Missouri House Democrats seek 'fuel tax holiday'

JEFFERSON CITY, Mo. -- House Democrats on Thursday proposed a two-week reduction of state fuel taxes to give motorists a bit of relief from high gasoline prices.

Democrats called upon Republican Gov. Matt Blunt to add their proposal to his call for a Sept. 6 special legislative session. But a Blunt spokesman said he would not do so. The proposed "fuel tax holiday" would suspend 10 cents of the state's 17-cents-a-gallon motor fuel tax for two weeks.

House Minority Leader Jeff Harris, D-Columbia, said the fuel tax break could help the economy by drawing people from other states to Missouri to buy fuel and perhaps other items.

Blunt spokesman Spence Jackson said the governor does not plan to add the issue to the special session. He noted that fuel taxes go toward road projects.

"This is a risky scheme that could jeopardize the public safety of Missouri citizens as well as vital ongoing transportation projects across the state," he said.

Blunt supported a sales tax holiday earlier this month, in which people paid no state sales tax, and in some cases, no local tax, for one weekend on back-to-school items such as clothes, computers and classroom supplies. He and others said the holiday would help spur the economy.

Neighboring Illinois has a motor fuel tax as well as a sales tax on gasoline. Illinois Gov. Rod Blagojevich's administration is considering ways to help with fuel costs and has not ruled out suspending the state's sales tax on gas. Illinois used that option during a past price spike.

But motor fuel taxes are based on gallons pumped, not price, so they are not directly affected by higher prices. Motor fuel tax receipts in Missouri this year are basically the same as last year.

Democrats also called for passing legislation that would exempt school districts from paying the state fuel tax for operating buses, an idea pushed by a Republican lawmaker earlier this year.

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On the Net:

Legislature: http://www.moga.mo.gov

Governor: http://www.gov.mo.gov