A state governor has proposed a new stimulus payment instead of a more traditional form of easing fuel prices, as Americans continue to feel the economic pressure from rising supermarket and gasoline prices. Some lawmakers are looking for innovative ways to help their people.
Minnesota Gov. Tim Walz said this week that he prefers a larger rebate check for residents over a gas tax vacation in an spending bill issued this week. Adults earning less than $ 164,400 a year will receive a payment of $ 500, while couples earning less than $ 273,470 a year will receive a payment of $ 1,000.
Instead of waiving the state’s 28-cent-per-gallon gas tax for the summer, as proposed by the House Democrats, this $ 2 billion plan would do the same instead.
Minnesota residents would have to refill their vehicles 119 times to save $ 500 from a gas tax vacation, which is why Walz prefers the idea of a check because it would give families more immediate relief and free up some of their household budgets, allowing them to to spend more money on other things in their lives instead of paying for gas.
In his words, “you could get a lot of refills out of $ 1,000.” “I believe it’s a wonderful idea to put this money in the hands of people before the summer. It’s budget friendly too.”
As inflation has increased costs for all Americans, even those with the lowest incomes, more people than just Walz are pushing for a new form of stimulus payment to offset the rise in gas prices. Mark Wolfe, executive director of the National Energy Assistance Directors Association, said in a CNN opinion that the federal government should provide an additional payment to the families in need.
Lawmakers in Washington, DC are also looking for ways to ease the burden of rising costs with a new proposal put forward by Rep. Ro Khana and Senator Sheldon Whitehouse, who will raise taxes on the country’s largest oil companies and distribute money raised from there to a round of stimulus payments sent quarterly to individual tax registrars earning less than $ 75,000 or married joint registrars earning less than $ 150,000.
It has also been suggested by Senator Romney (R-Utah) that families eligible for the extended child tax deduction will receive payments similar to those received through the Family Security Act. If approved, eligible families will receive $ 350 per person. month for children ages 0-5 and $ 250 per. month for those aged 6-17 if the bill is passed into law. The maximum monthly payment for families is $ 1,250.
Despite a fall in the national average price per gallon over the past week, consumers continue to be pressured by high gas prices. According to AAA, the average price per gallons in the United States dropped from $ 4.32 to $ 4.26. Despite the significantly lower demand of the COVID-19 pandemic, this is still a significant increase in costs from the beginning of 2021.
Average gas prices in March 2021 were reported by the US Energy Information Administration at $ 2.81 per gallon.