House Republican Press Release

May 14, 2007

Press Office: 860-240-8700

Rep. Richard Ferrari supports gas tax moratorium

In the face of another looming spike in gasoline prices, House Republicans today called for a gas tax moratorium from Memorial Day to Labor Day for the summer peak driving season to give motorists relief at the pumps. 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.

“There has been lots of talk in the legislature over the last several years about dealing with our state’s energy crisis. This proposal by the House Republicans would result in some much-needed relief from ever-increasing gas prices for our residents,” said state Rep. Richard Ferrari (R-East Granby). “Our gas taxes are among the highest in the nation, and there would be no revenue loss to the state due to the use of surplus funds. This is a win-win situation. With Granby being on the border with Southwick, MA, I would even hope that we could help some Connecticut gas stations when they reduced the cost of fuel in our state.”

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 now has a surplus this year of $846 million which would easily cover the lost revenue. The legislature has until June 6 to finalize the two-year budget and the timing of this proposal is ideal.

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

Rep. Richard Ferrari (R-62) represents Barkhamsted, East Granby, Granby and New Hartford in the General Assembly.