After all that Tom DeLay has done to bring unwanted attention to himself, one might assume the House Majority Leader would go out of his way to steer clear of improprieties. But when there’s a scenario involving billions of dollars, the oil industry, Halliburton, and his home town, DeLay just can’t help himself.
The Republicans’ energy bill, which is an embarrassment unto itself, went to a conference committee between House and Senate negotiators. The end result is a “closed” bill that cannot be altered before receiving a vote in both chambers. As Rep. Henry Waxman (D-Calif.) discovered, DeLay, once again, decided to play by his own rules. Here’s Waxman explaining the problem to House Speaker Dennis Hastert:
I am writing to draw to your attention a provision in the Energy Conference Report that raises serious procedural and substantive concerns. At its essence, this provision is a $1.5 billion giveaway to the oil industry, Halliburton, and Sugar Land, Texas. The provision was inserted into the energy legislation after the conference was closed, so members of the conference committee had no opportunity to consider or reject this measure. Before the final energy legislation is brought to the House floor, this provision should be deleted.
The provision at issue is a 30-page subtitle called “Ultra-Deepwater and Unconventional Natural Gas and Other Petroleum Resources.” This subtitle, which was taken from the House-passed energy bill, was mysteriously inserted in the final energy legislation after the legislation was closed to further amendment. The conferees were told that they would have the opportunity to consider and vote on the provisions in the conference report. But the subtitle was not included in the base text circulated to conferees, and it was never offered as an amendment.
Instead, the new subtitle first appeared in the text of the energy legislation only after Chairman Barton had gaveled the conference over. Obviously, it would be a serious abuse to secretly slip such a costly and controversial provision into the energy legislation.
Indeed, it would. Adding insult to injury, DeLay not only flouted the process for his own corruption, the provision he inserted is nothing more than an “indefensible giveaway to one of the most profitable industries in America.”
The provision establishes a $1.5 billion fund, up to $550 million of which would be dedicated direct spending, which is not subject to the normal congressional appropriations process. Although the name of the subtitle refers to “ultra-deepwater and unconventional natural gas,” it appears that the $1.5 billion fund created by the subtitle can in fact be used for many oil and gas projects. According to the language of the subtitle, oil and gas companies can apply for funds for a wide variety of activities, including activities involving “innovative exploration and production techniques” or “enhanced recovery techniques.” While oil and gas companies could be required to contribute to the costs of their projects, the subtitle expressly provides that the Department has discretion to reduce or eliminate any such contribution.
The subtitle appears to steer the administration of 75% of the $1.5 billion fund to a private consortium located in the district of Majority Leader Tom DeLay. Ordinarily, a large fund like this would be administered directly by the government.
As Think Progress put it, “Tom DeLay thinks the federal treasury is his personal piggy bank.”
Waxman wants the provision pulled before the House takes up final passage of the bill. DeLay’s office is insisting it stay in. No word yet from Hastert.