Highest rate in 40 years
California Congressional Delegation
Washington D.C. June 29, 2022 ___
Obernolte (CA-08), Congressman David Valadao (CA-21) and members of the
California Congressional Delegation renewed their call to Governor Gavin Newsom to suspend the
state’s gas tax, which is currently scheduled to increase by 3 cents on July
1, 2022. Their official request to the Governor also urged support for a
repeal of the state’s indexing of the gas tax to inflation considering
inflation rates are continuing to rise at the highest rate in 40 years.
“When we requested a full repeal of California’s gasoline tax in
March of this year, Californians were paying $4.80 per gallon of gasoline.
Today that price has ballooned to $6.43 per gallon, a 34 percent increase in
only three months. A full repeal of the state gas tax in March could have saved
Californians $17 million per day and $1.5 billion to date. But instead they
were forced to pay an additional fifty-one cents per gallon as a result of
California’s gasoline tax, the highest in the nation,” the letter
“We strongly urge you to heed President Biden’s request and work
with the Legislature to suspend our state’s gasoline tax. Furthermore, we ask
that you support a repeal of our state’s policy of indexing the gas tax to
inflation. Amidst historic uncertainty in global energy markets and
California’s unique vulnerability to supply shocks, California families deserve
tax relief that reflects the severity of the economic realities they face.”
Californians currently pay the highest gas prices nationwide
thanks in part to the state’s highest-in-the-country gas tax, even as
California is set to collect nearly $100 billion more from taxpayers this year
than it needs to support expenditures. Combined with the almost $30 billion in
federal infrastructure funds the state received from the Infrastructure
Investment and Jobs Act passed by Congress, the State of California has enough
revenue for an unconditional suspension of the gas tax for the next 20 years
without the reduction of a single penny in infrastructure spending.
Members of Congress joining Reps. Obernolte and
Valadao on the official request to Governor Newsom were: Reps. Kevin McCarthy
(CA-23), Mike Garcia (CA-25), Doug LaMalfa (CA-1), Ken Calvert (CA-42), Young
Kim (CA-39), Michelle Steel (CA-48), Darrel Issa (CA-50), Connie Conway (CA-22)
and Tom McClintock (CA-04).
full letter here.