Obernolte’s Transportation Bill 


    Not a single dollar of the cap-and-trade tax

money is being used to fund the roads

and highways drivers drive on.” 







Assembly Bill 2094 would have dedicated an additional 

$1 billion to roads without raising taxes


SACRAMENTO – Assembly Bill 2094 authored by Assemblyman Jay Obernolte (R-Hesperia) was voted down along party lines in the Assembly Transportation Committee yesterday. The legislation sought to increase funding for state and local roads by $1 billion dollars annually without raising taxes on Californians.

“Funding roads is a core function of government and Californians deserve better,” Obernolte said. “Drivers in this state are paying $2 billion more annually on gasoline due to the recently enacted cap-and-trade tax, and yet not a single dollar of that money is being used to fund the roads and highways they drive on.” 

California’s cap-and-trade program places a cap on greenhouse gas emissions and requires businesses to obtain an allowance for every metric ton of carbon dioxide equivalent they emit. According to the Legislative Analyst’s Office (LAO), this program is currently costing Californians 11 cents per gallon of gasoline, and that number could rise to 20 cents per gallon by 2020.

To help address California’s significant road funding needs, AB 2094 proposed to redirect the 0.25% sales tax that currently funds local transit projects to state and local roads, and then backfill those transit dollars with cap-and-trade revenue from the Greenhouse Gas Reduction Fund. In total, the bill would have provided an additional $500 million annually for the State Highway Operation and Protection Program (SHOPP) and $500 million annually for local streets and roads.

“Governor Brown recently proposed raising the gas tax an additional 6 cents per gallon and adding a new $65 annual fee per vehicle to pay for these needed road repairs. AB 2094 offered an alternative funding solution that would not put a greater burden on California taxpayers,” Obernolte said.