Date: 2010-07-30
Speaker: JACKSON LEE (democrat)
Chamber: H
State: Texas

I thank the gentleman from New Mexico and I thank him for working together with me on this amendment and for his leadership. I offered a similar amendment and was very pleased to join this amendment as the TeagueJackson Lee amendment. It is important to note that this is a fair amendment that does something. It really does do something for the small. independent companies. This amendment would allow the financial responsibility required to operate in the gulf to be pooled among companies working together. It means that we give them the opportunity because of the $300 million necessary COFR to be able to do business in the gulf and not go out of business. What it really means is preserving thousands of jobs. First of all. the U.S. independent operators in the gulf because of their operations. they have a major contribution to energy security and energy supply providing reasonably priced fuels for our families and economy. Eightyone percent of oil producing in the gulf is in the independent leases and 46 percent of the gulfs producing deepwater leases as well. Independents have drilled 1.298 wells in the deepwater and safely. Independents operate an average of 70 percent of the farmedout acreage that originally were in the hands of the majors over the past 10 years. Almost 3 billion barrels of oil equivalent in reserves that were originally found by the majors are now operated by independents. small companies that create a lot of jobs. This is an amendment that will allow them to work together. pool their resources. and do the right thing. not put the burden on the taxpayers. Let me also acknowledge that I am glad my requirement to have redundancies in actions and fuel resources plans was also included in the managers amendment. I thank the gentleman from New Mexico for his leadership. Its my pleasure to be able to work with you for an amendment that is doing something. is helping the independents stay in business and create jobs. and it is helping them do the work that will allow for the American people to have quality oil for cheap prices. I rise to speak in support of the Teague/ Jackson Lee Amendment to H.R. 3534. The Consolidated Land. Energy and Aquatic Resources (CLEAR Act). The Jackson Lee Amendment would allow the financial responsibility required to operate in the Gulf of Mexico to be pooled among the companies working together. With the potential of unlimited liability looming large over the smaller independent companies. this amendment will prevent small. independent oil companies from being driven out of business and out of the Gulf of Mexico. The problem with the current requirements for the Certificate of Oil Field Responsibility (COFR) is that smaller operators will be unable to establish the $300 million necessary COFR to even begin exploration and development. By allowing smaller companieswho frequently work together in joint venturesto pool their resources for COFR purposes. we will prevent the Gulf from becoming the exclusive province of companies big enough to selfinsure. and allow the small businesses of the Gulf Coast Community to continue to provide jobs and drive our economy. I urge my colleagues to vote for this amendment and vote for small businesses. saving jobs. and the American people.