Gas prices, Sacramento, April 4, 2026. (Photo: Katy Grimes for California Globe)
Rep. Kevin Kiley Introduces the Gas Tax Reduction Act Focusing on CA High Gas Taxes
His bill will stop states like California from overtaxing their residents
By Katy Grimes, April 9, 2026 8:37 am
AAA reports the U.S. average cost for a gallon of regular unleaded gas is $4.17. In California that same gallon of gas will cost you $5.92, and in some parts of the state $6.78 per gallon.
A gallon of diesel in California is $7.75, on average, and significantly higher in many locations, as the photo above shows at $8.29 in Sacramento.
AAA gas prices today, April 9, 2026 are up, but not because of President Donald Trump as Gov. Gavin Newsom would have you believe. The Globe thinks Newsom is just trying to blame anyone but himself for refineries closing and oil and gas companies leaving the state, entirely due to Newsom’s and Democrats’ reckless and destructive regulations and laws. Last year Newsom even accused gas companies of price gouging the consumer.
California Rep. Kevin Kiley just announced a solution to California’s highest-in-the-nation gas prices.
Kiley announced Wednesday he is “officially introducing the Gas Tax Reduction Act. This will stop states like California from overtaxing their residents.”
I am officially introducing the Gas Tax Reduction Act. This will stop states like California from overtaxing their residents. pic.twitter.com/9gYA0wU5UA
— Rep. Kevin Kiley (@RepKiley) April 8, 2026
Why is Kileys bill needed?
Take a look at the AAA map of the U.S.:
Interesting how so many of the blue states have the country’s highest gas prices…
And remember, Nevada and Arizona buy most of their gas from California.
This will stop states like California from overtaxing their residents, Kiley says, by “withholding funds from states for noncompliance with state gas tax restrictions.”
For comparison, gas in Montana is $3.92 per gallon; $3.87 in Wyoming; $3.87 in Texas; $3.48 in Oklahoma; $4.42 in Illinois; $5.63 in Hawaii; $4.13 in Florida; and $4.14 in New York.
Here is his bill so far – we are looking forward to watching this play out:
A California native and Navy mom, Katy lives in Sacramento, CA.
I like Kiley’s bill as I understand it, but hold back trigger should be 19 cents instead of 51 cents. Something also needs to be done about cap and trade as well as driving refineries out of the state. The left is real loud about crumbling bridges and deteriorating roads while seeking new taxes, but CA government does little to nothing to repair such problems after finagling a car related tax increase.
California has 9 refineries producing transportation fuel, Alaska 3. California has almost 40 million people, Alaska less than 733,000. California has 43,777,777 people per refinery, Alaska has 244,224 people per refinery. The california end market is easily serviced for delivery, Alaska is much more spread out and the end market is more difficult to service in winter. According to the chart, and not taking into account the capcities of individual refineries referenced above, Alaska has lower gas prices than California.
Current California refinery capacity should be around 1,353,871 a day. While Alaska has a tremendous oil extraction volume, refinery output isn’t sufficient to meet domestic needs, so Alaska must import refined fuel. California has driven out a number of refineries while choking crude output, and is also importing refined fuel. California and Alaska are in the same fuel shortage basket, but gas is cheaper in Alaska.