Increased Gas Taxes, Vehicle Fees To Fund California Road Repair Deal

SACRAMENTO, Calif. (AP) — Fuel taxes and vehicle fees are set to increase for California residents after state lawmakers passed a major transportation funding deal championed by the governor. The legislation, known as SB1, aims to raise $52.4 billion over 10 years to fix a massive backlog in road and bridge repairs. Only one Republican in the Legislature voted for the measure, with opponents saying the state already collects plenty of money but has diverted it to other uses.

Here’s where the money would come from:

— $24.4 billion by raising gasoline excise taxes. In November, the tax will increase 12 cents per gallon, or 43 percent above the current rate of 27.8 cents, and it will continue to rise over the next few years. The total California gas tax is projected to be approximately 46.7 cents in July 2018 and 47.3 cents in July 2019. Starting in 2020, the tax will change with inflation.

— $7.3 billion by raising the current 16-cent-a-gallon diesel excise tax by 20 cents — a 125 percent increase.

— $3.5 billion by increasing the state diesel sales tax from 9 percent to 13 percent.

— $16.3 billion from an annual transportation improvement fee based on a vehicle’s value, similar to what owners already pay annually to the state Department of Motor Vehicles. The fees range from $25 for vehicles valued at less than $5,000 to $175 for vehicles topping $60,000. The administration says nearly nine-in-10 vehicles would be assessed a fee of $50 or less.

— $200 million from a new $100 annual fee, starting in 2020, on zero-emission vehicles.

— $706 million in repayments of transportation funds that had previously been loaned to the state’s General Fund.

The money would be split between state and local governments. Here’s where it would go:

— The local share includes $15 billion to fix potholes, $7.5 billion for public transportation and $1 billion for walking and biking trails.

— The state share includes $15 billion for highway repairs, $4 billion for bridge and culvert repairs, $2.5 billion to reduce traffic on major commuter routes.

Comments

One Comment

  1. Jerry Cason says:

    LETS SEE THE DEMS SPENT THE ROAR TAX MONEY ON OTHER THINGS THEN THEY RAISE THE TAX BECAUSE THEY RAN OUT OF MONEY.THATS WHAT THE DEMS DO AND PEOPLE KEEP VOTING FOR THEM.MAYBE SOME DAY THE PEOPLE WILL GET THEIR HEADS OUT OF THIER ASS AND VOTE THEM OUT.MOONBEAM USED PART OF THE MONEY TO BUY VOTES FOR THE TAX.

  2. Once collected the money will come from the General Fund. Then over a few years this money will disappear, as the last tax for road repairs did! This is a scam to be able to recoup lost Federal funds, lost due to Sanctuary Cities.

  3. Most of the road work will be done by illegal alien labor.
    So, even more of your tax dollars will go to the illegal alien community.

    In a corrupt, deep-blue Lost Cause like California, the LAST thing you want to do is
    *** feed even more tax dollars to the democrat-controlled monster***

  4. Something the democrats would never allow into the bill:
    Construction contractors must use E-Verify on all workers.
    If you are not a lawful immigrant or citizen, you will not be employed and be paid with the new tax dollars.

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