Local Representative Asking for Law Repealing State Minimum Markup Law for Gasoline

First published at 9:29 a.m. on Thursday, March 2nd, 2023.

Updated at 1:14 p.m. on Thursday, March 2nd, 2023.

(KNSI) — St. Cloud area Representative Dan Wolgamott and Senator Jordan Rasmusson of Fergus Falls are holding a press conference this morning on their legislation to repeal Minnesota’s minimum markup on gasoline.

The legislation has already passed the House Commerce Committee with bipartisan support and will have its first Senate hearing today in the Commerce and Consumer Protection Committee.

Wolgamott says the bill will still safeguard consumers while offering relief at the pump. “By repealing Minnesota’s minimum markup law we can help facilitate lower gas prices while maintaining protections against predatory pricing that harm consumers.”

Wolgamott explains the bill’s two primary provisions. “It repeals the statute which makes any below cost sale of gas an automatic violation of law and it removes the definition of below cost sale of gas as a wholesale price of an additional eight cents per gallon.”

Minnesota’s current law requires gas to be sold at 6% or eight cents above the wholesale price, whichever is less. The majority of U.S. states do not have minimum markup laws for gas.

According to state law, it’s illegal to sell gas below the wholesale cost, but there is an exception for below-cost promotions. They are limited to no more than three days every three months.

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