WASHINGTON – Congressman David Valadao (CA-22) led members of the California delegation in sending a letter to Governor Gavin Newsom, urging him to suspend the state’s upcoming gas excise tax increase on July 1, 2026. Beginning next month, the tax will rise from 61.4 cents per gallon to 63.4 cents per gallon, meaning drivers will pay a combined total of 71.4 cents per gallon extra when factoring in the state sales and use tax rate. These taxes don’t include the other mandated fees that cumulatively result in a staggering $1.15-per-gallon surcharge on every gallon of gas sold in California. 

For the last four years, Congressman Valadao has led efforts to suspend the annual July 1st gas excise tax increase to provide much-needed relief to California families. Congressman Valadao was joined in the letter by Reps. James Gallagher (CA-01), Kevin Kiley (CA-03), Tom McClintock (CA-05), Vince Fong (CA-20), Jay Obernolte (CA-23), Young Kim (CA-40), Ken Calvert (CA-41), and Darrell Issa (CA-48).

“California drivers pay almost $2 more per gallon than the national average, yet Governor Newsom continues to advance policies that will drive prices even higher,” said Congressman Valadao. “Central Valley families are already feeling the strain of California’s high cost of living, and they can’t afford to pay an extra 71 cents per gallon every time they fill up their tanks. For years, I’ve urged Governor Newsom to suspend the annual gas excise tax increase and pause regulatory measures that raise prices for consumers, but those calls have gone unanswered. It’s past time for Sacramento to stop these harmful price hikes, prioritize domestic energy production, and ease the burden on hardworking Californians instead of adding to it.”

The letter comes one year after the California Air Resources Board (CARB) implemented updates to the state’s Low Carbon Fuel Standard (LCFS) which it claimed would save Californians billions of dollars. Instead, these regulations have directly contributed to rising fuel prices for both energy producers and everyday consumers.

"According to AAA, the average price of gasoline in California is currently $5.58 per gallon—the highest in the nation and $1.65 above the national average," the letter states. "State and local taxes, along with regulatory programs such as the LCFS, Cap-and-Trade, and the State Underground Storage Tank Program, are significant contributors to these elevated costs, collectively adding approximately $1.15 per gallon, or roughly 20 percent of the total price. Given these already high costs, further increasing the excise tax would only place an unnecessary burden on consumers and businesses across the state."

Instead of further unaffordable increases to the state’s gas excise tax, the lawmakers urged Governor Newsom to prioritize commonsense energy policies that will provide meaningful financial relief for all Californians.

"California families are already being crushed by the highest fuel prices in the nation, and now they’re set to increase even more," said Rep. Gallagher. "As gas prices continue to spike, the impact will extend far beyond the pump. Higher transportation and fuel expenses will increase the cost of everyday goods and services for hardworking California families and businesses. Gavin Newsom and the Democratic-controlled Legislature should act now to stop this increase on July 1st and help protect Californians from even greater financial hardship."

“When Governor Newsom closes our oil refineries and jacks up taxes, he’s not fighting the oil industry – they just move on – he’s fighting California consumers, employers and families who struggle to pay his highest in the nation taxes,” said Rep. Kiley. “Beginning July 1, just as Americans are preparing to travel for the holiday weekend, the gas tax in California will rise from 61.4 cents per gallon to 63.4 cents per gallon. All we are asking for is a pause, so consumers reeling from California’s enormous taxes can get a break this summer.”

"The gas tax was promised to be used to maintain and expand our roads," said Rep. McClintock. "Sacramento politicians have made a mockery of that promise - charging the highest gas tax in the nation while starving our highways.  The biggest price gouger in California IS California."

"Californians already pay the highest gas prices in the nation, and more than half of every gallon’s cost is driven by Sacramento’s taxes, mandates, and regulations," said Rep. Fong. "Raising the gas tax now would only make life more expensive for families who are already feeling the strain of California’s high cost of living. Governor Gavin Newsom should stop this gas tax increase and focus instead on expanding domestic oil and gas production to help lower energy costs."

“Increasing the gas tax again will only make life more expensive for families, workers, and small businesses who are already struggling with the high cost of living,” said Rep. Obernolte. “Californians already pay the highest gas taxes in the nation, yet our roads remain among the worst. One-party rule in Sacramento has spent years piling on taxes, mandates, and regulations that drive up the cost of fuel and make our state less affordable for California families. Before raising the gas tax yet again, Sacramento should focus on commonsense policies that lower costs, improve our fuel supply, and actually fix the roads Californians are already paying for.”

“Gavin Newsom’s newest gas tax will cause Californians to pay $1.15 extra per gallon every time they fill up,” said Rep. Kim. “Californians have suffered enough. Newsom must suspend this gas tax and for once give hardworking families the relief they deserve.”

“Since California Democrats passed this automatic gas tax increase, it has more than doubled from 27.8 cents per gallon to now 63.4 cents per gallon," said Rep. Calvert. "Californians pay the highest gas prices in the country but rarely see any road improvements, freeway expansions, or improved commute times.  Governor Newsom should suspend the tax and give Californians much needed relief at the pump.”  

“California drivers already pay the highest gas prices in the nation, but not high enough for Gavin Newsom and Sacramento Democrats and their appetite for even more pain at the pump, said Rep. Issa. “Along with all my GOP colleagues from California, we’re calling this out and urging a better way: common-sense energy policies that will deliver more supply, lower prices, and lasting relief for all Californians.”

Read the full letter here.

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