GOP Lawmakers Advance Broad Package To Lower Gas Prices And Protect Ratepayers

GOP Lawmakers Advance Broad Package To Lower Gas Prices And Protect Ratepayers

By Ethan Faverino |

Arizona House Republicans on the Natural Resources, Energy, and Water Committee have taken action to address skyrocketing gas prices and utility bills, passing a sweeping package of bills designed to lower fuel costs, enhance energy reliability, and defend ratepayers.

Under the leadership of Chairman Gail Griffin (R-LD19), the measures align with the House Republican Majority Plan’s core priorities of unleashing economic prosperity, promoting government efficiency, and protecting individual rights and liberties.

The legislation, which advanced on a party-line vote with Democrats in opposition, targets the challenges faced by Arizona families, particularly in Maricopa and Pinal Counties, where severe summer fuel blend requirements have driven up prices at the pump. By prioritizing affordability and reliable power, these bills aim to ease the financial burden on households amid rising energy demand.

“The cost of living for Arizona families, including gas and electricity, continues to increase, and Republicans are acting,” stated Chairman Griffin. “This package puts affordability first by lowering fuel costs, protecting ratepayers from higher utility bills, and making sure Arizona has dependable power as demand grows. The Majority Plan is clear: government should work to ease the cost burden on families, not make them worse.”

Bills Tackling High Gas Prices

  • HB 2145 (Rep. Griffin): Amends motor fuel statutes to empower the President of the Senate and Speaker of the House to jointly request EPA fuel waivers during shortages if the Governor does not act, providing a defense against price surges.
  • HB 2400 (Reps. Willoughby, R-LD13, and Biasiucci, R-LD30): Implements a seasonal suspension of the state’s 18-cent gas tax from May through September in Maricopa and Pinal Counties. The bill ensures local governments are reimbursed for lost highway revenue through allocations from the Arizona Highway User Revenue Fund, including $27.588 million to counties, $39.93 million to cities and towns, and $5.082 million to larger municipalities. It also includes an emergency clause for immediate implementation and exempts the Department of Transportation from rulemaking for one year.
  • HB 2696 (Rep. Willoughby): Directs the Arizona Commerce Authority to prioritize reducing fuel and gas prices as its primary objective for two years, expiring December 31, 2029. The authority must collaborate with the oil and gas industry to study repealing the cleaner-burning gasoline blend, building new pipelines, establishing a strategic reserve, and exploring in-state refineries, including reviving a proposed facility in Yuma County. Status updates will be provided to legislative committees, with a final report due by October 1, 2026.
  • HB 2955 (Rep. Willoughby): Amends motor fuel standards to end the expensive summer fuel blend in populous counties, subject to EPA waiver under the Clean Air Act. It allows for gasoline compliant with ASTM D4814 and vapor pressure limits, addressing supply shortages and enabling lower-cost alternatives.
  • HCM 2008 (Rep. Willoughby): A concurrent memorial urging Congress and the EPA to eliminate the federal gas tax on Arizona’s cleaner-burning gasoline in Maricopa and Pinal Counties from May to September or grant the EPA administrator emergency waiver authority for costlier blends. This recognizes Arizona’s progress toward National Ambient Air Quality Standards while highlighting the undue tax burden on specialized fuels.

Supporting these efforts are additional bills to promote long-term solutions:

  • HB 2014 (Rep. Fink, R-LD27): Requires the Department of Environmental Quality (ADEQ) and Arizona Department of Agriculture to conduct air emissions modeling and feasibility studies on alternative gasoline blends, including federal reformulated, California phase 3, and conventional options. Reports must be published by September 30, 2027, with $100,000 appropriations each for modeling and studies.
  • HB 2401 (Willoughby and Biasiucci): Mandates biennial reviews by ADEQ of fuel formulations available under federal standards, assessing air quality impacts in regulated areas, and submitting recommendations to the Department of Agriculture, the Governor, the President of the Senate, the Speaker of the House, and the Secretary of State by December 31 of each review year.
  • HB 2428 (Griffin): Authorizes voluntary mobile emissions reduction credit programs, permitting emissions credits for nonroad engines under Clean Air Act guidelines, with permits issued by ADEQ for up to 20 years, supported by chambers of commerce, utilities, and Maricopa County.

“Today we heard from organizations with the time and resources to lobby against affordable prices for Arizona families, but not from the families paying more at the pump,” explained Majority Whip Julie Willoughby. “Working families cannot take time off to come to the Capitol and ask for relief; that is why we are here to help be their voices.”

“Eighteen cents a gallon may sound small to some, but it matters to families trying to make ends meet,” Willoughby added. “I will do everything in my power to deliver relief now while we continue working to fix the fuel blend and supply problems. Families need lower prices, not excuses.”

Bills Ensuring Energy Reliability and Ratepayer Protections

  • HB 2331 (Reps. Marshall, R-LD7 and Heap, R-LD10): Renames and expands energy reliability statutes to require public power entities and service corporations to prioritize domestically produced fuels, minimize foreign reliance, and evaluate resources for affordability, reliability, and cleanliness. Defines “clean energy” to include low-emission sources like nuclear and natural gas, with reliable sources needing at least 50% capacity factor and rapid ramp-up capabilities. The bill emphasizes hydrocarbons and finds domestic sourcing essential for public health and safety.
  • HB 2756 (Reps. Griffin and Blackman, R-LD7): Adds provisions for public power entities and electric corporations to report quarterly on new extra-high load factor customers, including interconnection requests and completions. These customers must be factored into load growth projections. The Arizona Corporation Commission (ACC) is directed to adopt rules on contracts, minimum billing, and pre-execution reviews to protect other ratepayers, excluding member-owned cooperatives. Requires cost-of-service studies within 180 days and an ACC workshop within 90 days to assess impacts on residential bills and potential new customer classes.

These bills now advance for further legislative consideration.

Ethan Faverino is a reporter for AZ Free News. You can send him news tips using this link.

GOP Lawmakers Advance Broad Package To Lower Gas Prices And Protect Ratepayers

Rep. Willoughby Proposes Summer Gas Tax Suspension In Maricopa, Pinal Counties

By Matthew Holloway |

Arizona House Majority Whip Julie Willoughby (R-LD13) has introduced legislation to temporarily suspend the state gasoline tax in Maricopa and Pinal counties during the summer months, citing higher fuel costs tied to air-quality regulations.

According to a release from the Arizona House Republican Caucus, Willoughby’s House Bill 2400 would suspend the state’s 18-cent-per-gallon gas tax on the special Cleaner Burning Gasoline blend required in Maricopa and Pinal counties from May through September.

“Because of federal requirements, families in Maricopa and Pinal counties are forced to pay more at the pump than the rest of Arizona,” Willoughby said in a statement. “During the summer, these counties can only sell Cleaner Burning Gasoline—a boutique fuel blend refined in limited quantities, primarily in California. That limited supply drives up costs, and Arizona drivers pay the price.”

“In 2023, Phoenix drivers paid higher gas prices than Los Angeles,” she continued. “As California refineries shut down, supply constraints will increase—pushing prices higher at a time when families are struggling with rising costs. Arizona now ranks as the sixth most expensive state in the nation for gas.”

Because of the added production and transportation costs, drivers in Maricopa and Pinal counties often pay more for gasoline than motorists elsewhere in Arizona, according to the House GOP. The release cited comparisons showing Phoenix-area gas prices exceeding those in Los Angeles during parts of 2023.

Willoughby said lawmakers have previously worked with federal officials to explore lower-cost fuel alternatives, but federal environmental requirements have limited available options. Her proposal includes a provision to backfill lost revenue to the Highway User Revenue Fund, which supports transportation infrastructure and is shared by state and local governments.

“Republicans are focused on affordability,” Willoughby said. “Our Majority Plan is about upholding the American Dream and making sure the cost of living doesn’t keep climbing out of reach for working families.”

In addition to the state tax suspension, Willoughby is advancing House Concurrent Memorial 2008, which urges Congress to suspend the federal gas tax on Cleaner Burning Gasoline during the same May-to-September period.

Matthew Holloway is a senior reporter for AZ Free News. Follow him on X for his latest stories, or email tips to Matthew@azfreenews.com.

Hobbs Skips Debates And Skips Explaining Her History Supporting Higher Taxes

Hobbs Skips Debates And Skips Explaining Her History Supporting Higher Taxes

By Terri Jo Neff |

Katie Hobbs has her reasons for refusing to debate Kari Lake face-to-face in the race for Arizona Governor. But by doing so Hobbs is limiting the opportunities for Arizonans to hear her explain her history of supporting higher taxes while a member of the state legislature.

Hobbs, a Democrat currently serving as Arizona Secretary of State, has spent the last few weeks touting her promise to not raise taxes if elected. In fact, she is even promising to reduce taxes for many Arizonans even though it is doubtful that Democrats will control the legislature.

So with Hobbs making herself scarce for public questioning, voters are left to scrutinize her legislative history. And what can be found there casts doubt on her tax cut mantra.

Hobbs served in the Arizona State Senate from 2013 to 2019 and was Senate Minority Leader during much of that time. She also served one term as a member of the Arizona House of Representatives prior to the Senate.

In January 2018, Hobbs co-sponsored Senate Bill 1316 along with progressive Democratic Senators Juan Mendez, Jamescita Peshlakai, and Martin Quezada to eliminate the light class motor vehicle classification from Arizona’s fuel tax statutes.

But more importantly, SB1316 proposed to double the state’s per gallon motor fuel tax from 18 cents to 36 cents. The bill, which would have been one of Arizona’s largest tax hikes in state history, was so unpopular it was never heard by a Senate committee.

SB1316 is not the only time in Hobbs’ legislative history that she supported tax increases. In 2017, she was a fervent proponent of a sales tax increase that would have cost taxpayers between $500 and $600 million a year.

Also in 2018, Hobbs voted to impose an additional annual tax due when registering a vehicle. The new tax, set at $32 per vehicle, was so unpopular it was repealed by the legislature.

And back in 2015, Hobbs opposed critical legislation which was introduced to protect Arizonans from the effect of inflation on personal income tax brackets. The bill was eventually signed into law by Gov. Doug Ducey.

Hobbs’ legislative history on the subject of taxes is one reason organizations such as the Arizona Free Enterprise Club are encouraging voters to look at facts, not campaign speeches when it comes to Hobbs’ promise of tax cuts.

“Anyone who has followed Hobbs’ political career knows that this is just another outrageous lie,” AFEC posted Wednesday. “During her time in the state legislature, Katie Hobbs regularly opposed tax cuts for families while making it a habit to support multiple tax hikes….Hobbs has spent her political career trying to squeeze every possible dollar from your bank account.”

Hobbs Skips Debates And Skips Explaining Her History Supporting Higher Taxes

A Gas Tax Holiday Is a Gimmicky Talking Point with No Real Long-Term Benefit

By the Arizona Free Enterprise Club |

With Bidenflation guzzling through the pockets of all Americans, especially at the gas station, we have heard more and more politicians promoting the idea of a gas tax holiday. Regardless of how popular the idea has become or how good it sounds among Republicans and Democrats alike, it’s still nothing more than a gimmick and talking point for campaigns.

A tax holiday isn’t a new idea. Several states have permanent sales tax holidays, commonly occurring for a week or two each year around the time kids return to school and parents are busy shopping for clothes and classroom items. But these permanent recurring tax holidays don’t accomplish what they seek to accomplish.

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Sen. Petersen Proposes Suspension, End Of 3 Consumer Taxes For Immediate Relief For Arizonans

Sen. Petersen Proposes Suspension, End Of 3 Consumer Taxes For Immediate Relief For Arizonans

By Terri Jo Neff |

Three consumer taxes should be immediately suspended to help Arizonans deal with post-pandemic inflation, and two of those taxes should be abolished altogether, State Sen. Warren Petersen argues.

On Tuesday, Petersen (R-LD12) called for a temporary halt to Arizona’s 19 cents per gallon gasoline tax. He also wants to see the food tax and the residential rental tax not only suspended, but also eventually abolished.

Petersen doubled down on his proposal Wednesday, telling KFYI’s James T. Harris there is “no reason” his proposal cannot be implemented in light of Arizona’s more than $1 billion budget surplus.  Especially with a Republican-controlled Legislature and a Republican governor.

“People are absolutely reeling from inflation right now but we have state and local governments that have more cash than they’ve ever had before,” Petersen said, adding that his proposal would bring “immediate relief to some of the people that need it the most.” 

Suspending the gas tax until the end of 2022 would help Arizonans at the pump, Peterson explained. He added that the move could bring even further relief for consumers due to high gas prices being integrated into the cost of everything else people buy.

The state’s huge budget surplus is more than enough to supplant the $300-$350 million in gas tax revenues needed to fund transportation projects across the state, Petersen said.  

While a gas tax holiday would be temporary, Petersen is calling on his fellow lawmakers to support a permanent end to the food tax in Arizona.

“That just hurts the poor more than anybody, and only some cities charge it,” Petersen told Harris.

As to his third suggestion of the abolishment of residential rental taxes, Petersen questioned why a special consumer tax is charged of those living in a rental unit.

“Nobody should charge this,” he argued. “People don’t pay a tax every single time they pay their mortgage, but yet tenants every single time they pay their rent they pay a tax on their rent.”

Petersen believes the time is right for Gov. Doug Ducey to call a special session so that lawmakers can provide immediate relief through the huge budget surplus.

“Let’s give it back to the taxpayers,” he said.  

LISTEN TO SEN. PETERSEN HERE