Illinois gas tax set to increase every year—without a vote

Gov. J.B. Pritzker’s 2019 “Rebuild Illinois” plan created automatic inflationary adjustments in the state gas tax, which could reach over $1 per gallon by 2056.

Illinois’ state gas tax is slated to go up every year without lawmakers ever voting on the increases.

The state went almost 30 years without raising the tax, which was 19 cents a gallon from 1990 to 2019.

That year, as part of his “Rebuild Illinois” infrastructure program, Pritzker doubled the tax to 38 cents a gallon.

More consequentially, the law created automatic yearly increases linked to inflation. Because of that, Illinois drivers will likely pay more in state gas taxes each year for the foreseeable future unless lawmakers take action, as there’s no expiration date on the annual adjustments.

The gas tax could more than double in the next 30 years. By then, it could be over $1 a gallon, five times more than before Pritzker took office.

The automatic increases allow lawmakers to avoid having to pass an unpopular tax hike and justify it to voters. They also can claim credit when they pause the hikes, saying it’s tax relief for residents.

That’s what the governor has done this year, holding off for six months on a 1.3-cents-a-gallon increase that was slated to kick in July 1.

Pritzker made affordability a central theme of his fiscal 2027 budget, but this temporary reprieve does nothing to change the long-term reality of yearly automatic gas tax increases.

The Illinois Tollway Board might even add automatic inflationary adjustments to passenger tolls, despite the Illinois Tollway reporting its highest collections and net revenue in state history.

Pritzker appoints the tollway board members and is himself an ex-officio member, as is the Pritzker-appointed state secretary of transportation.

Meanwhile, Illinois continues to hoard billions in the state’s Road Fund, money meant for improving transportation infrastructure. The fund held over $3.7 billion at the end of fiscal 2025.

Despite this surplus and drivers paying the nation’s second-highest gas taxes, federal data shows that 80.4% of Illinois roads were considered acceptable in 2024, fewer than in 2015, when the gas tax was still 19 cents.

Lawmakers also divert sales tax revenue on gas that would have gone into the Transportation Fund and Downstate Transportation Fund to fill budget shortfalls. The fiscal 2027 budget redirects $150 million in unexpected gas sales tax revenue from higher fuel costs to help close the state’s broader budget gap.

Gas taxes hit working families the hardest. Middle- and low-income Illinoisans often drive older, less fuel-efficient vehicles and spend a larger share of their income commuting to work, getting to school and handling daily necessities.

Lawmakers should be required to vote on state gas tax increases rather let automatic increases allow them to avoid scrutiny from their constituents.