This bill establishes a temporary moratorium on the imposition of the motor fuels tax in Minnesota, effective from May 25, 2026, to September 7, 2026. During this period, the tax rates for motor fuels will be set to 0 cents per gallon for various categories as specified in Minnesota Statutes, sections 296A.07 and 296A.08. The bill also includes provisions for appropriating funds from the general fund to cover the administrative costs associated with implementing this moratorium, which will be available until June 30, 2027.

Additionally, the bill outlines the process for transferring funds to the commissioner of transportation to compensate for the foregone revenue due to the tax moratorium. In fiscal years 2026 and 2027, the commissioner will determine the necessary transfer amounts based on forecasts of state revenue from the motor fuels tax during the specified periods. These transfers will be deposited into the appropriate accounts as outlined in Minnesota Statutes, ensuring that the impact of the moratorium is mitigated for transportation funding.