Drivers willing to shell out cash at the pump may be able to warm their engines more affordably if a proposal by Chippewa Valley state legislators passes.
The bill, authored by Sen. Dave Zien (R-Wheaton), Rep. Jeff Wood (R-Chippewa Falls), Rep. Scott Suder (R-Abbotsford) and Rep. Terry Moulton (R-Chippewa Falls) would allow retailers to offer a discounted price to customers who pay cash for gasoline.
“We were looking at any ways we can help consumers with the high price of gas,” Moulton said. “If (retailers) can benefit from this, some of the savings could pass on to consumers.”
Credit card companies charge a 3 percent fee for each gasoline purchase, said John Hogan, chief of staff for Zien. At current prices around $2.30 a gallon, this could result in savings of about 6 cents per gallon, he said.
“The idea came from gas station retailers,” Hogan said. “If they were able to offer a cash price … they wouldn’t be bound by offering a higher price for credit card transactions.”
Hogan said the idea has been encouraged by the Petroleum Marketers’ Association of Wisconsin/Wisconsin Association of Convenience Stores, which represents gas stations throughout Wisconsin. The PMAW could not be reached for comment.
Current regulations prohibit retailers from offering a discounted price on cash purchases. The bill would remove this stipulation, Moulton said.
“I’d be for it because I’m a college student and don’t have a ton of money,” said junior Rob Ruf, who generally pays cash at the pump.
However, junior Jess Berti said she would continue to pay with a credit card even if the bill were passed.
“(I) pay at the pump because I never have cash and I use a credit card, but I can see where saving money can be a good thing,” she said.