MOTOR FUEL-CPI ADJUSTMENT

SB 3986 stops a scheduled July 1, 2026 increase to Illinois' motor fuel tax that would have been triggered by the Consumer Price Index (CPI). This bill directly affects motor fuel retailers and consumers by preventing a tax hike that would have automatically occurred based on inflation. The key provision amends the Motor Fuel Tax Law to specifically exclude the July 1, 2026 CPI adjustment, effective immediately upon enactment. The change halts an automatic annual tax increase mechanism tied to inflation data.