San Bernardino – Concerned about skyrocketing gas prices in California and nationwide – and dissatisfied with the response of President Bush and Congressional Republicans -- Congressman Joe Baca (D-Rialto) today called for tough penalties against anyone found to be price-gouging.

 

“In the Inland Empire, we have to do a lot of driving and use a lot of gasoline to get to work, get our kids to school, and transport goods along our highways.  There is real pain at the pump for families, small businesses and local governments, and Congress must provide some relief,” said Rep. Baca.

 

Rep. Baca added, “We are seeing clearly the results of Republicans’ failed policies, lack of a sensible national energy strategy, and neglect.  Instead of helping American families, oilmen Bush and Cheney have been cozy with their friends at big oil companies and the leaders of foreign regimes.  Now we are left paying the price.”

 

“Certainly there are some limits to what the government can do to help bring down gas costs quickly, but we have to start somewhere.  One step we should take immediately is to crack down on price gougers by imposing meaningful penalties,” declared Rep. Baca.

 

Rep. Baca’s comments upon returning home to California echo his remarks made at a hearing on Thursday of the House Agriculture Committee, on which he serves. There he called for steep fines on companies that manipulate oil and gas prices in the futures market.

 

In response to questioning from Rep. Baca, Commissioner Walter Lukken of the Commodity Futures Trading Commission responded that fines against companies that violate market regulations are limited to $130,000.  Rep. Baca called that “a slap on the wrist” to companies making billions of dollars a year and asserted that steeper penalties are needed to prevent market manipulation.

 

Rep. Baca also announced that he supports giving the Federal Trade Commission and the Department of Justice the power to investigate and punish those who artificially inflate the price of energy – including oil, natural gas, home heating oil, crude oil and propane.  “This would protect consumers from unfair pricing by greedy companies,” said Rep. Baca.

 

To help school districts cope with the burden of higher energy costs, Rep. Baca last year introduced the School Energy Crisis Relief Act (H.R. 4158).