May 1, 2008

His Excelleancy Edward G. Rendell,

Governor of the Commonwealth of Pennsylvania

            RE:  The impact of gasoline prices on the summer economy

Dear Governor Rendell:

The inordinate increase in gasoline prices at the pump over the last several months has become more than an irritation for Pennsylvania’s residents and businesses. Family budgets have passed any ability to absorb short-term increases for necessary gasoline expenditures, and now consumers are beginning to shift spending away from other purchases including basic needs. Skyrocketing gas prices are forcing many residents to make choices that they shouldn’t have to make: Do we put gas in the car or do we eat?

Pennsylvania stands at the threshold of economic devastation as fuel prices continue to skyrocket toward $4 a gallon for unleaded. At a time when we are already feeling the burn of inflated prices at the pump, with the arrival of Memorial Day, gas prices are likely to increase even more.  As we approach the all too important summer travel months, gasoline prices threaten to damage the tourism and hospitality industry.

When gas prices get as high as they are now, it’s not unreasonable to consider temporary solutions that will help all Pennsylvanians. To this end, I implore you to use your executive power to immediately and temporarily suspend the 32.3-cent liquid fuels tax for three months—June, July and August—to allow Pennsylvania motorists some immediate relief at the pumps.

In order to offset the lost revenue from my request of a three-month gas holiday we can examine the $427 million from the current budget surplus and/or the rainy day and sunny day funds.

I believe there is more than enough support among Pennsylvanians to see this through, and I intend to continue advocating for this temporary three-month suspension. I stand ready-and I’m sure I will be joined by many of my colleagues—to help pursue this request in any way that I can.

This is a time-sensitive issue; prices are rising weekly, if not daily. We need to do something now.

Sincerely,

Peter J. Daley