Here are ideas for Californians to agree on: Suspend the gas tax and send rebate checks

I was keen to learn from Gov. Gavin Newsom how he wants to deal with the scary gas price increases that California is experiencing.

So it was good to hear in his State of the State speech that he wants to suspend the gas-tax hike planned for July, and also rebate California motorists some money to help take the sting out of trips to the pump. Exactly how much each motorist would receive is still being worked out, he indicated.

Here’s some advice for the governor: Be generous. Don’t skimp. Give Californians some real relief. And do it fast — like now.

There are several reasons he should act with boldness and urgency and ignore the hand-wringing of fellow Democrats in the Legislature who want to pump the brakes on suspending the gas tax.

For one thing, another huge budget surplus is coming California’s way. A few months ago the estimate from the Legislative Analyst’s Office was $31 billion. Newsom’s budget now accounts for a nearly $46 billion surplus. Before that figure was developed, the two-year surplus (2020-21 and 2021-22) was estimated at $76 billion.

Californians already face high housing and energy costs. Having the price of gas skyrocket is too much.

Republican party leader Jessica Millan Patterson uses a hashtag, #CantAffordCA, to make that point.

Prices rocket up

A gallon of regular unleaded in California cost an average of $5.57 on Wednesday, according to AAA.

That price was miles above the national average of $4.25. The reason? For starters, California’s sky-high fuel tax. Depending on who is measuring, it is either the highest in the nation or a runner-up (Pennsylvania gets top honors in some assessments). Each gallon pumped in California includes 51.1 cents in state tax; federal taxes add more. For diesel, the primary fuel powering the San Joaquin Valley farm equipment, the per-gallon state tax is 38.9 cents.

Sacramento County’s average per-gallon price Wednesday was $5.47. Stanislaus County was a bit cheaper at $5.38. Fresno County’s average was $5.41, while coastal San Luis Obispo County was cringe-worthy at $5.72. Cheapest county in the state? Kings, at $5.27.

California’s gas is also expensive because it is a unique smog-fighting blend. Also, there are no pipelines linking California to refiners in other states, making California an “oil island.”

Gas tax hurts low-income residents

I have steadfastly opposed the gas tax, unlike opinion colleagues in other newsrooms across the state, and my opposition is steeled even more as the surplus grows.

The gas tax is especially harmful for the San Joaquin Valley because it is one of the nation’s poorest areas. Couple that with the fact that over the last year, Fresno has seen one of the highest rent increases in the country. Renters are a sizable part of the city’s demographics.

Then comes global upheaval caused Russia’s war in Ukraine. Oil prices surge, and the cost of gas, historically high in California, spikes to astronomical levels.

Yet public transportation in the Valley, like in most of rural California, is not robust. Much of the Valley work force must travel significant distances from home to farm for work. The employees do that in their own vehicles.

So when a state budget surplus comes around — again — it is only right that it be used to provide real relief at the pump.

Suspend the tax

The Legislature’s Democratic leaders from Southern California — Anthony Rendon in the Assembly, Toni Atkins in the Senate — are hesitant to shelve the gas tax. They are worried that taking money from the road budget will mean construction projects don’t get done and people are left without work.

But that is where the surplus comes in. They have the money — tons of it. Suspend the tax and use the surplus to pay for road work.

The state Senate’s GOP leader, Scott Wilk of Lancaster, said “Democrats are tone deaf if they think people don’t need a break at the pump.”

Gotta say, I agree with him.

This story was originally published March 10, 2022 at 5:00 AM.