Governors' Ethanol Coalition

                                                                                December 20, 2001

The Honorable Tom Daschle
Majority Leader
United States Senate
Washington, D.C. 20510

The Honorable Harry Reid
Assistant Majority Leader
United States Senate
Washington, D.C. 20510

The Honorable Jeff Bingaman
Chairman
Senate Energy & Natural Resources Committee
364 Dirksen Senate Office Building
Washington, D.C. 20510

The Honorable Trent Lott
Minority Leader
United States Senate
Washington, D.C. 20510

The Honorable Don Nickles
Assistant Minority Leader
United States Senate
Washington, D.C. 20510

The Honorable Frank Murkowski
Ranking Minority Member
Senate Energy & Natural Resources Committee
364 Dirksen Senate Office Building
Washington, D.C. 20510

Dear Senator Daschle, Senator Lott, Senator Reid, Senator Nickles, Senator Bingaman, and Senator Murkowski:

The members of the Governors’ Ethanol Coalition want to express our gratitude for the numerous bills introduced in the Senate that would create and establish a national renewable fuels standard. We believe these actions confirm the members’ belief that renewable-based transportation fuels must be a component of a national energy policy designed for the 21st Century.

In today’s environment, we believe it is more important than ever to strengthen our national security with progressive legislation that will stimulate ethanol and biofuels production, displace imported oil from politically unstable regions, expand domestic energy supplies, and continue to reduce air pollution.

America has an opportunity to substantially expand its burgeoning renewable fuels industry. As underscored by findings in a recent study, the ethanol industry adds $4.5 billion in annual farm revenue and sustains 195,000 jobs; increases state tax receipts of $450 million; improves the U.S. balance of trade by $2 billion and accrues net savings of $3.6 billion to the federal Treasury.

As state deadlines for the phase-out of MTBE approach, we believe action on legislation promoting farm-based, renewable energy is critical and must be addressed within the next several months to forestall any potential problems with the nation's fuel supplies. Please do not hesitate to let us know how the Coalition may be of service to you as the Congress considers this important legislative initiative.

Sincerely,

Mike Johanns Governor of Nebraska and
Chairman, Governors’ Ethanol Coalition


Bob Holden
Governor of Missouri and
Vice Chairman, Governors’ Ethanol Coalition


Thomas Vilsack
Governor of Iowa and
Past Chair, Governors’ Ethanol Coalition

c. Hon. Tom Harkin
Hon. Richard Lugar
Hon. Charles Grassley
Hon. Charles Hagel
Hon. Jean Carnahan
Hon. Dianne Feinstein
Hon. Christopher Bond
Hon. Dennis Hastert
Hon. Richard A. Gephardt
Hon. Tom Osborne
Hon. Lane Evans
Members, House Alcohol Fuel Caucus