By Hector Flores
The delegation met on Tuesday at a Mobil station at 651 Merrick Ave. State Senator David McDonough said that he and his Republican colleagues had offered an amendment to the state budget last week calling for the sales tax cap. However, the amendment failed, 77 to 63, with the majority of Democrats voting to retain the full state tax, arguing that the bill would hinder other tax relief programs. McDonough said that if enacted, such a cap would save motorists 8 to 10 cents per gallon. Last year, a similar bill passed the state Senate.
"With gas prices approaching $3 a gallon and Memorial Day still a month away, many of us are and will feel the pinch at the pumps during the summer," said McDonough, the ranking minority member of the Assembly Committee on Consumer Affairs and a member of the Assembly Committee on Tourism, Arts and Sports Development. "Long Island is a multi-billion-dollar tourist destination for visitors and business alike. If we continue to cripple consumers with excessive gasoline taxes, what type of impact will it have on Long Island's summer tourist industry?"
As of last Monday, the price of regular gasoline per gallon at Franklin Square and Elmont gas stations located on Hempstead Turnpike were no cheaper than $3.09. Below is the prices of Hempstead Turnpike's 10 Franklin Square and Elmont gas stations:
Mobil (corner of School Road, Elmont): $3.17
Shell (corner of Nassau Boulevard, Franklin Square): $3.15
Citgo (corner of Covert Avenue, Elmont): $3.15
Hess (corner of Sherwood Avenue, Franklin Square): $3.13
Liberty (corner of Clinton Street, Franklin Square): $3.11
Shell (corner of Warwick Road, Elmont): $3.11
USA (740 Hempstead Turnpike, Franklin Square): $3.09
Mobil (corner of Wellington Road, Elmont): $3.09
Getty (corner of Stone Street, Elmont): $3.09
USA (corner of Belmont Boulevard, Elmont): $3.09
McDonough added that New Yorkers have the highest tax burdens in the nation, and gas taxes are no different. "Motorists in New York pay, on average, 63 cents per gallon in fuel taxes - the highest rate in the Northeast," he said. "This figure includes an 18-cent-per-gallon federal tax. Included in the price of a gallon of gasoline are excise, spill and petroleum business taxes, a petroleum testing fee, a federal tax, and state and local sales taxes."
McDonough believes that a cap on the state sales tax on expensive gasoline is a moderate measure at a time when motorists need all the help they can get. "The state is reaping a windfall from rising gas prices, and some of that money should go back to the taxpayers," he said.
Assemblyman Rob Walker, a Republican of Hicksville, said that last year the state exceeded its revenue forecast for gas taxes and there was a surplus of $3 billion to $4 billion in the state budget for the fiscal year. "I can't believe how many people have called me telling me how they feel the pinch about gas prices," Walker said. "People shouldn't have to choose between buying groceries, prescription drug medicine or gas.
"I don't know the exact reason [the amendment] wasn't passed," Walker continued. "I believe that Assembly [Democrats] want additional revenue so they can spend it on programs they want to see funded. But I feel we should give money back to our constituents and consumer residents. They know how to spend the money better than we do."
Assemblyman Tom McKevitt, a Republican of East Meadow, said that he is hopeful that the bill will eventually pass the Assembly. "We are very hopeful of getting the bill passed," he said. "The senate has already passed it, and we were only 13 to 14 votes from getting it passed. All the Republicans and 20 Democrats voted in favor of it. I think it's very clear, as prices are approaching and exceeding the $3 mark, that residents need relief as soon as possible."
McKevitt said that residents who support the bill should contact their local representatives. "Our colleagues are working to bring this up as quickly and as often as possible to get this passed," he said. "Our goal is to have this legislation in effect between Memorial Day and Labor Day, during the summertime, for the benefit of families who are traveling to parks and beaches."
Assemblyman Paul Tonko, a Democrat of Montgomery County and chairman of the Assembly Energy Committee, said that a cap on the state's gas tax would do more harm than good. "If this amendment was added, it would have cost the state between $50 and $100 million, and would be the undoing of other programs geared at provided tax breaks [such as property tax and sales tax relief]," Tonko said.
Tonko explained that the amendment was a last-minute add-on to the state budget, and called that move unprofessional. "To introduce this [amendment] on the heels of the budget is unfair and irresponsible," he said. "There was a time and a place where this concern could have been raised. We didn't hear any advocacy for the state gasoline tax. I am aware of gas costs and I know what working families are going through. We have had a huge downturn in the economy [of Montgomery County], and car travel is essential, but the solution must be sound and logical."
As for the state surplus generated by gas taxes, Tonko said that Gov. George Pataki had revealed that it wasn't as large as some people though. "The governor's people updated us and told us that there wasn't a windfall, because many people reduced their car driving and sales tax was cut," Tonko said.
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