Momentum Growing In Halls Of Congress For Windfall Oil Tax; Big Hearing Set For Nov. 9; Fearing voters' reactions to soaring energy prices, Republicans in vanguard.(A)

Byline: SEAN HIGGINS

Despite the recent decline in prices at the pump, momentum built in Congress this week to enact a "windfall tax" on oil industry profits.

Republican leaders set Wednesday as the date for a hearing on "excessive profits" by the companies. Meanwhile, support in Congress is growing for measures aimed at oil profits -- from windfall taxes to consumer rebates.

The drive comes amid concerns by lawmakers that energy costs will climb even higher in the coming winter months, further angering voters who've already seen a sharp rise in prices.

Many lawmakers said they were outraged by recent news of record industry profits. Exxon Mobil, for example, recently announced it earned $9.9 billion in the third quarter. To many senators, that's clear proof that they need to act.

"It has become perfectly clear that the big oil companies are cashing in while American families are being left to choose between food on their table and gas to drive their car or oil to heat their homes," said Sen. Chuck Schumer, D-N.Y.

John Felmy, chief economist for the American Petroleum Institute, said the lawmakers just don't understand the economics of the industry. Yes, profits are up, but that doesn't mean much in an industry as large and as cyclical as oil.