Standby Gasoline Rationing Plan Message to the Congress Transmitting Contingency Plan No. 6.

To the Congress of the United States:

Pursuant to Sections 201(d)(1) and 552 of the Energy Policy and Conservation Act (EPCA), 42 U.S.G. 6261 (d) (1) and 6422, I am hereby transmitting to the Congress for its approval an amendment to the Standby Gasoline Rationing Plan (Standby Gasoline Rationing Plan No. 1) which I transmitted on March 1,

This amendment is a substitute for Contingency Plan No. 5 which I transmitted on May 7, 1979.

During the consideration of the Stand by Gasoline Rationing Plan, concerns were raised by both Houses of Congress that the Plan did not treat states and the citizens within states equitably. The purpose of this amendment is to add new provisions to the rationing plan to eliminate the potential for disparities during plan operation. The first provision alters the procedure for determining allotments of ration rights by basing allotments on a historical gasoline use factor in each state, and expands the State Ration Reserve, thereby compensating for disparities both within and among states. The second change limits the number of vehicle allotments each household could receive, reflecting my belief that households with over three vehicles should not receive excessive benefits at the expense of other households.

Under this amendment, each state will be provided with an expanded State Ration Reserve of eight percent not only to provide for the needs of the handicapped and hardship applicants as already provided in the plan, but to provide additional flexibility to the states in dispensing supplemental ration allotments to citizens with special needs. The National Ration Reserve is anticipated to remain at approximately two percent of the available gasoline supply.

The amendment also provides a new method for calculating the ration rights to be allotted to each registered vehicle. Instead of allocating the net total available gasoline supply equally to vehicles in all states, the amendment provides for the available gasoline supply to be allotted on the basis of historical gasoline use in the respective states.

Another provision limits the number of ration rights received by each household to three vehicle allotments. Ration rights not distributed to members of a household pursuant to the limitation of this amendment will be distributed to the State Ration Reserve in the state in which such household is located. This amendment would not preclude members of a household from obtaining additional ration rights from the State Ration Reserve on the basis of hardship or other factors.

The procedures for approval by Congress of an amendment to a contingency plan are detailed in Section 552 of the EPCA, and require among other things that a resolution of approval be passed by each House of Congress within 60 days of submittal of the amendment. I urge the Congress to give this amendment expedited consideration so that it may be approved promptly with the Standby Gasoline Rationing Plan.

The EPCA does not specify in Section 552 the form which the resolution of approval is to take. As I noted in my submission of the Standby Gasoline Rationing Plan on March 1, 1979, it is my view and that of the Attorney General that actions of the Congress purporting to have binding legal effect must be presented to the President for his approval under Article I, Section 7 of the Constitution. Therefore, I strongly recommend that Congressional approval of the amendment be in the form of a joint resolution. If this procedure is followed, the amendment itself, agreed to by the Congress and the President, will not later be subject to possible judicial invalidation on the ground that the President did not approve the resolution.

Prompt Congressional approval of the Standby Gasoline Rationing Plan is essential. Failure of the Congress to act will leave the Nation vulnerable to economic disruption and long gasoline station lines. It is obviously impossible to develop a plan which will be perceived to be fair by each person. The proposed plan, as amended, is designed to be broadly equitable, practical and administrable. If we fail to approve a standby rationing system, the Nation's resolve to deal with a serious supply interruption will be called into question. The resulting damage to the economy and personal hardships to our citizens could be substantial.

I urge the prompt and favorable consideration by the Congress of the Standby Gasoline Rationing Plan and this amendment.

JIMMY CARTER

The White House,

May 8, 1979.