Relief at the pump? Staten Island’s Malliotakis calls for gas tax holiday as prices climb

STATEN ISLAND, N.Y. — New York City residents have been paying more at the pump recently, but newly proposed legislation may offer some relief.

H.R. 8753, the Gas Tax Relief Act, was introduced by Rep. Nicole Malliotakis, a Republican who represents Staten Island and Southern Brooklyn, and Rep. Max Miller, a Republican from Ohio. Both are members of the House Ways and Means Committee.

The Gas Tax Relief Act aims to lower the strain on residents’ wallets by temporarily suspending the federal gas tax.

If passed, this legislation would suspend the 18.4 cents per gallon federal tax on gasoline and the 24.4 cents per gallon federal tax on diesel fuel for 90 days after going into law.

Gas prices have surged since the start of the Iran war, with global oil disruptions fueling higher costs.

“Families, commuters, and small businesses across Staten Island, Brooklyn, and America feel the impact of fuel prices every day — whether it’s getting to work, bringing kids to school, making appointments, or keeping our economy moving,” said Malliotakis. “Temporarily suspending the federal gas tax is a commonsense way to provide immediate relief at the pump and put more money back in the pockets of hardworking Americans. While we continue working toward long-term energy independence, we should be using every tool available to lower costs for hardworking Americans now.”

The legislation would also give President Donald Trump the authority to extend the suspension for up to an additional 125 days if he determines that economic conditions call for such an extension. Should he find that conditions warrant the extension, he may incrementally restore the tax during the additional 125-day period.

The Gas Tax Relief Act also replenishes the Highway Trust Fund and the Leaking Underground Storage Tank Trust Fund through a transfer of money from the Treasury’s General Revenue Fund. This ensures the legislation does not negatively affect infrastructure funding and the cleanup of petroleum leaks from underground storage tanks.

As of the time of publication, the average gas price in New York was approximately $4.58 per gallon, according to GasBuddy.

“The federal gas tax was created to build the Interstate Highway System, and that project is complete. It’s time for Washington to recognize that reality and temporarily suspend the federal gas tax,” said Miller. “This legislation would provide immediate relief at the pump for hardworking Americans while giving the President flexibility to extend the suspension if economic conditions warrant it.”

A federal gas tax has been in place since 1932 and has never been paused or suspended nationwide.

When gas prices spiked in 2022 after Russia invaded Ukraine, President Joe Biden asked lawmakers to temporarily suspend the tax, but the proposal failed to gain traction in Congress.

Over the years, critics of such a move have argued the actual savings for consumers could be modest.

An effort at the state level

Assemblyman Sam Pirozzolo, a Republican who represents the Mid-Island, introduced state legislation of his own last month in an effort to offer relief at the pump on the state level.

If passed, bill A11093 would reduce the state gasoline tax when prices climb above $2.25 per gallon on a sliding scale, until prices hit $3, at which point the tax would be suspended entirely.

The legislation would also allow municipalities with 1 million residents or more to adopt local laws limiting taxes on gas. Additionally, the bill proposes directing all future gas tax funds into a dedicated state infrastructure fund to be used exclusively for state roads and bridges.