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Perdue waives gas taxes

By JOHN MUNFORD
jmunford@TheCitizenNews.com

Georgia residents will save about 15 cents per gallon on gas through the end of the month, thanks to Gov. Sonny Perdue.

Effective midnight yesterday morning, Perdue placed a moratorium on the collection of all motor vehicle fuel and sales taxes due to the higher gas prices brought on by the destruction wrought by Hurricane Katrina.

At a Friday press conference, Perdue said he didn’t think it was appropriate for the state to have a tax windfall from the increasing gas prices at the pumps. Perdue said he expected each and every gas station and gas supplier to pass along the tax savings to Georgia consumers.

Officials will be observing Georgia gas stations to make sure that happens, Perdue said.

“This is not an opportunity for gas stations, businesses and dealers to reap a windfall from the tax relief,” Perdue said.

The moratorium as proposed by Perdue will last until the end of September, he said. It must ultimately be approved by the General Assembly, which will meet in a special session Tuesday to consider it.

The state charges a motor vehicle fuel tax of 7.5 cents per gallon, and motorists also pay a 4 percent sales tax on all gas they purchase, Perdue said. The state can afford to go without those funds for the rest of the month, Perdue added.

“I believe it’s absolutely wrong for a state to reap a tax windfall from this tragedy,” Perdue said. The goal of the tax moratorium is to “keep that money in the pockets of Georgia motorists,” he added.

“We can afford, and we should give Georgians, this tax relief,” said Perdue, who issued the moratorium as an executive order, which allows him to take action on urgent matters.

Perdue thanked the many people who have been assisting refugees from Hurricane Katrina who came to Georgia, and he urged residents to donate to the American Red Cross or other agencies providing shelter, food, clothing and immediate relief for those people.

Perdue said he was proud of Georgia residents for pulling together to pitch in. He also encouraged residents to pray for victims of the hurricane and for those who are going to the affected states to provide relief and aid.

Wednesday, Perdue ordered a new price gouging statute that allows for fines of up to $5,000 per vehicle for gas dealers that are found to be charging a higher price purely for profit and not because of the increased market value of gas. At the time, the governor’s office indicated it had credible evidence that price gouging was occurring at some gas outlets in the state.

Perdue also convinced the Environmental Protection Agency to waive its prohibition on gas tanker truck activities, allowing tanker trucks to drive across the state 24 hours a day.

Of nine gas stations in Fayetteville contacted by the Citizen around noon Friday, two anticipated they would run out of gas by the late afternoon or early evening if a delivery were not received: the Cobblestone Amoco at 775 East Lanier Ave. and the Thomas Amoco at 450 North Glynn St; neither store has been notified when the next delivery was coming.

Three of the stores contacted had just received another delivery of gas: Flash Foods at 340 East Lanier Ave., the Pit Stop #12 at 550 North Glynn St. and the Speedway at 537 North Glynn St.

The lowest price in Fayetteville was at the new Flash Foods store at 973 Ga. Highway 54, at $3.08 per gallon. Close behind at $3.09 per gallon was Cobblestone.

The highest price at lunchtime went to Thomas Amoco at $3.24 per gallon, where they were also about to run out of gas Friday afternoon or evening.

In the mad rush to fill up Wednesday afternoon, there were long lines stretching out to the roads at Fayetteville gas stations, but no disputes were reported, police said.