Minnesota House of Representatives
Republican Caucus

(St. Paul, MN...) House Republican leaders called on Governor Jesse Ventura today to call a special session of the legislature to temporarily suspend the state gas tax during the remaining two months of the summer driving season. Their proposal would be paid for with surplus funds that have already accumulated in the bank since the February forecast.

"Talk is cheap. Gas is expensive," said Speaker of the House Steve Sviggum. "With another surplus already accumulating, the legislature should act now to do it's part to lower gas prices for Minnesota's working families."

The Republican proposal calls for a gas tax holiday from the Fourth of July through Labor Day. Gas tax collections during that period are estimated to be $115.7 million. This would be offset using most of the $131.4 million surplus already in the bank as the state's economy continues to outperform budget projections.

"As Republicans, we are always looking to reduce taxes," added House Majority Leader Tim Pawlenty. "Right now the gas tax is the most visible and onerous tax on Minnesota families, and our proposal simply uses the current surplus to ease their pain."

Minnesota's gas tax is 20 cents per gallon. Sviggum and Pawlenty said their proposal is designed to keep gas prices low so families can continue to drive to soccer games, family events and even their vacations up north without added worry over gas prices. They also emphasized that using surplus money for the gas tax holiday means no road or bridge funding would be jeopardized in any way.

"In the 2000 session, Republicans pushed hard for an increase in transportation funding and this plan does not affect that funding in any way," added Sviggum.

The states of Indiana and Illinois are also considering temporary gas tax reductions. The Illinois legislature meets in special session on June 29th.

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