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HB 6258

Transportation: motor fuel tax; motor fuel tax; increase. Amends sec. 8 of 2000 PA 403 (MCL 207.1008).

2023-2024 Regular Session Introduced by Alabas Farhat and 1 co-sponsor

HB 6258: Transportation - Motor Fuel Tax Increase OverviewBill Number: HB 6258 Title: Transportation: motor fuel tax; motor fuel tax; increase. Amends sec. 8 of 2000 PA 403 (MCL 2

bill electronically reproduced 12/05/2024
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Bill Summary · HB 6258

HB 6258: Transportation - Motor Fuel Tax Increase

Overview

Bill Number: HB 6258
Title: Transportation: motor fuel tax; motor fuel tax; increase. Amends sec. 8 of 2000 PA 403 (MCL 207.1008).
Status: Bill electronically reproduced 12/05/2024
Introduced: January 23, 2025

Purpose and Intent

The primary goal of HB 6258 is to increase the state's motor fuel tax in order to generate additional revenue for transportation infrastructure improvements and maintenance. The bill's sponsors argue that the current motor fuel tax rate is insufficient to keep up with rising construction costs and the growing need for road, bridge, and transit system upgrades across the state.

Key Provisions

  • Increases the state motor fuel tax rate from the current $0.26 per gallon to $0.35 per gallon for both gasoline and diesel fuel
  • Indexes the motor fuel tax rate to inflation, allowing it to automatically adjust each year based on the consumer price index
  • Dedicates the additional revenue generated from the tax increase to the state's Transportation Fund, which is used to finance road, bridge, and public transit projects

Affected Parties and Impacts

  • Drivers and vehicle owners in the state will pay higher prices at the pump due to the increased motor fuel tax
  • The state Department of Transportation and local transportation agencies will receive more funding for infrastructure projects, potentially accelerating the pace of road and bridge repairs
  • Businesses that rely on trucking and other forms of ground transportation may see increased operating costs passed on to consumers

Procedural and Timeline Considerations

HB 6258 was introduced in the state legislature on January 23, 2025 and is currently in the committee review process. If passed by both the House and Senate, the bill would go to the governor for signature. The motor fuel tax increase would take effect 90 days after the bill is signed into law, with the first inflation-adjusted rate change occurring one year later.

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

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