April 23, 2008
McCain's Trump Card!
High gas prices at the pump starting to P*** off the voters? Well Nancy Pelosi's solution of major tax hikes for the oil companies is not playing very well in downtown Paducah! What is playing is the idea of suspending Federal Gas taxes over the summer. This very clever proposal has the Democrats fuming and falling all over themselves. Why? Because the McCain Campaign thought this up a few weeks ago, and now this proposal is FRONT AND CENTER in the news and the subject of thousands of letters and e-mails to Congressmen.
Posted by LeCerveau at April 23, 2008
06:42 AM | Email This
No matter how you regard the Republican Presidential Nominee, you still have to paste 5 stars on the cover of his staff's campaign notebook this week! THAT WAS A BRILLIANT IDEA, and it is taking its toll on the Democrats, coming on the heels of the 'bloodbath' in Pennsylvania.
Question: Anyone heard anything about the 'draft' Al Gore movement?
This is a great idea! Rather than pay the tax to raise the funds for Federal highway construction spending - let's add it to our national debt load and borrow the funds instead and pay interest on it forever.
And we thought after the bloated spending when the Republican's held power in both the Presidency and Congress that they had lost their fiscal discipline...McCain shows they still have it.
Nice, except it is more complicated than that:
From 1932, when Congress first enacted an excise tax on gasoline, until 1956, the proceeds of the gas tax went into general revenues, although the amount raised each year was used as an informal benchmark for Federal highway spending. The Federal-Aid Highway Act of 1956 established the Highway Trust Fund and stipulated that 100% of the gas tax be deposited into the fund. From 1956 to 1982, the Highway Trust Fund was used solely to finance expenditures from the federal highway program.
Highway Trust Fund revenues were first allocated to mass transit in the Surface Transportation Act of 1982, when Congress raised the gas tax from four cents per gallon to nine cents per gallon and dedicated one cent, or 20 percent, of the increase to the newly-established Mass Transit Account. Each time there has been an increase in the amount of gas tax going into the Highway Trust Fund--1990, 1993 and 1997--20 percent of the increase has been allocated to the Transit Account and 80 percent to the Highway Account. Of the current gasoline tax of 18.3 cents per gallon, 2.86 cents per gallon is allocated to the Mass Transit Account.
And the Demos are the ones who have fallen in line and claiming IT WAS THEIR IDEA:
Democrats are set to introduce a measure that would create a "federal gas tax holiday" by eliminating the federal tax on gas and diesel for sixty days, RAW STORY has learned.
The measure, proposed by Sen. Bob Menendez (D-NJ), would reduce the cost of gas by $0.184 per gallon and the cost of diesel by $0.244 per gallon. The move, aides say, will provide $200 million dollars per day in relief.
Democrats say the money will be made up by cutting six billion dollars in tax breaks to oil firms. Currently, the money from the federal gas tax goes to the Highway Trust fund.
The Democrats' move come in the wake of two decisions by President Bush today -- one, to temporarily relax environmental regulations in an effort to speed up delivery of fuel and dampen prices, and two, to halt delivery of oil to the U.S. strategic petroleum reserves.
Oh, I want to say how sorry we all are BA to see how your candidate was severely beaten over the head by the HillBilly campaign last night. There are more setbacks in store for the Senator from Illinois. Bubba has a good old fashioned political whipping in store for your candidate.
"LeCerveau" you don't know who my candidate is.
That said, if the suspension of the Federal gas tax is paid for by increasing taxes elsewhere - as you say the Democrats propose - then no debt is incurred - alternative is to decrease spending of course.
What is the other half of Mr. McCain's proposal?