Drivers in California may soon get some relief at the pump, as Republican Rep. Kevin Kiley plans to introduce a bill to bring down the state’s excessive gas tax by threatening to withhold federal funding.
At nearly 71 cents per gallon, California has the combined state and federal gas tax according to the Tax Foundation — with a state levy of 61.2 cents as of last July, up from 59.6 cents.
Despite the steep cost at the pump for drivers, Kiley said the state has “little to show for it.”
The bill would withhold certain federal highway funding for states that have gas taxes exceeding 50 cents per gallon.
“This bill sends a clear message: states that overtax their citizens to compensate for inefficient spending should not expect unlimited federal support,” Kiley said in a press release. “If Sacramento wants Washington’s help, it should stop punishing drivers.”
States would see an 8 percent reduction in funding from the National Highway Performance Program (NHPP) and the Surface Transportation Block Grant Program (STBG).
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The announcement comes on the heels of President Donald Trump vowing to bring down fuel prices, telling The California Post in January he was considering putting a cap on state fuel tax.
While the average cost at the pump in the US in February is $2.92, in California residents pay $4.49, according to AAA.
While Kiley looks to curb the tax at the pump, California Democratic lawmakers are proposing taxing motorists for each mile they drive.
The initiative comes as the state faces a budget deficit in the billions and more drivers switch to electric vehicles.
State legislators advanced Democrat Lori Wilson’s bill, AB 1421, on Jan 29, which would direct the California Transportation Commission and the state Transportation Agency to continue studying options for a mileage-based tax, rather than implementing one.
