‘No off-ramps to the gas tax’ | California’s gas tax to increase again despite pandemic

By Eric Escalante at ABC10

June 18, 2020

SACRAMENTO, Calif — Another hike for California’s gas tax is already scheduled, but given the exceptional times amid the coronavirus pandemic, its timing might be less than ideal.

California’s gas tax was the highest in the country in 2019, according to Tax Foundation. A special feature of SB1 lets the tax keep pace with inflation, meaning it adjusts every year with the Consumer Price Index.

By July 1, it’ll be increasing another 3.2 cents — bumping the state excise tax to 50.5 cents. Some lawmakers oppose the pending increase, some lawmakers support it, and others believe the increase has poor timing.

“I don’t oppose it,” said Assemblyman Jim Cooper (D-Elk Grove). “I’m just not happy with it… It’s a hard pill to swallow.”

Lawmakers found themselves with the coronavirus pandemic impacting millions of Californians with unemployment and devastating city and state revenues. As the economy recovers, the automatic increase for the gas tax is coming at a rough time for many.

Read more at ABC10


Comments are closed.