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The Way This City Is Tackling Gas Prices Has Some People Crying ‘Socialism’
theblaze.com ^ | july 21, 2014 | zach noble

Posted on 07/21/2014 7:06:35 PM PDT by lowbridge

The town of Somerset, Kentucky, opened a city-run filling station on Saturday, the Associated Press reported, offering gas to the public at below-market rates.

From the Associated Press:

The Somerset Fuel Center opened to the public selling regular unleaded gas for $3.36 a gallon, a bit lower than some nearby competitors. In the first three hours, about 75 customers fueled up at the no-frills stations, where there are no snacks, no repairs and only regular unleaded gas.

The mayor says the station was created in response to years of grumbling by townspeople about stubbornly high gas prices in Somerset, a city of about 11,000 near Lake Cumberland, a popular fishing and boating haven.

Four nearby stations in Somerset were selling regular unleaded for $3.39 a gallon Saturday. The prevailing price in town had been in the mid-$3.40s per gallon late in the week, said Melody Price, office manager at Somerset Fuel Center.

The city spent $200,000 to purchase the fuel storage facility a few years ago, the AP reported, and shelled out another $75,000 to convert the facility into a retail operation.

Some criticized the move, with one convenience store owner saying, ”They’ve used the taxpayer money that I have paid them over these years to do this, to be against us. I do not see how they can’t see that as socialism.”

But city leaders expressed commitment to the project.

(Excerpt) Read more at theblaze.com ...


TOPICS: Business/Economy; Culture/Society; News/Current Events; US: Kentucky
KEYWORDS: gas; gasoline; kentucky; socialism

1 posted on 07/21/2014 7:06:35 PM PDT by lowbridge
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To: lowbridge

They’ve used the taxpayer money that I have paid them over these years to do this, to be against us. “

It’s always interesting to see the light bulb flicker on.


2 posted on 07/21/2014 7:08:32 PM PDT by Lurker (Violence is rarely the answer. But when it is it is the only answer.)
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To: lowbridge
So we haven't yet acquiesced to socialism?

Well, that would be nice.

3 posted on 07/21/2014 7:09:31 PM PDT by PapaNew (Freedom always wins the debate in the forum of ideas)
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To: lowbridge
The city spent $200,000 to purchase the fuel storage facility a few years ago, the AP reported, and shelled out another $75,000 to convert the facility into a retail operation.

And that's the problem.
4 posted on 07/21/2014 7:09:40 PM PDT by cripplecreek (Remember the River Raisin.)
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To: Lurker

A no frills gas station isn’t a half bad idea for a private sector owner.

Gas, wiper fluid, oil, etc.


5 posted on 07/21/2014 7:11:44 PM PDT by cripplecreek (Remember the River Raisin.)
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To: cripplecreek

It shouldn’t be a problem for too long.

Being government owned and operated it will fail.


6 posted on 07/21/2014 7:12:53 PM PDT by 2111USMC (Aim Small Miss Small)
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To: cripplecreek

so at 5 or 6 cent per gallon, the taxpayer payoff would be about 187 years. +/-


7 posted on 07/21/2014 7:13:17 PM PDT by Hammerhead
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To: Hammerhead

so at 5 or 6 cent per gallon savings to the consumer, the taxpayer payoff would be about 187 years. +/-


8 posted on 07/21/2014 7:14:14 PM PDT by Hammerhead
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To: cripplecreek
You probably can't make enough money to keep that kind of operation solvent, with profit margins on gasoline as low as they are. It's the additional retail products and/or the repair services that are the main lines of business for these places.

I wonder if the city-owned gas station has an additional competitive edge over the privately owned stations by operating with an exemption from property taxes.

9 posted on 07/21/2014 7:15:24 PM PDT by Alberta's Child ("What in the wide, wide world of sports is goin' on here?")
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To: lowbridge

i am for private sector doig this, not gubmint with everyone tax dollars, since this is a service people hardly need the govt selling in.


10 posted on 07/21/2014 7:15:51 PM PDT by Secret Agent Man ( Gone Galt; Not averse to Going Bronson.)
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To: lowbridge

“The city spent $200,000 to purchase the fuel storage facility a few years ago, the AP reported, and shelled out another $75,000 to convert the facility into a retail operation.”

Also ongoing maintenance, staffing, upkeep.

Saving drivers a few bucks while taking their wallets.


11 posted on 07/21/2014 7:18:13 PM PDT by headstamp 2
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To: headstamp 2

Yes - the people using this place are actually losing money on the deal yet think they aren’t paying as much.


12 posted on 07/21/2014 7:24:22 PM PDT by Republican Wildcat
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To: cripplecreek

We have one like that locally. Costco. Nothing but gasoline at their station. It’s always at least a nickel a gallon cheaper than anywhere else. An with as many miles as I put on the membership more than pays for itself.


13 posted on 07/21/2014 7:25:02 PM PDT by Lurker (Violence is rarely the answer. But when it is it is the only answer.)
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To: Secret Agent Man

A co-op might be able to pull something like this off.


14 posted on 07/21/2014 7:25:25 PM PDT by cripplecreek (Remember the River Raisin.)
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To: cripplecreek
A no frills gas station isn’t a half bad idea for a private sector owner.

You obviously know nothing about the independent gasoline business.

They don't make anything on the gas. They are a hostage to the big oil companies that supply them the gas.

They make their profit selling soda and snacks, pretty much like movie theaters, who don't make anything on the movie because it all goes to the distributors.

15 posted on 07/21/2014 7:25:29 PM PDT by E. Pluribus Unum ("The man who damns money obtained it dishonorably; the man who respects it earned it." --Ayn Rand)
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To: Lurker

Yeah, there’s one of those stations right along my home-to-office travel route. Unfortunately, Costco is a big donor to the political left.


16 posted on 07/21/2014 7:30:45 PM PDT by Charles Martel (Endeavor to persevere...)
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To: headstamp 2

They are all no doubt public employees, unionized probably, with big fat pensions. For sitting there watching people pump their own gas.


17 posted on 07/21/2014 7:33:05 PM PDT by Lurker (Violence is rarely the answer. But when it is it is the only answer.)
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To: lowbridge

If a local town does the business, no one is forced to buy or sell there, and the people, who are close to their government, agree to it - then so what?

Its far different from the Federal Government, who are unaccountable and use coercion, doing such things - THAT is socialism.


18 posted on 07/21/2014 7:34:54 PM PDT by PGR88
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To: cripplecreek

Selling the stuff in the convenience store is what keeps most operators in business. They can’t make it onfuel sales alone.


19 posted on 07/21/2014 7:39:21 PM PDT by clintonh8r (It's possible to love your country and hate your government. I'm proof of it.)
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To: Hammerhead

20 posted on 07/21/2014 7:46:56 PM PDT by Dalberg-Acton
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To: PGR88
If a local town does the business, no one is forced to buy or sell there, and the people, who are close to their government, agree to it - then so what?

As I read the article, the local people aren't happy about it. It doesn't mean they aren't going to take advantage of it while it's there, though.

It's far different from the Federal Government, who are unaccountable and use coercion, doing such things - THAT is socialism.

It may be far from the Federal government doing it... but it is still socialism.

21 posted on 07/21/2014 7:56:36 PM PDT by pgyanke (Republicans get in trouble when not living up to their principles. Democrats... when they do.)
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To: cripplecreek

..........I just got back from a month in the Yukon Territory. Several times I passed gas pumps in the middle of nowhere that were just a gas pump! They were unmanned and no personnel were around.

Gas was $6.16 a gallon. Imagine, if your heart can stand it, filling up a 100 gallon truck tank!

No frills pumps are coming. No doubt about it.

Drive back into Alaska and gas was $4.11 a gallon. But, there’s free health care and long vacations and short work weeks and yadi, yadi in socialist paradise Canada.


22 posted on 07/21/2014 8:14:26 PM PDT by Cen-Tejas (it's the debt bomb stupid!)
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To: cripplecreek

it might.


23 posted on 07/22/2014 12:11:18 AM PDT by Secret Agent Man ( Gone Galt; Not averse to Going Bronson.)
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To: pgyanke

It’s the other businesses that aren’t happy with it. If the City owned gas station is selling for cheaper, then a guy isn’t going to drive over to the Texaco and get a coke. And the Texaco is going to lose business. So he’ll have to lower his prices to compete.


24 posted on 07/24/2014 11:52:31 AM PDT by christx30 (Freedom above all.)
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To: lowbridge

disturbing


25 posted on 07/24/2014 12:02:34 PM PDT by GeronL (Vote for Conservatives not for Republicans)
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To: PGR88

They used tax dollars to compete with private business, that people are forced to fund this is a form of coercion. is it not?

I would suggest those 4 gas stations in town to all announce at the next city council meeting that they are going out of business. I suspect that they PAY a lot of the local taxes.


26 posted on 07/24/2014 12:05:54 PM PDT by GeronL (Vote for Conservatives not for Republicans)
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To: E. Pluribus Unum

Then they should stop selling gas and stop collecting taxes for the city and see what happens.


27 posted on 07/24/2014 12:07:06 PM PDT by GeronL (Vote for Conservatives not for Republicans)
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