Coburn prompts Senate vote on ethanol subsidies

[alp227]

Source: The Washington Post

The anti-tax pledge signed by 95 percent of congressional Republicans faces a key test Tuesday, when the Senate is scheduled to vote on a plan to repeal billions of dollars in annual tax credits for ethanol blenders — a move the pledge defines as a tax increase.

Sen. Tom Coburn (R-Okla.) surprised Senate leaders when he filed a motion late Thursday to force a preliminary vote on the measure.

The ethanol credit is widely condemned by Republicans as bad economic policy, and Coburn derides it as spending through the tax code. But a vote to kill it would represent a significant break with more than two decades of GOP tax orthodoxy, which prohibits increasing revenue by any means other than economic growth.

Coburn has argued that Republicans must abandon that orthodoxy to forge a compromise with Democrats on a viable plan to rein in the spiraling national debt.

Read more: http://www.washingtonpost.com/business/economy/coburn-prompts-senate-vote-on-ethanol-subsidies/2011/06/10/AGXMmqOH_story.html

[annabanana]

1. Coburn should be under indictment for his role in the Ensign scandal . . n/t

[vssmith]

3. Do you think he is wrong on this issue?

[former9thward]

2. Ehanol is corpate welfare.

Even Al Gore has admitted he only supported it because of politics. http://www.foxnews.com/politics/2010/11/22/report-al-gore-reverses-view-ethanol-blames-politics-previous-support/

[underpants]

4. Yes it is. Back in 2007 when Bush proposed it we actually got to see enviros on TV

it was rather funny to watch. Sad but funny. As well pointed out from many sources such as Daniel Inhoff's "Foodfight" corn is the enemy. It is horrible.

In 2007 W proposes requiring ethanol. Wolf Blitzer and his kind had enviromentalists on TV (instead of just talking about them) and they ended up frantically searched their script when the enviros said that they completely opposed the idea.....they were normally cut off before they could explain why.

The last enviromentalist that I saw on TV was on Colbert - Stephen had him on and played his normal role. After that no more. Disappeared. It was settled, no need to talk about it anymore.

Fast forward to February 2008 and everyone thought ethanol was the single best idea they ever heard of: Hillary, McCain, Rudy, and I am sure even Obama. Where were they saying this? What starts happening in February every four years? The Iowa primaries of course.

[Agent William]

5. Here's why 95% of republicans want to end ethanol subsidies.

Big AG, such as Cargil and ADM want this tax credit to end since said companies produce most ethanol and can afford to produce without this credit. The thing is, big Ag's smaller competitors cannot afford to stay in business without this tax credit. If the ethanol subsidies are ended then big AG ventures will hold a complete and total monopoly on the market and can manipulate prices at will, ala big oil. One needs to remember that petrol is made of roughly 10% ethanol, so in a sense 10% of fuel prices are subsidized by the government. Big AG will pass the increase in price (roughly $1 per gallon of ethanol) to the end user, thus making up the cost of the loss of the credit. The only people who are served by this bill are large Agriculture companies, hence support from 95% of the GOP.