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Home » Tanks A Lot! California Gas Tax Increases July 1, Sending Pump Prices Higher In The Golden State

Tanks A Lot! California Gas Tax Increases July 1, Sending Pump Prices Higher In The Golden State

by CLAYCORD.com
12 comments

California drivers will pay more at the pump beginning July 1 as the state’s gasoline excise tax increases by 2.2 cents per gallon, raising it to 63.4 cents per gallon.

The increase, which takes effect annually under a 2017 state law that indexes the gas tax to inflation, has drawn renewed criticism from Republican lawmakers who are urging Gov. Gavin Newsom to suspend the hike.

In a letter sent to the governor Friday, members of California’s Republican congressional delegation, led by Rep. David Valadao, pointed to AAA data showing California’s average gas price is $5.58 per gallon — the highest in the nation and about $1.65 above the national average.

The lawmakers argue that when state sales taxes and other fees are included, California drivers pay roughly $1.15 per gallon in taxes and fees. They say another increase will place an even greater financial burden on families already facing high living costs.

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“Instead of further unaffordable increases to California’s gasoline excise tax, we urge you to prioritize commonsense energy policies that will provide meaningful relief for all Californians,” the lawmakers wrote.

Newsom has previously opposed suspending the gas tax, arguing that doing so would reduce funding for road and highway improvements while providing no guarantee that oil companies would pass the savings on to consumers.

In a statement issued earlier this year, the governor’s office said repealing the gas tax “wouldn’t lower prices at the pump – it would hand oil companies a massive tax break with no guarantee that a single cent would be passed on to drivers.”

California’s fuel prices have also been affected by refinery closures and the state’s unique fuel requirements. This year, refineries operated by Valero and Phillips 66 shut down operations, reducing in-state refining capacity and increasing reliance on imported fuel. California also lacks pipeline connections to major oil-producing regions, making it more dependent on crude oil shipped from outside the state.

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The annual gas tax increase is part of Senate Bill 1, a transportation funding law approved in 2017 to help pay for road, bridge and transit improvements. California voters rejected a 2018 ballot measure that would have repealed the law, allowing the annual increases to continue.

12 Comments

Thank god i know the politicians really need that money they should consider another tax increase next july. its funny gavin newsom just spoke about the spending budget

8
2

mr right,
.
The gas tax is already scheduled to increase on July 01, 2027.

6
1

Financial Suicide
.
All in favor of higher taxes, higher living costs in California signify
by voting for democrat politicians.

18
6

The ignorant will never get or understand it Original G. its unfortunate and sad. California needs a change beyond desperately from its current Democratic regime

13
4

A bunch of idiots couldn’t vote to repeal this outrageous nonsense, truly sad. I guess those driving EV and hybrids get all the benefits on driving on roads only gas users pay for. That’s why they want a mileage tax too. Are you going to approve this too?

6
1

Hybrid owners buy gas too.

3
1

I think this calls for another bossa tune from down south:
https://youtu.be/gIqxvSKYmI4

6
2

Vote Hilton !!!!!!

22
5

Where does all that gas tax money go???
The democrat politician thieves will never tell us.

10
2

Political kickbacks.

3
1

and gender studies.

680 South after S Main in Walnut Creek used to be 50 cents to El Cerro during off peak hours in the FasTrak lane. It went to 75 cents and never came down. Traffic near Alamo regularly slows WAY down where they are building the sound wall. The toll lane and adjacent lane in the same area have big stretches of pavement that are worn and were ground off from paint dividing the lanes, etc. Drivers either swerve in the lanes to get around them, or drive over them with their tires getting pulled in one direction or another. It has been this way for months. Where are the road and highway improvements they have been funding for 9 years?

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