House Republican Press Release

May 14, 2007

Press Office: 860-240-8700

HOUSE REPUBLICANS WANT GAS TAX HOLIDAY BY MEMORIAL DAY

HARTFORD – In the face of another looming spike that would result in even higher gas prices, House Republicans today called for a Memorial Day state tax holiday for the summer peak driving season to give motorists relief at the pumps.

House Republican Leader Lawrence F. Cafero Jr., of Norwalk said given the new higher revenue projections released last week and the pain drivers continue to feel from the ever-increasing gas prices, Connecticut should stop collecting the 25 cents per gallon now levied for the summer driving season. Cafero said the savings would be significant and Connecticut can afford it.

“Connecticut motorists pay some of the highest gas prices in the country and at a time we can afford to offer some relief, we need to do it. We have failed to enact any meaningful energy plan as the Democrats promised more than a year ago. We should stand up and show leadership and deliver for Connecticut drivers,’’ Cafero said. Connecticut’s combined state and federal taxes of  more than 55 cents per gallon are third highest in the country behind only California and New York. 

It is estimated that the tax cuts would save drivers about $40 million per month, or a little more than $120 million for the duration of the summer driving period. Last week, the non-partisan Office of Fiscal Analysis revised revenue projections to show that Connecticut  will have an will an $846 million surplus which will easily cover the lost revenue  The legislature has until June 6 to finalize the two-year budget and Cafero said the timing of this proposal is ideal.

The gas tax moratorium would not divert any funds from any transportation program.  

“The legislature is in session right now and we can take immediate action to benefit anyone who drives and is fed up with gas prices,’’ he said. “We can debate forever the larger energy issues and still not come up with a plan. We’ve missed opportunities to do anything about the heating season crisis, but we should act on this plan right now.’’

Average prices have increased more than 80 cents per gallon in recent months or more than 33 percent and there is disagreement over who is to blame. “If we move forward now we can show  Connecticut motorists we have their best interests in mind,’’ Cafero said.