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Gov. DeSantis' proposed $1B state "gas-tax holiday" wouldn't move dollars away from transportation projects

Gas Station Pump With Car
Corey Frey
/
stock.adobe.com
Gov. Ron DeSantis says a state gas-tax holiday would save consumers at the pump without taking away funding for transportation projects.

Gov. Ron DeSantis wants lawmakers to spend $1 billion in surplus revenue next year to give Floridians a six-month break from paying state gas taxes.

DeSantis says the proposal won’t take away funding for transportation projects.

Florida Transportation Builders Association President Ananth Prasad says the group is thankful that the proposal wouldn't cut funding to the state Department of Transportation.

“If the governor did not backfill that suspension of the gas tax, which amounts to about a billion dollars, that’s going to be a huge impact to the state’s ability to deliver projects," Prasad said. "A billion-dollar impact to DOT is much more significant than just a billion dollars. A dollar results in a dollar fifty to two dollars worth of projects.”

Prasad says pausing the collection of about 27 cents per gallon of gas wouldn't address the supply and demand issues driving up prices at the pump, but it would likely offer residents some relief.

DeSantis says it would save the average family about $200.