The proposals follow President Donald Trump’s public support this week for temporarily suspending the gas tax as motorists face sharply higher fuel costs.

Sen. Josh Hawley, R-Mo., introduced legislation May 11 that would suspend federal gasoline and diesel taxes for 90 days, with the president authorized to extend the suspension for another 90 days. Hawley said the proposal would provide “immediate relief” to consumers facing higher fuel costs.

Separate Democratic legislation introduced earlier this spring by Sens. Mark Kelly, D-Ariz., and Richard Blumenthal, D-Conn., along with House companion legislation introduced by Reps. Chris Pappas, D-N.H., and Kim Schrier, D-Wash., would suspend the 18.4-cent-per-gallon federal gasoline tax through Oct. 1 while transferring general fund dollars to the Highway Trust Fund to offset lost revenue.

Rep. Jeff Van Drew, R-N.J., has separately proposed legislation that would suspend federal fuel taxes on gasoline, diesel, kerosene and aviation gasoline for 18 months before gradually phasing the taxes back in. 

Rep. Anna Paulina Luna, R-Fla., also said she plans to introduce legislation aligned with Trump’s call for a temporary gas-tax suspension.

Highway Trust Fund Pressure Builds

The American Society of Civil Engineers said May 12 it “strongly opposes” proposals to suspend the federal gasoline tax, arguing the move would undermine transportation investment while offering no guarantee consumers would see meaningful savings at the pump.

“Suspending the gas tax would result in the loss of billions in revenue from the Highway Trust Fund, significantly diminishing much of the progress made in recent years to improve our nation’s vital infrastructure systems,” ASCE President Marsha Anderson Bomar said in a statement.

ASCE said the gas tax has already lost significant purchasing power because it has not been raised in more than three decades, despite escalating infrastructure maintenance and capital costs. The organization also warned that suspending the tax would establish “a dangerous precedent” during periods of fuel-price volatility.

Transportation construction groups are raising similar concerns. In a May 11 statement, the American Road & Transportation Builders Association said it has “long opposed federal gas tax suspensions due to their adverse impact on transportation investment and the fact they do not achieve the stated goal of reducing fuel prices.”

ARTBA and its Transportation Construction Coalition allies also urged Congress to focus instead on “a robust reauthorization of the federal highway and transit programs” rather than temporary fuel-tax suspensions.

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A Stagnated Funding Mechanism

The federal gasoline tax, unchanged since 1993, is one of the primary revenue sources for the Highway Trust Fund, which finances federal highway and transit programs. The federal diesel tax, currently 24.4 cents per gallon, is especially important to freight transportation and heavy construction activity tied to federally funded infrastructure work.

Transportation agencies and contractors are closely watching the debate because federal highway formula funding remains a primary driver of state transportation capital programs.

The Highway Trust Fund already has required repeated transfers from the federal general fund as fuel-tax revenues have failed to keep pace with transportation obligations. 

Current surface transportation authorization under the Infrastructure Investment and Jobs Act expires Sept. 30, intensifying concerns about the long-term stability of federal transportation funding.

The House Transportation and Infrastructure Committee had originally targeted April 29 for markup of surface transportation reauthorization legislation, but the schedule slipped into May, and no full bill text has yet been released.

While some Democratic proposals would backfill the Highway Trust Fund through general fund transfers, infrastructure groups warned the approach would still increase pressure on federal finances and weaken long-term transportation funding stability.

The Bipartisan Policy Center estimated April 28 that a five-month suspension of federal gas and diesel taxes would reduce Highway Trust Fund revenue by about $17 billion, or roughly 46% of projected fiscal 2026 fuel-tax receipts before accounting for replacement funding or other fiscal offsets.

The debate also comes as transportation agencies assess what portions of IIJA-era funding Congress may continue after Sept. 30. A recent ENR analysis found that some supplemental transportation appropriations written directly into the 2021-enaxted law—including portions of the Bridge Formula Program—could expire absent new congressional action.

ASCE urged Congress instead to pursue a long-term surface transportation reauthorization package with stable funding mechanisms able ro support future infrastructure investment.

“Strong transportation networks improve economic growth, save families money, and secure public safety,” Bomar said, “which is far more impactful to Americans than minimal potential savings at the pump.”