April 24, 2006

President George W. Bush  
The White House  
1600 Pennsylvania Avenue  
Washington, DC 20500    

Dear President Bush:

During your trip to California this past weekend, you specifically expressed concern for the potential of gasoline price gouging, repeatedly stating that price gouging should be prosecuted.

Earlier today, the Speaker of the House of Representatives and the Senate Majority Leader wrote to you, asking that you direct the Federal Trade Commission (FTC) and the Department of Justice (DOJ) to investigate price gouging of gasoline.

The government has a responsibility to protect consumers from price gouging.  While we are encouraged that the White House and the Republican Leadership have begun to talk about price gouging, it will take much more than just talk to stop predatory pricing of oil and gas. 

Currently, the federal government has limited authority to prosecute price gouging.  Congress has never accurately defined what price gouging is and has not given the FTC and DOJ the tools necessary to properly prosecute price gouging.
This Federal Response to Energy Emergencies (FREE) Act, H.R. 3936, would provide immediate relief to consumers by giving the FTC and the DOJ the explicit authority to investigate and punish those who artificially inflate the price of energy.  For the first time ever, the FTC would develop a price gouging definition, taking into consideration the guidelines established in HR 3936.  The FTC and the DOJ would also be empowered to exercise this new authority at each stage of the energy production and distribution chain, and would apply this authority to oil, natural gas, home heating oil, crude oil and propane. 
Earlier attempts to address price gouging, such as the “Gasoline for America’s Security Act” (H.R. 3893), contained weak provisions that do not effectively address the issue.  Because of its weak price gouging provisions, H.R. 3893 has failed to garner broad bipartisan or bicameral support. 

Americans are being forced to pay more and more each day just to drive to work or pick their kids up at day care.  Our constituents are looking to the federal government for relief.  It is our duty to provide the FTC and the DOJ with the tools to end price gouging to protect consumers from the increased financial hardship that price gouging creates. 

Please lend your support to HR 3936, the Federal Response to Energy Emergencies Act.  I would also ask that you work with the U.S. Congress through Speaker Haster and Majority Leader Frist to enact the FREE Act. 

We look forward to hearing the Administration’s position on HR 3936.

Sincerely,

BART STUPAK  
Member of Congress

Cc: Honorable Dennis J. Hastert
    Speaker, U.S. House of Representatives