The
Congressional Research Service found that suspending the federal gas tax is “difficult for the federal government to enforce” because gasoline is not levied at the pump against each consumer, but instead when gasoline is removed from a refinery or terminal. Furthermore, “owners of vehicles powered by diesel fuel would generally not benefit” from either a gas tax holiday or conventional rebate system. Carriers of agricultural products, whose prices have also skyrocketed within the last five months, are being left behind altogether in the Administration’s gas price relief plans.
While the idea of a federal gas price relief seems noble, the President has proven unwilling to entertain solutions that promote increasing domestic energy supply. He routinely
delays oil and gas lease sales, citing concerns from environmentalists and global warming activists. Apparently he forgets that he serves all 330 million American citizens, not only the Green Party. President Biden and his administration would do well to allow gas price relief to remain a state-driven issue.
When gas tax holidays are conducted at the state level, consumers reap dramatic benefits.
72% of Americans currently support suspending their state fuel tax, something that often goes toward resurfacing and lane striping. While federal gas tax dollars support the critical infrastructure mentioned by Secretary Granholm, suspending state gas tax collection has been popular throughout the nation as a temporary solution to the inflationary nightmare that is 2022 gas prices. Some state governors, including Gov. Wolf of
Pennsylvania and Gov.
Holcomb of Indiana, hope to use remaining ARPA funds to send direct payments to registered vehicle owners.