SF4048 (Legislative Session 94 (2025-2026))

Gasoline stickers relating to state tax rates revision

Related bill: HF3849

AI Generated Summary

Purpose

  • Update Minnesota law to require a specific tax information sign on gas dispensers.
  • Make sure customers see how state and federal gas taxes are included in the price and that the state tax is adjusted for inflation each year.
  • Clarify that tax revenues go to roads and bridges as allowed by the Minnesota Constitution.

Main provisions

  • For regular and premium gasoline, the sign on dispensers must say:
    • “As of January 1 the price for each gallon of gasoline includes the current state gasoline tax of 28.5 cents per gallon and the gasoline tax amount is tied to inflation and increases automatically on January 1 each year. The federal gasoline tax of 18.4 cents per gallon is also included in the price of each gallon. Revenue from the state fuel tax may be used only for roads and bridges according to the Minnesota Constitution.”
  • For diesel fuel, the sign must say:
    • “As of January 1 the price for each gallon diesel fuel includes the current state gasoline tax of 28.5 cents per gallon and the gasoline tax amount is tied to inflation and increases automatically on January 1 each year. The federal gasoline tax of 24.4 cents per gallon is also included in the price of each gallon. Revenue from the state fuel tax may be used only for roads and bridges according to the Minnesota Constitution.”
  • Signs must be in 12-point font or larger and affixed to retail petroleum dispensers.
  • The state tax amounts shown reflect the current year and the inflation adjustment, and the content must be updated within 12 calendar months after any change in the tax amounts.
  • The director (a state official) must distribute these signs to the owner or operator of each dispenser and coordinate the distribution with other duties related to retail petroleum dispensers.
  • If a tax amount changes, revised signs must be distributed within 12 months of the change.

Significant changes to existing law

  • Repeats and strengthens signage requirements for gas tax information on dispensers.
  • Explicitly ties the displayed tax amounts to inflation and automatic annual adjustments.
  • Adds a clear update timeline (within 12 months of changes) and a requirement to distribute revised signs.
  • Establishes that no penalties can be imposed on dispenser owners/operators for missing, destroyed, defaced, or damaged signs.

Administrative duties and timeline

  • The director is responsible for distributing the required signs to dispenser owners/operators.
  • The director must coordinate this sign distribution with other duties related to retail petroleum dispensers when possible.
  • After changes to the gas tax amounts, the director must issue revised signs within 12 calendar months.

Penalties

  • The bill prohibits the director from assessing any penalty, fine, or fee against a dispenser owner/operator for having a missing, destroyed, defaced, or damaged gas tax sign.

Relevant Terms

  • gas tax
  • state fuel tax
  • roads and bridges
  • Minnesota Constitution
  • 12 point font
  • retail petroleum dispenser
  • regular gasoline
  • premium gasoline
  • diesel fuel
  • inflation
  • tied to inflation
  • automatic increases
  • January 1
  • federal gasoline tax (18.4 cents per gallon for gasoline)
  • federal gasoline tax (24.4 cents per gallon for diesel)
  • As of January 1
  • sign on petroleum dispenser
  • director (state official)
  • section 296A.07 subdivision 3
  • sign distribution
  • missing/destroyed/defaced/damaged sign

Bill text versions

Actions

DateChamberWhereTypeNameCommittee Name
March 02, 2026SenateActionIntroduction and first reading
March 02, 2026SenateActionReferred toCommerce and Consumer Protection

Citations

 
[
  {
    "analysis": {
      "added": [
        "New signage requirements showing state tax amounts and federal taxes; inflation indexing and annual updates.",
        "Diesel signage mirroring gasoline tax treatment."
      ],
      "removed": [],
      "summary": "Amends Minnesota Statutes 2024 section 239.7511 to require updated gas-station signage showing that the price includes the current state gasoline tax and the federal gasoline tax, with the state tax amount indexed to inflation and updated annually; includes signage for diesel and a rule tying updates to changes in tax under 296A.07, subdivision 3; prohibits penalties for missing or damaged signs.",
      "modified": [
        "Updates to 239.7511 to implement signage reflecting current tax amounts and federal taxes; requires updates within 12 months of tax changes (via cross-reference to 296A.07, subdivision 3).",
        "Prohibition on penalties for missing/damaged signs."
      ]
    },
    "citation": "239.7511",
    "subdivision": ""
  },
  {
    "analysis": {
      "added": [
        "Reference to 296A.07, subdivision 3 as the basis for timing of sign updates."
      ],
      "removed": [],
      "summary": "Cross-reference to Minnesota Statutes 296A.07, subdivision 3 to require revised gas tax signs be distributed within 12 calendar months of a tax change.",
      "modified": []
    },
    "citation": "296A.07",
    "subdivision": "subdivision 3"
  }
]

Progress through the legislative process

17%
In Committee
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