Pay Less at the Pump Act of 2026
- Sponsor
- Sen. Barrasso, John [R-WY]
- Committees
- Finance Committee (primary)
- Last action
- Feb 12, 2026
Bottom line
The bill eliminates a key funding source for hazardous waste cleanups, potentially reducing costs for the petroleum industry and consumers, but shifting the financial burden of environmental remediation or risking delays in cleanup efforts.
What it actually does
This bill terminates the Hazardous Substance Superfund financing rate, an excise tax on crude oil and imported petroleum products, effective after December 31, 2025. It also ends the authority for the Superfund to receive advances from the general fund of the Treasury on the date of the bill's enactment, requiring any outstanding advances to be repaid quarterly.
Proponents argue
Supporters argue that eliminating the Superfund financing rate will reduce the cost of gasoline and other petroleum products, providing much-needed relief to consumers and businesses facing high energy prices and inflationary pressures. They contend it aligns with efforts to reduce taxes and foster economic growth.
Opponents contend
Opponents would likely argue that terminating this tax undermines the 'polluter pays' principle, shifting the financial responsibility for hazardous waste cleanup from the industries that generate it to general taxpayers. They would contend it risks depleting the Superfund, leading to delayed or unfunded environmental remediation projects and posing public health threats.
The bill is exceptionally short and clear, making it highly accessible for public review and understanding within minutes.
Section 2(a)
Termination of Hazardous Substance Superfund Financing Rate
This provision amends Section 4611 of the Internal Revenue Code of 1986 to specify that the Hazardous Substance Superfund financing rate will no longer apply after December 31, 2025. This effectively repeals the excise tax levied on crude oil received at U.S. refineries and petroleum products imported into the United States for consumption.
Supporters argue
Proponents argue that eliminating this tax will directly reduce the cost of gasoline and other petroleum products, providing tangible economic relief to consumers and businesses. They may also assert that the tax is an unnecessary burden on the energy sector and that alternative funding mechanisms or existing fund balances are sufficient for Superfund operations.
Critics contend
Opponents contend that this tax is a critical 'polluter pays' mechanism, ensuring that industries responsible for hazardous substances contribute to their cleanup. They argue that its elimination would shift the financial burden of environmental remediation to general taxpayers or lead to a significant slowdown in addressing contaminated sites, endangering public health and the environment.
Tradeoffs
This provision balances the desire for immediate economic relief through tax reduction against the long-term need for dedicated funding to address environmental hazards. It creates a tension between stimulating the economy and maintaining robust environmental protection programs.
Section 2(b)
Termination of Authority for General Fund Advances to Superfund
This provision amends Section 9507(d)(3)(B) of the Internal Revenue Code to terminate the authority for the Hazardous Substance Superfund to receive advances from the general fund of the Treasury. The termination date is changed from December 31, 2032, to the date of enactment of this Act (2026), and it mandates that any outstanding advances be repaid on a quarterly basis from unobligated amounts in the Fund until fully repaid.