Connecticut House Democratic leaders say they are against Governor Ned Lamont’s proposal for a temporary state gasoline tax holiday to provide drivers relief from high pump prices.
They say they don’t support pausing the state’s 25-cent-per-gallon gas tax because it would benefit anyone driving in the state, not just Connecticut residents.
“Other citizens from other states could take advantage of it at our borders, including truck drivers. It's not the most progressive tax credit,” Speaker Matt Ritter (D-Hartford) said at a briefing with the media in his office on Wednesday.
Democrats would like to use the state’s property tax credit fund for a one-time tax rebate check instead.
“I think you can take the existing pot of money that goes to that credit and make it a check this year,” Ritter said. “It's a little more expensive when you do it that way. But it's not any new money.”
House Democrats also would like to use money from the state's $500 million energy rebate fund.
“If you were to bundle that with additional money from the $500 million, you could send a very sizable check to people to the tune of $300, $400, $500,” Ritter said.
“They are taking on proposals that we have supported, with one difference: House Republicans want sustainable, permanent tax relief. We don’t want one-time gimmicks,” GOP House Minority Leader Vincent Candelora (R-North Branford) said.
He criticized the Democrats' proposal as a one-time election-year gimmick.
Details of the rebate checks will be worked out during budget negotiations in the coming weeks, according to lawmakers.
In the meantime, Senate Democratic leaders support the gas tax holiday.
Senate President Martin M. Looney (D-New Haven) and Senate Majority Leader Bob Duff (D-Norwalk) both urged Lamont to implement an immediate one-month holiday on the state's 25-cent-per-gallon gasoline excise tax, using emergency authority and contingency funds the General Assembly specifically extended to respond to federal economic disruption.