Clinton seeks gas tax vote, Obama calls it 'shell' game

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DAVID ESPO | May 2, 2008 11:42 PM EST | AP

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Democratic presidential hopeful Sen. Hillary Rodham Clinton, D-N.Y., speaks at a rally in Hendersonville, N.C. Friday, May 2, 2008. The state's primary election takes place May 6th. (AP Photo/Elise Amendola)

MUNSTER, Ind. — Hillary Rodham Clinton called for a vote Friday in the Democratic-controlled Congress on a summertime suspension of the federal gasoline tax, a plan that Barack Obama dismissed as a political stunt that would cost thousands of construction jobs.

"It's a Shell game. Literally," Obama said to laughter from his campaign audience, adding it would mean little for hard-pressed consumers.

The Democratic presidential rivals highlighted their differences in ads and speeches across North Carolina and Indiana, two states with primaries Tuesday.

Polls point toward a particularly close finish in Indiana, which is next door to Obama's home state of Illinois.

Surveys show him with a dwindling advantage in North Carolina, and Clinton decided to spend all of Friday and Saturday in the state before returning to Indiana for a final push. Both candidates addressed the North Carolina Democratic Party's Jefferson-Jackson dinner Friday night.

"North Carolina is going to help elect the next president," Clinton called out to a raucous crowd. About an hour later, Obama told the thousands in attendance, "It starts right here, on Tuesday, right here in North Carolina!"

The two primaries have 187 national convention delegates at stake.

Obama, the front-runner, leads in the overall delegate competition, 1,736.05-1605.5. Clinton won a decisive victory last week in Pennsylvania and is counting on a strong run through the late primaries to persuade convention superdelegates to help her overtake her rival. She picked up the support Friday of Democratic National Committee member Jaime A. Gonzalez Jr., a Texas superdelegate, and two pledged delegates from final results from last week's Pennsylvania primary.

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Jolted by Thursday's defection of Joe Andrew, a former national party chairman, Clinton responded with a letter from seven other former party heads and the family of an eighth.

"Her base of support includes women, Hispanics, seniors, Catholics, middle and low-income Americans, and rural, suburban and urban voters. That's a formidable coalition tailor-made for victory in a November general election," they wrote.

They added that if the election were held today, Clinton would defeat Republican Sen. John McCain and win the White House. "Obama would lose to the presumptive GOP nominee," they wrote.

Polls are equivocal on that point. Moreover, they have been particularly volatile in recent weeks as campaign criticism takes its toll on the two Democrats and Obama grapples with controversy stemming from the rhetoric of his former pastor, the Rev. Jeremiah Wright.

Despite a fierce, occasionally personal campaign, to a surprising degree the former first lady and Obama have generally agreed on most policy issues.

That made the proposed suspension in the gasoline tax an exception.

And while there is little support among the Democratic congressional leadership for the plan, it was a disagreement that both presidential contenders appeared content to perpetuate.

"All I hear about is gas prices. Gas and diesel, everywhere," Clinton said in Kinston, N.C. "Some people say we don't need to get a gas tax holiday at all, it's a gimmick ... I want the Congress to stand up and vote. Are they for the oil companies, or are they for you?"

Later, in Hendersonville, she added, "I know where I stand and I know where my opponents stand. ... Senator Obama doesn't want us to take down the gas tax this summer and Senator McCain wants us to, but he doesn't want to pay for it."

Clinton has proposed making up the lost revenue by imposing a windfall profits tax on oil companies.

Obama's rhetoric grew sharper, as well.

"She even borrowed one of Bush's favorite phrases," he said dismissively of the New York senator. "She said every member of Congress should have to tell us whether they are with us or against us."

He said the average consumer would save a "quarter and a nickel" a day, and only $28 in three months.

McCain also favors the gasoline tax holiday, and Obama said sarcastically that showed Clinton "has his vote," and that the two are reading from the same political playbook.

McCain told a town-hall audience in Denver: "I want to give the American consumer a little bit of relief just for the summer. Maybe they'll be able to buy an additional textbook for their children when they go back to school this fall."

Clinton launched a television ad several days ago critical of Obama on the issue.

"The economy's in trouble. When the housing crisis broke, Hillary Clinton called for action: a freeze on foreclosures. Barack Obama said, no. Now, gas prices are skyrocketing, and she's ready to act again. ... Barack Obama says no, again."

A new Obama response ad airing in Indiana in the campaign's final days calls Clinton's gas tax holiday proposal "an election year-gimmick, saving Hoosiers just pennies a day."

Within the congressional leadership, Clinton's position has found relatively little support, and no votes are currently anticipated in either the House or Senate.

"First of all, there is no reason to believe that any moratorium on the gas tax will be passed on to the consumer," House Speaker Nancy Pelosi, D-Calif., told reporters on Thursday.

"... This has not been the history of a lower gas tax being passed on to the consumer. Second of all, it would defeat everything that we have been trying to do to lower the cost of oil."

In the Senate, Majority Leader Harry Reid, D-Nev., said recently that rank-and-file Democrats are divided on the issue. A spokesman said during the day there will be no gasoline tax holiday in legislation Democrats intend to unveil next week.

The dispute centered on a pair of taxes, 18.4 cents per gallon of gasoline and 24.4 cents on a gallon of diesel. The money raised goes into a fund that pays for construction of highways and bridges.

In Indiana, Obama said a summertime gasoline tax holiday would cost 6,000 construction jobs. The campaign circulated material showing the estimate came from the American Road and Transportation Builders Association, a trade group. The group said the impact on North Carolina would be 7,000 jobs lost.

___

Associated Press Writer Beth Fouhy in North Carolina contributed to this report.

MUNSTER, Ind. — Hillary Rodham Clinton called for a vote Friday in the Democratic-controlled Congress on a summertime suspension of the federal gasoline tax, a plan that Barack Obama dismissed a...
MUNSTER, Ind. — Hillary Rodham Clinton called for a vote Friday in the Democratic-controlled Congress on a summertime suspension of the federal gasoline tax, a plan that Barack Obama dismissed a...
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- DrDemon I'm a Fan of DrDemon 9 fans permalink
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I see NO relief whether I pay $3.68/gal vs $3.50/gal.

$3.50/gal. is still killing me... so is $3.40 & $3.30 & 3.20 & so on...

Saving $.018 per gallon does SQUAT!

Get over the nonsense Hillary!

    Favorite    Flag as abusive Posted 08:13 PM on 05/04/2008
- allwrite I'm a Fan of allwrite 16 fans permalink

On the Democratic side, we have one candidate who tells it like it is and one candidate who tells us what we want to hear.

On the Republican side, we have a candidate who, by temperament and ideological conviction, is unsuited for leadership.

The American people had better choose well this year.

    Favorite    Flag as abusive Posted 09:25 AM on 05/04/2008
- wolf58 I'm a Fan of wolf58 35 fans permalink

2.45 savings per fill-up average, wow that won't even buy you a gallon of milk. Now does anyone really think the oil companies won't just jack their price to make up for paying for the tax hike? This is a joke it will not help anyone. How about going after those who have played with the markets to help drive the price up fo no reason? 1st quarter results are in for all the oil companies and once again we se they have raped the American public and our elected officials have stood by and allowed it and the GOP has blocked any effort to stop the tax break they gave them years ago. You want to drop prices just start throwing people in jail for fraud. Her idea is a joke.

    Favorite    Flag as abusive Posted 09:15 AM on 05/04/2008

Its only fair Hillarys pastor gets sentenced for sexually abusing a 7 year old
http://www.alternet.org/blogs/election08/80486/

    Favorite    Flag as abusive Posted 08:00 AM on 05/04/2008
- DrDemon I'm a Fan of DrDemon 9 fans permalink
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Shhhhhhhhh....... Kepp it hush! hush!

    Favorite    Flag as abusive Posted 08:17 PM on 05/04/2008

This one will be interesting. It sounds to me like Obama screwed up here. The experts who oppose her temporary reduction of the gas tax are the same ones who support NAFTA and its progeny and are rarely right on the economy. Cutting the gas tax temporarily has been done in the past. She's saying to tax the windfall profits of the oil companies to supplant the revenue lost by the temporary reduction in the gas tax.

It seems to me that Obama's gut response here is wrong, his advice is bad and this could hurt him unnecessarily. Sure, you can crystal ball dangers that might occur with the tax cut, but the reality is it's harmless and gives those suffering from geometrically rising gas prices the appearance politicians are doing something to combat those rising prices. I think everyone knows that oil prices are going to continue to rise no matter what, so at least make an effort to slow that rate of rise.

And I wouldn't vote for Hillary if she got the nomination because her warmongering policies put members of my family's lives and limbs in jeopardy (but not members of her family, of course) against the interests of the US.

    Favorite    Flag as abusive Posted 07:22 AM on 05/04/2008

This one will be interesting. It sounds to me like Obama screwed up here. The experts who oppose her temporary reduction of the gas tax are the same ones who support NAFTA and its progeny and are rarely right on the economy. Cutting the gas tax temporarily has been done in the past. She's saying to tax the windfall profits of the oil companies to supplant the revenue lost by the temporary reduction in the gas tax.

It seems to me that Obama's gut response here is wrong, his advice is bad and this could hurt him unnecessarily. Sure, you can crystal ball dangers that might occur with the tax cut, but the reality is it's harmless and gives those suffering from geometrically rising gas prices the appearance politicians are doing something to combat those rising prices. I think everyone knows that oil prices are going to continue to rise no matter what, so at least make an effort to slow that rate of rise.

And I wouldn't vote for Hillary if she got the nomination because her warmongering policies put my members of my family lives and limbs in jeopardy (but not members of her family, of course).

    Favorite    Flag as abusive Posted 06:57 AM on 05/04/2008

Once again Sen. Obama doing what is right instead of what is popular, it's called leadership and integrity.

    Favorite    Flag as abusive Posted 03:20 AM on 05/04/2008

I would love to think some of these comments are a joke. How dense can people really be? The “you do not get sh*t in the end” explanation has been explained 99 times on this page alone, yet people are still arguing this mess. No wonder she panders to her supporters as if they are dumber than doorknobs. It’s just a shame there are so many of them to keep her in the race.

    Favorite    Flag as abusive Posted 02:55 AM on 05/04/2008

Los Angeles Judge Saves Hillary's Presidential Bid

In the landmark civil fraud case against Bill Clinton in Los Angeles, where the former President is charged with defrauding a Hollywood dot com millionaire to help Hillary Clinton obtain more than $1.2 million from him for her 2000 Senate campaign, Los Angeles Superior Court Judge Aurelio Munoz ruled on Friday, April 25 that Hillary Clinton would not be required to testify in a sworn deposition as a material witness in the case until AFTER the November election!

Hopefully the MSM will keep the american people informed about this case. Just as they did with Rezko.
I would hate for the nominee to win the general and start their administration in the middle of a scandal on day one!

    Favorite    Flag as abusive Posted 02:42 AM on 05/04/2008

Just another "flash back" to the "not so good old days". Of course we don't know how this will turn out but a fair question is, why are the Clinton's always involved in some sort of scandal.

    Favorite    Flag as abusive Posted 03:22 AM on 05/04/2008
- DrDemon I'm a Fan of DrDemon 9 fans permalink
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Chappaqua is not calling quick enough!

    Favorite    Flag as abusive Posted 02:30 AM on 05/04/2008
- DrDemon I'm a Fan of DrDemon 9 fans permalink
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"Gas Tax Holiday"?

$30 to $60 dollar savings for the whole summer?

Wow, I will be able to buy a new bong this summer... and so will Hillary. But she'll be smoking "the good stuff"!

    Favorite    Flag as abusive Posted 02:23 AM on 05/04/2008
- kdubbg I'm a Fan of kdubbg 13 fans permalink
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Another force being exerted on the gas prices is that investors are speculating that Gas prices will continue to go up and have pulled out of other investments (like Mortgage backed securities). If there was something for investors to put money in that would have a higher rate of return, say a completely new industry like renewable energy (or something) then the drive for investors and fund managers to stay in oil stocks and oil commodities futures would be reduced. The profit maximization of the oil oligarchy has more control of the price of oil than the 1700s supply-and-demand economics of Adam Smith as depicted here.

    Favorite    Flag as abusive Posted 02:17 AM on 05/04/2008
- DrDemon I'm a Fan of DrDemon 9 fans permalink
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I used to like her...But she is now a huge turnoff! I can't take her too much longer. She is quit traying to keep hope alive!

    Favorite    Flag as abusive Posted 02:12 AM on 05/04/2008
- DrDemon I'm a Fan of DrDemon 9 fans permalink
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Ms. Know-It-All herself!

    Favorite    Flag as abusive Posted 02:15 AM on 05/04/2008

THIS is what you'll be getting for four years. Are you ready for one loser idea after another? Are you ready to be talked down to, appeased, instead of engaged? Are you ready for Bill Clinton to make headlines again with the sexual harassment which has been his life's pattern? Are you ready for blow-with-the-wind Hillary? This country will one day elect a great woman president. Hillary Clinton is not that woman.

    Favorite    Flag as abusive Posted 01:49 AM on 05/04/2008

Hillary will solve all of our economic problems by bribing us $25!

Voters in IN and NC who believe Hillary: I have a bridge in Manhattan I would like to sell - for a low low price.

    Favorite    Flag as abusive Posted 01:08 AM on 05/04/2008
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