Editorial by Faith Chatham Legislation passed by the Texas House this week includes deplorable language which stands among some of the worst policies forwarded by that sometimes demenented institution. 1. While refusing to fix Transportation Funding so that Texans can have necessary state infrastucture built and maintained on tax money and pushing approval of 50 year toll contracts with private companies, the Texas House voted to cut gasoline taxes this summer by 20 cents a mile. If they truly cared about high gasoline cost, they could pass a windfall profit tax to hit at the gougers. Instead they send the message that Texas is not in a Transportation funding crisis. This so-called tax break encourages more driving at a time when several regions of the state is out of EPA Clean Air attainment standards and faces loss of Federal Highway funds. Attempting to justify the tax cut by taking the money out of the general fund is a sham when they are refusing to stop the diversions from transportation into other uses, refusing to index the gas tax, and refusing to fully fund the Mobility Fund so that the state will have sufficient transportation funds to leverage on the bond market for transportation project financing. 2. The House passed HB 2268 which gives TxDOT, an out-of-control agency which needs an immediate, through investigation and reorganization, more authority.
House Bill 2268 let's TxDOT acquire land before a toll or road project is approved, before environmental studies are completed, before public hearings take place, etc. In short, it lets TxDOT lock in a route in advance, and then pretend like all the public input and research might actually change their decision. - Sal Costello
Activity in Austin has been brisk this week. Governor Perry is threatening to call a special session on Transportation. If they will truly address problems of Transportation Funding that would be a good thing. Perry controls the agenda at a Special Session and he is in favor of CDA and toll roads. The House is in la la land and refuses to take a reality check. They are intense on pandering to the electorate and refuse to give Texans credit for understanding that we have to pay for infrastructure and that TOLLS and USER FEES are TAXES. Reducing taxes and raising tolls and user fees is no tax break. Belo - DMN took a poll this week on whether it was good or bad for the Texas Legislature to institute a 20cent a gallon gas tax suspension for 3 months this summer. Most of the people who commented said "NO." Many said: "It's stupid." Of the 444 who voted, 53.14% (236) voted Yes, give us the tax break. 45.05% (200) voted No, it's bad policy. In the comment section, many of those who voted Yes indicated that they had mixed opinions on the tax break because they suspected it would result in some adverse results. Here are some of the comments:
This tax has a purpose and needs to be planned and USED for those purpose. This is extremely short-sighted and ignores the basic facts of economics.
This is a terrible idea. We have toll roads across the state because they say they don't have the money to build roads, and now they're giving away the money? I'd rather have free highways. The tax will also help reduce consumption, something dearly needed.
I would rather see the money spent to fix the roads, speed up construction (case in point, I-35 south of Dallas), or turn tollroads into state highways to relieve our traffic congestion. Relieving congestion reduces the need for gasoline on the roads, because cars can get the highway miles instead having the miles per gallon reduced with the stop-and-go of traffic jams. Moreover, the price of gas should be a deterrent to consumption -- there's no logical reason for buying these huge gas guzzling SUVs.
Another respondant wrote:
This is a step in the wrong direction. We should be indexing the gas tax, funding the mobiilty fund, and realistically addressing funding of public highways with state funds instead of relying tolls for funding. The DFW area faces construction of 675 more miles of toll roads in the next 30 years. This region will be immediately non competitive and businesses who must receive and ship goods using toll roads will be at a disadvantage. Everyone will see inflated prices at the cash register because shipping costs are passed on to consumer 100%. Legislators are seeking a short-term feel good and ultimately taxpayers will pay many times more on tolls than they'll receive from a short-term gas tax rebate.
With great insight this person wrote:
Gasoline prices are up because of several factors. Amongst them are American's love of big SUVs and pick-up trucks, which are fuel hogs, as well as a tendency to drive them at 10 to 15 per cent over the post speed limits. The gasoline tax should be indexed to inflation, and raised to take into consideration the inflation since the last increase in the tax. The gasoline tax is a user tax. It provides the funds to build and maintain our roads, which motorists should pay for. Lowering the tax for the summer and then taking the money out of the general fund to cover the short fall is a classic case of robbing Peter to pay Paul. Lowering the gasoline tax sends the wrong behavioral signals. As long as gasoline in the U.S. is relatively cheap, which it is, people will continue to drive inefficient vehicles, which is bad news for oil imports that are the major source of the country's balance of trade problems, and the environment.
Tax would have to come from someplace else to recoup. Nothings tax free. Also, this will just increase consumption, resulting in higher prices down the road. Leave it alone and literally ride it out. If consumers can't afford filling up SUV's and Pickups, time to scale down to Accord's and Camry's. Also, current prices don't seem to affect us, as the media is stating that record consumptions of fuel are being recorded.
Succinctly:
This sends the wrong signal to drivers - encourages continued purchases of low mileage vehicles. Anyone who is a believer in Global Climate Change should not be in favor of this.
More than one reader was irritated by the proposed tax cut:
Now we're going to subsidize gas consumption? How long until we realize that conservation (among other things) is the simplest solution to oil dependence and climate change? But that requires changing of old habits and possibly some sacrifices (gasp!).
Duh, only an idiot would think otherwise! There is NO real reason for us to be paying almost $3 per gallon - other than the oil companies (and sometimes the gas producers) WANTING FATTER POCKETS at the consumer's expense - when the price goes up EVERYTHING goes up - food, merchandise, postage, shipping, any form or commercial travel!!!!!
Stupid Idea. It is just another way to enable Texans to continue their love affair with their cars... and OVERSIZED trucks. Would it kill us to maybe drive a little less instead? This money could be better used somewhere else...
Suspending this tax is a bad idea. The impact will be much unpleasant when it comes back..with a vengance!
Many said that the Legislature should address gas gougers instead of lowering the gas tax:
We do not need the tax relief. If you do not want to pay so much in gas, rethink your driving habits and/or find alternative forms of transportation. Our roads are in bad enough shape so keep the tax money coming in. If anyone really feels compelled to fix this problem, go protest on the doorstep of the refineries CEO offices. This is all a refinery made price gouging situation. Prices have been steady in Europe for the past 3 years. Since refineries control the production of gasoline, they can control the price. Have to love (or hate) our supply/demand economy. You also have to ask yourself where the huge 'Gulf Hurricane' oil company tax breaks when to. Then ask the question of record profits and little to none of that money getting reinvested into refining.
Well, that's just brillant! The state needs over $86 billion dollars over the next 20 years to build new roads and rehabilitate existing roads, and nobody in the legislature seems to want any of those facilities be toll roads. Now we have to siphon off even more of the little revenue available just so consumers can save several dollars every time they fill their tanks during the summer months. This will encourage more driving which will further degrade air quality during the peak ozone season and further increase the wear and tear on the state's overburdened highway system. Furthermore, this is just a sales tax break...so oil and energy companies will still be able to fill their pockets with record profits. What hypocrisy!!! If lawmakers really don't want any toll roads, stop wasting our tax money superfluously so that we will have no choice BUT to build toll roads in the future! Or maybe we'll just all be satisfied with the future distinction of having the worst traffic and road conditions in the nation! How's that for representation?!
Why would that help us out on the cost of gasoline. We get a tax break and the the gas stations will just raise the price more. It is a guessing game everyday of how much money are they going to sale gas for today. I have never understand it as I know the the merchants who purchase gasoline to sell does not buy it everyday so how can they justify to keep raising the price everyday.
This reader wonders what connection the lawmakers have to the petroleum industry which keeps gouging on energy cost;
Although I appreciate the legislature finally paying attention to the real needs of their constituents, I find it interesting that they continue to avoid addressing the true issues at play here. First, it is not our gas tax rate that is at fault here it is the excessive profits being made by oil companies by unjustly inflating prices. And as Im sure most of these same companies are huge contributors to our legislative candidates, I certainly dont expect the legislature to take any action that could directly affect their reelection campaign funds. And where are we, the citizens of Texas, expected to come up with an additional $500 million in revenue? Schools, public safety, property tax rates, or a sales tax hikes? Money doesn't grow on trees not even here in Texas. Second, we will continue to face issues of high gas prices and shortages until we finally address our overdependence on foreign oil. Unless and until we switch to alternative fuels, vehicles with higher mileage requirements, and more accessible, user-friendly mass transit systems consumers will always be held hostage to world events and corporate greed. I guess I would feel better about the legislature's plan if I thought they were even in the slightest way looking at the long range issues here and not just trying to close the session with an ultimately inconsequential tax break that they can go home and brag about.
If the excise tax on gasoline makes up only 6.9% of the total cost, then the problem with gasoline pricing lies somewhere else. Why doesn't the House install a ceiling of $3 a gallon for three months? With Exxon/Mobil and other petroleum producers still recording record profits every quarter, let them shoulder the burden for the summer. Will it kill Big Oil to play nice?
CONTROL WHAT THE OIL CO'S MAKE.
Another places the blame for gas prices on us:
It seems as though we are committed to do everything to ease the cost of doing the same old thing. Instead of accepting that gas prices as a trend will do nothing but go up and that long-term we need better solutions, we keep blaming our problems on big oil companies and not accepting responsibility as consumers for not demanding more efficient vehicles from auto manufacturers. We all make choices and sometimes those choices turn out poorly for us. We can drive vehicles with fuel economy's averaging 15 mpg and expecting to not pay for it at the pump. Prices are only going to worsen--we need to find real solutions, not temporary distractions.
Air Quality and its connection to gasoline miles driven is clearly an issue with Texas voters:
We need the tax money for roads. Encouraging people drive in the summer also hits during our peak air polution season.
Those ding dongs! We need incenctives to push people into more efficient automobiles. Emissions continue to grow from automobiles and smaller cars emit less. This is a ploy for kickbacks from the companies that want to administer our toll roads. They'll pass this bill, and then claim there are no funds to maintain the roads, thus opening the door for more toll roads. Idiots!
Incredibly stupid idea. State should be using this as a progressive incentive to promote transition to more efficient vehicles. Economic incentives work much better than legislation. For best long-term effects, let the price of gasoline float and maybe even increase taxes to expedite the transition. This is an opportunity to bot reduce dependence on foreign oil and to improve air quality by motivating drivers to smaller, more efficient vehicles. Don't mess with an otherwise good thing. I don't understand what you mean be surplus, the tax is per gallon. If anything, the reduced useage would result in a shortfall.
It is apparent from these comments that many Texans do not have as great an aversion to taxes as some of the members of the Texas House:
This is not good government. Quick relief on gas prices will lead to poor quality roads and highways, because there will be no money left to maintain them or expand them to help relieve congestion. Drivers can pay now or pay later. Get it over with now and enjoy more safety and space on the roads later.
This isn't about saving anyone money, it's about politics and the misguided belief that every tax is a bad tax. The legislature - House, anyway - wants to cut more than 1/4 of the funding for highways by cutting this tax for 3 months. They are also putting a 2 year moratorium on private toll roads (and the upfront fees they provide) - another alternative to raising the gas tax. Anyone remember driving through Louisiana in the early 90's when they wouldn't raise the drinking age? That's the future of our roads if the legislature won't commit any money to maintenance, repair and reconstruction.
Many comments show that Texans continue to be willing to pay to have decent roads and public infrastructure.
We need to improve the condition of our Texas roads and highways while the money is available!!!!!
Let's take a 3 month break from gas tax, while we sell every road we have to foreign companies. Wow, makes a ton of sense, doesn't it.
Terrible Idea. The price of gas is inelastic. Even if the price were to rise to $5 everyone would still buy it no matter how much they complained. Tax revenue is important, you can't just let it go for 3 months. Who's going to suffer because of that? The schools, the state? What everyone needs is strong regulation on gas mileage. Fix the problem, don't just hide it for 3 months of the year.
NO! We keep having to build toll roads because our legislators won't raise the gas tax enough to fund highway construction. Plus lower fuel costs encourage people to keep buying gas guzzling cars, which continues our dependence on Middle Eastern oil.
For more coverage on this issue:
House favors gas tax breakhttp://www.dallasnew...
By JAKE BATSELL / The Dallas Morning News
jbatsell@dallasnews.com
Rep. Trey Martinez Fischer, D-San Antonio, tacked the surprise measure onto a Senate gas tax collection bill Tuesday...."It's real relief," Mr. Martinez Fischer said. "It makes a difference, I believe, in whether or not families will spend that weekend going to the coast or Fiesta Texas or Six Flags."He estimated that the three-month gas tax holiday would cost between $500 million and $700 million, to be covered by money left over in the state's general fund. House members resoundingly approved the measure, 118-16.
Full Poll comments: http://www.dallasnew... For more articles on the gas tax, US Dept of Transportation and TxDOT and the Texas Legislatures squabbles over the moratorium on Toll Road bills, and other transportation issues visit Faith Chatham's blog: Grassroots News You Can Use
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Faith Chatham
