Rising gas prices become campaign issue as candidates push for repeal of minimum markup law

MILWAUKEE (CBS 58) -- Rising gas prices continue to be top of mind for millions of Americans.

The war in Iran and issues with US refineries are causing a volatile oil market.

On Friday, September 18, prices rose again throughout Wisconsin by an average of 4 cents.

And diesel prices set another record Friday, rising to an average of $6.24 in Wisconsin.

With drivers desperate for relief, gas prices are becoming a hot topic on the campaign trail.

Both gubernatorial candidates say they have a plan to save drivers 40 cents or more per gallon, running on repealing a decades-old state law.

Wisconsin is one of dozens of states that has what's called a "minimum markup" law, requiring sellers to set prices higher than what it cost them.

At one point, the Federal Trade Commission called Wisconsin's fuel markup law "one of the steepest minimum markups on retail fuel sales in the country."

Enacted in 1939, it prevents Wisconsin businesses from selling products below cost. And it says gas must be marked up roughly 9.18%.

The thought is big chains can buy in bulk and can afford to sell cheaper gas. But if every seller has to raise their prices by more than 9%, they'll all be relatively equal and the chains cannot undercut the little guys.

It's a complicated formula intended to level the playing field.

The David Crowley campaign wants to repeal the law, not a new idea.

On social media Friday, Democratic Lt. Governor candidate Sarah Godlewski said, "Repealing it could cut prices by more than 40 cents a gallon for unleaded and 56 cents for diesel."

On the campaign trail, Crowley's team is using high costs to take aim at Tom Tiffany for repeatedly voting against ending the war in Iran, saying Tiffany is "making it harder for families, farmers, manufacturers, and truck drivers to fill up their tanks."

Tiffany's camp agrees on repealing the minimum markup law, saying he "supports fully repealing Wisconsin's outdated minimum markup law to end government-mandated higher prices and lower gas prices."

While campaigning this week, Tiffany pivoted from gas to affordability, saying he'd find savings in other areas.

"While there are some things that we can't control, like crude oil prices globally," Tiffany said, "there are things we can control with energy costs, like your utility bill."

Currently Wisconsin is one of 25 states with minimum markup laws for gasoline and other goods.

In the past few years, three states repealed or modified their minimum markup laws.

But getting Wisconsin's minimum markup law repealed may not be easy.

Wisconsin legislatures have tried and failed several times over the years to get rid of the minimum markup law, most recently an effort in 2024 failed to pass.