North CarolinaHB 32026 First Extra SessionHouseWALLET

AN ACT TO PROVIDE RELIEF AT THE PUMP FOR NORTH CAROLINIANS BY REQUIRING AN IMMEDIATE SUSPENSION OF THE MOTOR FUEL TAX THROUGH NOVEMBER 30, 2026, APPROPRIATING AMOUNTS NECESSARY TO HOLD HARMLESS THE FUNDS THAT WOULD HAVE RECEIVED THE MOTOR FUEL TAX, WAIVING THROUGH DECEMBER 31, 2026, THE ENFORCEMENT OF CIVIL AND CRIMINAL PENALTIES FOR HIGHWAY USE OF DYED DIESEL ASSOCIATED WITH FARMING AND AGRICULTURAL PURPOSES, EXEMPTING FROM THE MOTOR FUEL TAX THROUGH DECEMBER 31, 2026, HIGHWAY USE OF DYED DIESEL BY CERTAIN USERS, AND REQUIRING THE DEPARTMENT OF REVENUE AND THE DEPARTMENT OF AGRICULTURE AND CONSUMER SERVICES TO NOTIFY AFFECTED PARTIES.

Sponsored By: Jay Adams (Republican), Jonathan L. Almond (Republican), Dean Arp (Republican), Brenden H. Jones (Republican), Jennifer Balkcom (Republican), John R. Bell, IV (Republican), Brian Biggs (Republican), Hugh Blackwell (Republican), Jerry "Alan" Branson (Republican), Celeste C. Cairns (Republican), Grant L. Campbell, MD (Republican), Allen Chesser (Republican), Tricia Ann Cotham (Republican), Carla D. Cunningham (Independent), Destin Hall (Republican), Brian Echevarria (Republican), Blair Eddins (Republican), Anna Ferguson (Republican), Wyatt Gable (Republican), Karl E. Gillespie (Republican), Edward C. Goodwin (Republican), Dudley Greene (Republican), Julia C. Howard (Republican), Chris Humphrey (Republican), Cody Huneycutt (Republican), Frank Iler (Republican), John L. Lowery (Republican), Jake Johnson (Republican), Kyle Hall (Republican), Dan Kiger (Republican), Donny Lambeth (Republican), Donnie Loftis (Republican), Jeffrey C. McNeely (Republican), Charles W. Miller (Republican), Ben T. Moss, Jr. (Republican), Neal Jackson (Republican), Erin Paré (Republican), Howard Penny, Jr. (Republican), Mark Pless (Republican), Larry W. Potts (Republican), A. Reece Pyrtle, Jr. (Republican), Timothy Reeder, MD (Republican), Heather H. Rhyne (Republican), Stephen M. Ross (Republican), Mike Schietzelt (Republican), Paul Scott (Republican), Mitchell S. Setzer (Republican), Phil Shepard (Republican), Larry C. Strickland (Republican), John A. Torbett (Republican), Steve Tyson (Republican), Bill Ward (Republican), Harry Warren (Republican), Diane Wheatley (Republican), Donna McDowell White (Republican), Shelly Willingham (Democratic), David Willis (Republican), Matthew Winslow (Republican), Jeff Zenger (Republican)

Signed by Governor

AGRICULTUREAGRICULTURE DEPT

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Bill Overview

Analyzed Economic Effects

3 provisions identified: 2 benefits, 0 costs, 1 mixed.

Farmers get dyed-diesel tax and penalty relief

From October 9 through December 31, 2026, officials cannot impose listed civil or criminal penalties for dyed diesel used or dispensed for farming or agricultural work in a highway vehicle. Covered work includes crop growing, livestock raising, forestry, aquaculture, and related businesses. Separately, from October 1 through December 31, qualifying farmers, conditional farmers, commercial loggers, commercial fishermen, and wildlife managers with a state exemption certificate owe no motor fuel tax on dyed diesel used in a licensed highway vehicle. They must still file the required return.

Temporary fuel tax break for drivers

From October 10 through November 30, 2026, North Carolina’s motor fuel tax rate is zero cents per gallon. Prices must leave out the suspended tax, but retailers do not have to lower prices when their fuel costs include tax from before the suspension. Taxpayers who otherwise file motor fuel returns must still file. For certain sales-tax exemptions and checks for non-tax-paid fuel, motor and alternative fuel other than dyed diesel count as taxed.

State funds get replacement fuel-tax money

Beginning October 9, 2026, the State Controller transfers money each month from the Stabilization and Inflation Reserve to replace fuel-tax distributions lost during the suspension. The transfers support the Highway Fund, Highway Trust Fund, petroleum-tank cleanup, water and air quality, wildlife, and navigation-related programs. The total amount is not stated.

Sponsors & Cosponsors

Cosponsors

There are no cosponsors for this bill.

Roll Call Votes

No roll call votes available for this bill.

Actions Timeline

Ch. SL 2026-62
10/9/2026House
Signed by Gov. 10/9/2026
10/9/2026House
Pres. To Gov. 10/7/2026
10/7/2026House
Ratified
10/7/2026House
Ordered Enrolled
10/7/2026Senate
Passed 3rd Reading
10/7/2026Senate
Passed 2nd Reading
10/7/2026Senate
Amendment Ruled Out-of-Order A1
10/7/2026Senate
Placed on Today's Calendar
10/7/2026Senate
Withdrawn From Com
10/7/2026Senate
Ref To Com On Rules and Operations of the Senate
10/7/2026Senate
Passed 1st Reading
10/7/2026Senate
Special Message Received From House
10/7/2026Senate
Special Message Sent To Senate
10/7/2026House
Passed 3rd Reading
10/7/2026House
Passed 2nd Reading
10/7/2026House
Added to Calendar
10/7/2026House
Passed 1st Reading
10/7/2026House
Filed
10/7/2026House

Bill Text

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