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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- DMW1 I'm a Fan of DMW1 2 fans permalink

Okay, this is off topic, but slightly humorous. Remember when Hillary said to "vote on the filly" in the Kentucky Derby? Well, the filly just lost to "Big Brown". I hope this is an omen - Go Obama!

    Favorite    Flag as abusive Posted 06:26 PM on 05/03/2008
- UnbiasView I'm a Fan of UnbiasView 20 fans permalink

And then they killed the philly

    Favorite    Flag as abusive Posted 06:27 PM on 05/03/2008
- DMW1 I'm a Fan of DMW1 2 fans permalink

I know. I posted before I knew that. I guess it's not quite so funny.

    Favorite    Flag as abusive Posted 06:38 PM on 05/03/2008

IMHO

The gas tax holiday way sound like peanuts to the upper middle class in relative terms, but to working Americans it makes a difference. In addition, gas prices has a ripple effect on all thing that we consume whether its food or clothing etc. In some part, even the psychological effect has a part in consumer behavior which in turn effects the economy. After all we are still a consumer economy – one may argue that we need to change this – but this is not the time when our economy is teetering. In addition this is not meant to be a long term solution, since no long term solution can be, and will be enacted in this lame duck period

Some may call it pandering – I think is practical. After no one oppose the tax rebates which were $600 – Is you break this down it’s about $50 a moth or $12.50 a year. I know the well off have been scoffing at this too but for the people that need it if will help offset the incremental increase in prices we are facing at the supermarket. Sure for the Starbucks crowd this may mean just coffee –
Again for those elite apposing this will they have they ready and willing to work with others with a pragmatic viewpoint?

    Favorite    Flag as abusive Posted 06:06 PM on 05/03/2008
- DMW1 I'm a Fan of DMW1 2 fans permalink

Unfortunately, if this could even pass in Congress, which it won't, and they tax the oil companies 18 cents on the gallon, there is nothing in place to stop the oil companies from raising the price of gas to cover this. I know it sounds great coming out of Hillary's mouth, she's just missing the fine details.

    Favorite    Flag as abusive Posted 06:13 PM on 05/03/2008
- PAposter I'm a Fan of PAposter 122 fans permalink
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DMW1: You are absolutely correct!

    Favorite    Flag as abusive Posted 10:18 PM on 05/03/2008
- Grunty1 I'm a Fan of Grunty1 222 fans permalink

"Elite". That $30 will end up costing a great deal more in car repair costs when the roads fall into ruin.

    Favorite    Flag as abusive Posted 07:55 PM on 05/03/2008
- Daly I'm a Fan of Daly 19 fans permalink

Could cost 6000-7000 jobs just in IN & NC for road work repairs that are financed by the taxes; are you willing to save 2-1 dollars a month and see your community road workers face unemployme­nt.?

    Favorite    Flag as abusive Posted 07:59 PM on 05/03/2008

$12.50 per year? I think you mean 12.50 per week, but your math is still off. Regardless, the gas tax holiday is not pragmatic.

You are largely missing the point about the gas tax holiday. It is not meant to stimulate the economy. It is being sold as a form of short-term relief for Americans. Simply put, you can't compare $30 over the course of the summer to $600.

The gas tax is needed to fix roads and taking away the tax would likely just drive the price of gas higher--not exactly practical. It can really only be described as pandering. Do you really want $30 or would you rather have safe roads and people working to keep them that way. Do you really want $30 or would you rather the moeny be invested in long-term solutions? Clinton and McCain are trying to bribe Americans.

    Favorite    Flag as abusive Posted 08:21 PM on 05/03/2008
- goldnchyl I'm a Fan of goldnchyl 10 fans permalink
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The gas tax holiday IS peanuts in comparison to the costs to our infrastructure. This article does not state all the facts. While any job lost for this "holiday" is too much, 7,000 jobs lost is only partially true. 7,000 jobs will be lost in state of North Carolina alone. Over 300,000 will be lost nationwide. And the repair of our streets and infrastructure will come to a screeching halt. Clinton proposes paying for it by taxing the oil companies but doesn't have the clout (who does) to actually pull it off. Plus, in her own words (whose value has decreased, considerably) she already spent the money from that tax on alternative energy development. So, you really think that saving pennies a day is worth all this? Think about it while you're driving to work on dis repaired roads, or, God forbid, a over a bridge that collapses into the river.

    Favorite    Flag as abusive Posted 08:44 PM on 05/03/2008
- UnbiasView I'm a Fan of UnbiasView 20 fans permalink

All you people say McCain and Hillary are pandering with this gas tax . . . of course they are but if it puts dollars in people's pockets they don't care.

    Favorite    Flag as abusive Posted 06:05 PM on 05/03/2008
- drzoon I'm a Fan of drzoon 15 fans permalink

its the $28 in 90 days... versus... losing 300,000 jobs... and going a whole summer season without any repair work on our pot holed and creaky highways.

now.... that just doesn't make sense... and Hilary knows it. She is just banking on folks not being smart enough to figure this out. Or at least figure it out soon enough to not let it happen or get her elected on stupid promises she can't keep

    Favorite    Flag as abusive Posted 06:15 PM on 05/03/2008
- UnbiasView I'm a Fan of UnbiasView 20 fans permalink

How do you figure we would lose 300,000 jobs? You make it sound like our government would have a tough time scraping up a few billion to cover . . . LOL.

    Favorite    Flag as abusive Posted 06:19 PM on 05/03/2008

Make up your mind 18 cents is peanuts to put back into the economy – but the same 18 cents will cause 300,000 job loss – get real these highway jobs have been budget for already -

    Favorite    Flag as abusive Posted 08:01 PM on 05/03/2008
- PAposter I'm a Fan of PAposter 122 fans permalink
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UnbiasView: The problem is, it won't put money in people's pocket. If we are all being honest, we waste the savings this "tax holiday" will bring before we wake up. Learn to reduce the use of Gas, and drive the costs down.

    Favorite    Flag as abusive Posted 09:40 PM on 05/03/2008
- drzoon I'm a Fan of drzoon 15 fans permalink

ONLY WHITE STATES MATTER!

Hilary Clinton '08

    Favorite    Flag as abusive Posted 06:03 PM on 05/03/2008
- DMW1 I'm a Fan of DMW1 2 fans permalink

Unless she lost in them - then they don't matter!

    Favorite    Flag as abusive Posted 06:28 PM on 05/03/2008

Lower the gas tax? I wonder when Hillary will stop her PanderPalooza? And I wonder when she will stop doing Fox News' job (attempting to destroy Obama) for them?

She had me but lost me a few months ago because of non-stop pandering and attacking, not to mention Bill's destructive behavior.

    Favorite    Flag as abusive Posted 05:50 PM on 05/03/2008
- billrott I'm a Fan of billrott 9 fans permalink

This issue is a great example of Hillary's lack of leadership and ability to be an effective president. She says that she is for this holiday, yet really does not offer a way to pay for it. I know the windfall profit tax, the issue there is she already promised that the tax would be used to pay for ten other of her programs, so I don't count that.

Then Hillary demonstrates her ability to work with congress. Does she get experts on her side...No. Does she get congress on her side...no. She tells the experts to GFY and she tells congress you are with me or against me. Seems like the healthcare debacle over again. nice.

    Favorite    Flag as abusive Posted 05:37 PM on 05/03/2008

Hillary also called for nuking Iran.

    Favorite    Flag as abusive Posted 05:35 PM on 05/03/2008
- UnbiasView I'm a Fan of UnbiasView 20 fans permalink

McCain/Clinton Gas Tax Holiday = Stupid Idea

Obama/Clinton Windfall Oil Profit Tax = Worst Idea Ever

Great, we'll stick it good to those evil oil companies but guess what . . . they'll really stick it to us the consumer and we are already on the edge with this economy and this windfall Pofit Tax would end everyone. Has anyone explained basic economics to Obama? taking profits can and never will lower the price, the only option is to raise them.

There has not been a single decent economic idea from any of the candidates. Please remember there is a reason that senators don't become President and I think everyone is finding out now.

    Favorite    Flag as abusive Posted 05:30 PM on 05/03/2008
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b) The gas tax holiday Hillary is proposing is actually meant to grab a sliver of the vote available to her by pandering to people who depend on travel for a living - motel owners, restaurant owners in vacation resorts, etc.

I think this shows the wisdom of having super delegates who are trending more and more to Obama as they realize that it is not in our nation's interest to have a president who is constantly lying to the people, even if it seems that the people enjoy being seduced.

    Favorite    Flag as abusive Posted 05:11 PM on 05/03/2008
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Hillary says we should give people a tax holiday on gas so we can increase consumption while making up for it with an excess profits tax on oil companies.


a) Tax on oil companies - The only way an oil company can continue in business is to find new oil since they are constantly taking out the oil they already own or have rights to. In fact, when evaluating the price of Exxon's shares on Wall Street, and the same applies to any oil company, the analysts always look at the rate at which the company is adding to reserves of oil by exploration, buying up rights, etc. The only way an oil company can get new reserves is to buy them from others or take the risk of exploring for oil. Why would you take the risk of exploring for oil if there is no profit in it because Hillary has said she will simply tax it away??? If you are going to buy proven reserves from somebody then it will be very expensive and you will need every cent of profit you have.

Hillary never fails to show her inexperience.

    Favorite    Flag as abusive Posted 05:08 PM on 05/03/2008
- gregjones I'm a Fan of gregjones 16 fans permalink
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HILLARY HAS LOST THE ENTIRE BLACK VOTE....FO­REVER !!!

This is the message being sent by blacks to the DNC (and the superdelegates). There is no way Hillary will defeat McCain without the support of Black America aka the guaranteed Democratic vote. Hillary started out with 82% of the black support. But as Blacks learned more about her (Goldwater Girl...Aga­inst Civil Rights Act '64....It was LBJ...Not MLK....etc­) combined with Bill's (...fairy tale....Je­ssie Won S.C. too...etc.­)...blacks were shocked beyond repair. (remember.­...we luved Bill so much we called him 'The First Black President'­)....but never again....W­HERE'S THAT STORY. This has nothing to do with Obama !!!! We (blacks) have awakened to the truth about the Clintons..­....

Greg Jones
www.Blacks4Barack.org
(A Multi-Racial, Grassroots Org...Dedi­cated To Truth)

p.s. Blacks4Barack.org started in Feb. 2007 (Greg Jones) when VERY few blacks were for Obama.....­they were ALL for Hillary !!!!! We knew that Obama was the best person to run our country and bring our troops home and that is why we started our grassroots organization. (Not because he's black...bu­t because he's most qualified) The more black voters learned about Obama...th­e more they liked him.... the more they learned about the Clintons..­..the angrier they got !!!!!!!!!!!!!! We appreciate our friends of ALL races....w­ho are working together..­..for the very best candidate.­...to put America on the right track.....­Barack Obama ! THANK YOU !

    Favorite    Flag as abusive Posted 05:00 PM on 05/03/2008
- Daly I'm a Fan of Daly 19 fans permalink

Untrue - she has Maya Angelou doing commercials and several black space cadet women that that thought it was a good idea to back clintons even before a single voter in their districts voted. Personally I hope the voters of these locations ensure that Sheila Jackson Lee and her ilk get an up close first hand of black voters empowering them to experience unemployment. Carzy Bush had more Blacks in his administration and at higher more strategic than Clinton.

Jackson only needs to talk to Roberto Gonzalez to learn about unemployment

    Favorite    Flag as abusive Posted 08:11 PM on 05/03/2008

Apparently HuffPo's sensors are back up to their communist games. HELLO PEOPLE! Barry voted 3 times for a gas "holiday" in 2000 knowing full well that the funds would be made up by raiding highway funding. This is unlike Hillary's plan which is paid for BY THE OIL COMPANIES. Check the facts, you may not like 'em but they are facts.

    Favorite    Flag as abusive Posted 04:49 PM on 05/03/2008
- billrott I'm a Fan of billrott 9 fans permalink

Ah nice try. Obama voted for a gas tax holiday in Illinois. From his experience in the aftermath of such a vote, he is against the proposal now. The issue in Illinois was that once the tax was lifted, the oil companies simply raised their prices and took the tax benefit for themselves. The same will happen if the federal government does the same. It is not called lying, it is called learning and evolving.

Also, can you please stop calling Barack Obama Barry. If you are attempting to sway anyone to your point of view, the childish name calling and attack turns people off.

    Favorite    Flag as abusive Posted 05:32 PM on 05/03/2008

Being turned off by language? Puhleeze..­.look around at the stupid and juvenile names that not only Hillary is called, but also her supporters. Barry calls himself Barry, you're not here to educate me on Barryetiquette!

    Favorite    Flag as abusive Posted 05:39 PM on 05/03/2008

You also need to put all of this in context. We paid less than $1.50 per gallon at the time and didn't have the same knowledge about global warming. Stop with the stupid gotcha games. We're not playing a game here. We're trying to elect a president.

    Favorite    Flag as abusive Posted 05:35 PM on 05/03/2008
- DMW1 I'm a Fan of DMW1 2 fans permalink

You do realize this would have to pass in Congress, right? As every expert says this idea is ridiculous, that seems doubtful, especially in time for summer.

I know Hillary has compared herself to Rocky Balboa, Paulette Revere, Teddy Roosevelt and Goldilocks in the last few weeks, but I'm pretty sure she doesn't control Congress. She may have a personality disorder though....

    Favorite    Flag as abusive Posted 05:41 PM on 05/03/2008

Exactly, he's said that's why he knows it won't work. It's called learning from experience. And if you think that, without a Democrat in the Whitehouse, congress is going to pass a windfall tax on oil companies, you are delusional.

    Favorite    Flag as abusive Posted 06:53 PM on 05/03/2008
- Grunty1 I'm a Fan of Grunty1 222 fans permalink

The sensors on the Starship HuffPost can see trolls coming light years away :-)

    Favorite    Flag as abusive Posted 07:58 PM on 05/03/2008

I am so sick of Barry lying! Getting even more tired of you folks falling for it! Try looking at facts. Barry voted 3 times for the gas tax "holiday" in 2000 when gas was under $2. Futhermore, he voted for this knowing that the money would be made up in funds from transportation (Highway bill). He really does have you fooled.

    Favorite    Flag as abusive Posted 04:43 PM on 05/03/2008
- DMW1 I'm a Fan of DMW1 2 fans permalink

If you'd watch the news, he readily admits that. In fact, he uses that experience as to why it will not work. And there is nothing to prevent the oil companies from raising the price during this process.

    Favorite    Flag as abusive Posted 05:30 PM on 05/03/2008
- billrott I'm a Fan of billrott 9 fans permalink

Ah nice try. Obama voted for a gas tax holiday in Illinois. From his experience in the aftermath of such a vote, he is against the proposal now. The issue in Illinois was that once the tax was lifted, the oil companies simply raised their prices and took the tax benefit for themselves. The same will happen if the federal government does the same. It is not called lying, it is called learning and evolving.

Also, can you please stop calling Barack Obama Barry. If you are attempting

    Favorite    Flag as abusive Posted 05:32 PM on 05/03/2008

You also need to put all of this in context. We paid less than $1.50 per gallon at the time and didn't have the same knowledge about global warming. Stop with the stupid gotcha games. We're not playing a game here. We're trying to elect a president.

    Favorite    Flag as abusive Posted 05:35 PM on 05/03/2008
- drzoon I'm a Fan of drzoon 15 fans permalink

unlike your candidate.­...

BARACK learned a lot about the gas tax holiday and how it doesn't work in his own state. THAT is why he knows its a stupid idea now.

Bob Dole tried to trot this out when her husband was the President (and abusing his power with young women in the White House). It has been floated again and again ever since.

and is generally considered ... laughable now.

    Favorite    Flag as abusive Posted 06:09 PM on 05/03/2008
- Daly I'm a Fan of Daly 19 fans permalink

Hillary did not come up with the gas/tax idea McInsane using all the power of his addled brain did, she just jumped on board the McInsane express besides if it was a grand idea which by the way most in congress do not agree; by the time it is passed, summer will be over.
If Hillary really wanted to help working poor then she would work on extending unemployment or maybe getting the oil companies to kick in for more road worker funds after all we have experienced sevral bridges breaking.
Military barracks are falling apart and we have lots of construction worker sitting at home, Returning Millary assistance would be nice too.

    Favorite    Flag as abusive Posted 08:22 PM on 05/03/2008
- CTmom13 I'm a Fan of CTmom13 9 fans permalink

This was a great reply!!!!

Today, Sen. Obama said: “Now Senator Clinton is spending a lot of money on an ad attacking me for not supporting her and John McCain’s idea of a gas tax holiday for the summer…In fact, it is my understanding today, Senator Clinton had to send a surrogate to speak out on behalf of this plan and all she could find- get this, a lobbyist from Shell oil to explain how this was going to be good for consumers. [Laughter] It’s a Shell-game, literally.­”

    Favorite    Flag as abusive Posted 04:40 PM on 05/03/2008

Yes, I had to tivo that today because my family made me realize I have a life! lol

Anyway I enjoyed what he had to say, he's getting back on track!!!!

    Favorite    Flag as abusive Posted 05:39 PM on 05/03/2008

There's a story running today on the mainstream news about a group of college kids that came up with a bio diesel fuel that only costs 80 cents per gallon to make. College kids! The alternatives are out there but big business as usual doesn't want to see anything change. Voting for a candidate promoting a summer gas holiday won't change anything. Saving a mere 30 cents a day UNTIL the oil companies raise the prices is a cruel hoax.

We need Congress to support groups such as this inventive buch of bright college kids in finding cheaper alternatives to our current imported oil.

At least Obama isn't willing to "go with the flow" and pander a cheap, impossible fix to get votes.

ps: "She said every member of Congress should have to tell us whether they are with us or against us." Bush used those very words in support of his illegal war in Iraq. Do you want another president that is that short sighted running things?

    Favorite    Flag as abusive Posted 04:25 PM on 05/03/2008
- drzoon I'm a Fan of drzoon 15 fans permalink

That's easy...

I am against you!

(mostly because you are a liar and generally out of control)

    Favorite    Flag as abusive Posted 06:11 PM on 05/03/2008
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