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GAS-TAX PINCH OR GOUGING? Some Spotsylvania gas stations are working with a lobbying group to show consumers that the VRE gas tax does increase gas prices, but a county supervisor disagrees and threatened to file price-gouging complaints with the state Date published: 2/17/2010
Spotsylvania County Supervisor Hap Connors threatened yesterday to file price-gouging complaints because of a lobbying association's campaign that blames a Virginia Railway Express tax for increased gas prices.
The county became a member of the commuter rail service Monday and enacted a 2.1 percent tax on wholesale gasoline required for VRE membership. The tax is expected to generate more than $3 million annually. Supervisors expect to use more than 60 percent of the revenue for local transportation projects. The Virginia Petroleum, Convenience and Grocery Association represents 650 retail members operating more than 4,500 convenience and grocery stores with gas pumps across Virginia. Association spokesman Michael O'Connor said the group made laminated signs for Spotsylvania members that warn county residents they will pay 5 cents more a gallon because of the tax. "Either the gasoline retailer will have to eat that 5 cents or it is going to be passed on to the consumer," O'Connor said. Supervisor Connors sent O'Connor an e-mail yesterday warning that he would file price-gouging complaints if O'Connor did not remove the signs. The supervisor said a study sponsored by the Fredericksburg Realtors Association last year showed that, on average, gas prices weren't any higher in Fredericksburg or Stafford County than prices in Spotsylvania before it joined VRE. In fact, prices in VRE localities were sometimes less, the study showed. "This kind of scare tactic is misleading and unhelpful for the residents of this area and will be very damaging to any future relationships we may enjoy with your organization," Connors wrote to O'Connor. O'Connor replied with a quote from German philosopher Arthur Schopenhauer: "All truth passes through three stages. First, it is ridiculed. Second, it is violently opposed. Third, it is accepted as being self-evident." VRE spokesman Mark Roeber called the lobbying group's effort a stunt.
I noticed the 5-cent jump in prices specific to Spotsy and now I know what happened. I saw the notice where I filled up and became aware of this new tax. I registered here today in order to file my complaint that this is NOT price gouging on the part of the local gas retailers. When the tax goes up 5c and the price goes up 5c, you have no case - the gouge claim seems more like harassment for the undesired publicity of a "stealth" tax. If anyone is gouging, it is the people collecting this new tax.
Hello, two years ago prices were cheaper in Spotsy than any other county, now they are higer thought they had allowed for this already. How about we get the VRE here SOONER than LATER to justify the increase.
The only problem I have is I home school my children yet pay taxes for every one elses children to go to school, I do not commute yet I have to pay a tax for others to commute, and so forth.
That is why I believe the government should not run anything buy leave everything to the private sector and charge only those that use the service, unfortunately the government can not do that.
competitive with Fred and Stafford dealers. Some might say that was gauging but actually they are simply trying to make a living in spite of their narrow margins. The BOS passed the VRE. Connors voted in favor. He is embarrassing himself and bringing more attention to the negative aspects of the decision by throwing a hissy fit just because merchants are pointing it out to their customers. It is best to keep one's mouth shut and allow folks to speculate as to your wisdom than to open it and remove all doubt
file price gauging charges. Sounds like he lost his temper. Merchants have no reason to be concerned as they are not in violation. The VRE decision was one that generated great controversy. Merchants have every right and even a responsibility to inform their customers as to the reason for the cost increase. Gas station owners have a very thin profit margin and many are getting out of the business. Spotsy dealers were pocketing the difference when they were not paying the tax and they remained competitive.
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