Home > newsroom > Page
Taxation with Plenty of Litigation: CLEAR Act’s $22 Billion Energy Tax Kills American Jobs, Helps Foreign Oil, Costs Taxpayers Billions in Court Fees


WASHINGTON, D.C., July 28, 2010 - The CLEAR Act imposes a new energy tax costing $22 billion over ten years– with the taxes eventually climbing to nearly $3 billion per year.  Specifically, it creates a new $2 per barrel of oil and 20 cents per million BTU of natural gas “conservation fee” with the revenue going towards unspecified purposes.

“This is an energy tax that will raise energy prices for all American families and businesses, send even more American jobs overseas, and increase our dependence on foreign oil,” said Ranking Member Doc Hastings.  “While the tax destroys American jobs, it will simultaneously give a competitive advantage to foreign countries since it only applies to U.S. oil and natural gas production on federal leases – not imported foreign oil.   This energy tax is completely unrelated to the oil spill, will not be used to help restore the Gulf Coast and has no place being in this bill.”

If this wasn’t bad enough, the Congressional Budget Office (CBO) reveals that over $14 billion in taxpayer dollars will used to pay for lawsuits against this retroactive tax that violates existing contracts.  In 2016 the U.S. federal government will begin spending more in lawsuit payouts than they will be collecting from the $2 per barrel tax.

House Democrats are knowingly imposing a retroactive tax that be challenged and struck down in court and are willing to put U.S. tax dollars on the hook to pay for the $14 billion in lawsuit payouts. 

While House Democrats prepare to dish out $14 billion in taxpayer dollars, the rest of the country is still asking “where are the jobs?”  A $22 billion dollar tax on U.S. energy development will do nothing but drive up energy bills for American families and put a pink slip in the hands of thousands of hardworking people across the country.

# # #

Print version of this document


Contact: Jill Strait or Spencer Pederson (202) 226-2311

Latest News

Bishop: President’s Budget Stubs Out Hardworking Americans

Today, the Obama Administration released its budget proposal for the 2017 fiscal year. Chairman Bishop (R-UT) issued the following statement: “To defend this budget would require spin with dexterity t...... Read more

New York Times: Officials Warn Congress of Major Defaults Without Restructuring

Puerto Rico and its top advisers made their case in Washington on Friday for a law that would allow broad restructuring of the island’s multibillion-dollar debt, saying that if Congress did not act so...... Read more

Bishop: FWS Mimics EPA Tactics in Expansive Critical Habitat Proposal

Today, the U.S. Fish and Wildlife Service and the National Marine Fisheries Service announced the finalization of a new policy for defining and designating critical habitat under the Endangered Specie...... Read more

View All News

Calendar

Legislative Hearing on H.R. 87, H.R. 295, H.R. 1621 and H.R. 2817
Subcommittee on Federal Lands | 1324 Longworth House Office Building, Washington, D.C. 20515
The U.S. Department of Treasury's Analysis of the Situation in Puerto Rico
Full Committee | 1324 Longworth House Office Building, Washington, D.C. 20515
View All Events