Drivers in at least four Northern Kentucky communities could continue seeing slightly lower prices at the pump through the end of June after local officials opted into an extension of Gov. Andy Beshear’s temporary 10-cent wholesale gas tax break.
Gov. Andy Beshear’s executive order, first issued May 5 to address rising fuel costs, cut Kentucky’s gas tax by 10 cents but expired statewide on June 10. A June 11 update from the governor’s office said 37 Kentucky cities and counties secured an extension of the tax freeze, up from the 33 announced June 9. While Alexandria and Covington were the only Northern Kentucky cities initially listed, Facebook posts from Erlanger and Ludlow indicate they have since filed for the extension as well.
Kentuckians in areas where the county judge/executive or mayor chose not to request an extension or withdrew their request can expect to see prices at the pump rise by 10 cents per gallon starting June 11.
​The extension is through June 30.
​“Gas prices are too high due to the continued war in Iran, and Americans – including right here in Kentucky – are struggling,” said Beshear in a written announcement. “Every dollar counts, and my executive order lowered gas and diesel prices across the state to help our families save. Government is there to help our people, and the state can and will make up any potential financial hit. Right now, our priority should be on Kentucky families, and I applaud these local leaders for doing what’s right.”
​According to AAA, as of June 11, the average price of regular gas per gallon in Boone County is $3.84, $3.93 in Kenton County, and $3.99 in Campbell County. That’s compared to Kentucky’s average of $3.69 per gallon and the national average of $4.12.
​A 10-cent tax break on wholesale gasoline means the government is reducing or suspending a fuel tax by 10 cents per gallon at the wholesale level, where fuel distributors buy gasoline before it reaches gas stations. In practice, if wholesalers pay 10 cents less tax per gallon, the hope is that the savings gets passed on to the consumers at the pump.
​“I’m interested to see, is the gas at the Speedway in Cold Spring, and the gas at the Alexandria Speedway is going to be different,” said Alexandria Mayor Andy Schabell. “In theory, I believe it should be.”
​In his June 9 announcement, Beshear said it was up to local officials, including judges/executives and city mayors, to receive extended relief.
Schabell said he heard about the extension opportunity at the bottom of an email update from the governor’s office.
​“I remember when it very first went into effect; I believe that the gas prices at the pump did go down 10 cents or so immediately,” Schabell said. “So, I’m hoping that Alexandria’s gas prices stay lower than Cold Spring, Highland Heights.”
​Schabell said he wasn’t sure why not all cities have opted into the extension.
“To me, this isn’t a Democrat or Republican thing; this is taking care of your constituents, and everything is expensive right now,” he said.
​He did question what would happen to the money the city receives from the state road aid fund (funded by the gas tax) and whether they would get “docked” money, but ultimately said he didn’t think it would be enough to affect them.
​“I think the benefit to the residents outweighs any negative that could come from it, as long as the gas prices actually stay low,” he said.
​LINK nky media partner WCPO reached out to multiple municipalities and county judges/executives in Boone, Kenton and Campbell counties to see whether they applied for an extension of the gas tax break. WCPO only heard back from Boone County Judge/Executive Gary Moore.
​Moore issued the following statement on June 9:
“I fully support any tax relief that positively impacts the citizens of Boone County. The Governor’s decision to institute an executive order is a state government decision. This is a tax freeze on the price of wholesale gas; not what residents are paying at the pump.
This is an action that may not deliver significant savings to residents and will continue to negatively impact the state road fund, which is already struggling to support needed road repairs and upkeep.
I encourage our state representatives to engage on this state issue.”
Gary W. Moore
​Ludlow Mayor Sarah Thompson announced via her mayoral Facebook page that she filed for the extension on June 10.
​“While no single action solves the broader economic pressures families are facing, even modest savings can make a difference for working families, seniors, and local communities navigating rising costs,” Thompson said in the Facebook post.
​In addition to the 10-cent reduction, Beshear signed a separate emergency order to freeze the gas tax, preventing it from increasing in July.
