SEN. NANCY KASSEBAUM (R-KS)

In May 1991 (no exact date given), Sen. Kassebaum purchased between 50,000 and 100,000 dollars worth of an interest in gas wells located in Stevens County, KS (far southwest corner of Kansas). Sen. Kassebaum reports drawing rental income from these wells between 15,000 and 50,000 dollars.

The timing of Sen. Kassebaum's purchase coincides with Senate consideration of S. 741: NATIONAL ENERGY EFFICIENCY AND DEVELOPMENT ACT. This bill (referred to Senate Finance) contained tax breaks for oil and gas investments. Subtitle F (Domestic Oil and Gas Production Incentives) "...removes the net income limitation on the percentage depletion allowance deduction for oil and gas wells." Subtitle F also "...allows a tax credit for specified percentages of the taxpayer's qualified investment in crude oil and natural gas exploration and development wells." Now, even though Sen. Kassebaum does not sit on the Senate Finance Committee, her Republican colleague from Kansas (Bob Dole) is # 2 on the Senate Subcommittee on Energy and Agricultural Taxation, and thus may have alerted her to the oil and gas well provisions in this bill.