Raia Announces Agreement On Gas Tax Cap

May 11, 2006

Assemblyman Andrew Raia (R,C,I,WF-East Northport) today announced that the New York State Legislature has reached a bi-partisan agreement to cap the state tax on gasoline, saving motorists four cents per gallon. Counties have the option to cap the local share of the sales tax on gasoline, further reducing the cost per gallon by up to 10 cents. The agreement awaits the governor’s approval, who has yet to publicly state his support.

“I have fought for gas tax relief for some time. We have held petition drives and events to bring the cap to fruition to save motorists money this summer,” said Raia. Considering that rising prices will negatively impact the Long Island economy, which thrives on tourism in the summer months, I am pleased to have struck a deal and look forward to voting in favor of this legislation when we return to session next week.”

Raia noted the gas tax cap measure that passed the Senate last month was defeated in the Assembly by a vote of 77-64, with all 77 votes coming from Assembly majority members.

The new agreement caps gasoline taxes at eight cents per gallon, equal to what the state collects on $2 per gallon. Local taxes on gasoline still range from 12 to 15 cents per gallon across the state. Raia plans to continue to fight for the complete elimination of the gas tax from Memorial Day to Labor Day.

“The Assembly majority tried to defeat this tax cap but we knew that we needed to respond to the needs of our constituents. The Assembly minority conference kept fighting and I am proud to announce that some relief at the pumps is on the way.”

If passed, the cap would take effect June 1st.