GAS PAINS
 

Last month, lawmakers ended their annual legislative session and tried to escape to their districts to focus on reelection. Unfortunately, the harsh economic realities of 2008 are pulling them back to the State Capitol this week and forcing them to expand what they hoped would be a narrow-focus issue agenda.

A special session originally intended to re-authorize the real estate conveyance tax (and maybe vote on ethics reform) will now include action on the big hot button issue of the year: gasoline prices.

Democratic legislative leaders and Republican Gov. Jodi Rell have agreed they should cancel an adjustment in the state's gross receipts tax on petroleum set to take effect July 1st. That increase would have hiked the gas tax at the pump 3 to 5 cents per gallon.
 

Republican lawmakers were out in front urging cancellation of the gross receipts increase as part of a broader alternative budget proposal that Democrats opposed. Democrats argued that small gas tax changes are meaningless in the face of rapidly rising gasoline prices. That was then. This is now.

Now that gasoline prices have topped four dollars per gallon and show no sign of retreating, politicians in both parties concede something must be done. "We must begin the process as soon as possible," said Rell. House Majority Leader Chris Donovan (D-Meriden) commented: "We're very interested in dealing with the real pump shock that's been going on."

In their heart of hearts, lawmakers know that preventing a 3 to 5 cent per gallon gas tax hike in July will provide little relief for motorists because continuing gas price increases may overwhelm that little legislative assist, making it virtually invisible.

However, Senate President Pro Tempore Donald Williams (D-Brooklyn) said it's just the right thing to do right now. If prices do continue to spiral up, it would be wrong for the state to aggravate that pain at the pump. "People want to know we get it," Williams explained.

Republican legislators aren't sure the majority party really does "get it." House Minority Leader Lawrence Cafero (R-Norwalk) said GOP lawmakers tried in vain to get Democrats (and Rell) to consider their so-called "do something budget" that included not just cancellation of the gross receipts tax hike, but also a summertime "holiday" from the 25 cent per gallon basic state tax on gasoline.

Democrats and Rell continue to frown on the GOP alternative budget for a variety of reasons and view it as a "dead" option. Williams said if Republicans try to revive it in this week's special session, they'll be guilty of "playing politics" in a time of economic crisis.

Cafero is insulted by that charge and said without Republican pressure to "do something" about the gasoline tax, no relief would be in sight. "In regard to the (gross receipts) gas tax, they are now saying, you are right, we were wrong," said Cafero, adding: "We definitely changed the debate, beating the drum on this issue."
 

Posted 6/09/08

Comments or questions?  Contact us at  CTReport@crnradio.com

© Connecticut Radio Network