U.S. Rep. Mike Carey (R-OH) on Feb. 12 led four of his Republican colleagues in introducing legislation that would eliminate the Superfund Tax, which funds the cleanup of hazardous waste sites.
The Pay Less at the Pump Act of 2026, H.R. 7527, which Rep. Carey sponsored alongside four original cosponsors, including U.S. Reps. Kevin Hern (R-OK) and Carol Miller (R-WV), aims to boost domestic energy production, reduce reliance on foreign energy, and lower costs for American workers.
“Cheaper energy translates into cheaper goods for Americans at every level of the supply chain, allowing families to keep more of their hard-earned cash,” Rep. Carey said. “The Pay Less at the Pump Act will lower costs and build on the more affordable future Republicans are creating.”
If enacted, H.R. 7527 would amend the IRS Code of 1986 to terminate the Hazardous Substance Superfund financing rate, also known as the Superfund Tax, which is imposed on crude oil when it is received at a U.S. refinery and applies to imported petroleum products.
Effective since July 1, 2022, the tax targets manufacturers, producers, and importers of 42 specific hazardous chemicals and imported substances, and funds the Hazardous Substance Superfund Trust fund for cleanups of hazardous waste sites led by the Environmental Protection Agency.
By terminating the tax, taxpayers would save an estimated $10.5 billion over the next 10 years, according to a bill summary provided by Rep. Carey’s staff.
Companion legislation, S. 3863, was introduced by U.S. Sen. John Barrasso (R-WY) in the Senate. That bill drew 9 original cosponsors, including U.S. Sen. John Hoeven (R-ND).
“Repealing the ‘Superfund Tax’ will allow North Dakota’s energy producers to invest more in production, support good-paying jobs and help keep energy affordable for families across the country,” Sen. Hoeven said. “This legislation repeals an unnecessary tax on American energy, lowers prices for consumers and ensures we fully unleash our country’s energy potential.”
The American Petroleum Institute and the American Fuel & Petrochemical Manufacturers endorsed the measure.