Enacts the "gas tax holiday act"

Showing the cosponsors who are on Agora, A to Z. The official record may list more.

• Democratic5
• Republican2

This bill has cosponsors from more than one party.

Shown in neutral colors by design; Agora is non-partisan.

◆ The sponsor's argument

Why Kevin S. Parker says this is needed

Existing law, the motor vehicle fuel tax law, imposes a tax upon each gallon of motor vehicle fuel removed from a refinery or terminal rack in this state, entered by this state, or sold in this state, at a specified rate per gallon. A sales and use tax is also imposed on natural gas. Currently, gas prices at the pump for motor fuel nears or exceeds $3.5 per gallon across the state, due to supply chain shortages, war and federal administration decisions including but not limited to trade and tariffs and tax prices. Abrupt hikes recently imposed on customer energy bills, also for similar reasons, have left many with bills 4 times high- er than their previous and usual amount. Subsequently, consumers are left unable to pay their energy bills and overwhelmed with the prospects of a lengthy debt sentence Especially problematic as the state continues to struggle with accounting arrears and the payment of such. These pric- es show little indication that they will decrease without intervention. A "gas tax holiday" is a limited yet effective way to provide families with modest relief and support local businesses and employers. Although, gas cannot play a long-term role nor will any new gas infras- tructures be built in the state, it plays a short-term role in reducing our reliance on coal-fired electricity for a smooth transition to inter- mittent renewable sources such as solar and wind. A momentary tax break in response to the recent surges would aid current rates and help with easing resident's financial burdens. This bill would suspend the imposition of taxes on motor fuel gas and the state sales. The rate will be lower for sellers and distributors, who must then pass it down to consumers via lower utility rates and lower fuel cost. The benefits received from the tax shall also be prop- erly appropriated under the act.

This is the sponsor's own case for the bill, quoted from their memorandum. It is not Agora's description of what the bill does.