Bill Suspending RI Gas Tax Under Consideration As Prices Climb

RHODE ISLAND — Rhode Island lawmakers are considering suspending the gas tax until the end of 2022.

On Thursday, the House Finance Committee will discuss a bill sponsored by state Rep. James McLaughlin (D-Cumberland), which seeks to impose a moratorium on the Rhode Island gas tax until Dec. 31.

Rep. James McLaughlin, when he presented the bill last March, called recent inflation "oppressive" for residents trying to recover from the COVID-19 pandemic, and said the recent surge in gas prices has only made that worse.

"To add to that burden, the war in Ukraine has caused a chain reaction that has led to exorbitant prices at the gas pump," McLaughlin said. "This temporary moratorium on the fuel tax would go a long way to help Rhode Islanders who are struggling to make ends meet."

As of Thursday, the average price for a gallon of gas in Rhode Island was $4.23. That's a 13-cent increase from last week and $1.38 more than on May 5, 2021, according to AAA Northeast.

McLaughlin was not the first leader to call for a pause to the state's 34-cent gas tax. In March, Sec. of State Nellie Gorbea called for the measure. The Rhode Island Senate Republican Caucus also proposed a similar measure. The caucus estimates that eliminating the gas tax would save Rhode Islanders $150 million.

The House Finance Committee's discussion about the bill is set for 5 p.m., Thursday.