Baker Backs Biden's Gas Tax Bill, House Reps Do Not

BOSTON — As President Joe Biden continues to push for gas tax suspensions on both a state and federal level, Massachusetts leaders dispute the pros and cons of dropping a few cents off the out-of-control gas prices.

The three-month federal gas tax holiday Biden proposed Wednesday would dent historically high gas prices in Massachusetts by 18.4 cents per gallon, providing some immediate relief at the pumps.

Read more: Biden's Federal Gas Tax Holiday: Would It Help Or Hurt MA?

Gov. Charlie Baker fully supports Biden's plan, saying, "Thanks to a balanced budget combined with surplus tax revenues, there is more than enough funding available to suspend the gas tax, pass our tax relief plan and invest in Massachusetts' future."

But Democrats aren't as supportive, as the House rejected a gas tax suspension back in March in an effort to pursue "real relief," but now they are saying they are opposed to a gas tax holiday because it would only benefit oil companies.

Republican Rep. Peter Durant, of Spencer, cited Russia's invasion of Ukraine and a spike in energy prices as valid reasons to suspend the gas tax, while Revenue Committee Chair Rep. Mark Cusack, of Braintree, dismissed it as a "gimmick."

Nationally, Americans were paying an average of $4.96 a gallon for gas Wednesday, according to AAA. In Massachusetts, the average price was $4.97 a gallon Thursday.

Senate President Karen Spilka and House Speaker Ronald Mariano issued a statement Wednesday in response to questions about the 24-cent-per-gallon gas tax.

"We hear from our constituents loud and clear that their dollars aren't going as far as they used to, and we believe the Legislature has a role to play in providing relief," the two stated. "But we fear that, as many economists have warned, a gas tax holiday would result in billions of dollars in profits for oil companies—and only pennies in the pockets of consumers."

"This isn't fair, and we are not interested in benefiting multinational corporations while our residents continue to feel pain at the pump," Spilka and Mariano continued.

The move could be more psychological than effective in an economy battered by the highest inflation in 40 years, saving motorists a couple of bucks every time they fill up. On average, U.S. drivers use about 600 gallons of gasoline annually; that translates to a savings of about $10 a month.

Put another way, the federal gas tax is only about 3 percent of the nearly $5 Americans are paying for a gallon of gas.