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Local Leaders join a broad bi-partisan coalition to ask Governor Brown to stop the implementation of a regulation that raises fuel prices at the pump beginning January 1, 2015

Local Leaders join a broad bi-partisan coalition to ask Governor Brown to stop the implementation of a regulation that raises fuel prices at the pump beginning January 1, 2015

San Jose

California

Local elected leaders and businesses voice their disappointment today that Senate Pro Tem Darrell Steinberg refused to schedule a hearing to discuss Assembly Bill 69 (Perea) legislation that would delay a new hidden gas tax that could increase the cost of gasoline and diesel up to 76 cents per gallon starting next year.  The California Air Resources Board (CARB) is set to move fuels under the cap-and-trade program. This move is designed to increase the price of gas in order to provide funding for more government pet projects. It is ironic, given the fact that Senate Pro Tem Darrell Steinberg warned the “changes could bring spikes and wild fluctuations in gas prices.”

“Everyone in my district will be impacted by this new gas tax,” said Councilmember Pete Constant (District 1).  “I support AB 69 simply because the people who will be most affected by this tax are the least aware of it, and we need time to educate the public and discuss the impacts.”

Working families and small businesses will be the ones carrying the heavy burden of the new gas tax. Higher gas prices make driving to work, taking kids to school or going to the grocery store that much more expensive. The worst part of the new tax is that Californians are unaware and unprepared for this drastic increase in fuel prices.

“I am very worried about how the new gas tax will impact my business and my company’s ability to deliver goods to the local markets and stores,” said, Gary Minardi, President & CEO of San Jose Distribution Services. “As a California business, we will find it that much harder to compete with companies based in neighboring states as these costs increase.”

As the cost of a gallon of fuel is already rising rapidly, the new tax will create a major impact on the costs for fuel and products that no one can forecast. Families and businesses still struggling to emerge from the Great Recession should expect to see fuel costs increasing by 16 cents to 76 cents, according to CARB’s own economic analysis. If passed AB 69 would have provided reasonable pause to review the regulation.  Otherwise next year every visit to a gas station will be a very expensive one.

For more information please visit: www.tankthetax.com

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