BREAKING: Gas Tax Draft Leaked!

I found this from American Solutions writer Steve Everley.  My additional comments red.

By Steve Everley on May 11, 2010 5:58 PM

A leaked copy of the Kerry-Lieberman energy tax confirms that Senators are planning to impose a new gasoline tax on American motorists.  Don’t you love leaks?

The document, which is actually a section-by-section summary draft of the legislation, shows that the method for taxing carbon differs between utilities and transportation fuel providers. Utilities will be placed under a cap and trade system, while oil companies will have to pay a separate fee. Oh-oh… I hear the word “FEE”  which is code word for a hidden tax!

On page 7, the draft reads:

Section 729: Compliance for Transportation Fuels and Refined Petroleum Products: Establishes the process for how each refined product provider shall pay an amount to the Administrator to demonstrate compliance with Section 722 with respect to refined products.

The provision has received frequent attention in early reports about the legislation, with Senator Kerry pushing back repeatedly against claims that the fee constitutes a new gas tax.  Oh… so sorry to call a tax a TAX!

But Senator Lindsey Graham (R-SC), who helped craft that specific provision, did not help Senator Kerry when he said that the fee “will be passed on” to motorists at the pump. Do you think?  The measure does not increase the existing federal excise tax on gasoline, currently set at 18.4 cents per gallon, but it will instead impose a new cost on motorists at the pump.  Who is lining up for this one… raise  your hand!

It is unclear how much the new gas tax will be, particularly with a lack of specifics about how the tax will be structured. Researchers at Harvard’s Belfer Center, however, determined that President Obama’s ideal emissions reduction target of 14% by 2020 could translate to $7 per gallon gasoline. That will shut down this economy in a week!

The Kerry-Lieberman bill is actually more stringent, requiring a 17% reduction by 2020.  Even worse!

I can’t believe we will allow this to happen!  Vote in the Primary and vote in the General.  Time to put a stop to this!