Senate Bill 1035 (The Gas Tax Relief Act) provides immediate cost relief to Californians by temporarily suspending the state gas tax and other key fuel related regulations for one year. The bill also suspends the Low Carbon Fuel Standard (LCFS), the program designed to reduce the carbon intensity of transportation fuels, and the LCFS market-based compliance system (cap-and-invest) during the same period. In order to ensure consumers benefit directly, the bill requires that all cost savings be passed on to drivers at the pump. To offset lost revenue to the Greenhouse Reduction Fund (GGRF) while the tax is suspended, this bill allows General Fund dollars to be used for transportation projects and maintenance.
MEDIA COVERAGE
Senator Tony Strickland's Bill to Lower Gas Prices in California, (KFBK iHeart Radio, 02/23/2026)
VIDEO
Interview with KNX on Gas Tax Relief Bill, (KNX Radio, 02/21/2026)
CA Republicans propose one-year suspension of gas tax but Democrats push back (CBS 8 San Diego, 02/24/2026)