Gas Tax Proposed

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(Sacramento, CA)
Friday, March 24, 2006

Democratic Assemblyman Joe Nation is proposing an increase of five cents a gallon for five years.  The estimated 5 billion dollars a year would fund road improvements, alternative fuel research, and rebates for people who buy cars that use such fuels, says Nation: 

 “I want to begin the movement away from our dependence on foreign oil and the only way to do that is to develop alternative energy sources – particularly for cars.”

Nation says the tax would mean an extra 41 cents a day for the average Californian; he calls it a bargain.  But President of Americans for Tax Reform Grover Norquist, says it will just hurt the economy:

“Raising taxes on gasoline just makes it more expensive for people to drive to work and for people to get around.  It’s a regressive tax on low and middle income Americans.”

Norquist says investment in alternative fuels should come from the private sector.  Nation’s bill has not yet been heard in committee.