With the global oil business in relative turmoil as a result of the war with Iran started by President Trump and gasoline prices soaring to $5 a gallon in some California locales and topping $4 a gallon at some Hudson Valley gas stations, Rockland County government leaders have approved a measure that they say should help ease the burden of rising fuel costs. They are capping the amount of county sales tax collected on gasoline to apply to only the first $3 per gallon pricing.
According to AAA, the average price of gasoline in Rockland County is approaching $4 per gallon. Under the measure, the County’s 4% sales tax on gasoline will be applied only to the first $3 per gallon, rather than the full retail price.
“This is no windfall, but we are doing what we can to help families,” County Executive Day said. “Government should not benefit from higher prices – it should step in to provide relief. This action delivers immediate, albeit modest, savings and continues our efforts to ease costs for residents when and where possible.”
Legislation to put the tax cap into effect was passed by the County Legislature and was to be signed into law by Day. The cap will be in effect from June 1 through March 1, 2027. The cap applies only to Rockland County’s portion of the sales tax. New York state’s per-gallon taxes, including the state excise tax and the Metropolitan Commuter Transportation District (MCTD) assessment, remain unchanged.
County Legislator Beth Davidson, sponsor of the legislation said, “With families already facing higher costs for groceries, health care, and home energy, I’m grateful the legislature stepped up proactively to bring our constituents some relief at the gas pump. As oil prices soar due to the conflict in the Middle East, they’ll only continue to go up.”
According to Legislature Chairman Jay Hood Jr., “By capping the sales tax once prices exceed $3 per gallon, we are putting some money back into residents’ pockets. This is about helping people get to work, take care of their families, and manage everyday life, especially as we head into the summer travel season.”
Rockland officials noted that overall gasoline prices will continue to fluctuate based on market conditions, including the impacts of the war in the Middle East and seasonal driving demands.
