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The Dutchess County Legislature is set to vote on a proposal to cap the sales tax on gasoline and diesel fuel at $3.00 per gallon during its meeting on Monday (April 18). This measure, aimed at providing relief to drivers amid soaring gas prices, is expected to take effect on June 1 and last until November 30, 2026.
The county's Budget & Finance Committee unanimously approved the proposal last Thursday. The cap is expected to result in a $460,000 revenue loss for the county. However, Democratic leaders have pointed out that the county has already collected more revenue than last year due to higher gas prices. Gasoline prices have risen from approximately $3.19 per gallon when the budget was prepared to over $4 per gallon now.
The proposal comes as part of a broader effort by several Hudson Valley counties to address rising fuel costs. According to National Today, Ulster, Putnam, and Rockland counties are considering similar measures. The sharp rise in gas prices is partly attributed to the ongoing conflict in Iran, which has increased financial pressure on families across the region.
The proposal still requires approval from the New York State Department of Taxation and Finance before it can be implemented. If approved, the cap will provide savings for drivers once prices exceed the $3.00 threshold.