Congress slips on oil subsidies

With big oil swimming in profits and the federal government drowning in red ink, the Senate still couldn't find the backbone Tuesday to eliminate $2.1 billion a year in tax breaks for the industry.

The failure to end that wasteful, old energy subsidy -- even when doing so would have been hugely popular with voters paying north of $4 a gallon for gasoline -- makes it hard to believe our elected officials will ever do what it takes to rein in federal deficits and debt.

Scrapping the oil tax breaks wouldn't have resulted in lower prices at the pump. But that misses the point.

The five oil companies pocketing that $2.1 billion together reported $35 billion in first-quarter profits. Meanwhile the federal government will borrow $1.65 trillion this year to pay its bills. Washington simply can't afford to continue lavishing money it doesn't have on an industry that so clearly doesn't need it.

By the skewed reckoning of too many senators, eliminating any tax break is a backdoor tax increase, something they won't support. So 45 Republicans, joined by three Democrats, voted cravenly to continue the breaks.

The federal government has to dramatically cut its spending. But cutting alone won't be enough to contain massive deficits. The hole is just too deep. Congress is also going to have to raise taxes. Given that painful necessity, demanding a bit more from flush oil companies would have been a fine place to start. hN