Feb 04, 2026
California drivers already face some of the highest costs in the nation, and a proposal moving through the state legislature is raising questions about whether driving could eventually become even more expensive. Assembly Bill 1421 has passed the California Assembly and is now in the Senate Rules Committee. Lawmakers behind the bill stress it does not create a new mileage tax or road usage charge. Instead, the bill calls for a study to examine long-term solutions for funding California’s roads as gas tax revenue declines. Any actual mileage-based tax would need to be introduced as a separate bill in a future legislative session. Currently, California collects 61 cents per gallon in gas taxes, which help pay for road maintenance and infrastructure. That revenue has been decreasing as more drivers switch to electric and other clean-energy vehicles. The California Transportation Commission Estimates that increased fuel efficiency and zero-emission vehicle transition will reduce gas tax revenues by $31 billion over the next 10 years. The study would explore the concept of a road usage charge, where drivers could one day pay based on how many miles they drive rather than how much gasoline they purchase. Jean-Daniel Saphores, Ph.d, a professor at the UC Irvine Institute of Transportation Studies, said California’s infrastructure needs have been growing for years. “So there is a shortfall, and we need to find a way to maintain our roads, because we’ve delayed maintenance and the state of our roads is among the worst in the nation,” Saphores said. Saphores said that a study like the one directed b y AB 1421 should be taken very seriously. “It’s just: Californians drive a lot,” Saphores said. “And we’ve not been maintaining our roads. We should have invested more in our road infrastructure. And so now it’s time to kind of catch up.” Critics argue a mileage-based system could disproportionately affect middle- and lower-income families who often commute longer distances for work or school. Privacy concerns have also been raised. Saphores said those issues could be addressed through technology and policy choices. “It’s true: It could be an issue, and we know that people often have to commute more because they cannot afford housing, right?” Saphores said. “Expensive housing is a chronic problem in California, but I think there are ways around it. And then, maybe, based on people’s income, there would be ways for the state to give them some money to compensate them partly for the extra driving they have to do. So we just need to be more creative and to address equity problems as they arise.” The bill was authored by Democratic State Assemblymember Lori Wilson of Northern California, whose office said AB 1421 does not offer or endorse any specific method to track mileage. Those officials also noted that a study would allow the state to examine how pricing programs could be structured and whether discounts or exemptions for certain groups would be appropriate. “Depending on how a pricing program is implemented and the amount of information shared, a pricing program could provide discounts for individuals that are lower-income or drive far distances to lower-paying jobs,” the statement reads, in part. “A road user charge gives more tools to tailor pricing and address equity issues than we currently have with the gas tax.” The bill requires a report back to the legislature in 2027. The study can extend until 2035. This story was originally reported for broadcast by NBC San Diego. AI tools helped convert the story to a digital article, and an NBC San Diego journalist edited the article for publication. ...read more read less
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