Ivey halts dyed diesel enforcement to aid farmers, timber workers hit by high prices
The 120-day directive shifted inspection priorities as harvest season begins and diesel costs strain agriculture and timber operations.
Alabama Governor Kay Ivey on Thursday directed the Alabama Law Enforcement Agency to halt enforcement related to dyed diesel fuel for 120 days to relieve agricultural and timber communities hit by high fuel prices.
Dyed diesel is a tax-exempt fuel typically reserved for off-road equipment and machinery. According to Ivey, many Alabama farmers and timber operators maintain off-site supplies of dyed diesel fuel for nontaxable off-road use.
In a letter to ALEA Secretary Hal Taylor on Thursday, Ivey argued that relief is necessary because of record-high diesel prices and their impact on Alabama’s agricultural and timber workers.
“The increase in diesel fuel prices has been particularly sharp relative to other fuel prices, directly affecting Alabama’s agricultural and timber industries,” Ivey wrote. “In response to these extraordinary circumstances, I am requesting that the Alabama Law Enforcement Agency (ALEA) and other enforcement agencies temporarily adjust its enforcement priorities concerning the use of dyed diesel fuel.”
“Temporarily refocusing enforcement activity related to the use of dyed diesel fuel will provide meaningful relief to Alabama’s agricultural and timber industries,” Ivey added.
For the next 120 days, ALEA will prioritize and conduct commercial motor vehicle inspections only in cases that present a threat to public safety, rather than conducting inspections for the use of dyed diesel in commercial motor vehicles.
Average diesel prices in Alabama have surged to a record high of around $6.15 per gallon, according to the American Automobile Association, an increase of roughly 78 percent from last year’s average of $3.44 per gallon.
“As we are in the beginning of peak harvest season in Alabama, I am committed to doing what we can to support our state’s farmers and their families,” Ivey said Thursday. “When we can responsibly provide relief, I am all for it, and this is a measured, doable and commonsense action to help out Alabama’s agricultural and timber communities.”
Alabama’s harvest season runs through November 15.
“Governor Ivey’s directive provides a practical and timely measure to support Alabama’s farmers and timber operators as they navigate the impact of increased fuel costs,” Taylor said. “These industries are vital to Alabama’s economy and to communities throughout our state. ALEA is committed to implementing the governor’s directive while maintaining our steadfast focus on public safety and ensuring Alabama’s roadways remain safe for all who travel them.”
Ivey also instructed Alabama Department of Revenue Commissioner Mary Martin Mitchell to request dyed diesel fuel penalty relief from the Internal Revenue Service.
The ALEA enforcement change is effective immediately.
