A legislative push to pause the fuel tax

State Representative Kathy Schmaltz introduced House Bill 5966 this week, a proposal that would temporarily suspend Michigan's state fuel tax on gasoline and diesel. The bill would take effect immediately if approved and would last until November 1 or until the national average price of gasoline falls below $3.50 a gallon, whichever comes first.

The proposal arrives as drivers across Grand Rapids and the rest of the state face elevated pump prices driven by global supply disruptions. Ongoing conflict in Iran has disrupted oil transport through the Strait of Hormuz, pushing costs higher.

"As families continue stretching every dollar to cover groceries, housing, and everyday expenses, higher gas prices are making life even harder," Schmaltz said. "People in our communities should not have to choose between filling up their tank and paying for other essentials. This plan would provide meaningful relief right away."

According to Schmaltz, Michigan drivers currently pay more than 52 cents per gallon in state fuel taxes. A driver filling a 15-gallon tank could save nearly $8 per fill-up under the proposed suspension.

The bill now moves to the House Appropriations Committee for consideration.

The governor's emergency power option

A separate question has emerged about whether Governor Gretchen Whitmer could suspend the fuel tax on her own using emergency powers.

Michigan law from 1982 grants the governor authority to declare a state of energy emergency. Under such a declaration, the governor can suspend "a statute or an order or rule from a state agency" if adhering to that law "prevents, hinders or delays necessary action in coping with the energy emergency." Emergency declarations last up to 90 days without a legislative extension. A majority of lawmakers can vote to end an emergency at any time.

Whitmer already used this power earlier in 2026. She declared a state of energy emergency related to fuel prices and issued an executive order suspending statute language that restricted fuel vapor pressure. The order aimed to increase access to cheaper fuel blends.

However, the governor has not signaled interest in using the same authority to suspend the fuel tax itself. The current motor fuel tax rate of 52.4 cents per gallon was part of a road funding deal Whitmer negotiated with lawmakers late last year. The increase in the fuel tax came in exchange for exempting motor fuel from the state's 6% sales tax. Whitmer heavily championed that compromise.

"Michiganders shouldn't have to pay more at the pump because of the federal government's decision to go to war," Whitmer spokesperson Stacey LaRouche said in a statement. "That's why the governor would support a federal gas tax holiday to give drivers some relief from these sky-high prices. While the governor can't control the war or global trade, she repealed the 6% sales tax on gas to save drivers money at the pump when gas prices fluctuate and signed an executive order to increase access to cheaper fuel blends, in addition to delivering $1 billion in tax cuts for working families."

When asked directly whether Whitmer was considering suspending the state fuel tax through emergency powers, the governor's office did not provide a specific answer. The initial statement focused instead on a potential federal gas tax holiday.

Other states already acting

Michigan is not alone in grappling with the question. Several neighboring states have already moved to suspend or relax fuel taxes.

Indiana and Kentucky have both taken steps to ease the burden on drivers. Indiana Governor Mike Braun has said the state has flexibility to extend its gas tax suspension past its June 7 expiration date, according to reporting from WTHR.

The contrast highlights a political calculation for Michigan leaders. A legislative suspension through Schmaltz's bill would require bipartisan support in the Republican-controlled House. An executive order from Whitmer would face scrutiny from lawmakers who helped negotiate the current fuel tax structure.

For Grand Rapids drivers, the outcome determines how much relief arrives before the summer travel season peaks.

What happens next

  • House Bill 5966 awaits action from the House Appropriations Committee
  • The governor's office has not ruled out emergency action but has not committed to it
  • Indiana's tax suspension expires June 7, with a decision on extension expected around that date
  • Michigan's next election is August 4, 2026, making fuel costs a potential issue for voters

The question of who gets to decide on relief. The legislature through a bill. The governor through emergency powers. Or no one at all. That decision will shape how much Michigan families pay at the pump for the rest of the summer.