WASHINGTON, D.C.  -  Congressman Mike Rogers said today he was pleased S. 3711, the Gulf of Mexico Energy Security Act, was included in a broad legislative package that passed the House of Representatives today, explaining the legislation could one day allow Alabama to profit from the sale of oil reserves in the Gulf of Mexico as well as help wean the U.S. off its foreign oil dependency over the long term.

“It is critical we work to decrease our dependency on foreign sources for oil,” Rogers said. “I am pleased the House has passed this bill, and hope Congress will soon debate other bills to also increase the use and production of alternative energy sources like ethanol and hydrogen.”
Rogers said the bill allows new energy exploration in 8.3 million acres of the Gulf of Mexico, which is reported to hold extensive energy reserves of up to 1.26 billion barrels of oil and 5.8 trillion cubic feet of natural gas.

In addition to helping provide a new domestic source of energy, the bill will could help lower the nation’s Federal deficit over the long term. More importantly for Alabama, Rogers said 37.5 percent of the revenue from the oil exploration is expected to be sent to the four Gulf Coast states for various uses, including restoration and hurricane protection.

The bill passed the House today by a vote of 367 to 45 and is expected to be passed in the Senate and then sent to President Bush to be signed in to law.

Rogers said the bill also included a provision to block a scheduled 5 percent cut in Medicare physician payments in 2007. In addition, the package extends certain tax provision including the deduction for state and local sales tax, the above-the-line deduction for out-of-pocket teacher classroom expenses, and the Research and Development tax credit.

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