Surprise! A 3-cent gasoline tax to hit May 1
The Savannah Morning News has this gem about a hidden, 3-cent increase in the gasoline tax that will kick in on May 1:
The tax in Georgia is a flat 7.5-cents per gallon, plus an amount based on price. The part based on price is set on Jan. 1 and July 1 and goes up between those dates when the price of gas rises by more than 25 percent.
The price of gas has risen by more than 25 percent lately.
The rate of 10.1 cents per gallon that was set on Jan. 1 will go up to 12.9 cents per gallon on May 1, an increase of 2.8 cents, said Ken Heaghney, Georgia’s fiscal economist.“It’s tied to the sales price,” said Brian Robinson, the governor’s spokesman. “It’s an automatic thing. The state didn’t vote to raise taxes.”
When gasoline prices were climbing in the summer of 2008, then-Gov. Sonny Perdue issued an executive order freezing the tax rate, saying he couldn’t justify raising taxes on gas when so many families were struggling.
Can customers expect a repeat from Gov. Nathan Deal?
Not likely.“The governor believes an action like this, barring a state of emergency, is best taken in coordination with an act of legislation because it does have fiscal impact,” Robinson said.
“It’s not responsible to take that risk for a 3-cent tax issue,” Robinson said.
- By Jim Galloway, Political Insider
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249 comments Add your comment
yuzeyurbrane
April 21st, 2011
11:57 pm
It used to be that 3 cents a gallon seemed like a lot of money. Now it is peanuts when compared to the amounts being ripped off by speculators.
Bob in Suwanee
April 22nd, 2011
3:38 am
I think a lot are lacking any idea why gas prices are so high. Unfortunately, it is not because of the drilling moratorium in the Gulf, and it isn’t because of not tapping into Anwar. It is this administration’s monetary policy. When Obama took office, gold was worth around 800 paper dollar bills. It is now worth 1500 paper dollar bills. The dollar has devalued, oil is traded on the international market in dollars. The devaluation of the dollar is what is causing the higher price for gasoline. Until the Fed stops printing money (Quantitative Easing I and QE II) the dollar will continue to deflate. You don’t need an MBA to figure this out, just look at the charts for commodities and you will see that for the most-part, they are on a steady uphill climb. The Fed’s backs are against the wall, they are going to have to have the debt ceiling raised in order not to default on current debts. Once they do raise the debt ceiling they will have to print more money further devaluing the dollar. Disaster looms on the horizon, don’t say you weren’t warned.
Sambopete
April 22nd, 2011
4:00 am
Well I wake up and read the words of this guy Torrence. How can a normal thinking person think that Messiah Obama has done a good job. History will deal with him harshly. He’s the biggest liar, deceiver, incompetent, and ignorant President in history – show me a worse one. Seems like the only supporters he has are blacks, Nanny state freeloaders, and far left loonies.
rid0617
April 22nd, 2011
4:38 am
After putting the last of my CHANGE in the gas tank, I have given up all HOPE. Until we do something about speculators this will never change.
American
April 22nd, 2011
6:03 am
@ Fletch you seem to have a brain so try this problem, if it took the Bush’s 16 years to F..k up the economy (three wars!) how many years will it take to get it back to Clinton (no wars & a government cash surplus)? You may wish to get a clue to try to get the answer.
Look People-Americans why in the hell do you think the country will get any better with such hidden agendas from the people we put into office? GA gas taxes going up 3%, Deal in no Purdue. At least Sonny knew about the working class and the poor in this State. Deal well did you notice how he ignores anyone beneath is class, it doesn’t matter if your Black, Latina or White!
Has anyone notice the crime rate? It’s not that the police aren’t doing their jobs it’s that people are hungry and homeless. So instead of flapping your gums try to be “part of the solution not part of the problem”.
So here’s a thought let’s make all elected officials ACCOUNTABLE for their actions to help the people. PEACE
Capt Bush Titanic
April 22nd, 2011
6:24 am
As usual, republicans try to turn an article about a republican state govt raising taxes into an a “blame obama” attack.
In obama’s first year, he approved offshore drilling in many areas which upset many of the environmental activists. It was only after BP polluted our ocean did he impose a temporary ban which has been lifted.
For those of you blaming obama for this mess:
Bush’s first day = 5.7 trillion debt…..ZERO deficit…..great economy
Bush’s last day = 10.6 trillion debt….1.3 TRILLION deficit…..great depression
You decide
By the way, president Bush could of VETOED any spending but never did.
If you try to blame the mess on democrats, please name one law they passed in 2007 that caused the depression.
Sources:
Debt: US Treasury Dept. – (search for “debt to the penny” for proof)
Clinton Deficit: CBO – Congressional Budget Office – Historical Data (search for “cbo doc10871 historical” for proof)
Bush Deficit: CBO – Congressional Budget Office Testimony before Congress – (search for “cbo doc9958 testimony” for proof)
you must be high if you think taxes are
April 22nd, 2011
6:27 am
Look, the price of gas is really high and may go higher. As the world climbs out of the recession prices will rise due to increased demand. Also, gas prices are pushed upward due to the rapid growth in China and India. Lastly, the biggest current factor in the price of gas is the speculation. Traders “fear” that supplies will be hampered due to the unrest in northern Africa and middle east. The supplies haven’t changed appreciably yet, but that hasn’t stopped the speculative frenzy.
Regarding our gas tax, it seems to me we have it backwards. The portion of the tax that adjusts based on the price of gas should drop as prices rise. This would at least have a marginal effect on moderating the price.
Capt Bush Titanic
April 22nd, 2011
6:32 am
Centrist,
Thanks for the link to http://www.mrc.org, which is a FAKE organization founded by republican conservative activists and recevies millions of dollars in funding from ExxonMobil.
No surprise that they attack obama.
It is sad that republicans create so many fake news websites, fake think tanks, and fake news channels.
Me
April 22nd, 2011
6:35 am
……I’m gonna change my name to Delta then I’ll get the tax break on my fuel and I’ll not have to move to another state……
Jim T
April 22nd, 2011
6:39 am
the comment by Roderick T. Jenkins April 21st, 2011 3:11 pmObama is my black president!!!!!
tell you what roderick, all the blacks and liberals who just love this pos can have him as your ‘leader’.
the rest of us will chose some else.
let’s see who fares better. ok?
larry
April 22nd, 2011
6:46 am
OBAMA WILL SAVE US ALL- HE IS AMERICAS WHITEST PRESIDENT-RAISED IN KANSAS BY HIS WHITE MOTHER AND WHITE GRANDPARENTS AFTER BEING ABANDONED BY HIS WORTHLESS AFRICAN AMERICAN FREELOADING FATHER- HOW MUCH WHITER CAN YOU GET?I HOPE THE PRICES KEEP GOING UP ON GAS , THAT WAY POOR PEOPLE WILL NOT BE ABLE TO AFFORD IT AND THAT WILL LEAVE MORE FOR PEOPLE WHO WORK AND WILL INSURE THAT THE LIMITED SUPPLY OF FUEL WILL LAST THAT MUCH LONGER IN THE FUTURE
The Colonel
April 22nd, 2011
6:54 am
Well, there goes my Kroger’s 3cent savings at the pump.
Name (required)
April 22nd, 2011
6:56 am
Repeal the law of supply and demand!
Steve
April 22nd, 2011
7:23 am
Muletrain is correct. Just more money for those manma’s sitting at home pumping out babies on welfare. Thanks to our great president for that.
Buzz G
April 22nd, 2011
7:30 am
Futures trading has as much to do with the price of gas as Vegas betting has to do with the winner of the Super Bowl. The current high prices are the result of free market interplay of supply and demand. Obama and the Democrats have reduced supply by shutting down off shore drilling and also blocking the construction of the new pipeline coming down from the Canadian tar sands. These high prices are manufactured by Obama and now he and his gang of clowns are trying to blame “speculators.” The American people have been dumbed down to the point where he might just get away with it.
USC GAMEC0CK
April 22nd, 2011
7:35 am
1. You got to give it up for Clinton because he did balance the budget even if I was paying more in taxes; but he should have cut spending big time then he would have been one of the best ever…except one big problem…he authorized the no money down, no job necessary for a home loan and opened the door for our big bubble bursting 10 years later….of course he was gone by then.
2. Bush was a complete failure – huge budget deficit and top 2% laughing all the way to the bank…he also authorized one of the largest government expansions in the history of the USA when he federalized the TSA…WHAT AN IDIOT…now all those losers get government pensions that all of us pay for….Bush got us into Iraq…for what?? 5000 Americans are dead and 25000 have lost parts of their bodies and we the taxpayers are on the hook for about $2 TRILLION Dollars…And then to top it off…the economy goes straight in the tank thanks to his policies and he had a chance to address the oncoming housing bubble before it burst but no he was a simpleton who could not see it coming oh, yeah…Bush…a COMPLETE FAILURE.
3. Now we have the current administration…when he was elected I grabbed up some oil stock and oil related stock because our new president wanted higher gas prices and alternative energy…that means the price of oil is going to go way up and it did…my stocks are WOW!! but my government SUCKS and taxes and spends like there is no tomorrow to worry about….the pied piper is coming and he looks alot like CHINA and OPEC.
4. One last thing…if you listen to Donald Trump talk about the issues and don’t get caught up in the birth certificate stuff….HE IS RIGHT ON THE MONEY SO PUT HIM IN OFFICE!!! I can only hope he runs for office so I can vote for him…if he does I will vote for him.
GOD SAVE MY COUNTRY….PLEASE!!
Corey
April 22nd, 2011
7:41 am
Paul, what negative impact did “Cash For Clunkers” have on you personally? As I recall local dealers were giddy to see their sales spike, and people who took advantage of the program were happy to get new cars and get out of their fuel wasting chug-a-longs. What negative impact, Paul? We’re waiting. Paul? Paul?
beware
April 22nd, 2011
7:41 am
Republican’s talk against taxes, but at the end of the day, they are no different than the democrats. At least I85 is becoming a much more enjoyable drive at gas goes up.
Allyanaz
April 22nd, 2011
7:43 am
Now everyone who voted for Nathan Deal will say “I don’t know what’s happened.” They did that when George Bush raped the pocketbooks of lower and middle-class workers. This serves EVERYONE right for voting Democrat or Republican. You choose sides rather than looking at the issues, sort of like it was a football game.
beware
April 22nd, 2011
7:50 am
GOD SAVE MY COUNTRY….PLEASE!!
Get Real!
independent
April 22nd, 2011
8:01 am
The economy in the rest of the country is finally improving from the devastation of eight ruinous Republican years of president and 6 horrible years of a Republican congress. GA is lagging behind the rest of the country. Why? Ten corrupt years of Republican statehouse and legislative control in Georgia. Complain all you want. You voted for them.
capt. caveman
April 22nd, 2011
8:02 am
What do you mean they didn’t vote to raise the tax.
I believe that’s what they did when this law was first put in the books.
They voted on it.
USC GAMEC0CK
April 22nd, 2011
8:03 am
God would be the collective us in that statement so it is very real…as only we can do anything about our situation.
Ayn Rand UGA
April 22nd, 2011
8:08 am
Hey so-called conservatives. Why blame the government for free market issues? The prices are what the market will bear. The government does not ration gas. If you love economic freedom, then accept it when it does not fall in your favor. Sounds more like populism than conservatism.
A Conservative Voice
April 22nd, 2011
8:15 am
@Terence
April 21st, 2011
3:45 pm
Hello, everyone. First I would like to say that we need to stop with all the dislike for Obama. Obama is a great president. He did not get us in the mess.
Folks, be careful, be very careful…….they walk among us
John Brown
April 22nd, 2011
8:20 am
America is the only oil-producing nation that allows private industries to pump and refine our oil, get billions of dollars in tax breaks, and then sell OUR natural resource back to us at the price they set! This is why the idea of more drilling in the U.S. gulf or Alaska, etc., is a moot arguement. It is based on the faulty premise that oil is sold on a free market and more oil will create competition and supply that lowers prices. But oil is not a free market, it is a collusion of oil producing countries and companies that set the price and manipulate production. So more drilling in the U.S. would have no effect for us, in fact, a large share of oil drilled and refined in this country is exported to other countries.
The real solution would be for the U.S. government to mandate that any company WE allow to drill and refine OUR natural resource must sell that oil back only to the U.S. and at price we determine. Companies would pay no taxes and still be allowed a fair profit margin based on market variables. Remember we are the third largest oil-producing country in the world…and how is that working out for us, so far?
Mike
April 22nd, 2011
8:23 am
To Brett Favre once a Falcon……Great question. My thoughts exactly. It’s an automatic thing? The state DIDN’T vote on it. HMMM, must have been the Easter Bunny or the Tooth Fairy.
R U Kidding Me?
April 22nd, 2011
8:24 am
I’m sick of all the whiners on this blog who moan and groan over a 3 cent increase in the sales tax on gasoline. Hell, gas has been increasing 3 cents A DAY for months and those increases go to the Arabs and the big oil companies. Where are all of the whiners when gas prices are up $1 over this time last year, and the only ones getting rich are OPEC and BP.
Georgia is 49th in per capita spending for transportation. Only Tennessee spend LESS per capita on its roads and bridges. Our transportation infrastructure is crumbling, and Georgia is losing it’s competitive edge. So gasoline goes up 3 cents a gallon on May 1st. If the damn news media hadn’t made a big deal about it, all of you whiners would never have even noticed. You would simply thought the Arabs just padded their bank accounts a little more. Let me ask the crybaby’s this question: Where would you rather see a 3 cent increase go? a) Into the pockets of OPEC and BP; or b) into GDOT account to build and maintain Georgia’s roads and bridges as restricted by law? It’s seems like a pretty easy one to answer for most non-crybabies.
MiltonMan
April 22nd, 2011
8:25 am
Obozo’s fault!
Asking?
April 22nd, 2011
8:28 am
If an increase is triggered by a 25% increase, what happens if there is a 25% decrease? Is the tax rescinded or keep in place?
MiltonMan
April 22nd, 2011
8:29 am
R U, please check again on your statement that GA is losing its competitive edge, If anything, GA is improving: right to work state, business friendly, low taxes, ATL airport, GaTech, etc.
I do some contract IT work with NCR. NCR moved here in 2009 after years in Ohio & the “oppressive” business enviroment in the state
MiltonMan
April 22nd, 2011
8:30 am
Asking – the GA gas tax rises & ebbs on the price of gas
gary
April 22nd, 2011
8:34 am
I hate to tell ya’ll, but up here in NC we pay anywhere from 12 to 15 cents higher per gallon than ya’ll do. We have the highest gas taxes as well as all other taxes period here in Carolina. NC for the first time in many years has a GOP controlled legislature and a pathetic Democratic Governor in Bev Perdue. The legislature has sent her at least 5 or 6 bills reducing spending and has vetoed them all. So before ya’ll complain think about us Tarheels.
Asking?
April 22nd, 2011
8:36 am
Just curious about the logic behind the increase. Because the overall % of taxes on fuel drops as the price rises therefore an increase must be initiated to keep the overall% at the same level? Interesting logic.
PO'ed Pundit
April 22nd, 2011
8:41 am
This is for Terrence,
What a tool! Oh boohoo! Leave Barack alone!
Honestly, I don’t care who started the economic problems we are in right now, I am more concerned about the actions of the “elected” officials that are supposed to be fixing the problem.
From your statement, I assume you voted for Obama. Hence the weak attempt to support him and the cronies that make up our leadership. Hey, it’s ok….really, he is trying his best right?
If you can get the finger pointing, self-serving democrats to actually work in a bipartisan effort…it might surprise you what could happen from both sides of the aisle.
We need a leader, and Obama is not that man. To be honest, neither side has a viable candidate at this point.
Get with the program…the people’s program and help make a difference.
USC GAMEC0CK
April 22nd, 2011
8:41 am
I recently drove from South Carolina to Texas on the interstate…believe me when I say, GEORGIA has the best roads period. BTW, I live in Cobb County so I know all about Georgia roads…I don’t mind the 3 cent increase because I know Georgia will use it to improve roads but overall spending should still be cut and I mean whacked way back.
Swede Atlanta
April 22nd, 2011
8:48 am
A 3 cent rise in the gas tax will hit middle class and low-income consumers hard when they are already struggling. Wages have stagnated for the past decade. Life savings have been lost due to the implosion in the housing market. Inflation for basic needs is soaring relative to wages.
I find it funny that there is no outrage by the same Cobb taxpayers that fought to defeat a renewal of the SPLOST of 1 cent that has been shown to benefit the citizens of Cobb. This is 3 times that amount and we will not see any benefit as a result of this other than the state will collect that additional money.
Kay
April 22nd, 2011
8:51 am
Asking?, yes, I believe the way the tax code is written, the tax would decrease if the price of gas decreased by 25%.
And Findog, would you prefer the legislators simply raise a tax statewide without your consent, or would you rather have the opportunity to see the list of transportation projects the tax would fund and then have the chance to speak with your vote? It’s not a way to dodge, it’s a way to give the citizens of that region the ability to decide if the benefit is worth the tax.
And if you vote no, that’s your choice. But by doing so, you forfeit the right to complain about transportation in your region. What is your solution for funding transportation?
USC GAMEC0CK
April 22nd, 2011
8:51 am
I voted YES to the additional penny sales tax in Cobb. I drive in Cobb, that penny does a lot of good….but I will vote NO to the Regional sales tax.
Aquagirl
April 22nd, 2011
8:52 am
Asphalt is a petroleum byproduct. Generally if the price of oil goes up, so does the cost of building and resurfacing roads. Raising taxes makes sense–unless you’re a Republican. Then it’s all about getting as much as you can without paying for it.
USC GAMEC0CK
April 22nd, 2011
8:53 am
Like I said…grab some CVX and SLB stock…look them up…grab them NOW.
Asking?
April 22nd, 2011
8:53 am
To carry this logic further, if the price of gas rises to say around $5 per gallon then to $6.25 then to $7.75 then to $ $9.50 the State of Georgia will have the right to raise the tax by another $.12 +/- which will approximately double the tax on gas? Curious. The DOT will be flush. They will hire many new people and we will be able to reduce the unemployment problem in the state. The newly employed will spend more money and buy more gas. We are saved! Oops! Forgot one thing, DOT is a state facility and we would all be working for the state. Curious?
Hmmmmmm
April 22nd, 2011
8:54 am
Same old Same old everyday…. When are you people going to get a clue about your politicians…. Republican or Democrat, it makes no difference. They are all crooks!
Terence,
Good grief man, just wake up…. Obama no matter what color his skin is, is simply in over his HEAD!
USC GAMEC0CK
April 22nd, 2011
8:56 am
Obama has as much white blood running through his veins as he does black blood…makes him a perfect fit for the USA doesn’t it??
CTK
April 22nd, 2011
9:02 am
@ DT….maybe the Oil Companies wouldn’t be making so much profit if Obama would re-open the off-shore drilling that he shut down as soon as he became president (about the only promise he has kept — can you say Guantanamo? No taxes on the middle class?). If I remember correctly, gas prices came down drastically back in 2008 right after Bush opened off-shore drilling. What a great move by our “president” Obama….shut down something that decreases independence on foreign entities and lowers the cost to your citizens. The Oil Comapanies will still make their money. Gas will be affordable for the citizens. But we have to keep the left-wing liberals who only care about handing out other people’s money happy. Yep. Great President. The answer is obvious. But instead we will keep depending upon the oil from Muslim nations….hey…wait a minute….
ROFL
April 22nd, 2011
9:03 am
you really want to know what bankers and politicans think of Americans and think how stupid we are??
http://www.cnn.com/video/#/video/bestoftv/2011/04/21/exp.arena.banker._wives.taibbi.cnn?hpt=T2
danny
April 22nd, 2011
9:04 am
Congratulations Georgia on gouging us even more!
Willis
April 22nd, 2011
9:13 am
Somehow those tax-hating Republicans find a way to increase tax revenues no matter what – they just call it something else or “reform.” All the time they are figuring out how to line their pockets at the expense of other people. Deal and his gang are no different – they are in this for themselves and no one else.
USC GAMEC0CK
April 22nd, 2011
9:17 am
Well Willis if that is what you think then U better wise up and get in the businesses that will benefit so you can get some of the action…my stocks are flying high…that makes me happy …..my government generally sucks…that makes me sad….hope my kids make good choices when they vote…because it will be a high price to pay when CHINA and OPEC start calling the shots in the USA…that day keeps getting closer…
Karma where is it
April 22nd, 2011
9:27 am
Where are all the protestors camera’s and news people that were around counting every body killed in Iraq and Afghan with charts tables and pictures& interviews with the protestors? Where are the protestors that were screaming it was Bush’s fault gas prices were soaring to help his oil buddies along withe the camera shots of the gas station price signs and graphs showing how it was all somehow Bush’s fault? Where are the protestors newsmen and cameras howling about the injustice at Guano, you know the one the fearless moron said he would close down as soon as he was elected? Where are the transcripts of Obama’s college career, the ones that that the media crucified Bush over because it showed he was a “C” student, (though it was shown his grades were better than Kerry’s!)