Assembly to consider tax on oil companies

By The Associated Press

Wednesday, June 18, 2008 9:38 AM EDT

ALBANY - State Democratic Assembly leaders plan to push for taxing windfall oil profits and using the receipts to expand help for low- and moderate-income New Yorkers to pay home heating bills next winter.
“Big oil is raking in record profits while New Yorkers are struggling,” said Assembly Energy Committee Chairman Kevin Cahill. “Today's high prices at the pump are forcing us to make some difficult decisions. If fuel prices continue on this trajectory, as they are projected to, we are going to be facing a crisis this winter as people struggle to figure out how they are going to heat their homes.”

Speaker Sheldon Silver said he may bring the Assembly back after the regular legislative session to deal with energy. “Two things clear in this gasoline crisis are that, yet again, the American people are suffering while oil company profits continue to grow astronomically, and that our federal government, yet again, is failing to provide any viable solutions,” he said.

The windfall profits tax on big oil companies that sell their products in New York would be 2 percent of gross receipts. A new surcharge on gasoline importers would be 4 percent of the price per gallon above $2.

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