Res. No. 1211 Title Resolution calling upon the State Legislature and Governor to amend the State Tax Law to temporarily suspend the state sales tax on home heating oil and to allow the City of New York to suspend its local portion of the sales tax on home heating oil until March 31, 2001. Body By Council Members Leffler, Freed, Henry, Marshall, Nelson and Stabile; also Council Members Berman, Eisland, Fisher, Harrison, Linares, Michels and Watkins Whereas, The price of crude oil has nearly tripled since last winter when it reached a low of just over $11.00 a barrel to a high in February 2000 of approximately $30 per barrel; and Whereas, The price of home heating oil has therefore also soared this winter to a high of over $2 dollars per gallon, an amount which is approximately double last year's low; and Whereas, This surge in price affects homeowners in the Northeast more than those in other parts of the country, because homeowners in the Northeast generally, and in New York in particular, disproportionately rely on oil to heat their homes; and Whereas, This dramatic increase in home heating oil prices, which in some cases translates into hundreds of dollars per month for a homeowner, disproportionately affects persons of low and middle income, many of whom are struggling to keep their homes heated; and Whereas, These dramatic price increases are most likely attributable to a cut in oil output by The Organization of Petroleum Exporting Countries (OPEC), as well as other factors such as stronger than expected demand due to this winter's cold-spells and lower reserves at many refineries because of last year's milder winter and lower prices; and Whereas, Section 1105 of the state Tax Law imposes a state sales and use tax of 4% on the receipts from the sale of home heating oil, and section 1210 of such law authorizes cities to impose sales and use taxes which correspond to the state taxes, which New York City has done pursuant to section 11-2002 of the Administrative Code; and Whereas, During this period of constricted supply and exorbitant prices which are adversely affecting so many New York homeowners, some measure of temporary relief can be provided by state and local government in the form of a suspension of both the state and local portions of the sales tax on home heating oil which together would total 8 1/4%; now, therefore, be it Resolved, That the Council of the City of New York calls upon the State Legislature and Governor to amend the State Tax Law to temporarily suspend the state sales tax on home heating oil and to allow the City of New York to suspend its local portion of the sales tax on home heating oil until March 31, 2001. Ls # 2708