TAXPAYER WATCHDOG GROUP SLAMS CLINTON, CHEERS GOVERNORS ON GAS TAX | Citizens Against Government Waste

TAXPAYER WATCHDOG GROUP SLAMS CLINTON, CHEERS GOVERNORS ON GAS TAX

Press Release

For Immediate ReleaseContact:  Jim Campi or Aaron Taylor
June 27, 2000(202) 467-5300

 

(Washington, D.C.) -- The Council for Citizens Against Government Waste (CCAGW) announced today its support for the actions of Indiana Governor Frank O’Bannon and Illinois Governor George Ryan.  O’Bannon issued an executive order earlier this week suspending his state’s 5 percent gas tax.  On Wednesday Ryan followed O’Bannon’s commendable example, ordering his legislature back to Springfield to consider a six-month suspension of most of the 6.25 percent state sales tax on gas. 

"While state governments are working overtime trying to find solutions to steep increases in gas prices, the Clinton-Gore Administration is content to remain part of the problem," said CAGW President Thomas Schatz.  In 1993, Clinton slid a 4.3 cent per gallon tax hike into the budget agreement to be used to fight the budget deficit.  Today, with the deficit a memory and gas prices skyrocketing, the Clinton administration refuses to ease this heavy burden on taxpayers — a burden whose purpose no longer exists.

“How, in a time of national uproar over excessive gas prices, can President Clinton justify a tax intended to fight a problem which no longer exists?” asked Schatz.  “In total, the federal government imposes 18.4 cents in tax for every gallon of gas Americans purchase to drive to work each day, and 24.3 cents for every gallon of diesel truckers purchase to deliver our country’s goods.  The failure to repeal the gas 'deficit tax' increases the federal tax for non-diesel fuel by a shocking 30 percent."

The Clinton administration further contributes to the outrageous price of gas by encumbering American gas producers and distributors with excessive, burdensome regulations.  "These policies have made America more dependent on foreign oil and more vulnerable to price-fixing by the international oil cartel," Schatz pointed out.

Due to Clinton-Gore environmental and energy policies, 36 American refineries have closed since 1992.  No new refineries have been built since 1976.  Despite a 14 percent increase in consumption, U.S. oil production is down 17 percent since 1992.

CCAGW is the lobbying arm of Citizens Against Government Waste; a nonpartisan, nonprofit organization dedicated to eliminating waste, fraud, mismanagement and abuse in government.

 

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