Falling Gas Revenue Sharpens CA Infrastructure Fight

As revenues from the statewide gasoline tax tanked amid low prices, lawmakers in Sacramento faced a fiercer debate over how to fund California’s much-needed infrastructure improvements. In the meanwhile, Gov. Jerry Brown’s administration went ahead with huge cuts to the infrastructure budget. According to the Los Angeles Times, “state transportation officials have announced plans to cut funding for road and transit projects by $754 million over the next five years, the greatest reduction in two decades.” The drop, cutting more than a third into last year’s sum, cleared the California Transportation Commission as Brown “used his State of the State address to call on the Legislature to end the gridlock in negotiations over new taxes and fees for transportation projects,” the Times noted. While gas taxes raked in 18 cents on the gallon in the recent past, the Times added, last year receipts plunged to 12 cents a gallon — with analysts predicting another drop this summer to just 10 cents: