House Republican Press Release

June 16, 2008

Press Office: 860-240-8700

REPS. GIEGLER, CARSON BACK GAS TAX RELIEF DURING SPECIAL LEGISLATIVE SESSION

On Thursday, June 12 State Rep. Janice Giegler (R-138) and Mary Ann Carson (R-108) voted in favor of legislation which will provide motorists some relief at the gas pumps. The Legislature took action in a marathon special session that began late Wednesday morning and ended shortly after 3 a.m. on Thursday.

The Legislature approved measures to suspend a scheduled July 1 increase in the gross receipts tax, which is expected to save consumers about a penny per gallon for diesel fuel and up to four cents per gallon for gasoline. Since the two taxes are calculated differently, the outcome per gallon is different. However, because the tax will continue to rise with the price of oil, Reps. Giegler and Carson joined with Republican legislators in proposing legislation that would cap the wholesale price of gasoline to freeze the tax. That measure was defeated in a largely party-line vote.

Additional legislation was approved to allow gas stations to offer cash discounts, which could save consumers at least 10 cents per gallon.

Rep. Giegler and Carson said they are encouraged that pressure from consumers and House and Senate Republican legislators has moved the Legislature into taking action. They noted Republicans in the Legislature also pushed to suspend the state’s 25 cent per gallon gasoline tax entirely from Memorial Day through Labor Day in 2007.

“Something that becomes lost in the call for relief at the pumps is how far-reaching the problem is,” said Rep. Giegler. “The skyrocketing cost of fuel is driving up the cost of everything from items in the supermarket to deliveries and services we receive at our homes. The action taken during the special session was a small but helpful step for consumers.”

“While we did take small measures to help people last week, I am extremely disappointed that we did not get support to cap the wholesale price of gasoline, which is the baseline for gross receipts tax,” said Rep. Carson.  “Connecticut does not have to have the highest gas taxes in the nation. It is true that the scheduled increase in that gross receipts tax has been suspended but there is no question we could have done more.”

Rep. Giegler and Carson added this year’s efforts to further lower the state gasoline tax, which is the highest in the nation, by an additional 10 cents during the summer months were defeated in largely party-line votes during the 2008 regular legislative session.