Rep. Kiley Introduces Bill to Cut Federal Highway Funds for States With Gas Taxes Over 50 Cents
The Gas Tax Reduction Act was recently introduced in the House and is currently waiting for review by the Committee on Transportation and Infrastructure. There are no upcoming votes scheduled at this time. The bill is still in the early stages of the legislative process.
This bill targets specific high-tax states and would likely face strong opposition from those states' representatives and anyone worried about road funding.
Homeowners in high-gas-tax states could benefit from lower gas prices if their state cuts its tax to avoid losing federal funds. However, if their state refuses to comply and loses 8% of federal highway money, the roads and infrastructure in their community could deteriorate, potentially affecting property values and commute quality.
“The Secretary shall withhold 8 per centum of the amount required to be apportioned to any State under each of paragraphs (1) and (2) of section 104(b)”
Referred to the House Committee on Transportation and Infrastructure.
Introduced in House
The bill was officially filed and given a number. It now enters the legislative queue.
No votes have been recorded for this legislation yet.
Rep. Kevin Kiley (R-CA) introduced the Gas Tax Reduction Act, which would cut federal highway funding by 8% for states with gas taxes at or above $0.50 per gallon. The bill targets high-tax states like California to pressure them into lowering costs for drivers.
A new proposal by Rep. Kevin Kiley would penalize states with fuel taxes over 50 cents per gallon by cutting 8% of their federal highway funding. While aimed at passenger cars, the bill could significantly reduce operating costs for the trucking industry in high-tax states.
Representative Kevin Kiley has introduced the Gas Tax Reduction Act, a measure that would withhold federal highway funding from states with gas taxes exceeding 50 cents per gallon. The bill specifically targets states like California, which currently levies nearly 71 cents per gallon.
Document Type
Congressional Bill
Official Title
Gas Tax Reduction Act
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