A broad coalition of more than 30 business associations, agricultural groups, taxpayer advocates, hunger and development organizations and free-market groups on Thursday sent separate letters calling for an end to the ethanol tax credit.
The American Meat Institute (AMI) applauded efforts by Representatives Steve Womack (R-AR) and Dan Boren (D-OK) for introducing the Volumetric Ethanol Excise Tax Credit Repeal Act and Representatives Leonard Lance (R-NJ) and Earl Blumenauer (D-OR) for introducing the Repeal Ethanol Subsidies Today Act. If enacted, either of these bills would save taxpayers nearly $4 billion during the remainder of 2011.
“Experts in the Congressional Budget Office and the Government Accountability Office have already concluded that the subsidy is unnecessary, and leading economists agree that ending it would have little impact on ethanol production, prices or jobs,” the groups wrote. “We applaud you for your leadership on the issue and encourage Congress to pass this legislation swiftly.”
Similar bipartisan legislation to end the Volumetric Ethanol Excise Tax Credit was introduced last week in the Senate.