Maryland governor says extending gas tax suspension ‘may be necessary’
Maryland’s suspension of the nearly 37-cent state gas tax is set to expire April 16. But Gov. Larry Hogan told WBAL Radio that it “may be necessary” to extend it beyond the original 30-day period approved by lawmakers.
The move to suspend the state’s gas tax came after Comptroller Peter Franchot floated the idea for a 90-day “gas tax holiday” during a meeting of the Board of Revenue Estimates earlier this month.
At the Board of Public Works meeting Wednesday, Franchot repeated his support for a 90-day suspension of the gas tax.
“Extending this holiday is just one of many ways we can provide immediate economic relief to families who are currently struggling,” he said.
Citing the projected state surplus, Franchot has said the state’s in a good position to provide the tax break, which costs the state an estimated $100 million a month in gas tax revenues.
State Treasurer Dereck Davis said the public needs to be aware that the gas tax break is a temporary measure, and that when the pause in the gas tax ends April 16, consumers would have to be prepared to pay prices “that the market dictates.”
Suspending the gas tax beyond April 16 would require legislation in Annapolis. The Maryland General Assembly session ends April 11.