Posted by: Ron Plants, News Reporter

Created: 5/7/2008 1:23:27 PM
Updated: 5/7/2008 9:28:11 PM

View Ron Plants Report HERE

Members of the Erie County Legislature are hearing testimony from various experts on the subject of a proposed gas tax cap.

Legislator Kathy Konst is conducting a hearing on whether a cap on the county gas tax at $3 a gallon would benefit consumers. There is a similar effort underway in state government.

Mike Newman of NOCO Oil and Carl Hasselback of Jim's Truck Stop say retailers are not making a huge profit on gasoline sales. They contend that capping the tax would provide great relief for motorists and truckers.

But the Albany County Comptroller, Michael Conners, says a study of his county showed little if any relief for consumers in that area.

Erie County Comptroller Mark Poloncarz is also testifying that a cap could cost the county more than $16 million. He points out some of that revenue would be lost as well to the communities which share the sales tax funding.

Poloncarz rejects the gas tax cap as a gimmick which would just be a windfall for the oil industry. He contends it could adversely affect the county and communities especially as the state deals with a mounting deficit issue.

Erie County Executive Chris Collins has also rejected the tax cap plan saying that the state is facing major issues and the county must be prepared to weather hard times and additional costs.