Washington —- As gasoline prices reached a record high Wednesday, Congress was told that more small businesses will be forced to declare bankruptcy unless the government regulates the price of gas.

Witnesses at a House Small Business Committee hearing called for government price controls and said it is unfair for energy companies to make huge profits and receive tax breaks while consumers suffer.

"We need to limit the price of fuel on a weekly basis. The government needs to help us with the gas costs rising so we can at least budget for the coming week and know the price will remain stable," said Michael Graff, owner of Michael Graff Trucking in Natrona Heights, Pa.

He warned that "if there is not help given to small businesses, they are going to go under, and the big companies, they are going to tell you how it's going to be."

The hearing took place as the national average price of a gallon of regular unleaded gas rose 1.2 cents to a record $3.343 a gallon —- 55 cents higher than a year ago —- according to a survey by AAA and the Oil Price Information Service.

The small-business owners told the panel that high gas prices already are forcing some firms to downsize and eliminate benefits traditionally offered to employees.

"We are considering reducing our contributions to our employees' retirement accounts, increasing the amount that employees must pay for their health insurance, and reducing other employee benefits. These are painful, painful reductions," said Tim Williford, vice president of finance and administration for Southern Piping Co., a small family business in North Carolina.

"Historically, small businesses run [on] thinner margins than do larger competitors. There are two simple choices to reverse declining profits or minimize losses: either cut costs or increase prices," said Vincent Orza, dean of the Meinders School of Business at Oklahoma City University.

"The simple fact is, virtually every product bought or sold in America winds up being transported in a car or truck at some point in the consumption process, so rising gas prices affect everyone and every business," he said.

Some witnesses urged that, as a first step, the federal excise tax of $18.4 cents per gallon be suspended.

But Rep. Louis Gohmert (R-Texas) said: "I want to see gas prices go down, but if you eliminate the gas tax, then we get behind on road and infrastructure problems" because those revenues are used for highway construction by the federal government and states.