BUSINESSES LEND SUPPORT TO RAISED TAX

Many Cape Girardeau business people favor a proposal for a 6-cent gasoline tax increase that would be phased in over a five-year period in Missouri.

"The infrastructure of highways and the transportation system is critical to most retail businesses," said Harry Rediger, manager of JCPenney in West Park Mall. "Anything that will improve on roads will help us," he said.

Paul Dirnberger agreed.

"It will create new jobs and it'll make safer roads," said Dirnberger, manager and officer of Rhodes 101 Stops, which sells gasoline at some 15 sites in Southeast Missouri. "Two cents a gallon the first year won't be too bad. Remember, a year ago people were paying $1.27 for gasoline."

The 6-cent tax would be phased in over five years and would boost the state's average share of federal highway funds from $250 million to $430 million.

The revenue would be used to match additional federal money available from a new highway bill and would fund a massive list of road improvement projects over the next 15 years, said the Missouri Highway and Transportation Department. The gas tax proposal does not require voter approval but must be approved by the legislature.

"The gasoline tax in Missouri is now 11 cents a gallon, and is among the lowest in the nation," said Walter Wildman, executive director of the Regional Commerce and Growth Association (RCGA). Widlman was guest speaker at the Rotary Club of Cape Girardeau Monday.

"Even with the 6-cent increase, Missouri's gasoline tax would still be lower than the eight states which surround us. The national average state fuel tax is 17.5 cents per gallon."

Several groups have endorsed the tax proposal, including the Cape Girardeau Chamber of Commerce, the RCGA and the Southeast Missouri Regional Port Authority.

"I think it's a good thing and is needed," said Harry Philip of Lone Star Industries Inc. in Cape Girardeau. "We see trucks at our plant every day. Roads are very important for our company."

Bonnie Miller, owner of Day Transfer Co. in Cape Girardeau, gives another side of the gas tax story.

"It would be costly for us," she said. "We run five large trucks and some smaller trucks, and the additional taxes will be coming out of our pockets. I am not for the increase."

Miller said her company uses more than 88,000 gallons of gasoline a year.

"It would be a burden on some people," said one retailer who requested anonymity. "But I feel that the tax would be a boon for the state and this area.

"It will definitely help the retail market," he added. "With better roads, more people will be on the roads, which can translate into more shoppers for our area."

"It will be a good deal for the state," said Wildman. "It will also be a good deal for the people of the state. Over the next 15 years, many of the old two-lane roads in this area will be made into wider two-lane roads with wide shoulders. Other roads will be expanded to four lane."

One of the routes scheduled for improvement is Highway 34 to near Piedmont.

"That road (34) is just as bad now as it was many years ago when I was driving from Piedmont to Cape Girardeau to attend Southeast Missouri State University," said Wildman. "The improvements will include wider pavements and shoulders."

Another big project for the area will be the extension of Nash Road to the SEMO Port Authority. "If this plan passes, the Nash Road extension could take place by this fall," said Wildman.