Council Supports Temporary Suspension of State Gas Tax
The Council is supporting Governor Maura Healey’s proposal to temporarily suspend the state gas tax as gasoline and diesel prices continue to rise. During this week’s Council meeting, the Council adopted a resolution supporting a two-month suspension of the Commonwealth’s tax on gasoline and diesel fuel and urging the Massachusetts General Court to promptly pass the legislation.
As of September 22, 2026, the average price of gasoline in Massachusetts was approximately $4.41 per gallon, compared with $2.90 per gallon in February 2026. The average price of diesel had risen to approximately $6.40 per gallon, compared with $4.20 per gallon in February.
The resolution notes that rising fuel prices are increasing transportation costs for residents, workers, families, and businesses throughout Boston and the Commonwealth. Working-class families, small businesses, taxi and delivery drivers, truckers, and residents who rely on personal vehicles to commute to work, transport their children, attend medical appointments, and access essential services are particularly affected by rising fuel prices.
On September 22, 2026, Governor Healey announced that she would file legislation to suspend the Commonwealth’s 24-cent-per-gallon tax on gasoline and diesel fuel for two months. The proposed suspension would begin seven days after the legislation is signed into law and would require fuel retailers to reflect the tax suspension in prices paid by consumers.
According to the resolution, the Healey Administration estimates that the proposed two-month suspension would provide approximately $120 million in relief to Massachusetts residents, workers, and businesses. The proposal would replace the foregone gas tax revenue with projected, unbudgeted Fiscal Year 2027 Fair Share surtax collections, preserving transportation funding while providing temporary relief.
The Council expressed its support for the proposed two-month suspension and urged the Massachusetts General Court to pass the legislation so residents, workers, families, and businesses can receive relief from rising fuel costs while maintaining funding for roads, bridges, and public transportation.
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