Senators call for gas tax suspension to blunt rising prices

Two Democratic senators are calling for suspending the federal gas tax for the remainder of the year to help consumers struggling with rising fuel prices

Via AP news wire
Wednesday 09 February 2022 12:00
US Congress Gas Tax
US Congress Gas Tax

Two Democratic senators are calling for suspending the federal gas tax for the remainder of the year to help consumers struggling with rising fuel prices.

Other lawmakers are unlikely to go along, but the legislation from Sens. Mark Kelly of Arizona and Maggie Hassan of New Hampshire could prove popular during an election year in which the average price of gas nationally, according to AAA exceeds about $3.45 a gallon and could go higher during peak driving season.

“We need to continue to think creatively about how we can find new ways to bring down costs, and this bill would do exactly that, making a tangible difference for workers and families," Hassan said.

The federal gas tax has remained at 18.4 cents per gallon since 1993. The money goes into a trust fund that helps pay for highway construction projects and public transit. The bill would require the Treasury Department to transfer general funds into the trust fund to make up for the lost gas tax revenue and keep the trust fund solvent, likely requiring additional borrowing.

The bill also would require the Treasury Department to monitor whether oil and gas companies are passing along the savings to consumers and encourages the department's secretary to take enforcement actions to ensure they do.

Over the years, lawmakers have visited the idea of suspending the gas tax but did not generate enough support to get their bill over the finish line. Legislation introduced last year in the House has support from some Republicans. It seeks to suspend the gas tax until all emergency health orders related to the COVID-19 pandemic are lifted or for six months after the bill is enacted into law, whichever is longer.

Register for free to continue reading

Registration is a free and easy way to support our truly independent journalism

By registering, you will also enjoy limited access to Premium articles, exclusive newsletters, commenting, and virtual events with our leading journalists

Please enter a valid email
Please enter a valid email
Must be at least 6 characters, include an upper and lower case character and a number
Must be at least 6 characters, include an upper and lower case character and a number
Must be at least 6 characters, include an upper and lower case character and a number
Please enter your first name
Special characters aren’t allowed
Please enter a name between 1 and 40 characters
Please enter your last name
Special characters aren’t allowed
Please enter a name between 1 and 40 characters
You must be over 18 years old to register
You must be over 18 years old to register
Opt-out-policy
You can opt-out at any time by signing in to your account to manage your preferences. Each email has a link to unsubscribe.

By clicking ‘Create my account’ you confirm that your data has been entered correctly and you have read and agree to our Terms of use, Cookie policy and Privacy notice.

This site is protected by reCAPTCHA and the Google Privacy policy and Terms of service apply.

Already have an account? sign in

By clicking ‘Register’ you confirm that your data has been entered correctly and you have read and agree to our Terms of use, Cookie policy and Privacy notice.

This site is protected by reCAPTCHA and the Google Privacy policy and Terms of service apply.

Register for free to continue reading

Registration is a free and easy way to support our truly independent journalism

By registering, you will also enjoy limited access to Premium articles, exclusive newsletters, commenting, and virtual events with our leading journalists

Already have an account? sign in

By clicking ‘Register’ you confirm that your data has been entered correctly and you have read and agree to our Terms of use, Cookie policy and Privacy notice.

This site is protected by reCAPTCHA and the Google Privacy policy and Terms of service apply.

Thank you for registering

Please refresh the page or navigate to another page on the site to be automatically logged inPlease refresh your browser to be logged in