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Apr 30, 2008 6:52 pm US/Eastern
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Gas Tax Suspension Turning Into Fight In Albany
Republicans' Proposal For 3-Month Summer Holiday Met With Stiff Resistance By Silver-Led Democrats
NEW YORK (CBS) ―
Relief at the gas pump could be on the way as soon as this summer. With prices topping $4 per gallon, some state lawmakers say they want to suspend New York's gas taxes.
New York drivers are getting killed at the pump as more and more gas stations are charging more and more on almost a daily basis.
"It's getting crazy every day," said Rafael Diaz of Queens. "You see two or three pennies up every day."
Added Benny Rivera of Old Bridge, N.J.: "At home you use the car a lot less you know?"
New York drivers are now staring at mind-boggling prices of more than $4 per gallon all over the tri-state area. What's jaw dropping is that 65 percent of the pump price is made up of taxes.
"Unbelievable," one driver said.
It is unbelievable, and that's why state Republicans are introducing a bill to suspend state gas taxes this summer.
"People have to work. They have to go to school. They have to grocery shop. They need it for emergencies," Senate Majority Leader Joseph Bruno. "It's not a luxury … and what's been happening? We're pushing $4 per gallon here in this state."
"We have to provide relief so people can afford to live and support their families."
State Republicans want to suspend three state gas taxes, totaling 32 cents from Memorial Day to Labor Day. However, Assembly Speaker Sheldon Silver says the state cannot afford the $500 million price tag of suspending gas taxes. He says Republican support for the plan is, "A cover for the failure of the Republican administration in Washington to deal with it, not over the last month, but over the last 7 ½ years."
Governor David Paterson seems open to the idea, but he wants to make sure the savings would actually reach consumers at the pump.
"What I would like to hear before giving my full support is some kind of guarantee. In other words, they could bring the people in here to make a pledge that's going to be passed on to consumers."
Meanwhile, President Bush now says he's open to the idea of suspending the federal gas tax this summer. That would cut pump prices by another 18 cents per gallon.
New Jersey drivers pay less at the pump because the Garden State has one of the lowest gas taxes in the nation. It is 14.5 cents, compared to New York's 32 cents.
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