By Ethan Faverino |
Congressman Abraham Hamadeh (R-AZ-08) has introduced the Military and Veterans Fuel Discount Act of 2026, a bipartisan measure designed to deliver direct financial relief to service members, veterans, and their families by providing discounts on fuel purchased at military exchange stores.
The legislation, H.R. 9027, is co-sponsored by Representatives Don Bacon (R-NE-02), Eugene Vindman (D-VA-07), Don Davis (D-NC-01), and Jimmy Panetta (D-CA-19). It authorizes the Secretary of Defense to implement a program offering discounts on motor fuel sold at exchange stores and dispensed directly into vehicles owned by eligible patrons.
“As part of my unwavering commitment to America’s military heroes and keeping my promise to improve service members’ lives, I introduced legislation authorizing a fuel discount at military exchange pumps to lower living costs for our troops, veterans, and dependents,” stated Congressman Hamadeh.
The bill would allow the Secretary of Defense to provide a base discount on gasoline and diesel fuel equal to the federal fuel tax rate, which is at least 18.4 cents per gallon for gasoline and 24.4 cents per gallon for diesel. It also authorizes supplemental discounts to help offset state and local fuel taxes when applicable.
These costs disproportionately impact military families, veterans, and retirees, who often face long commutes to bases, training facilities, work, or VA medical appointments. With inflation and rising transportation costs continuing to strain household budgets, many service members spend a significant portion of their income on fuel.
Discounts would be applied automatically at the time of sale to the maximum extent practicable. The authority for the program would terminate on September 30, 2029.
The legislation includes safeguards to prevent fraud or abuse, prohibits the resale of commercial use of discounted fuel, and requires the Secretary of Defense to submit annual reports to Congress detailing program usage, costs, gallons sold, and any implementation issues.
“Fuel is one of the few products sold by exchanges still subject to tax,” added Hamadeh. “This discount, equal to the federal fuel tax, shows profound gratitude to our nation’s heroes who have borne the heavy costs of war defending our freedoms. This common-sense step delivers real relief to our selfless service members and their families.”
Ethan Faverino is a reporter for AZ Free News. You can send him news tips using this link.
