23 July, 2008

DNC host's tax-free gas evaporates

The Rocky Mountain News:
"The committee hosting the Democratic National Convention has used the city's gas pumps to fill up and apparently avoided paying state and federal fuel taxes.

The practice, which began four months ago, may have ended hours after its disclosure. An aide to Mayor John Hickenlooper released a statement Tuesday evening saying that Denver 2008 Host Committee members would pay market prices for fuel and would also be liable for all applicable taxes.

However, Public Works spokeswoman Christine Downs told City Council members just hours before that host committee members were fueling up at the city pumps. The city does not pay taxes on the fuel for its fleet, and Downs said the host committee would not either.

The disclosure brought immediate scrutiny. Colorado Attorney General John Suthers said the practice 'would seem' to be illegal and referred the matter to the state Department of Revenue."

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