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Bill

HB 850

Temporarily reduce motor fuel tax rates

136th Legislature (2025-2026) Introduced by Adam Bird and 10 co-sponsors

Temporary, emergency-based cut to Ohio motor fuel taxes for a defined multi-month period, halving certain per-gallon rates and delaying related notices.

Referred to committee
0
WeVote Research Nonpartisan
Bill Summary · HB 850

Overview

House Bill 850 (HB 850) from the 136th Ohio General Assembly proposes a temporary reduction in motor fuel taxes and declares the measure an emergency. The bill would set lower per-gallon tax rates for gasoline and other motor fuels for a defined short period and adjusts related distribution and notice provisions accordingly.

Main purpose and intent

  • Reduce motor fuel tax rates for a limited period to address rising fuel prices and provide price relief to consumers.
  • Declare the measure an emergency to take effect immediately upon enactment.

Key provisions and changes

  • Temporary reduction period
    • Defined as the period beginning on the first day of the first month after the act’s effective date and ending on the last day of the third month beginning after that date.
  • Tax rate reductions (during the temporary period)
    • Gasoline: 19.25 cents per gallon (div. E(1) of R.C. 5735.05), down from the standard rate.
    • Compressed natural gas (CNG) and all other motor fuels: 23.50 cents per gallon (div. E(2) and F of R.C. 5735.05), down from the standard rate.
  • Revenue and distribution
    • Revenue from all motor fuel tax levied under R.C. 5735.05 during the temporary period would be distributed as required by R.C. 5735.05 and 5735.051, but any specified cents-per-gallon rate or dollar amount in that distribution would be reduced by one-half.
  • Notices
    • A provision limiting the Director of Agriculture from producing and distributing fuel tax notices reflecting the temporary reduced rates during the temporary period (i.e., tax notices would not reflect the reduced rates initially).
  • Emergency status
    • Explicitly declares the act an emergency measure necessary for immediate preservation of public peace, health, and safety due to combating rising motor fuel prices.
    • Effective immediately upon filing/enactment.

Who and what is affected

  • Vehicle and fuel users in Ohio would benefit from lower per-gallon fuel taxes during the temporary period.
  • Revenue distribution mechanisms under Ohio law (R.C. 5735.05 and 5735.051) would be adjusted, with halved dollar/cent amounts in the distribution allocations for the duration of the reduction.
  • Agencies responsible for notices related to fuel taxes (notably the Director of Agriculture) would suspend issuing notices reflecting the reduced rates during the period.
  • Industry stakeholders in motor fuels (gasoline, CNG, and other motor fuels) and state departments involved in tax administration and public communication.

Procedural and timeline aspects

  • Effective date: Immediate upon enactment due to emergency declaration.
  • Temporary period length: From the first day of the first month after the act’s effective date to the last day of the third month beginning after that date (i.e., a multi-month window of reduced rates).
  • Next steps: As an introduced bill, it would require passage by both chambers and enactment by the governor to become law; timing would determine the exact start of the temporary period.

Notes

  • The bill is sponsored by multiple representatives with several co-sponsors, indicating bipartisan or broad legislative interest.
  • The exact current tax structure and rates prior to the bill are not detailed here; the summary focuses on the changes proposed within the act’s text.

Compiled from official sources — confirm details with the bill’s official record.

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