Here’s what could happen if NC lawmakers pause the gas tax in a special session

Suspending state gas taxes in North Carolina could lead to delays in roadwork, according to a leading economist. 

House Speaker Destin Hall, R-Caldwell and Senate Leader Phil Berger, R-Rockingham, announced over the weekend they plan to call lawmakers back to Raleigh for a special session on reducing gas prices. Both chambers will meet on Wednesday, according to legislative calendars released Monday evening. 

At 41 cents per gallon, North Carolina has one of the highest gas taxes in the country. That revenue goes towards building, repairing, and maintaining roads. Lawmakers could suspend or repeal part or all of it.

NC State economist and professor emeritus Mike Walden said drivers can expect to see a “noticeable decline” in what they’re paying at the pump if lawmakers decide to suspend the tax. 

“But the state gas tax is a major source of funding for road repair, road expansion, and other road improvements,” Walden said. “Much of this work would stop during the tax suspension.”  

Some of these projects could include construction on the I-26 connector in Asheville and widening I-40 around the Triangle, according to the North Carolina Department of Transportation website. NCDOT did not immediately respond to NC Newsline’s request for comment. 

Walden thinks drivers would be willing to accept a temporary slowdown in roadwork for lower gas prices. 

“My expectation is the legislature would suspend the tax for a limited period of time, and then re-impose it so road spending can continue,” Walden said. 

Some Republican state lawmakers have suggested that they could offset the lost tax revenue with funding from state reserves. 

“We have some surplus revenue,” Rep. Grant Campbell, R-Cabarrus, said in a post on social media Monday. “This is going to give us the opportunity to temporarily suspend the gas tax.”

The action comes as North Carolina polls show declining approval numbers for President Donald Trump and Republicans down the ballot. National GOP groups are pulling spending from U.S. Senate Michael Whatley’s campaign, opting to focus on other states instead. 

NC legislative leaders call for special session on high gas, diesel prices

At a campaign stop in Nebraska on Monday, Trump is expected to announce an executive order aimed at lowering gas prices, according to Politico. 

Georgia Gov. Brian Kemp declared a state of emergency last week, suspending the state’s motor fuel excise tax for 30 days. On Wednesday, Ohio lawmakers approved a 90-day gas tax holiday, following urging by GOP gubernatorial candidate Vivek Ramaswamy. And in Indiana, Gov. Mike Braun recently renewed the state’s gas suspension for another 30 days, set to expire right after the general election. 

Democrats say it’s a political move.

“We’re glad to see legislative Republicans finally acknowledge that the Trump administration’s war of choice in Iran and tariffs have led to sky-high fuel prices for North Carolina families and farmers,” said a spokesperson for Gov. Josh Stein in a statement Monday. “If they’re serious about lowering costs long after the campaign ads stop, let’s also get to work on the Governor’s Working Families Tax Cut and heed his calls to protect our electricity bills from data centers’ massive energy consumption.”

Senate Democratic Leader Sydney Batch, D-Wake, criticized GOP leadership for calling a last-minute session rather than addressing affordability earlier. She pointed out that the House and Senate met just last week for an administrative session that was already on the schedule.

“This is the exact same pattern, from the same failed, weak leadership that took three years to produce one state budget,” Batch said in a statement. “Session after session, we’ve seen that when it comes to protecting their own power, Republicans will move with lightning speed. But when your family needs help, they’ll wait until it’s politically convenient for them.”