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Pause Michigan’s gas tax? Drivers could save at the pump, but roads could take a hit

State lawmakers are debating a temporary pause on Michigan's gas tax that could save drivers about 52 cents a gallon, but officials warn it may stall road projects and snow plowing.
Pause Michigan’s gas tax? Drivers could save at the pump, but roads could take a hit
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SOUTHFIELD — Gas prices have been eating into the wallets of Americans this fall. Prices typically decrease in the colder months, but with the ongoing war with Iran, gas prices are still well above $4 a gallon.

With prices so high, there has been some chatter about pausing Michigan's gas tax. Local road officials tell me there has been some talk among state lawmakers for about a month to temporarily eliminate the state gas tax. While it would bring relief to our wallets, it could hurt what your morning drive looks like.

See the full story from Traffic Anchor Ali Hoxie in the video below

Pause Michigan’s gas tax? Drivers could save at the pump, but roads could take a hit

Suspending the gas tax would save drivers around 52 cents a gallon.

It's something politicians are sparring over. Gas taxes were brought up during a recent debate between Secretary of State Jocelyn Benson and Rep. John James, who are both running to be Michigan's next governor.

"That is why I was the first person in this race to take the stage and call on my opponent, and others in Washington to end the federal gas tax, to make sure we are doing everything we can to drive down the cost, and fix the mess that my opponent and others in Washington who support this reckless war have created," Benson said.

"She's distracting from the fact that she is fighting for the gas tax like I fought for our freedom. I have actually called for the state and federal gas tax to be repealed and there is a reason that Indiana and Ohio our eating our lunch," James said.

In Indiana, the gas tax is suspended through Nov. 4. In Ohio, it's suspended through Jan. 2.

I asked drivers in Southfield if they think Michigan's gas tax should be suspended.

"Oh yeah that would help us out a lot, yeah really it would help us out a lot," Christine Brown said.

"Of course, if it is temporary yes. It would put more money into the economy, it might stimulate this depression that we are going through, or at least recession," Tom Grendon said.

But not everyone is on board — for example, the people at the Road Commission for Oakland County.

"We get about $10 million a month, about 75% of our income from the fuel taxes, if that went away and they didn't backfill it, that would impact almost everything we do," Craig Bryson, the senior communications manager for the Road Commission for Oakland County, said.

Bryson said that would mean local road projects would come to a halt and upcoming snow plowing efforts would be in jeopardy.

The idea is so concerning that the managing director for the Road Commission for Oakland County sent a letter to local lawmakers asking them not to support it.

"We just think this is not the best way to do it, this is too many long-term detrimental impacts of doing this, if the roads start to deteriorate because of this, that effects all of us as well," Bryson said.

Patrick De Haan with GasBuddy tells me the states that do suspend their gas tax will likely have to find other ways to make up for it.

"There is no silver bullet here to dodge, state gasoline taxes bring in a lot of revenue for states, and if they don't get you somewhere, they are going to make up for it somewhere else," De Haan said.

And while a little bit more money in the pocket helps, Detroiter Jayla Carr tells me more would need to be done to help her.

"That would help us a little bit, put a couple cents back in our pocket, but it needs to go down more than that," Carr said.

I did reach out to representatives for Michigan House Speaker Matt Hall. I was told that Hall would be open to sending a bill to the governor's desk, but that there are currently not enough votes in the Senate to make it happen. We will keep an eye on Lansing to see if anything changes.

This story was reported on-air by a journalist and has been converted to this platform with the assistance of AI. Our editorial team verifies all reporting on all platforms for fairness and accuracy.