Fort Mitchell declined to request an extension of Gov. Andy Beshear’s 10‑cent gas tax reduction on Monday, citing concerns about further reductions in state road aid revenues.
In response to Beshear’s May 5 executive order lowering Kentucky’s gas tax by 10 cents per gallon to provide short‑term relief from rising fuel costs, cities across the state were required to decide whether to seek an extension of the declaration.
Beshear announced a state of emergency on June 9 and extended the 10-cent gas tax reduction executive order. Cities and counties were told to file an extension by June 30. During Monday’s city council meeting, Fort Mitchell adopted a resolution emphasizing the protection of municipal road aid funding.
“Fort Mitchell chose not to participate in Gov. Beshear’s gas tax credit program because we recognized that doing so could have an adverse impact on our state road aid revenues,” Mayor Greg Pohlgeers said, noting that the city’s road tax revenues have declined over the past five years.
Beshear has said that maintaining the declaration statewide—rather than through individual city extensions—would simplify tax calculations for distributors and ensure consistent implementation. He announced on June 9, 2026, that he extended the order, estimating it would save Kentuckians about $1.7 million per month. As of May 5, 2026, the average price of gas in Kentucky was $4.28 per gallon, up from $2.86 the previous year. Beshear attributed rising fuel costs to the war in Iran.
The average price of gas in Kentucky as of June 14 was $3.53 per gallon.
Pohlgeers said the city’s decision reflects concerns about potential reductions in state road aid and the possibility of delaying road projects or identifying new revenue sources. City Administrator Edwin King said Fort Mitchell does not yet have an estimate of how the 10‑cent deduction will affect its municipal road aid allocation and is awaiting information from the state.
The decrease in Fort Mitchell’s projected municipal road aid revenues stems from a drop in state-allocated road aid, which leaves the city relying on other projects or savings to cover infrastructure costs.
According to the Kentucky League of Cities, municipalities are expected to lose about $1.9 million in Municipal Road Aid funding for every 30‑day period the order remains in effect.
Kentucky’s motor fuels tax is based on a 9% fixed rate applied to the average wholesale price, meaning the per‑gallon tax decreases when wholesale prices fall. Over the past two years, the Kentucky motor fuels tax has declined, reducing revenue shared with cities and straining municipal road aid funding used for street maintenance.
During a June 2, 2026 meeting, the Interim Joint Committee on Transportation noted that the 10‑cent reduction would significantly decrease both state road fund revenues and municipal road aid distributions. Legislators and industry representatives cautioned that the savings for drivers come at the expense of transportation infrastructure and advised local officials against pursuing extensions.
Beshear said that 37 local governments ultimately filed for an extension to keep the 10‑cent reduction through June 30.
The next Fort Mitchell city council meeting is scheduled for Aug. 17, 2026, at 6:30 p.m., at 2355 Dixie Highway in Fort Mitchell.
