Governor Katie Hobbs Takes Emergency Action to Lower Fuel and Food Costs for Arizonans

Phoenix, AZ – Today, Governor Katie Hobbs issued an Executive Order to temporarily lift on-highway restrictions on red-dyed diesel fuel for agricultural operations and increase the weight limit to 90,800 pounds for vehicles transporting agricultural goods on non-interstate highways. These measures provide immediate relief to Arizona farmers and ranchers facing skyrocketing energy costs to transport products, and families being devastated by rising grocery bills as a result.

"Arizonans are feeling the squeeze at the grocery store, and we are stepping up to deliver relief," said Governor Katie Hobbs. "By cutting taxes and regulations for our farmers and ranchers, we're lowering the cost of doing business and helping Arizona families put food on the table in the face of skyrocketing costs due to the war in Iran. I know there's more to do to make Arizona more affordable, and I'll continue using every tool at my disposal to bring down costs for our families."

With the ongoing conflict with Iran causing severe disruptions in the global energy market, diesel prices have surged, increasing costs on agricultural producers and families at the grocery store. The Governor's actions follow an Executive Order by President Trump to expand the availability of red-dyed diesel through the end of the year. The Governor also called on the federal government to allow commercial vehicles with a gross vehicle weight of 90,800 to travel freely on interstate highways.

Governor Hobbs' order directs the Arizona Department of Transportation to issue the necessary overweight permits at no cost. It also orders state agencies to deprioritize enforcement on dyed diesel usage for vehicles engaged in the cultivation and distribution of agricultural products through December 31, 2026. By taking this step, Arizona joins a growing coalition of bipartisan states taking executive action on dyed diesel to lower transportation burdens, cut costs on the farm, and lower prices at the store.

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Read the Executive Order here.

"Diesel is one of the largest costs for the families who grow and move Arizona's food and fiber, and Governor Hobbs' decision to temporarily allow red-dyed diesel on highways and raise load weight limits will provide real relief as input costs climb. We're grateful for her leadership in standing with Arizona's farm and ranch families during this critical time." – John Boelts, President, Arizona Farm Bureau

"Fresh produce growers operate on tight margins and an even tighter harvest schedule. Allowing heavier truck loads and the use of red-dyed diesel between harvest and processing or distribution will help mitigate high transportation costs, improve efficiency, and protect the quality of perishable crops. We appreciate the Governor's fast action to help Arizona growers get through this stressful situation." - Dave Puglia, President & CEO, Western Growers

"On behalf of the Yuma Fresh Vegetable Association and the Arizona farmers and agricultural producers we represent, we appreciate Governor Hobbs' efforts to lower the cost burden on Arizona agriculture by allowing qualifying vehicles transporting agricultural products to use off-road fuel.

"The cost of virtually every input required to grow and produce food in Arizona, and across the Nation, has increased significantly over the past eight months, with fuel being one of the largest and most immediate drivers of those increased costs. Transportation is a critical component of getting Arizona-grown produce from the field to consumers, and lowering the fuel-tax burden on agricultural transportation will provide meaningful relief to our growers and producers.

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"Ultimately, this is more than helping Arizona farmers. Lowering unnecessary costs throughout the agricultural supply chain helps keep Arizona-grown food competitive and more affordable for consumers here in Arizona and across the United States. We appreciate the Governor's willingness to recognize the challenges facing Arizona agriculture and take steps to lessen the burden of one of our most significant production and transportation inputs." –Cory Mellon, Board of Directors, Yuma Fresh Vegetable Association, and Vice President, Mellon Farms

"The Agribusiness & Water Council of Arizona (ABWC) is a not-for-profit trade association that represents the Arizona irrigated agricultural community from 'ditch bank to dinnerplate.' ABWC would like to thank Governor Hobbs and her administration for recognizing the rising costs that have impacted Arizona growers. The Governor's action to increase truckload weights and to allow red dyed diesel fuel to be used for over the road vehicles that haul agricultural products and equipment will result in these products being more affordable. These actions will improve Arizona growers' ability to more efficiently and economically deliver healthy food to our state and our nation." -Tom Davis, President of the Agribusiness & Water Council of Arizona.

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