Senator Kay Bailey-Hutchison – CEOs Are Her Real Concern

In Congress is drilling a dry hole, Senator Kay Bailey Hutchison tries to scare us into supporting the poor abused CEOs of the oil industry. I couldn’t resist. I had to send her the following message via her web site.

Senator,

First of all, as an elected representative of the state of Texas, shouldn’t you be listening to your constituents – not telling them what the oil industry wants?   I would only expect this kind of commentary from a lobbyist for the American oil companies.   You even admit that “CEOs consistently bring to my attention”  the “constant meddling in the tax codes” by Congress.    Well poor under-appreciated and over-compensated CEOs.   If they aren’t complaining, then Congress isn’t doing its job of keeping the power of these CEOs checked and balanced, just like Congress hasn’t done with GWB.

Secondly, your mild attempt at fear mongering does not help.   As you have done in other communications with me, you over use the phrase “national security” like you are trying to scare us into believing you.  Also, near the end of your comments, you state that if we follow your suggestions we will “reduce our dangerous dependence on foreign oil.”  What about our dependence [on] China and Japan for their money to pay for the war you and GWB got us into?   With the recent devaluation of the dollar, what will happen to this nation’s economy when China and Japan decide to stop investing here and invest in the European Union where the Euro is worth fifty percent more than the dollar?  Who will pay for the war then?

As for the $16 billion in additional taxes on the oil industry, over what time period does this apply?   What is the annual impact on oil profits?  Why don’t you tell us that?   Probably because it is not that significant.    In fact, if I go to Yahoo Finance and look up the three year total profit for BP, ConocoPhillips, Chevron and ExxonMobil, I find that this $16 billion tax, if spread over those three years, would reduce their profits, $927 billion, by  only 1.7 percent.   That’s what these CEOs are complaining about, 1.7 percent over three years or 0.6 percent a year?

A little over half way through your commentary, you refer to diversification of resources.   You state, “In particular, biofuels are vital to making our nation more energy independent” and you don’t like what “Some in Congress” want to do – “increase the renewable fuel standard.”   Poor industry – why can’t Congress just leave them alone.    On the other hand, biofuels will not make any real long-term difference.  You mention biofuel goals of 7.5 billion gallons by 2012 or 36 billion gallons by 2022 and it appears these are annual goals from your writing.   Now compare these very meager goals to the 2006 total U. S. supply of crude oil, both domestic and foreign, of 233.31 billion gallons.   Biofuels will not break this addiction to crude oil and I have yet to see Congress or industry present a real long term solution.

What ever the solution is, it will take sacrifice by not only the oil industry but also the citizens of the United States and the world.   Do you, Senator, have what it takes to not only make such self sacrifices but to also require your favorite industry CEOs to make similar sacrifices?  

Do your voting constituents a favor.   The next time you meet with these poor tax abused CEOs, ask them about their company vision, goals and objectives.   Is there anything in them that indicates they include, in the least little way, anything about doing what is best for our national interest?   I doubt, and would not expect, that they will respond in the affirmative.   After all that is the job of Congress and you – our national interest.   And what is in the best interest for the nation is not necessarily best for industry.

I wonder, when the senator retires – which oil company or K-Street oil lobby will provide her first non-government paycheck?