Lt. Governor Hosemann Proposes Suspension of Gas Tax Amid Record Inflation
Published 3:18 pm Monday, March 14, 2022
Jackson, Miss.—Lt. Governor Delbert Hosemann is calling for a six-month suspension of the state’s 18.4-cent gas tax to combat record-level inflation.
“The No. 1 concern citizens are discussing around their kitchen tables is the increased cost of goods and services,” Hosemann said. “Reducing what Mississippians are paying at the pump is direct and immediate relief to families.”
Suspending the gas tax for six months would cost about $215 million. Entities which receive a diversion currently from the gas tax would be made whole through the Capital Expense Fund (additional revenue) under Hosemann’s proposal.
Earlier this Session, the Senate passed legislation which would provide a boost of $300 million to the state’s Emergency Road and Bridge Repair (ERBR) Program. Hosemann’s gas tax suspension proposal would not impact this additional injection of one-time funds for critical infrastructure projects.
Enacted in 2018, the ERBR Program is administered by the Mississippi Department of Transportation upon the advice of an advisory board made up of industry and local government leaders. The program was initially funded with $250 million in bonds. The Legislature appropriated an additional $89 million during the 2021 Legislative Session.
For more information about Lt. Governor Delbert Hosemann, visit www.ltgovhosemann.ms.gov.