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John James Calls For Michigan Gas Tax Holiday As Debate Over Funding Grows

By: Macy Gray • September 30, 2026
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LANSING, Mich. (WLKI)- Republican gubernatorial candidate and U.S. Representative John James is calling for Michigan to suspend its state gas tax, saying the move would provide immediate relief to drivers facing high fuel prices.

James made the proposal in a video posted to social media Tuesday, urging Democratic leaders to declare a state of emergency and pause the tax.

The proposal has prompted debate over how Michigan would cover the revenue loss. State fuel-tax dollars help fund road repairs and other transportation infrastructure projects.

Infrastructure advocates have warned that suspending the tax could create a significant shortfall in the state budget and slow or delay ongoing road work.

The idea has also received mixed reaction within James' own party. Republican House Speaker Matt Hall initially questioned whether a gas-tax holiday could be funded without affecting road programs, though he later said he would bring the proposal forward for a vote if it advances through the Democratic-controlled Senate.

James' campaign said it would seek to offset lost tax revenue by cutting government waste and redirecting funding from the Michigan Economic Development Corporation.

Supporters of a tax holiday argue it would give families and workers direct relief at the pump. Critics say the state would need a clear replacement funding plan before suspending a major source of road money.

No legislation to suspend the gas tax has yet been approved.

Source: John James campaign statement