How to Replace the Gas Tax Law if its Repealed

By Ronald Stein : foxandhoundsdaily – excerpt

Prices in California were already among the highest in the country with State excise taxes at the pump, and State sales tax at the pump, being among the highest in the country. With Californians also bearing the costs associated with compliance with various State environmental regulation laws, Californian’s are paying as much as $1 more per gallon than most folks in the country as all those costs trickle down to the consumer and are hidden within the posted price of fuel at the pump.

In November 2017, as a result of the SB1 gas tax that was passed by our legislature, but never approved by the voters, California’s base excise tax on gasoline went up 12 cents, increasing the total to 30 cents a gallon. Also, the diesel excise tax rose 20 cents, increasing it to 36 cents a gallon, with even more upward adjustments for inflation starting in 2020. The legislative bill SB1 for transportation Infrastructure funding has been projected to raise $52 billion over the next 10 years for infrastructure projects, and the recently passed Proposition 69 now protects the SB1 taxes just for infrastructure.

With the expected successful repeal of the SB1 gas tax in November, the real carrot will be next – a new initiative to REPLACE SB1. That next bill will designate that all current State excise taxes on fuels at the pumps, State sales tax on fuels at the pumps, and new car sales taxes, MUST all go to infrastructure, with NONE going to the general fund… (more)

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