Gavin Newsome, California’s “Governor”, some time ago came forth with an edict on the state’s residents. All internal combustion passenger cars will be banned from sale starting 2035. Trucks and commercial vehicles will also follow suit when technology allows.
Road conditions in California have degraded since democratic rule began right after the Gray Davis recall. Money meant for roads found new places to go. That money comes from gasoline taxes. In 2018, California brought in 4.3 Billion US Dollars in gas tax revenue…..
So, when we are all driving electric cars and trucks, how will California deal with the tax shortfall if no one is buying that filthy gasoline? I thought about that. And I wondered if Gavin Newsome had thought of that. Well, after about 5 seconds of research, I found someone who had done a LOT of research on it.
Jennifer Ricciuti of La Salle University, in August of 2020, presented in her Analytics Capstone report, a very thorough paper called “Impact of Lost Gas Tax Revenue Due To Sale of Electric Cars”.
The Big Takeaway from her paper, as she states “Results from the analysis indicate that the states can recoup lost gas tax revenue by implementing a break-even yearly Electric Vehicle surcharge that is approximately 550 times the current sales tax per gallon. These yearly surcharge amounts range from the lowest, which is $80.00 for Alaska to the highest, which is $320.00 for Pennsylvania. For 47 states plus District of Columbia, layering anadditional $5.00 to this annual surcharge would extend revenues collected beyond break-even to yield a surplus. ” Remember, it will be the Jennifer Riccuitis of the world who will helping the future Governor to implement this edict, and to pay for it.
So Glad that in 2035, I’ll be 77 years old, probably on a fixed income and burning up my 401K retirement a little faster, say by $300 bucks more a year, in annual vehicle registration. And, that will be $300 on top of your already high DMV license fees for the privilege of hitting nasty potholes still left on California streets.
4 replies on “Gavin Newsome, Pot (hole) Head”
Gavin newsome is the most vapid, witless, arrogant, and insincere person to be elected Gov. of california. He has a good example in his “anty” Pelosi.
If only he’d turned out to be the Anti-Pelosi.
Arrogance must run in the family.
It has always seemed odd to me that our “betters” who create these mandates never seem to consider the unintended consequences (assuming they are unintended).
It stands to reason that if you eliminate gasoline engines then the associated tax revenue is eliminated as well. My guess is that the State will require a transponder be affixed to all electric cars and that some kind of tax per mile will be assessed on those vehicles. There is no free lunch and the lost revenue from diminished gasoline sales will have to come from somewhere.