A suspension of the gas tax will not guarantee a decrease in the price of gasoline and will make it harder to fund future highway improvement projects. The gas tax user fee provides a dedicated revenue source for the Highway Trust Fund. Further eroding the user fee, which has not been raised since 1993, weakens the user fee concept and introduces greater uncertainty for state transportation departments trying to budget for highway improvement projects. Moreover, a gas tax holiday creates unpredictability for asphalt contractors trying to plan their businesses.
If Congress succeeds in enacting legislation mandating a gas tax holiday, it will set a dangerous precedent that during times of economic strife, a gas tax holiday is a viable solution for federal and state lawmakers. It is imperative for the asphalt pavement industry to speak out against legislation to dilute the single largest revenue contributor to the Highway Trust Fund.
Click here for the letter NAPA and our coalition partners sent to the President opposing the suspension of gas taxes.