AS GAS PRICES CLIMB, AMERICANS DRIVE LESS
The Associated Press
Joelle Tessler
6/19/08

WASHINGTON With gas prices holding at record levels above $4 a gallon, Americans are driving less and abandoning gas-guzzling vehicles, according to new government data.

Americans drove 1.4 billion fewer highway miles in April compared with the same month last year, and 400 million fewer miles than they did in March, according to the Transportation Department.

Sales of midsize sport utility vehicles were down 38 percent year-over-year in May, while cars represented 57 percent of sales last month, compared with less than half of all vehicle purchases last year, the department said.

With Americans driving less and opting for more fuel-efficient vehicles, gasoline demand will likely decline in 2008 for the first time in 17 years, energy consulting firm Cambridge Energy Research Associates said Thursday.

At the pump, gas prices slipped less than a penny overnight to just over $4.07 a gallon today after setting a record-high national average of $4.08 on Monday, according to AAA and the Oil Price Information Service. The year-ago average was $3 a gallon.

The CERA report said gas prices already have reached an all-time high, even in inflation-adjusted terms, and are rapidly approaching levels that will cause Americans real economic pain.

The Transportation Department data, released late Wednesday, are part of an effort to find alternatives to the current gas tax for highway construction and maintenance funding.

Gasoline is now taxed at 18.4 cents per gallon, while diesel fuel is taxed at 24.4 cents per gallon. But with Americans driving less, the country needs to find a "more sustainable and effective way" to fund the nation's highways, said Transportation Secretary Mary Peters.
http://www.cantonrep.com/index.php?Category=23&ID=417174&subCategoryID=0

DEMOCRATS DIVIDED OVER GAS TAX BREAK
The New York Times
John M. Broder
4/29/08

WASHINGTON — As angry truckers encircled the Capitol in a horn-blaring caravan and consumers across the country agonized over $60 fill-ups, the issue of high fuel prices flared on the campaign trail on Monday, sharply dividing the two Democratic candidates. Senator Hillary Rodham Clinton lined up with Senator John McCain, the presumptive Republican nominee for president, in endorsing a plan to suspend the federal excise tax on gasoline, 18.4 cents a gallon, for the summer travel season. But Senator Barack Obama, Mrs. Clinton’s Democratic rival, spoke out firmly against the proposal, saying it would save consumers little and do nothing to curtail oil consumption and imports.
http://www.nytimes.com/2008/04/29/us/politics/29campaign.html?hp

STRICKLAND TALKS UP STIMULUS
Tribune-Chronicle
Darcie Loreno
4/23/08

YOUNGSTOWN — To show what could result from a $1.57 billion economic stimulus package meant to rejuvenate the state’s economy, Gov. Ted Strickland Tuesday made a stop at Accuform Manufacturing Tuesday. As presidential candidate Sen. John McCain stumped across town, Strickland highlighted parts of the package, which includes $400 million for the Clean Ohio Fund and preservation of farmland and green space.  While that $400 million chunk is set to appear on the fall ballot, the remaining money won’t face voters. Funding will come from a variety of sources, mainly general revenue, bonds backed by liquor profits, Ohio tobacco prevention foundation funds and ODOT highway bonds. It will result in more jobs, better infrastructure and preparation for future economic development, said Strickland. One portion that will directly affect small communities is $400 million in the Public Works Commission that will go to infrastructure like roads, bridges and sewer and water systems.
http://www.tribune-chronicle.com/page/content.detail/id/504425.html?nav=5021
Also, http://www.ohio.com/business/18034464.html

OHIO GAS PRICES RISE TO ANOTHER RECORD, AVERAGING $3.54
The Toledo Blade
4/24/08

COLUMBUS — Just since Monday, the average price for gasoline in Ohio has spiked 14 cents. AAA and the Oil Price Information Service report gas has reached another all-time high in the state, with regular averaging about $3.54 per gallon on Thursday. Diesel also is at a record level in Ohio, at an average $4.20 a gallon. AAA's Bevi Powell says the high fuel costs could benefit Ohio summer attractions if people choose to vacation close to home. But she says vacationers could choose to drive long distances, reasoning that it's cheaper than flying. http://www.toledoblade.com/apps/pbcs.dll/article?AID=/20080424/NEWS11/321304346/-1/NEWS

SENATOR SEEKS TEMPORARY REDUCTION IN DIESEL TAX
Land Line Magazine
4/23/08

Diesel users pay 6 cents more per gallon than gasoline users in federal taxes at the pump. That could all change if a bill introduced in the Senate is passed into law. Sen. Olympia Snowe, R-ME, introduced the “Diesel Tax Parity Act,” on Monday, April 21. The bill seeks to drop the federal diesel tax to 18.3 cents per gallon through the end of 2008. Currently, 24.3 cents on the gallon are collected in federal fuel taxes on diesel. Diesel prices have reached record after record and are now averaging nearly $1.30 a gallon more than this time last year. http://www.landlinemag.com/Special_Reports/2008/Apr08/042308_Senator_seeks_reduction.htm.

SUSPENDING GAS TAX ISN'T THE SOLUTION
Dayton Daily News
Greg Lawson
4/21/08

Re "McCain calls for summer suspension of gas tax," April 16: Suspending the gas tax is a bad idea. Republican presidential candidate John McCain has proposed a "gas tax holiday" from Memorial Day to Labor Day as part of a broader package of economic reforms. While there is no doubt as to the pain that is currently being felt at the pump every time an Ohioan fills up, and McCain's desire to offer relief is noble, the practical impact would be deeply problematic.Extras The gas tax is not a general tax that can be used for just anything, but is explicitly set aside in a highway trust fund for the purposes of maintaining the nation's transportation infrastructure. The fiscal impact on that fund would be serious if such a proposal were to move forward. Estimates from the American Road and Transportation Builder's Association show that this "holiday" would eliminate almost $9 billion in investments in infrastructure at a time when, especially in light of last year's Minnesota bridge calamity, such investment is already below where it needs to be. http://www.daytondailynews.com/o/content/oh/story/opinions/editorial/2008/04/21/ddn042108letters.html?cxtype=rss&cxsvc=7&cxcat=22

ODOT CREATES TRANSPORTATION-PLANNING TASK FORCE
Business First of Columbus
4/17/08

The Ohio Department of Transportation has assembled a task force of more than two dozen business and government officials to map out the state's transportation future, on and above the ground. The group's goal, ODOT Director James Beasley said, is to prioritize how the state balances the movement of people and freight, boosts safety while cutting congestion and encourages growth. Efforts will include examining financing options for the state's transportation system, digging up new funding sources for state and local governments, and boosting private-sector involvement.
http://www.bizjournals.com/columbus/stories/2008/04/14/daily29.html?f=et58&ana=e_du

MCCAIN CALLS FOR SUMMER-LONG SUSPENSION OF GAS TAX
Associated Press
Liz Sidoti
4/15/08

PITTSBURGH (AP) - Republican Sen. John McCain on Tuesday called for a summer-long suspension of the federal gasoline tax and several tax cuts as the likely presidential nominee sought to stem the public's pain from a troubled economy. Timed for the day millions of Americans filed their tax returns, McCain offered some immediate steps as well as long-term proposals in a broad economic speech. The nation's financial woes have replaced the Iraq war as the top concern for voters, and McCain, who has said economics is not his strongest suit, felt compelled to address the problems as he looks ahead to the November general election. http://www.breitbart.com/article.php?id=D902EAP01&show_article=1

OBAMA CALLS FOR A "NATIONAL INFRASTRUCTURE REINVESTMENT BANK"
Logistics Management
Jeff Berman
2/15/08

JAMESVILLE, Wis.—Earlier this week, Presidential candidate Barack Obama may have helped transportation infrastructure become a critical issue leading up to this November’s election, when he called for the establishment of a National Infrastructure Reinvestment Bank that would invest $60 billion over a ten year period for highways, technology, and other projects. Obama proposed this concept as a component of his $210 billion economic stimulus package, when he made an economic policy address at a GE Assembly Plant on Wednesday. Funding for this endeavor, said Obama, will be made available by ending the war in Iraq. Obama’s concept comes at a time when transporation infrastructure has received a fair amount of attention in recent weeks, following the January roll-out of a report released by the National Surface Transportation Policy and Revenue Study Commission. This report focused on the current state of surface transportation in the U.S., and it addressed the myraid needs to improved transportation infrastructure improvements needed to meet the expected demand in domestic freight transportation growth in the coming years.
http://www.logisticsmgmt.com/article/CA6532896.html