDINGS.

    Congress finds that--
            (1) a sharp, sustained increase in the price of crude oil 
        would negatively affect the overall economic well-being of the 
        United States;
            (2) the United States currently imports roughly 55 percent 
        of its oil;
            (3) heating oil price increases disproportionately harm the 
        poor and the elderly; and
            (4) the global oil market is often greatly influenced by 
        nonmarket-based supply manipulations, including price fixing 
        and production quotas.

SEC. 3. DRAWDOWN OF STRATEGIC PETROLEUM RESERVE.

    Section 161(d) of the Energy Policy and Conservation Act (42 U.S.C. 
6241(d)) is amended by adding at the end the following:
            ``(3) Reduction in supply caused by anticompetitive 
        conduct.--
                    ``(A) In general.--For the purposes of this 
                section, in addition to the circumstances set forth in 
                section 3(8) and in paragraph (2) of this subsection, a 
                severe energy supply interruption shall be deemed to 
                exist if the President determines that--
                            ``(i) there is a significant reduction in 
                        supply that--
                                    ``(I) is of significant scope and 
                                duration; and
                                    ``(II) has caused a significant 
                                increase in the price of petroleum 
                                products;
                            ``(ii) the increase in price is likely to 
                        cause a significant adverse impact on the 
                        national economy; and
                            ``(iii) a substantial cause of the 
                        reduction in supply is the anticompetitive 
                        conduct of 1 or more foreign countries or 
                        international entities.
                    ``(B) Deposit and use of proceeds.--Proceeds from 
                the sale of petroleum drawn down pursuant to a 
                Presidential determination under subparagraph (A) 
                shall--
                            ``(i) be deposited in the SPR Petroleum 
                        Account; and
                            ``(ii) be used only for the purposes 
                        specified in section 167.''.

SEC. 4. REPORTING AND CONSULTATION REQUIREMENTS.

    If the price of a barrel of crude oil exceeds $25 (in constant 1999 
United States dollars) for a period greater than 14 days, the 
President, through the Secretary of Energy, shall, not later than 30 
days after the end of the 14-day period, submit to the Committee on 
Energy and Natural Resources of the Senate and the Committee on 
Commerce of the House of Representatives a report that--
            (1) states the results of a comprehensive review of the 
        causes and potential consequences of the price increase;
            (2) provides an estimate of the likely duration of the 
        price increase, based on analyses and forecasts of the Energy 
        Information Administration;
            (3) provides an analysis of the effects of the price 
        increase on the cost of home heating oil; and
            (4) states whether, and provides a specific rationale for 
        why, the President does or does not support the drawdown and 
        distribution of a specified amount of oil from the Strategic 
        Petroleum Reserve.
                                 <all>
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