Governor Gavin Newsom Proposes a Gas Tax Rebate in State of the State Address

Written by Sasha Reva

In Gavin Newsom’s  State of the State speech, the main points were all about the U.S. ban on the import of Russian oil and California’s rising average gas price which has skyrocketed to $5.57  per gallon. In response to the rise in gas prices, Newsom has proposed a gas tax rebate. 

In his 18-minute speech, Newsom said that this relief will cost billions of dollars and will be given to California drivers with cars registered in the state, even for undocumented immigrants.

Newsom’s proposal will not fix the conflict in the state Legislature over competing proposals to help Californians, who are struggling at the pump. Democrats are split on the issue, with the Democrat leaders saying they support Newsom’s proposal but not a complete suspensionToni Atkins and Anthony Rendon said,  “The Legislature will put the state’s robust revenue growth to work by returning substantial tax relief to families and small businesses as fast as possible. Gas, food, and other prices are up, so our focus cannot be a small cut to the gas tax that might not get passed on to consumers.”

Republicans are willing to eliminate the gas tax.  Assemblymember and Republican leader James Gallagher said, “A gas tax rebate in July will do exactly nothing for drivers who are currently struggling with the highest gas prices in history”. San Diego County Supervisor Jim Desmond proposed the idea of eliminating the gas tax from San Diego County for one year.

Desmond’s letter says, “I cannot stand by and let San Diegans suffer while Sacramento politicians build up their coffers. I admit this is a short-term problem and longer solutions need to be looked into, like America becoming less dependent on foreign nations such as Russia, Iran and Venezuela and more energy independent but, that’s a Federal issue. In the meantime, San Diegans need help and it’s time for Sacramento bureaucrats to step up.”

Photo Cred:  Miguel Gutierrez Jr., CalMatters