WASHINGTON – U.S. Senator Bob Corker, a member of the Senate Energy and Natural Resources Committee, today voted in favor of an amendment (#436) offered by Senator Tom Coburn (R-Okla.) to end taxpayer subsidies for domestic ethanol production and end import tariffs on ethanol. The amendment failed to receive the 60 votes necessary to advance.
“For a long time, these massive taxpayer subsidies have been a senseless, egregious and costly market distortion that our country cannot afford. You know you’ve got a bad policy when the very people benefiting from it are now saying it's ridiculous and want it to end,” Corker said. “By ending both the subsidies and the corresponding import barriers to ethanol, we can save $6 billion and restore market forces to a fully mature market.”
Ethanol tax credits account for roughly $6 billion in federal spending annually through the tax code, and according to both the Congressional Budget Office and the U.S. Government Accountability Office, do nothing to guarantee domestic ethanol production.