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Another Proposal To Address Gas Prices: $100 Rebate Checks

by: robert.harding

Sun May 11, 2008 at 23:56:53 PM EDT


The Republicans in Albany have been pushing the gas tax holiday as a solution to rising gas prices. The average price of regular unleaded gas in New York State is $3.867. But Democrats in the New York State Senate are proposing a different idea: $100 rebate checks for each household.

New York State Might Give You $100

As a result now Senate democrats are looking at other possible ways to provide relief to taxpayers. According to Senators Antoine Thompson and Bill Stachowski, they are considering a one-hundred dollar rebate check to all New York households. Senator Stachowski says while the estimated cost of the gas tax holiday is $600 million, the rebate cost is expected to be half that, or $300 million. The money would come out of the general fund. The measure is expected to be introduced later this week in Albany.

"I believe that it might have better bi-partisan support from the Senate and Assembly than the gas tax," said Senator Thompson, "because then you would know people would directly receive it. There is a concern that if you eliminate the gas tax just for the summer residents might never see it. But if you give them a rebate check you would see it. It would come directly in the mail."

With a growing state deficit, lawmakers were asked if New York could even afford to provide taxpayers this relief. Said one spokesman, "the state can't afford not to."

This would be another short-term solution (or band-aid) for a long-term and in-depth problem. We need to address the real issue: Big Oil. And Big Oil has been busy trying to repair their reputation due to all the complaints about high gas prices.

It is time we address the true culprit (oil companies) of this problem. And if our politicians won't do it, Democrat OR Republican, we should seriously consider why they won't address those problems and if we can find a replacement who will.  

robert.harding :: Another Proposal To Address Gas Prices: $100 Rebate Checks
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Economically... (4.00 / 1)
It's still a better idea than a gas tax cut. New York can't go after the oil companies in any way that won't increase prices long term.

You know NYS can do to provide real relief? pick one:

a) Permanent property tax cut across the board

b) Permanent income tax cut for those making $175K or less

c) Increasing the no-tax buffer from ~$11,500 to ~~18,000

d) Delay the income tax for any money that goes straight to investments for families making less than $175K until the money is withdrawn to encourage saving.

Unfortunately, with a budget deficit, we can't afford to do any of these things. So let's just remember all of the good things that come with high gas prices:

1) Less oil use
2) Less pollution
3) Incentives for Public Transportation investment

Yay!


It is... (4.00 / 1)
You are right Amherst Guy. This is better than the gas tax holiday. And again, you are right by saying that as a state, we can't go after the oil companies.

I walked to my parents house yesterday instead of driving. Walking to and from is about six (maybe seven) miles. So not only do you get some much needed exercise, but you aren't wasting gas either.

Nevertheless, the federal government has to do something. I hope they act now rather than later.  


[ Parent ]
I'm loving this. (4.00 / 1)
GOPers - let's declare a state gas tax holiday.

Dems - but that'll put summer highway projects on hold.

GOPers - (deer in the headlights look)

Dems - OK, how 'bout this.  We'll just give everybody $100 rebate checks and leave the highway fund alone.

GOPers - but we can't afford it.

Dems - Aha!  We can't afford it.  But you people say we can afford to forgo gas taxes for three months.  Which is it?


gotta lay off the rebate checks (4.00 / 3)
While on the one hand these are less distorting than playing with the gas tax, rebate checks mostly seem like a way for our legislators to get to write letters about how much money they're handing back to taxpayers...

I'm not sure that buying votes this way is much better than buying votes other ways, and I'm not convinced it has much positive effect overall.  (STAR rebates were a similarly bad idea for similar reasons.)

I'd also disagree that Big Oil is the problem.  I'm one of those strange people who sees Big Oil as a minor parasite on a fundamental problem of supply and demand.  I don't like them or trust them, but they're not the main cause of high energy prices.

It would be great to see our legislators talk about options that are more than patching taxpayers' wallets, but I suspect that may be too scary a subject for politicians of either major party to want to broach, progressives or not.


STAR is a band-aid. (4.00 / 1)
It does nothing about the core reason property taxes are going up every year.  My guess on that one would be that if the budget doesn't pass, the schools don't shut down, they just go to a "contingency" budget that spends the same amount of money anyway.  Whose dumbass idea was that?  If we revolted, and the school had to shut down, something might actually happen, you know, like paring down bloated administrative staff, right-sizing faculty, not building that new wing/science lab/whatever that some school board member's brother-in-law will get the contract for, that kind of stuff.  I bet we waste two dollars on schools for every dollar that gets spent on actual education.

Not to get myself going here, but rich districts like Clinton (where I'm from) can comfortably hack and slash programs while still maintaining graduation rates in the high 90s, AP participation rates that gets Newsweek's attention, etc.  People who move to Clinton will make damn sure their kids continue to do all these things that make the school look good on paper no matter what the budget is.  Where the money really needs to go is the have-not districts like Utica, where residents have been fleeing to places like Clinton because the Utica school district is a basket case.


[ Parent ]
How about funding mass transit more (4.00 / 3)
and expanding its viability beyond the downstate area?

But that would make too much sense for Albany.


Like maybe (4.00 / 4)
a cross-state High Speed rail? Maybe even finishing up in Toronto?

oh, but that's too smart.


[ Parent ]
that's an Upstate 2050 story, actually: (4.00 / 1)
hmm....

http://upstate2050.org/2007/09...

I didn't think as far ahead as Toronto, but that's be smart.


[ Parent ]
Or what about light rail (0.00 / 0)
in Albany, Syracuse, ROchester, and Buffalo (expand it)

[ Parent ]
Wrong city form for that, really (0.00 / 0)
Rochester has no current light rail; the light rail in the other two cities works in a limited way... these cities have not developed in such a way that light rail is a very good mass transit alternative.  Better to use more buses, scheduled to come through their route more often.

Non-high-speed inter-city rail transport is ripe for massive improvement in upstate NY, though.  We have the base infrastructure (track), although we need upgrades and even more track in some places to accommodate the passenger lines along with increasing rail freight traffic.  This is the kind of long-range infrastructure and economic planning that electeds who are focused on the November election fail to give their best concentration.


[ Parent ]
Rail vs Bus (0.00 / 0)
always involves a detailed debate.  I generally prefer rail as necessary as a backbone for a system because development rarely, if ever, will coalesce around bus routes because they can be cancelled or changed so easily.  That said, you are correct in that each city has its own individual needs, and I don;t know enough about those cities to definitely say they need rail.  But I'm glad we agree on the need for a long-term infrastructure strategy that is sorely lacking in NY right now.  

[ Parent ]
density makes a big difference (0.00 / 0)
I'd love to see more rail returning, but if you don't have the density to support it, it's going to be a perpetual drain.

Bus routes may not be as exciting for developers to build plans around, but they're much less dependent on developers building out around them as well.

Intercity rail, though, we could definitely use.  

(And right now the easiest way from Ithaca to NYC is definitely by bus - easier than airplane, train at Syracuse, or driving yourself.)


[ Parent ]
let the public hedge (0.00 / 0)
We should let the public hedge against gas price increases, not lower taxes.

Gas needs to be taxed on par with diesel.
 


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