Congressman Johnson Says "No" to Gas Price Gouging
Listening to consumer frustration at the alarming cost of gas as we near the Memorial Day weekend, Congressman Hank Johnson today vowed to stop price gouging at the pump. The average price for gasoline has soared above $3 a gallon in the 4th District and nationally -- an estimated 20 percent increase over the same period last year.
"Price gouging gasoline or any other commodity is wrong and we won't stand for that," said Rep. Johnson, who today voted for the "Federal Price Gouging Prevention Act" H.R. 1252, introduced by Bart Stupak (D-MI). "We can't relax when gas prices inch downward and celebrate with a fill up. We've got to be vigilant, take ownership of this very real energy crisis, and begin a serious discussion in this country about alternative fuels and modes of transportation."
The six largest oil companies announced $30 billion in profits for the first quarter of 2007, following the $125 billion in record profits reported in 2006. The House, in the first month of the 110th Congress, voted to roll back $14 billion dollars in taxpayer subsidies for Big Oil companies that the Bush Administration delivered. Currently, only twenty-eight U.S. states have anti-price gouging laws.
"We've got to know what we're dealing with. I support this bill because it empowers the Federal Trade Commission to investigate and punish those who artificially inflate the cost of energy," explained Rep. Johnson, an attorney and former judge. "Under the Price Gouging Prevention Act, we take an all-important first step and establish, at minimum, a prosecutorial standard."
H.R. 1252 features stiffer legal penalties, including damages up to triple the profits gained by the violation. Under the bill, the Justice Department could impose criminal penalties of up to $150 million on corporations, fines of up to $2 million, and jail sentences of up to 10 years for individuals. This would apply during a national emergency and would crack down on companies charging unconscionable and excessive prices. In addition, the legislation allows fines collected from price gougers to be directed to the Low Income Home Energy Assistance Program.
Yet, the President asserts that progress is being made. He was wrong five years ago when he claimed Saddam had weapons of mass destruction and links to al Qaeda; he was wrong when he landed on an aircraft carrier and declared victory; and he is wrong on this war supplemental."