by WILL FOLKS
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North Carolina lawmakers have approved – and governor Josh Stein appears poised to sign into law – a bipartisan suspension of the state’s 41-cent per gallon gas tax. The measure passed the state’s House of Representatives by a 111-1 vote and cleared the Senate unanimously, 41-0.
“Everyone has been hearing from people across the state about high gas prices and about the difficulties that they’re having – whether they are families trying to get their kids to school to buy groceries, or small business people trying to do their deliveries or make sure their supplies are available, or larger delivery efforts that involve large trucks,” Senate president Phil Berger said this week.
The average price per gallon for regular unleaded in the Tar Heel State is currently $4.116 – up 42.37% from a year ago, according to AAA. Diesel is currently $5.991 – up 71.94% from a year ago.
Assuming Stein signs the legislation (H.B. 3) on Friday, as expected, motorists in the Tar Heel State could see approximately $362 million in savings at the pump prior to the suspension expiring on November 30, 2026.
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Late last month, Georgia governor Brian Kemp took executive action to suspend the state’s 33.3-cent gas tax (and 37.3-cent diesel tax) through October 29, 2026, saying “hardworking Georgians” and Peach State small businesses deserved “further relief” at the pump.
Kemp previously suspend the gas tax in the spring, saving Georgians an estimated $400 million in fuel costs.
While North Carolina and Georgia are providing their citizens with relief, South Carolina leaders have steadfastly declined to do so. As we reported last month, S.C. governor Henry McMaster has consistently opposed proposals that would temporarily suspend the Palmetto State’s 28.85-cent fuel levy.
McMaster’s opposition came mere weeks after he signed a $378 million pork barrel spending bill – and used his veto pen to restore a $150 million crony capitalist bailout to the state’s $42.7 billion budget. That record-setting spending plan grew government by $3.6 billion over the previous fiscal year – an increase of more than 9%.
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RELATED | McMASTER REFUSES TO ACT ON GAS TAX RELIEF
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McMaster hasn’t been the only “Republican” blocking tax relief in the Palmetto State. S.C. speaker of the House Murrell Smith – and House ways and means chairman Bruce Bannister – resisted efforts by the S.C. Freedom Caucus to advance a gas tax suspension out of the supermajority GOP-controlled chamber earlier this year.
They literally wouldn’t allow it to even come up for a vote…
Freedom Caucus chairman Jordan Pace has since proposed targeted tax rebates totaling more than $500 million to offset South Carolinians’ pain at the pump – but “Republican” leaders have refused to act on that proposal, either.
In the meantime, fuel costs in the Palmetto State have surged. The average price for a gallon of unleaded is currently $4.074 – up 44.16% from last year, per AAA. Diesel is $5.809 – up 71.05% from the same time a year ago.
S.C. attorney general Alan Wilson – the GOP nominee for governor of South Carolina – has been calling for the state to suspend the gas tax since March. Last month, he proposed allowing future governors to suspend the levy for up to 120 days during periods of peak price increases.
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RELATED | ‘WE CAN LOWER COSTS‘
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“I still believe the General Assembly should suspend South Carolina’s gas tax,” Wilson said this week. “I first called for this back in March, and my position hasn’t changed. Both of our neighbors, Georgia and North Carolina, are moving forward with gas tax relief. South Carolina families deserve relief too.”
According to Wilson, the state’s reserve funds could cover the temporary tax cut.
“We have a rainy day fund, and right now, it’s pouring,” he said. “We can use reserve funds to backfill the lost gas tax revenue so we can provide immediate relief at the pump without taking money away from our roads and infrastructure.”
As our media outlet has frequently pointed out, South Carolinians have historically suffered more at the pump than their national peers due to the state’s chronically low income levels – which force citizens to spend a higher share of what they earn on fuel costs. According to an analysis conducted last fall by FinanceBuzz, South Carolinians spent 2.82% of their income at the gas pump – well above the national average of 2.28%.
Count on FITSNews to keep tabs on this developing debate… and the ongoing failure of the so-called “conservative” GOP supermajority in South Carolina to provide relief to its citizens.
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ABOUT THE AUTHOR…
Will Folks is the founding editor of the news outlet you are currently reading. Prior to founding FITSNews, he served as press secretary to the governor of South Carolina. He lives in the Midlands region of the state with his wife and eight children.
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