Senator Kelly Introduced Fuel Tax Relief Legislation
The proposed measure aims to lower prices by suspending federal gasoline, diesel, and aviation fuel taxes.
Updated on Oct. 1, 2026 in Inflation
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Senator Mark Kelly and Representative Chris Pappas have introduced the Consumer Fuel Prices Relief Act to provide relief to consumers. The legislation seeks to suspend federal fuel taxes through September 2027.
Why it matters
The proposal addresses consumer frustration as fuel costs remain elevated across the country. By suspending the federal tax, lawmakers intend to offer immediate financial relief at the pump.
The federal gasoline tax currently stands at 18.4 cents per gallon. Meanwhile, the average price of regular gasoline is $4.43 nationally and $4.58 in Tucson.
The players
Mark Kelly
Mark Kelly is a United States Senator from Arizona.
Chris Pappas
Chris Pappas is a United States Representative.
The details
The Consumer Fuel Prices Relief Act would pause federal taxes on gasoline, diesel, and aviation fuel while maintaining mandatory funding for the Highway Trust Fund and the Aviation and Airways Trust Fund. This effort follows public demonstrations in Tucson, where residents gathered at the intersection of Grant Road and Campbell Avenue to protest rising costs.
Timeline
Protesters gathered in Tucson on September 30, 2026.
The proposed federal fuel tax suspension would remain in effect through September 2027.
Macro View
The proposal mirrors past legislative attempts to manage consumer inflation by adjusting federal revenue streams. Historically, federal fuel tax suspensions have been debated as temporary measures to offset sudden spikes in energy costs during volatile economic cycles.
If enacted, the legislation would lower the federal tax component of gasoline and diesel costs for drivers and businesses. This change could directly reduce the price per gallon paid at the pump by the 18.4-cent tax amount.
The takeaway
This proposal highlights the ongoing legislative struggle to mitigate high energy costs through federal tax intervention. Consumers should monitor congressional proceedings to see if this relief measure gains enough momentum to become law.
Further reading
Learn more about federal efforts to manage costs in the Inflation section.
Source note: This article includes information reported by Arizona Public Media.
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Should the federal government suspend fuel taxes to lower costs for consumers?
