| IMMEDIATE
RELEASE: Wednesday August
6, 2008
MBRT Urges Bipartisan
Congressional Support
for Energy Plan to Boost
Ailing U.S. Economy and
Support American Automakers
and Workers
- MBRT
supports bipartisan
group of 10 Senators’
compromise energy plan
aimed at producing more
domestic oil via offshore
drilling, reducing energy
prices, and aiding the
troubled economy
- The
plan calls for more
fuel efficient cars
and more research money
to move away from petroleum
products
- Big
Oil biggest Quarter
ever-$51.5 billion:
GM posts $15.5 billion
2Q loss and third worst
in its history: unemployment
up and jobless rates
climb
Washington,
D.C. - "With
General Motors stunning
second quarter record
breaking loss of $15.5
billion, Chrysler's failure
to renew all of its $30
billion short term debt
and Ford Motor Co $8.7
billion loss because of
a deep decline in U.S.
sales and charges for
job cuts, plant closings
and the falling value
of trucks and sport utility
vehicles, the big three
automakers are really
taking a hit, and clearly
something must be done
to aid American businesses",
said Roger A. Campos,
President & CEO. "America's
automakers who have been
leaders in workforce diversity
and developing minority
dealers and suppliers
as well as their employees
are at risk." The jobless
rate rose to 5.7 percent
in July, the highest in
four years. It is up from
5.5 percent in June and
4.7 percent a year earlier.
Employers cut their payrolls
by 51,000 net jobs, bringing
the total reduction in
the nation's job count
this year to 463,000.
The ranks of the unemployed
increased by 285,000 people
in the month, continuing
a steady deterioration
in the job market that
began at the end of last
year.
As
Congress recessed for
the summer, a bipartisan
group of 10 Senators called
the "Gang of 10" consisting
of five Senators from
each party: Kent Conrad,
D-N.D.; Mary Landrieu,
D-La; Saxby Chambliss;
R-Ga; John Thune, R-S.D.;
Ben Nelson, D-Neb; Lindsey
Graham, R-S.C.; Mark Pryor,
D-Ark; Johnny Isakson,
R-Ga; Blanche Lincoln,
D-Ark; and Bob Corker,
R-Tenn have offered a
bipartisan proposal in
an effort to solve America's
energy problems. "This
proposal includes some
very good ideas to address
our country's many energy-related
challenges, and while
I do not agree with every
part of it, I very much
appreciate the bipartisan
spirit in which it was
constructed….", said Senate
Majority Leader Harry
Reid, D-NV. The proposal
would also promote more
renewable energy sources
and nuclear energy, as
well as carbon capture
techniques to reduce greenhouse
gas production through
tax and other incentives.
Andra
Rush, CEO of Rush Trucking
and Vice Chairman of MBRT
said, "Our Citizens and
our government must recognize
the importance of pillar
industries such as the
automotive industry for
national strength, technological
expertise, and economic
vitality, now and for
future generations. The
automotive industry is
critical to jobs in the
United States, North America,
and influences worldwide
economies. For every job
created in the auto industry;
nine more are created
to support it. If our
government invested $20-$40
billion in the U.S. automotive
industry today, alternative
energy for vehicles would
increase dramatically,
and dependence on foreign
oil would drastically
diminish. We need a distribution
network for these energy
alternatives and it is
incumbent on the federal
government to help fund
and accelerate this network.
I believe the statistic
is 49,000 fueling stations
converted to accommodate
alternative fueling systems
(such as hydrogen) would
supply over 80% of our
needs. Punitive measures
are not the only catalyst
to increased fuel efficiency
goals and diminished greenhouse
gases. Incentives and
Investment will spur growth
in innovative technologies
much faster than avoidance
of fines and special taxes."
"Part
of the reason this country
has been so great is because
of automotive manufacturing",
said Frank Venegas, Jr.
Chairman, The Ideal Group
and Chairman of GM's Supplier
Diversity Council. "It
is a necessity for Congress
to support the American
automakers, their suppliers,
and employees".
The
Gang of 10 offers a bipartisan
compromise energy plan
which is estimated to
cost $85 billion, but
would be offset with "loophole
closers and other revenues"
including money from the
new leases and from closing
oil industry manufacturing
tax credits (roughly $18
billion). Although President
Bush has threatened a
veto if the tax credits
are taken away from the
oil companies, Congress
should strike a compromise
to help American consumers.
Neither of the major party
presidential candidates-Democratic
Sen. Barack Obama and
Sen. John McCain-is in
the Gang of 10. On the
campaign trail, Obama
appeared to soften his
opposition to offshore
drilling. McCain supports
opening federal waters
to drilling.
"With
America's workforce strained
by increasing financial
insecurity and rising
prices, we urge Congress
to enact comprehensive
legislation to spur economic
growth through tax credits
and other business incentives-let's
engage and invest in America's
technology leadership-its
businesses," said Janice
Howroyd, CEO Act-1 and
Chairman, MBRT.
About
the Minority Business
RoundTable:
The
Minority Business RoundTable
is the only national non-profit
organization for CEOs
of the nation's leading
African-American, Asian-American,
Hispanic-American, Native-American
and other minority-owned
businesses. Its members
analyze and help formulate
effective public policies
that impact minority-owned
business. Our corporate
members work to create
sustainable communities
and national economic
viability through successful
partnerships.
The
Minority Business RoundTable
is proud to have Glaxco
Smith Kline, Equifax,
the Allegis Group and
Aerotek, Inc., the Business
Roundtable, an association
of chief executive officers
of the country's leading
corporations, the Kauffman
Foundation, U.S. Department
of Energy, U.S. Small
Business Administration,
U.S. Department of Homeland
Security, U.S. Department
of Labor and other federal
agencies, corporations
and business trade groups
as strategic partners.
For more information on
the Minority Business
RoundTable, please visit
www.mbrt.net.
#
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NEWS
RELEASE
Minority
Business Roundtable
1629 K Street, Suite 300
Washington, D.C. 20036
Contact: Roger A Campos
President & CEO
Minority Business Roundtable
202-289-8881
rogercampos@mbrt.net
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