Rep Ehlers on Gas Prices

From the desk of Congressman Ehlers:

The price of gasoline has risen dramatically in West Michigan over the last month. It shot past $3.50 per gallon this week, and in some parts of my district it is as high as $3.70. I have a number of suggestions to alleviate the burden we are experiencing at the pump. This week, I wrote a letter to Speaker Pelosi, President Bush, and Congressional leaders outlining some of those ideas, which I would like to share with you.

A major factor contributing to the price we pay for gasoline and diesel fuel in the United States is global demand for oil. Oil is traded for well over $100 per barrel today, and reducing demand will help reduce the price. As you can see in this graph from the U.S. Energy Information Administration, the price of gas is greatly affected by the cost of crude oil. With this in mind, there are a few things we can do to reduce the price of fuel.

First, I propose we consider suspending petroleum acquisition for the Strategic Petroleum Reserve. The reserve is filled to 96 percent of its capacity, and while the stockpile plays an important role in protecting the United States from oil supply disruptions, we can help reduce the demand for oil by suspending acquisitions, thus impacting the price we pay for gas.

Second, I am urging the Bush Administration to streamline the permitting process for building or expanding oil refineries in the United States without waiving environmental laws. It has been 30 years since a new refinery has been built in the United States, and adding capacity could improve the supply of fuel in the U.S. market, which would help lower prices.

Also, I would like there to be more transparency from oil-producing countries. Private oil companies are required to be transparent in their business dealings, but the majority of the world’s oil comes from nationalized oil companies controlled by foreign governments. The United States should consider working more closely with those countries so that information about production and oil reserves would be more reliable.

Finally, while it is difficult to change, the low value of the U.S. dollar is having a negative impact on how much we pay for fuel. If the dollar had the same value as it did one decade ago, it would drive down the cost of oil dramatically. The weak dollar makes it much more costly for the United States to import oil, which makes our fuel more expensive. Despite this, I do not think it is appropriate for the United States to drill for oil in protected areas. The risk of destroying our environmental assets is not worth the potential benefit.

None of this will happen overnight, but there are some things that you can do right now to make your vehicle go farther on a tank of fuel. Inflating your tires to at least the maximum pressure specified on the sidewall of the tire, driving less aggressively, keeping your car well-tuned, and carpooling can do a great deal to increase your gas mileage and reduce the financial burden of today’s high fuel prices.

More information on increasing your vehicle’s fuel efficiency can be found at http://www.fueleconomy.gov/.

I have been a strong advocate for improving public transportation in West Michigan. I am helping local officials at The Rapid establish a bus rapid transit system. Nationwide projects such as this, which is currently under development, can help drive down the price of fuel for everyone in our area.

I am well aware that fuel prices are putting an incredible burden on people who rely on a vehicle to get to work, take their children to school or day-care, and perform other necessary tasks. Gasoline and diesel fuel prices are crippling local businesses where transportation is an integral part of their livelihood. I rely on my car, and I am feeling this pain as well. I will continue to work hard in Congress on this issue so that we may all find some relief at the pump.

Best wishes,

Vernon J. Ehlers

Thanks Vern!

West Michigan Stimulus Info

A note from Congressman Ehlers:

Many people who do not normally file an income tax return may be eligible for economic stimulus checks, but will not receive their check unless they submit a tax return this year. That is why the Internal Revenue Service and its partners are holding special office hours this Saturday to help people prepare Form 1040A. This simple form is being used by people who are filing a return solely to receive their stimulus payment. People who earned more than $3,000 in "qualifying income" in 2007 are eligible. Qualifying income includes benefits from the Social Security Administration, Veterans Affairs, and the Railroad Retirement Board.

In the Third Congressional District, which includes Barry, Ionia, and Kent Counties, the IRS Offices at 678 Front Ave. N.W. in Grand Rapids will be open from 9 a.m. - 3 p.m. on Saturday, March 29 to assist people with Form 1040A.

View map.

Also, the Kent County Tax Credit Coalition at Davenport University will be offering assistance. It is located on the first floor of 415 Fulton St. E in Grand Rapids, and will be open between 10 a.m. - 4 p.m.

View map.

People may also dial 211 on their phones in Kent, Barry, and Ionia Counties to schedule a free appointment with a tax assistance provider at their convenience.

I have done quite a bit of work lately to spread the word about this, including some special workshops I held last week in Ionia, Hastings, and Grandville. I encourage you to share the information in this message with your friends and family as well. People who did not earn enough taxable income to file a return, but did earn over $3,000 in other qualifying income, may lose money that is entitled to them through the economic stimulus plan approved earlier this year by Congress and President Bush. More information may be found on the IRS's Web site: Economic Stimulus Payment Information Center

Vern Ehlers

As always, thanks Vern.

Economic Stimulus Guide

Guide to the Economic Stimulus Plan via Vern Ehlers:

In February, Congress and President Bush approved a $152 billion economic stimulus plan that will provide tax refund checks to individuals and families, as well as tax incentives intended to spur business investment. You may be wondering if you or your family qualify for a refund, and if so, how you can claim it.

Around two-thirds of the funding created by the stimulus plan will go directly to eligible taxpayers. Taxpayers who made more than $3,000 during 2007 and who pay federal income tax will receive a rebate check of $600 ($1,200 for married couples filing jointly). Eligibility will phase out for individuals who make more than $75,000 ($150,000 for married couples filing jointly). Eligible individuals or families will receive an additional $300 for each dependent child under the age of 17 in their household.

Additionally, anyone who earned at least $3,000 in “qualifying income” during 2007 but paid little or no income tax will qualify for checks of $300 ($600 for married couples filing jointly). “Qualifying income” includes wages, Social Security benefits, and payments to disabled veterans or their survivors. Safeguards are in place to ensure that illegal immigrants will NOT be eligible to receive these benefits.

In order to receive the benefit, all you need to do is file a federal income tax return for 2007, even if you don’t owe any income taxes. If you qualify, you will receive a check in the mail this May.

Unfortunately, there are some crooks and scam artists taking advantage of this and are trying to lure victims into providing personal information. The IRS does not gather information by phone nor does it send unsolicited emails to taxpayers. Be wary of anyone claiming to offer you a refund, and do not give out your Social Security number or bank account information over the phone or through e-mail.

If you have more questions about the stimulus payments, the IRS has a comprehensive Web site on the issue: Economic Stimulus Payments Information Center

If you are a business owner, the IRS has information on tax incentives for businesses provided by the Economic Stimulus Act: 2008 Economic Stimulus Act Provides Tax Benefits to Businesses.

From Congressman Ehlers

On February 7, 2008, Congress overwhelmingly passed an amended version of the economic stimulus plan, H.R. 5140. I voted in favor of the bill which provides rebate checks to individuals and families and tax benefits for businesses. It also increases the limits on loans that can be insured by the Federal Housing Administration and purchased by Fannie Mae and Freddie Mac, which will help stabilize our housing market. This bill injects $152 billion into the economy in 2008, which is about 1% of our gross domestic product. The rebates checks will likely be sent out by the Internal Revenue Service beginning in May.

Anyone who earned at least $3,000 in “qualifying income” during 2007, but paid little or no income tax, will qualify for checks of $300 ($600 for married couples filing jointly). “Qualifying income” includes wages, Social Security benefits, and payments to disabled veterans or their survivors. This means that over 20 million Social Security beneficiaries and 250,000 handicapped veterans or their survivors will qualify for rebate checks.

Those taxpayers that make more than $3,000 and who pay federal income taxes will receive rebate checks of $600 ($1,200 for couples filing jointly). Eligibility for the rebate checks will phase out for individuals who earn more than $75,000 ($150,000 for married couples filing jointly). Anyone qualifying for a check will receive an additional $300 for each dependent child under the age of 17. The bill also ensures that illegal immigrants will not be eligible to receive these benefits.

For businesses, the stimulus bill will provide enhanced depreciation and expensing intended to spur investment in equipment that can be put into service this year. Hopefully, this incentive will encourage businesses to buy more goods and hire new employees.

Although I voted for this bill, I am disappointed that it did not include a provision to extend unemployment benefits. Michigan continues to struggle with the highest unemployment in the country, and I understand that many willing workers are simply unable to find work. I believe we should continue the unemployment benefits for those who have tried to find work for months and still have not found anything.

I am also very concerned about this bill’s effect on our nation’s debt. If this bill in fact stops a recession, it will be worth it. If it does not, it will certainly be an expensive mistake.

If you have any questions about the economic stimulus plan, please feel free to contact me.

Best Wishes,

Vernon J. Ehlers

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Ehlers Endorses Romney

HOLLAND -- As he prepares for a Wednesday campaign stop in Holland, former Massachusetts Gov. Mitt Romney is bringing a second key West Michigan endorsement with him.

U.S. Rep. Vern Ehlers, R-Grand Rapids, is adding his backing to Romney, calling him "a candidate with an innovative vision for America."

"In the course of his impressive career, he has earned a solid reputation for successfully solving enormous problems that others thought couldn't be solved."

His endorsement follows that of U.S. Rep. Pete Hoekstra, R-Holland, who announced his support for Romney in January.

Romney is slated to appear for a meet-and-greet session at the Alpenrose Restaurant & Cafe at 8:30 a.m., before moving on to a stop in Atlanta.

Ehlers/Romney