Overview
- AB 1421 cleared the Assembly and is now in the Senate Rules Committee, and it authorizes a study rather than imposing a mileage tax.
- The California Transportation Commission and state Transportation Agency must evaluate options and report to lawmakers by Jan. 1, 2027, with study authority that can continue to 2035.
- State officials point to shrinking gas‑tax revenue of roughly 61 cents per gallon, with the Transportation Commission projecting a $31 billion shortfall over the next decade.
- Some media have cited hypothetical rates of two to nine cents per mile, or roughly $228 to $1,026 annually for an average driver, but these figures are illustrative and not part of the bill.
- Debate has centered on costs for long‑distance commuters and driver privacy, and author Lori Wilson says the review will examine equity protections and does not endorse any mileage‑tracking method.