Joshua Hoover

(PLACERVILLE, CALIFORNIA) June 23, 2022 — Today Assemblyman Kevin Kiley (R-Rocklin) released the following statement after news that President Joe Biden is seriously considering a federal gas tax holiday and an announcement by Assembly Democrats about the creation of a new committee on gas prices:

“The evidence shows that gas tax holidays in other states are giving consumers real savings. Even the President is now finally recognizing this is the best way to provide relief to struggling families. Rather than launching a new ‘investigation,’ Governor Newsom and legislative leaders need to immediately suspend our state gas tax, which is almost 3 times higher than the federal tax.”

A federal gas tax holiday would save drivers over 18 cents per gallon at the pump. If California suspended its gas tax as well, drivers would save an additional 51 cents for a total of nearly 70 cents per gallon in savings. The Penn Wharton Budget Model released last week shows “evidence that recent suspensions of state gasoline taxes in three states were mostly passed onto consumers.”

This directly conflicts with claims made by Governor Newsom and California legislative leaders that suspending the gas tax would not lead to savings at the pump. Rather than taking meaningful action, today Assembly Democrats announced the creation of a Select Committee on Gasoline Supply and Pricing to “investigate” what can be done to bring down the price of gas. The first hearing will not convene for “a number of weeks” according to the announcement, meanwhile there is still no deal between the Governor and legislative leaders on the best way to provide relief in the state budget.

Assemblyman Kiley introduced AB 1638 in January, an urgency measure to suspend the gas tax and provide Californians with immediate relief. Since that time, the state’s average price of gas has risen nearly $2 per gallon from $4.58 to nearly $6.40. Still, the Legislature has taken no action to help struggling families and the gas tax is set to increase by another three cents per gallon on July 1.

Assemblyman Kevin Kiley represents the 6^th Assembly District, which includes the Sacramento, Placer, and El Dorado County communities of Cameron Park, El Dorado Hills, Fair Oaks, Folsom, Granite Bay, Lincoln, Loomis, Orangevale, Penryn, Rocklin, Roseville, and Sheridan.