Talks of suspending California’s gas tax increase fizzle out

Well, Guv Newsom and the Democrats got their 15 minutes of praise by looking at postponing the July1, 2022 gas tax increase.  Everyone was happy and all smiles.  Now that we are getting close to that date, reality is setting it.  Like the girl in Peanuts pulling away the football before Charlie Brown can kick it, the Dems are looking toward a tax increase on July 1—and who will complain?

“California lawmakers appear unlikely to halt the scheduled increase in the state’s gasoline tax in time to meet a May 1 deadline, Gov. Gavin Newsom’s office said Monday evening.

The plan to put a pause on the annual tax hike is part of a package of bills Newsom introduced this year to ease the burden of rising gas prices. Other proposed legislation included direct payments to drivers, subsidizing public transportation and canceling the sales tax on diesel fuel for a year.

Hope you did not spend that $400 check Newsom was going to send—that was a sick joke on the people of California.  Ready to call U-Haul?

Talks of suspending California’s gas tax increase fizzle out

The governor’s office said it’s “clear” the Legislature won’t act in time to stop the scheduled annual increase.

By LARA KORTE, Politico, 4/26/22 

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California lawmakers appear unlikely to halt the scheduled increase in the state’s gasoline tax in time to meet a May 1 deadline, Gov. Gavin Newsom’s office said Monday evening.

The plan to put a pause on the annual tax hike is part of a package of bills Newsom introduced this year to ease the burden of rising gas prices. Other proposed legislation included direct payments to drivers, subsidizing public transportation and canceling the sales tax on diesel fuel for a year.

In order to stop the gas tax’s inflation adjustment from taking effect on July 1, lawmakers would need to pass legislation by Sunday as an early-action budget item.

But lawmakers have yet to introduce any legislation on the matter — despite having bill language from the governor’s Department of Finance.

“It is clear now that the Legislature will not act in time to provide that immediate, limited relief,” Newsom spokesperson Alex Stack said in a statement. “But we look forward to working with lawmakers on the Governor’s proposal for direct payments to Californians wrestling with rising prices.”

Neither Assembly Speaker Anthony Rendon nor Senate President Pro Tem Toni Atkins’ office immediately responded to a request for comment.

Newsom first introduced a proposal for gasoline price relief in his January budget and again called for financial assistance during his March State of the State speech. But Atkins and Rendon quickly repudiated the governor’s calls for pausing the gas tax hike, arguing it would take critical funds away from road repair and improvement without guaranteed relief for consumers. Both Atkins and Rendon have expressed support for direct payments to taxpayers, though there’s still a question as to exactly how much money will be distributed and to whom.