California lawmakers appear unlikely to pause the annual summer increase in the state's gasoline tax ahead of a May 1 deadline, Gov. Gavin Newsom’s office said on Monday.
Newsom, a Democrat, had previously expressed support for helping California motorists experiencing pain at the pump by waiting to implement a 5.6% tax hike scheduled to take effect on July 1. The tax is used to fund roads and other infrastructure projects; the state's Legislative Analyst's Office projected the tax will generate about $8.8 billion in revenue during the 2021-22 fiscal year.
California already has the nation's highest gas tax at 51 cents per gallon. The levy will rise to 53.9 cents per gallon at the beginning of July. Still, an analysis from LAO found it would only save drivers about 3 cents per gallon. California Gov. Gavin Newsom leaves a news conference after unveiling his proposed $286 billion 2022-2023 state budget during a news conference in Sacramento, Calif., Monday, Jan. 10, 2022.
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