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F I S C A L I M P A C T R E P O R T
SPONSOR Carraro
DATE TYPED 10/8/05
HB
SHORT TITLE
Request that President. Of U.S. request Iraq increase
oil revenues to reimburse U.S. for cost of war.
SJM 4
ANALYST Quezada
APPROPRIATION
Appropriation Contained Estimated Additional Impact Recurring
or Non-Rec
Fund
Affected
FY05
FY06
FY05
FY06
NFI
(Parenthesis ( ) Indicate Expenditure Decreases)
SOURCES OF INFORMATION
LFC Files
SUMMARY
Synopsis of Bill
Senate Joint Memorial Floor Request the President of the United States to request the Iraqi Par-
liament to increase oil production in the country of Iraq and to use the revenue generated to re-
imburse the United States for costs associated with the war.
Significant Issues
The war in Iraq has an estimated cost of ($5,600,000,000) per month. Iraq has the fourth largest
economy in the world, and its economy is reliant on oil exports to generate revenues. The
United States has spent two billion dollars ($2,000,000,000) in restoring the oil industry in Iraq.
Iraq is not a stable country and does not have a stable government in place to enact such a re-
quest. Recent data reports that insurgency is on the rise and Iraqi military forces are not yet
ready to protect the country’s oil infrastructures and production. Efforts to rebuild the economy
have been interrupted by continued insurgent attacks which have disrupted efforts to stabilize the
economy and production of oil. This substantiates the notion that Iraq is unstable and cannot
sustain an economy that could generate revenues to pay the United States back at this time.
WHAT WILL BE THE CONSEQUENCES OF NOT ENACTING THIS BILL.
The President will not be requested to ask that Iraq reimburse the United States for the cost of the
war.