Effect of High Gas Prices

By: Emily Brown Email
By: Emily Brown Email

Most people have felt the pain of going to the pump for a fill-up, especially not that gas prices are more than $3 in some places. School districts are just one of many on along list taking a hit due to transportation costs going up with the gas prices.

Rockingham County's schools yearly transportation budget was set for $2.10 a gallon, as officials hoped gas prices would hold steady throughout the year.

"Unfortunately, that's not happening right now. We budgeted $2.10 and we're paying $2.71 for diesel and $2.92 for gas. So as you can probably tell, that affects your budget pretty rapidly," says Jim Slye, director of transportation for Rockingham County Schools.

With a budget that's struggling to cover gas prices, Rockingham County Schools must make up the difference in other places.

"In our budget, we had plans to purchase six new automobiles to replace the automobiles that we have. We've had to withhold three of those," says Slye.

In fact, businesses all over are having to change their plans in order to deal with these prices. However, Victoria's Floral and Baskets in Harrisonburg says they won't let the price hike effect their customers.

"It doesn't really effect our delivery because we're going to provide that service to the customer. But it does very seriously effect the budget, and the bottom line. We're budgeted for about 25 percent less than what it’s actually costing us," says store president Steve Remson.

The bottom line to high gas prices is that it's effecting the bottom line of many companies. Currently, gasoline accounts for about 17 percent of our nation’s energy consumption.

Since children need to get to school every day, making sure there is fuel for those buses is important. Rockingham County School officials say if gas prices become more than $4, they don't know what else they'll have to cut out of the budget to make up the difference.

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