TAX CAP ON GASOLINE EFFECTIVE July 1, 2006

   Onondaga County Executive Nicholas J. Pirro today reminded Onondaga County residents that the sales tax cap on gasoline takes effect beginning Saturday, July 1, 2006.

   At a news conference today at the Carrier Circle Mobil Station located at 6589 Thompson Road, Pirro was joined by County Legislature Chairman Dale Sweetland, members of the County Legislature, Jam Quitzau, Executive Director of the Service Station and Repair Shop Operators of Upstate New York, Inc., Art Hayes, Owner of the Carrier Circle Mobil Station, and Doug Daniel, Owner of Daniel’s Car Care Center in Nedrow.  Both Hayes and Daniel Service serve as Board members of the Service Station Association.

   In supporting the gas cap, Pirro had called on the local Service Station Association for their cooperation in helping to monitor local gas companies, distributors and service station operators and preventing any type of consumer fraud.

   Pirro said, “Onondaga County will be steadfast in its efforts to monitor this cap to ensure that all drivers who fill up at Onondaga County gas stations will be assured of the savings at the pump.  We appreciate the cooperation we have and will continue to receive from the Service Station Association toward this effort.”

   Jan Quitzau, Executive Director of the Service Station and Repair Shop Operators of Upstate New York said, “We are encouraged by the efforts of our County Executive and County legislature to restore gas price stability in Onondaga County, which sends a positive message to consumers and retailers as well.  Our Association and its members will do all we can to ensure that all possible savings are passed on to consumers.”

   Pirro said that the cap will place a burden on County government in terms of the loss of sales tax revenue.  According to Pirro, estimated loss of sales tax could have an impact on local government this year alone by $2.7 million and between $5.4 million and $7.8 million in 2007, depending on the price of gasoline.

   Pirro said, “With the upcoming July 4^th holiday weekend and the many travelers taking to the roads for summer vacations, Onondaga County is committed to providing some relief to households through the savings at the pump.  However, the anticipated loss of revenues will be shared by the county, city, towns, village and school districts and will have to e made up in other areas across these jurisdictions.”

   New York authorized the $2 per gallon or eight cents sales tax on gasoline on May 21, 2006.  The recommended cap was passed by the Onondaga County Legislature at its June 6, 2006 session and will commence for a period beginning July 1, 2006 and ending May 31, 2007.   T