On the lot: Gov. Bobby Jindal’s administration intends to sell 709 state vehicles at auction early next year as a cost-cutting move. Ruth Johnson, deputy commissioner of administration, says the vehicles aren’t used enough to justify the continued maintenance costs. The Division of Administration estimated the sales could bring in $700,000 to $1.4 million for a state struggling with repeated budget shortfalls. The Jindal administration says of the 11,000 vehicles across state agencies, more than 1,400 were driven less than 15,000 miles over the last year.
Free falling: Oil prices fell even further this morning after the International Energy Agency lowered its forecast for global oil demand next year. In its monthly oil report, the agency says global oil demand in 2015 will grow by 900,000 barrels a day—230,000 less than previously forecast—to 93.3 million. Following its report, the benchmark New York oil price slipped further below $60 a barrel to fresh five-year lows. In late morning trading in London, it was 72 cents lower at $59.23. Brent, the international standard, was 74 cents lower at $62.94. The Associated Press has the full story.
Not passing it on: Crude prices have plunged to their lowest levels since the Great Recession, but don’t expect to pay less any time soon for toys, shoes, bags, diapers and other products made from oil. As The Houston Chronicle reports, manufacturers tend to hike prices and pass on increased fuel surcharges when their costs for raw materials and fuels skyrocket, but they are slower to respond when oil tumbles, particularly when it falls as fast and dramatically as it has in recent months. Read the full story.
