Gas prices in Massachusetts shot past the $4 a gallon mark in early March, rose to $4.35 a gallon about a week later and ticked lower to rest at a per-gallon average of $4.18 to start this week.
The trend of higher prices is causing supporters of gas tax relief, a concept that’s been cast aside on Beacon Hill, to resurface the idea. On Tuesday, the Massachusetts Fiscal Alliance pointed to Connecticut’s decision to temporarily suspend its gas tax and reports that New Hampshire is pursuing a gas tax holiday option.
Fiscal alliance spokesman Paul Craney suggested Massachusetts lawmakers revisit gas tax relief during the House budget debate later this month. Opponents of temporary gas tax relief have raised concerns about impacts on the state’s bond rating and whether relief will even reach customers in the face of upward pressure on prices.
“These prices are clearly not going away any time soon,” Craney said. “Governor Baker has indicated he’s not opposed to the idea … With two neighboring states taking action, we will only hurt the gas station owners and consumers in our own state if our legislators don’t do the same.”
Gov. Charlie Baker did not include gas tax relief in a package of $700 million in tax breaks that he’s pushing in this year’s budget talks. House leaders have expressed an openness toward some tax relief but have not laid out a plan. If House leaders offer tax relief plans in the budget, it would also open that bill up to other tax measures.
