SACRAMENTO – As Californians continue to struggle with the highest gas prices in the nation and Gov. Newsom jams Legislative Democrats with a dangerous scheme that will drive costs even higher, Assembly Republicans have introduced a series of bills aimed at providing immediate and long-term relief for drivers across the state. This package, which includes measures to suspend the gas tax without impacting transportation projects, increase transparency on price-setting, and curb overregulation, stands in stark contrast to Governor Gavin Newsom’s politically motivated and incomplete proposals.
“Through six years in office, Gavin Newsom has completely failed to bring down the cost of gas and California drivers have paid the price. This special session is just one more attempt by Newsom to distract from his role in driving up gas prices,” said Assembly Republican Leader James Gallagher (Yuba City). “While Democrats fall in line behind a scheme that Newsom’s own administration says could increase gas prices, Assembly Republicans have a common-sense plan to give drivers relief.”
The Republican bill package includes:
- Exempt Gas from Cap-and-Trade (ABX2-3 – Gallagher): California’s Cap-and-Trade program adds roughly 30 cents to the cost of a gallon of gas. This bill would exempt gas from the program, allow out-of-state gas imports, and permit an earlier switch to winter-blend fuel to help reduce seasonal price spikes.
- Suspend the Gas Tax (ABX2-2 – Lackey): Despite having some of the worst roads in the country, Californians pay the highest gas tax. This bill would suspend the gas tax for one year, lowering gas prices by over 60 cents per gallon. It provides immediate relief for working families, with no transportation projects being cut or delayed—all will continue to be funded by existing state revenue.
- Increase Transparency on Gasoline Prices (ABX2-7 – Dixon): While Gov. Newsom blames “price gouging” for high gas prices without evidence, this bill requires the California Energy Commission to regularly update a public dashboard. The dashboard will compare California’s gas prices to national averages and show the impact of state taxes and regulations. This measure gives Californians the transparency they need to understand what’s really driving up fuel costs.
- Stop Newsom’s Stealth Gas Tax Increase (ABX2-4 – Joe Patterson): California’s Low Carbon Fuel Standard is already adding 11 cents per gallon to our gas prices, and a planned update by an unelected board could add another 52 cents. This bill would block this increase and protect family budgets from skyrocketing fuel costs.
- $100 Rebate for Drivers to Offset Rising Fuel Costs (ABX2-5 – Lackey): California’s Cap-and-Trade program raises costs, with much of the revenue diverted to wasteful projects like High-Speed Rail. This bill would return a portion of those funds to drivers through a $100 rebate to help offset rising fuel costs.
- Boost Energy Independence and Lower Fuel Costs for Californians (Lackey): Gavin Newsom’s war on California energy production is adding tens of millions of dollars to our fuel prices. This bill would fast-track drilling approvals, boosting California’s energy independence and reducing reliance on oil from countries with poor environmental and human rights practices.
- Cut Red Tape to Expand California’s Storage Projects (ABX2-6 – Lackey): While Newsom is pushing refiners to store more gasoline, his scheme does nothing to actually increase California’s fuel storage capacity. This bill would remove obstacles and reduce the costs associated with building new gas storage projects needed to accommodate Newsom’s proposed mandate.
During Gov. Newsom’s six years in office, gas prices have risen nearly $1.50 per gallon, have repeatedly broken records and are substantially higher than in neighboring states. A bipartisan coalition throughout the Western U.S. is opposed to Newsom’s fuel storage mandate, with the Governors of Arizona and Nevada urging Newsom to reconsider his plan.
An analysis of Newsom’s proposal by the California Energy Commission found it has the potential to “artificially create shortages in downstream markets” and “increase average prices.”
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