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Published: April 27, 2008 11:58 pm    print this story  

ORLEANS COUNTY: Officials consider gas tax abatement

By Nicole Coleman
E-mail Nicole
The Journal-Register

The soaring cost of gasoline across the country has prompted the Orleans County Legislature to consider a temporary sales tax abatement on gas.

Lyndonville resident Paul Lauricella brought the matter to the legislators’ attention in response to a proposal Sen. John McCain has made to eliminate federal sales tax on gas to fuel vehicles during the summer months. He asked the county to consider doing the same.

“It has to start somewhere,” Lauricella said of curbing current gas prices. “You’d have people coming in here (Orleans County) from other counties. ... People are going to go where the gas is cheaper.”

Ridgeway resident Ella Jones, agreed. An employee with the Orleans County Office for the Aging, she knows firsthand how debilitating the cost of gas — $3.79 in Medina as of Sunday — can be on residents living on a fixed income.

The county receives approximately 4 cents of every dollar spent on gasoline to fuel vehicles and heat homes, County Treasurer Sue Heard has said. If the county does approve some sort of sales tax abatement, residents would still pay state and federal tax on every gas purchase.

Legislator David Callard said the cost of gas is an issue that must be solved nationally. A temporary sales tax abatement on gas, even if it lasted for only a month, would significantly decrease revenue for the county, he said. It might mean the revenue would have to be made up elsewhere — like property taxes.

“Trying to solve the problem from the grassroots up is an impossibility,” he said, suggesting that the country adopt a change in philosophy. “I personally think we need to be looking at alternative fuels.”

Lauricella argued that the abatement might stimulate tourism, leading to increased sales tax revenue at the county’s stores.

Legislator Lynne Johnson was pleased with the idea; the county should do all they can to relieve the economic burden on the taxpayers, she said. The finance committee will discuss the matter at their next meeting.

“We will look at that,” she said. “Thank you for your suggestion.”

Contact reporter Nicole Colemanat 798-1400, ext. 2227.

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