Bill Overview
Title: Gas Prices Relief Act of 2022
Description: This bill provides for a temporary exemption through 2022 from the excise tax on gasoline (other than aviation gasoline) and from the Leaking Underground Storage Tank Trust Fund financing rate. The Department of the Treasury must transfer from the general fund to the Highway Trust Fund and the Leaking Underground Storage Tank Trust Fund amounts resulting from the exemption provided by this bill. The bill also expresses congressional policy that consumers immediately receive the benefit of this exemption.
Sponsors: Sen. Kelly, Mark [D-AZ]
Target Audience
Population: Individuals who use gasoline
Estimated Size: 200000000
- The bill aims to temporarily exempt the excise tax on gasoline, affecting gasoline prices directly.
- All individuals who use gasoline for personal, commercial, or industrial purposes would potentially benefit from reduced prices.
- There are approximately 1.4 billion motor vehicles in operation globally, with a significant portion running on gasoline.
Reasoning
- The Gas Prices Relief Act of 2022 seeks to lower gasoline prices by removing an excise tax temporarily. The primary beneficiaries are expected to be individuals and businesses that rely heavily on gasoline.
- Consideration for geographic diversity is important, as gasoline prices and reliance vary across regions in the US.
- Economic diversity is also necessary since lower income individuals and families typically spend a higher percentage of their income on transportation.
- Not everyone will see a high impact on their well-being since other factors influence overall life satisfaction.
- Given the broad impact across approximately 200 million users, effects will vary from high in rural areas with limited public transport, to none in urban environments where public transport is widely used.
Simulated Interviews
Farm Owner (Rural Texas)
Age: 35 | Gender: female
Wellbeing Before Policy: 6
Duration of Impact: 1.0 years
Commonness: 3/20
Statement of Opinion:
- I spend a lot on gas for my farm equipment. Even a little relief from gas prices would help my overall expenses.
- This policy seems focused on immediate relief, which is good because we feel the pinch at the pump continuously.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 6 |
| Year 2 | 6 | 5 |
| Year 3 | 6 | 5 |
| Year 5 | 6 | 5 |
| Year 10 | 5 | 4 |
| Year 20 | 5 | 4 |
Software Engineer (New York City, New York)
Age: 24 | Gender: male
Wellbeing Before Policy: 8
Duration of Impact: 0.0 years
Commonness: 5/20
Statement of Opinion:
- I rarely use my car, so this policy doesn't affect me much.
- I support anything that lowers costs for others, but this won't change my life.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 8 | 8 |
| Year 2 | 8 | 8 |
| Year 3 | 8 | 8 |
| Year 5 | 8 | 8 |
| Year 10 | 8 | 8 |
| Year 20 | 8 | 8 |
Delivery Driver (Suburban Ohio)
Age: 55 | Gender: male
Wellbeing Before Policy: 5
Duration of Impact: 1.0 years
Commonness: 4/20
Statement of Opinion:
- Gas savings will directly increase my disposable income, which is huge in this economy.
- The relief is welcome but I worry about consistency beyond 2022.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 5 |
| Year 2 | 5 | 5 |
| Year 3 | 5 | 5 |
| Year 5 | 5 | 4 |
| Year 10 | 5 | 4 |
| Year 20 | 5 | 4 |
Nurse (Los Angeles, California)
Age: 42 | Gender: female
Wellbeing Before Policy: 6
Duration of Impact: 1.0 years
Commonness: 6/20
Statement of Opinion:
- With gas prices as they are, this tax relief will help me save a little more each month.
- I'm glad Congress recognizes the burden of gas prices on people like me.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 6 |
| Year 2 | 6 | 5 |
| Year 3 | 6 | 5 |
| Year 5 | 6 | 5 |
| Year 10 | 6 | 5 |
| Year 20 | 5 | 5 |
Retired (Florida)
Age: 60 | Gender: male
Wellbeing Before Policy: 7
Duration of Impact: 1.0 years
Commonness: 5/20
Statement of Opinion:
- Every dollar counts when you're retired, so I appreciate any relief.
- Gas is a daily need, so this policy was much needed.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 7 |
| Year 2 | 7 | 6 |
| Year 3 | 7 | 6 |
| Year 5 | 7 | 6 |
| Year 10 | 7 | 6 |
| Year 20 | 6 | 5 |
Freelance Artist (Portland, Oregon)
Age: 29 | Gender: other
Wellbeing Before Policy: 7
Duration of Impact: 0.0 years
Commonness: 3/20
Statement of Opinion:
- I don't buy much gasoline, so this change doesn't impact me.
- It's good to see efforts to reduce costs for others.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 7 |
| Year 2 | 7 | 7 |
| Year 3 | 7 | 7 |
| Year 5 | 7 | 7 |
| Year 10 | 7 | 7 |
| Year 20 | 7 | 7 |
Single Parent (Chicago, Illinois)
Age: 50 | Gender: female
Wellbeing Before Policy: 5
Duration of Impact: 1.0 years
Commonness: 6/20
Statement of Opinion:
- Even slight savings on gas make a difference managing other expenses.
- I hope this relief continues or becomes more permanent.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 5 |
| Year 2 | 5 | 4 |
| Year 3 | 5 | 4 |
| Year 5 | 5 | 4 |
| Year 10 | 5 | 4 |
| Year 20 | 5 | 4 |
Construction Worker (Phoenix, Arizona)
Age: 39 | Gender: male
Wellbeing Before Policy: 6
Duration of Impact: 1.0 years
Commonness: 4/20
Statement of Opinion:
- The policy directly impacts me positively as I spend a lot on fuel.
- Any savings help, but permanent changes are what would make a real difference.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 6 |
| Year 2 | 6 | 5 |
| Year 3 | 6 | 5 |
| Year 5 | 6 | 5 |
| Year 10 | 6 | 5 |
| Year 20 | 6 | 5 |
Environmental Policy Analyst (Washington D.C.)
Age: 30 | Gender: female
Wellbeing Before Policy: 8
Duration of Impact: 1.0 years
Commonness: 4/20
Statement of Opinion:
- Lower gas prices might slow down the transition to renewable energy policies.
- I'm aware of the benefits, but I see minimal personal impact.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 8 | 8 |
| Year 2 | 8 | 8 |
| Year 3 | 7 | 7 |
| Year 5 | 7 | 7 |
| Year 10 | 7 | 7 |
| Year 20 | 7 | 7 |
Manager at a small logistics company (Denver, Colorado)
Age: 48 | Gender: male
Wellbeing Before Policy: 6
Duration of Impact: 1.0 years
Commonness: 2/20
Statement of Opinion:
- This policy would alleviate some financial pressure on our logistics fleet expenses.
- Any reduction in fuel costs helps save money within the business.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 6 |
| Year 2 | 6 | 5 |
| Year 3 | 6 | 5 |
| Year 5 | 6 | 5 |
| Year 10 | 6 | 5 |
| Year 20 | 5 | 5 |
Cost Estimates
Year 1: $20000000000 (Low: $18000000000, High: $22000000000)
Year 2: $0 (Low: $0, High: $0)
Year 3: $0 (Low: $0, High: $0)
Year 5: $0 (Low: $0, High: $0)
Year 10: $0 (Low: $0, High: $0)
Year 100: $0 (Low: $0, High: $0)
Key Considerations
- The temporary suspension of the excise tax aims to provide immediate relief on gasoline prices, a politically sensitive area due to fuel costs affecting household budgets and broader economic inflation.
- Transferring funds from the general fund to cover the shortfall in the Highway Trust Fund requires reallocation of federal resources, which may impact other spending priorities.