ALEC Waxman Markey Opposition Letter

Dear Representative:

On behalf of the undersigned 186 state and national leaders, Legislators, heads of think-tanks, activist groups, business owners and organizations representing millions of American families, taxpayers and energy consumers, we urge you to oppose H.R. 2454, “The American Clean Energy and Security Act,” also known as the Waxman-Markey plan (or Cap-and-Trade/Capand-Tax).

This bill was recently passed out of the U.S. House Energy and Commerce Committee and we are urging all members of Congress to oppose consideration of this bill. This bill raises taxes on American families, increases the cost of energy, and eliminates American jobs. These are not proposals we can support.

The Waxman-Markey bill you are asked to consider will increase energy costs by $1,500 annually for the typical family of four. Further, the Heritage Foundation estimates that even with the estimated 26 percent reduction in electricity use, electric bills will increase $754 with the Waxman-Markey plan.

Additionally, from 2012 to 2035, a typical family will spend $12,200 more on its electric bill than in the absence of Waxman-Markey.

Despite the attempts in Waxman-Markey to decrease gas consumption by 15 percent, gas prices will still increase. As a result of the Waxman-Markey plan, an average American family of four will pay an additional $596 for gas usage in 2035. From 2012 to 2035, the Waxman-Markey plan will cost them an additional $7,500 in gas costs.

Before all the damage is done from Waxman-Markey, a family of four will see its direct energy costs rise by $22,800 from 2012 to 2035.

The Waxman-Markey plan does not just raise taxes and increase energy costs; it is expected to end 1,105,000 American jobs annually. The proposed Cap-and-Trade scheme will result in a loss of nearly 2,500,000 million American jobs. America needs economic policies that lead to job creation, not job destruction. This proposal is not something we are prepared to accept.

Table I - Percentage of Electricity that Meets Congress’ Definition of ‘Carbon-Free Renewable’ Energy for Each State

AL 2.5 HI 5.4 MA 0.7 NM 4.5 SD 1.9
AK 0.2 ID 5.5 MI 2.0 NY 1.6 TN 1.0
AZ 0.1 IL 1.4 MN 9.2 NC 1.5 TX 3.9
AR 2.9 IN 0.3 MS 3.1 ND 4.7 UT 0.6
CA 12.6 IA 7.3 MO 0.2 OH 0.3 VT 7.1
CO 5.9 KS 3.8 MT 2.3 OK 3.4 VA 2.9
CT 0.1 KY 0.5 NE 0.8 OR 5.8 WA 4.4
DE 2.1 LA 3.1 NV 3.8 PA 0.9 WV 0.4
FL 1.3 ME 23.8 NH 5.0 RI 2.1 WI 2.6
GA 2.3 MD 0.5 NJ 0.4 SC 1.7 WY 2.0

As indicated in Table I, the Waxman-Markey-mandated Federal Renewable Electricity Standard (RES) (which requires the nation to derive 10 percent of electricity from renewable sources by 2012 and 25 percent by 2025) is simply unrealistic given our current situation. Fourteen states (in bold boxes) are currently receiving less than one percent of their electricity from “renewable” sources.

Forcing this unrealistic mandate without an opt-in option or state-defining renewable option will do nothing more than increase the cost of electricity on rate paying consumers.

States that cannot meet with RES will be face monetary penalties from the federal government. These penalties will be passed onto consumers in the form of higher fees and taxes which they simply cannot afford. Further, by not allowing states to define what is “renewable” in their region, the bill inaccurately assumes that Maine has the same resources available as California. This illconceived logic should not be part of any national energy strategy.

Further, the bill calls for the 2050 CO2 emissions rate to be 83 percent lower than the 2005 emissions rate. However, as seen in Table II, 36 states (in bold boxes) produce their energy using over 80 percent carbon-based fuels. This proposal will cripple state economies, as energy is overwhelmingly derived from carbon-based fuels. Sadly, consumers will experience negative effects from unrealistic goals when they result in higher taxes, increased fees, and higher prices.
Table II - State Percentage of Energy Supplied by Carbon-Based Fuels

AL 76.3 HI 94.9 MA 90.8 NM 97.8 SD 84.1
AK 97.8 ID 64.6 MI 86.8 NY 77.5 TN 81.8
AZ 80.9 IL 46.6 MN 85.4 NC 78.1 TX 95.0
AR 77.5 IN 98.6 MS 85.1 ND 95.9 UT 98.3
CA 82.7 IA 90.4 MO 93.6 OH 94.0 VT 52.9
CO 97.6 KS 89.5 MT 79.9 OK 97.0 VA 81.1
CT 75.1 KY 97.4 NE 83.5 OR 59.3 WA 53.1
DE 99.4 LA 91.1 NV 92.1 PA 80.4 WV 98.5
FL 87.4 ME 64.5 NH 68.0 RI 97.0 WI 86.2
GA 81.8 MD 84.6 NJ 84.3 SC 65.8 WY 97.8

A recent poll indicated that 52 percent of registered American voters oppose the cap-and-trade
policy contained in the Waxman-Markey plan. Fifty-eight percent said they were unwilling to pay additional money for electricity to combat climate change. Sixty-eight percent disagreed with the notion that Congress should enact a carbon tax to encourage consumers to decrease their electricity usage. In addition, more than 50 percent opposed any carbon tax used to fund energy research.

Moreover, 73 percent of respondents placed the economy first among issue priorities. Based on the evidence above and many other detrimental effects of this disastrous bill, we urge you to oppose the Waxman-Markey Cap-and-Trade/Cap-and-Tax bill as a tax increase that American families simply cannot afford, and energy policy that we cannot accept.

For more information, contact Brian Johnson at Americans for Tax Reform at bjohnson@atr.org or 202-785-0266.

Sincerely,

Alabama Policy Institute, Gary Palmer
Alabama State Representative Greg Wren
Alabama State Senator Steve French
Alliance for Worker Freedom, Brian M Johnson
American Civil Rights Union
American Conservative Union, David Keene
American Council for Health Care Reform, William Shaker
American Shareholders Association, Ryan Ellis
American Solutions, Dan Varroney
Americans for Prosperity, Tim Phillips
Americans for Tax Reform, Grover Norquist
Americans for the Preservation of Liberty, David Ridenour
Arizona State Representative Cecil Ash
Arizona State Representative Debbie Lesko
Arizona State Representative John McComish
Arizona State Representative Nancy Barto
Arizona State Senate Majority Whip Pamela Gorman
Arizona State Senator Jack Harper
Arizona State Senator John Nelson
Arizona State Senator Johnny Key
Arizona State Senator Ron Gould
Arizona State Senator Russell Pearce
Arizona State Senator Sylvia Allen
Center for Fiscal Accountability, Sandra Fabry
Center for Individual Freedom, Jeffrey Mazzella
Charles W. Baird, Ph.D., Professor of Economics, Emeritus, CSU East Bay
Citizen Outreach Project, Doug Bandow
Citizens for Responsible Government, Joseph Andrews
Citizens United, Chuck Muth
Clean Oceans Technology Coalition, Joel C. Mandelman
Club for Growth, Andy Roth
College Republican National Committee
Colorado State Senator Scott Renfroe
Connecticut Center-Right Coalition, D. Dowd Muska
Connecticut State Representative Bill Hamzy
Connecticut State Representative John Piscopo
Council for Citizens Against Government Waste, Erica Gordon
Eagle Forum, Phyllis Schlafly
Ethan Allen Institute, John McCalughry
Evergreen Freedom Foundation, Amber Gunn
Florida Center-Right Coalition, Rick Watson
Florida State Representative Alan Hays, DMD
Florida State Representative Sandra Adams
FRCAction, Tom McClusky
FreedomWorks, Matt Kibbe
Frontiers of Freedom, George Landrith
Georgia Eagle Forum, Nancy Schaefer
Georgia State Representative Ed Setzler
Georgia State Representative Melvin Everson
Georgia State Representative Randy Nix
Georgia State Representative Tom Rice
Georgia State Representative Wendell Willard
Georgia State Senate Majority Leader Chip Rogers
Georgia State Senator Chip Rogers
Grassroots Institute of Hawaii, Dick Rowland
Hawaii State Senator Sam Slom
Hispanic Leadership Fund, Mario Lopez
Illinois Policy Institute, John Tillman
Illinois State Representative Dave Winters
Independence Institute, Jon Caldara
Indiana Eagle Forum, Pat Schneider
Indiana State Representative Cindy Noe
Indiana State Representative Eric Koch
Indiana State Representative Jeff Thompson
Indiana State Representative William Ruppel
Indiana State Senator Brandt Hershman
Institute for Liberty, Andrew Langer
Kansas State Senator Mary Pilcher-Cook
Kansas State Representative Don Meyers
Kansas State Representative Marc Rhoades
Kansas State Representative Sharon Schwartz
Kansas State Senator Tim Huelskamp
Kentucky State Representative Mike Harmon
Let Freedom Ring, Colin Hanna
Louisiana Republican National Committeeman, W. Ross Little, Jr.
Louisiana State Representative Nickie Monica
Louisiana State Representative Scott Simon
Maryland Center-Right Coalition, Richard Falknor
Maryland State Delegate Nic Kipke
Maryland State Representative Richard Sossi
Maryland State Delegate Gail Bates
Michigan Eagle Forum, Violet Vestevich
Minnesota Eagle Forum, Bonnie Nugent
Minnesota State Senator Mike Jungbauer
Mississippi Center for Public Policy, Forest Thigpen
Mississippi State Representative Becky Currie
Missouri State Representative Bob Nance
Missouri State Representative Cynthia Davis
Missouri State Representative Dwight Scharnhost
Missouri State Representative Shane Schoeller
Missouri State Representative Stanley Cox
Missouri State Representative Tim Flook
Missouri State Representative Walter Bivins
Missouri State Senator Jim Lembke
Montana State Representative Bob Lake
Montana State Representative Cary Smith
Montana State Representative Chas Vincent
Montana State Representative Gary MacLaren
Montana State Representative Mike Miller
National Center for Public Policy Research, Amy Ridenour
National Taxpayers Union, Duane Pardee
Nevada Eagle Forum, Janine Hansen
New Hampshire State Representative Betsey McKinney
New Hampshire State Representative Beverly Rodeschin
New Hampshire State Representative Jennifer Coffey
New Hampshire State Representative John Reagan
New Jersey State Assemblyman Michael J. Doherty
New Mexico Former State Representative Frank Bird
New Mexico Former State Representative Justine Fox-Young
New Mexico Former State Representative, Senator & Lieutenant Governor Jack Stahl
New Mexico Former State Senator Mickey D. Barnett
New Mexico Republican Party, John E. Rockwell
New Mexico Shooting Sports Association, Paul Lisle
New Mexico State Senator Steve Neville
New Mexico, Bernalillo County Sheriff, Darren P. White
New York Assemblyman Greg Ball
North Carolina Deputy Republican Senate Leader Neal Hunt
North Carolina State Representative George Cleveland
North Carolina State Representative Mitch Gillespie
North Carolina State Representative Pat McElraft
North Dakota State Representative Chuck Damschen
North Dakota State Representative Ken Svedjan
Ohio State House Assistant Minority Whip Sean Chichelli,
Ohio State House Minority Whip John Adamns,
Ohio State Senator Bob Gibbs
Ohio State Senator Kevin Coughlin
Oklahoma Council of Public Affairs, Inc., Brandon Dutcher
Oklahoma State Representative Colby Schwartz
Oklahoma State Representative Leslie Osborn
Oklahoma State Representative Mike Sanders
Oregon State Representative Matt Wingard
Oregon State Representative George Gilman
Oregon State Representative John Huffman
Pelican Institute for Public Policy, Kevin Kane
Pennsylvania Eagle Forum, Fran Bevan
Pennsylvania State Representative Daryl Metcalfe
Pennsylvania State Representative Jeff Pyle
Pennsylvania State Representative Kathy Rapp
Pennsylvania State Representative Matthew Baker
Project 21, Deneen Borelli
Property Rights Alliance, Kelsey Zahourek
Quantum Communications, Charlie Gerow
RightMarch.com, Dr. William Greene
Samuel Properties, Ltd., Patty Terrell
Small Business & Entrepreneurship Council, Karen Karrigan
Smart Business Hawaii, Sam Slom
Society of American Florists, Jeanne Ramsay
South Carolina State Senator David Thomas
South Dakota State Representative Val Rausch
Talbott Advisors, Inc., Fenton R. Talbott
Tennessee Eagle Forum, Bobbie Patray
Tennessee State Representative Ben West, Jr.
Tennessee State Representative Susan Lynn
Texas Eagle Forum, Cathie Adams
Texas State Representative Joe Driver
The Harbour League, Eli Gold
The Rule of Law Committee, Bill Shaker
Utah State Representative Bradley Daw
Utah State Representative Lorie Fowlke
Utah State Senator Ralph Okerlund
Virginia House of Delegates Member Kathy Byron
Washington State Minority Whip Bill Hinkle
Washington State Representative Jan Angel
Washington State Representative Shelly Short
Washington State Senator Val Stevens
West Virginia House of Delegates Member Troy Andes
West Virginia State Delegate Jonathan Miller
West Virginia State Delegate Ronald Walters, Sr.
West Virginia State Representative Troy Andes
Wisconsin State Representative John Nygren
Wisconsin State Representative Leah Vukmir
Wisconsin State Representative Mike Huebsch
Wisconsin State Representative Robin Vos
Wyoming State Representative Allen Jaggi
Wyoming State Representative Amy Edmonds
Wyoming State Representative David Miller
Wyoming State Representative Peter S. “Pete” Illoway
Wyoming State Representative Sue Wallis