Gov. Gavin Newsom Says He’s Working On A Plan With Legislatures To Help California Residents Afford Gas
During his recent State of the State speech, Newsom spoke on California’s accomplishments of democracy and embracing diversity with the rising “authoritarian impulses” in America that is propelling the war in Ukraine. But he also admitted that prices at the pump have risen.
He announced that he’s formulating a plan with the Legislature to help residents pay for fuel. The governor’s January budget contained a proposal to halt a gas tax growth, and he built on that notion in his speech. He said he would submit a gas tax rebate for Californians into budget negotiations.
“In January, we proposed a pause to the gas taxes,” Newsom said. “Now it’s clear we have to go further. And that’s why — working with legislative leadership — I’ll be submitting a proposal to put money back in the pockets of Californians to address rising gas prices.”
But the expense of transportation projects could be high. A report last month by the nonpartisan Legislative Analyst’s Office researched that a one-cent drop in the state’s percentage of the gas tax would lessen transportation earnings by as much as $175 million.
The Times has reported that based on wholesale gasoline futures just before President Biden’s ruling Tuesday to halt U.S. purchases of Russian oil, the standard gas price will probably hit $4.50 a gallon soon nationally. Analysts also say that California may see fuel costs go up to $6 to $7 a gallon.