RISING GASOLINE COSTS-WHAT THE SENATE HAS DONE AND WHAT YOU CAN DO

As gas prices continue to climb closer to $3 a gallon and families begin to make vacation plans for the coming months, it is important for consumers to be aware of possible price-gouging and price-fixing when purchasing fuel. My colleagues and I in the Senate Majority have made efforts prior to and during the 2006 Legislative Session to provide tax relief at the pump while advocating on behalf of consumers rights.

Following last year�s Hurricane Katrina and again in January, the Senate passed legislation that would place a cap on the State and local sales taxes on gasoline that was projected to save consumers about $240 million annually. The New York City council, many local government officials, and constituents across the state were supportive of this measure.

The Senate energy plan would cap the State and local sales tax on gasoline at a taxable value of $2 per gallon. The cap would save motorists an estimated $120 million annually in State sales taxes and would cover the local sales tax on gas unless a local government votes to opt out of the cap. If all localities participate, the plan would generate at minimum another $120 million in savings.

Back in December of 2003, with the support of the Senate Majority, New York State created a Gasoline Price Stability Task Force to monitor the retail price of gasoline. This multi-agency effort to protect consumer interests monitors the retail price of gasoline and investigates any allegation of gasoline price-gouging or price-fixing.

Consumers can play an important role in preventing fuel providers from this abuse by contacting the Consumer Protection Board (CPB), which operates a toll-free telephone number (1-800-214-4372) and provides a complaint form on their web site htpp://www.nyconsumer.gov . Such allegations will be promptly investigated by the CPB and may be referred to the Attorney General for enforcement.

Under the New York State General Business Law, price-gouging has occurred if "the amount charged represents a gross disparity between the price of the goods or services...and their value measured by the price at which such consumer goods or services were sold or offered by sale..." Violations of this law are punishable by civil penalties of up to $10,000, and where appropriate, restitution to the aggrieved consumers.

While various factors have led to recent spikes in gasoline prices, including instability in oil producing countries and increasing demand from China, the Task Force will work to protect consumers against price gouging. If the investigations reveal potential price gouging, findings or complaints will be referred to the Attorney General's Office for enforcement action.

New Yorkers should also utilize the following tips to conserve energy and fuel while reducing their costs:

*Drive less if possible and try to travel during off-peak hours to avoid rush hour traffic jams.

*Use public transportation and car pools, where available, or walk or ride a bike.

*Combine your errands into one trip.

*Avoid revving or idling engine over 30 seconds. Idling can consume up to a gallon of gas per hour,  and wastes more fuel than restarting the engine.

*Avoid waiting in long drive-through lines. Turn off your car and go inside to conduct your business.

*Accelerate gradually, maintain speed limit and use cruise control on the highway.

*Follow your owner's manual on recommendations for maximum economic efficiency.

*Use an energy-conserving (E.C.) grade of motor oil.

*Minimize use of air conditioning.

*Get regular engine tune ups and car maintenance checks (especially for the spark plugs).

*Replace your car's air filter and oil regularly, and keep tires properly inflated and aligned.

*Fill your gas tank during cooler evening hours to cut down on evaporation. Avoid spilling gas and don't "top off" the tank. Also, make sure you replace gas tank cap tightly

The continued spike in gas prices affects everyone, working men and women, businesses, families and our senior citizens. Unfortunately, there has been little interest in the Assembly Majority to enact this legislation that would give immediate relief to motorists by capping sales tax on motor fuel and diesel fuel.

It is my hope that the Assembly will join the Senate Majority and provide meaningful gas tax relief during the 2006 legislative session.

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