LOS ANGELES (CBSLA) – California’s gas tax increased Wednesday by 3.2 cents per gallon.
The tax hike, which took effect on the first day of the new fiscal year, July 1, now brings California’s gas tax to 50.5 cents per gallon. The increase is based on the state’s inflation index.READ MORE: Hart High School Investigating Threat Scrawled In Campus Restroom
The hike is part of Senate Bill 1, the Road Repair & Accountability Act, which the California Legislature passed in April of 2017 and includes increases in gas taxes and vehicle registration fees.
The bill is designed to raise over $5 billion per year for road repairs and infrastructure improvements.READ MORE: COVID-19 Vaccination Rates Among LAPD And LAFD Well Behind LA County Residents
It increases annually based on the California Consumer Price Index.MORE NEWS: Broadway Is Back: 'Moulin Rouge!' Takes Top Prize At Tony Awards
California’s gas prices have been consistently higher compared to the rest of the nation. Last October, Gov. Gavin Newsom asked the attorney general to investigate why.