Senate passes measure to avoid shutdown of helium program

09/19/2013 3:58 PM

09/19/2013 3:59 PM

The Senate on Thursday easily passed a measure that would prevent a shutdown of the U.S. helium reserve program in early October.

Helium – best known as the gas used to fill party balloons – is a critical product in the aerospace and defense industries and also used in the manufacture of smartphones and medical equipment, among other things.

Under current law the Federal Helium Program was scheduled to end on Oct. 7, barring reauthorization by Congress.

The Interior Department, which operates the program, had indicated it would have to start reducing supplies on Oct. 1 to prepare for a shutdown of the reserve.

Closing the reserve would have risked a disruption to the U.S. economy, backers of the legislation warned. The reserve provides 42 percent of U.S. crude helium and 35 percent of world supplies.

The Senate vote was 97-2. Republicans Ted Cruz of Texas and Jeff Sessions of Alabama dissented.

The White House on Thursday said it supported the Senate vote to keep the reserve operational.

“The impending shutdown of this program would cause a spike in helium prices that would harm many U.S. industries and disrupt national security programs,” the White House's Office of Management and Budget said in a statement.

The Senate action, it said, would provide for an orderly transition of the federal government out of the helium market.

The Bureau of Land Management, an Interior Department agency, runs the program out of offices in Amarillo, Texas.

Helium is most commonly recovered from natural gas deposits, many of them in Texas, Oklahoma and Kansas, the BLM said on its website.

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