HomeMy WebLinkAbout07 RESOLUTION NO. 22-26 TO SUPPORT TEMPORARY GAS TAX SUSPENSION WITH NO LOSS OF REVENUE TO LOCAL MUNDocuSign Envelope ID: F5AAB750-D243-4FB0-A521-EE7F836FBF11
AGENDA REPORT
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MEETING DATE
FROM
May 17, 2022
Agenda Item 7
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Reviewed:��
City Manager
Finance Director N/A
HONORABLE MAYOR AND MEMBERS OF CITY COUNCIL
MATTHEW S. WEST, CITY MANAGER
SUBJECT: RESOLUTION NO. 22-26 TO SUPPORT TEMPORARY GAS TAX
SUSPENSION WITH NO LOSS OF REVENUE TO LOCAL
MUNICIPALITIES
SUMMARY:
Proposed Resolution No. 22-26 supports a temporary gas tax suspension to address the
rising fuel costs impacting our community and to protect funding for the City's roads and
infrastructure.
RECOMMENDATION:
Adopt Resolution No. 22-26 and direct staff to send the executed document to State and
local elected officials.
FISCAL IMPACT:
There is no fiscal impact associated with this item.
BACKGROUND:
Rising fuel costs are impacting the people in our community and the proposed gas tax
relief would help ensure money goes back in families' wallets to cover basic necessities
and ensure continuity of funding for local roads and infrastructure projects.
ATTACHMENTS:
A: Resolution No. 22-26
DocuSign Envelope ID: F5AAB750-D243-4FB0-A521-EE7F836FBF11
RESOLUTION NO. 22-26
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TUSTIN,
CALIFORNIA REQUESTNG A TEMPORARY, SIX MONTH, GAS TAX
SUSPENSION
WHEREAS, AAA calculates that the current average cost of regular gasoline in
Orange County is $5.76 per gallon with .51 cents of this being contributed to the state
gas tax; and
WHEREAS, the average cost of regular gasoline at this time one year ago was
$3.95; and
WHEREAS, the highest ever recorded average cost of regular unleaded gasoline
price was reached on March 29th, 2022 at $6.03 a gallon; and
WHEREAS, the AAA national average gasoline cost is currently $4.07. Orange
County residents are paying approximately $1.70 over the national average gas price
which is directly impacting families in the City of Tustin; and
WHEREAS, the County of Orange Board of Supervisors unanimously voted on
March 22, 2022 to write a letter to the Governor, and copy other appropriate local elected
officials, asking for a six-month suspension of the gas tax and for the state to back fill that
with the State's budget surplus; and
WHEREAS, the Governor of California is well positioned to provide for temporary
relief at the gas pump without burdening local municipalities like the City of Tustin who
rely on their proportional allocation of annual gas tax to fund capital improvement projects
by using the estimated $45.5 billion State budget surplus to ensure the critical revenues
cities and counties throughout the State depend on to maintain important infrastructure
like roads are not reduced or suspended due to any fuel related rebates or gas tax
suspension; and
WHEREAS, the City of Tustin residents and employees who commute into Tustin
are expressing their struggles with finding ways to cover these rising fuel costs; and
WHEREAS, rising costs from inflation are impacting the people in our community
and in a region with a census average commute time of 32 minutes, gas tax relief would
help ensure money goes back in families' wallets to cover basic necessities; and
THEREFORE, BE IT RESOLVED that the City of Tustin City Council is requesting
a temporary, six-month, suspension of the state gas tax, and that a signed copy of this
resolution be sent to the Governor and other local elected officials.
PASSED AND ADOPTED at a regular meeting of the City Council of the City of
Tustin held on the 17th day of May, 2022.
Resolution No. 22-26
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DocuSign Envelope ID: F5AAB750-D243-4FB0-A521-EE7F836FBF11
AUSTIN LUMBARD,
Mayor
ATTEST:
ERICA N. YASUDA,
City Clerk
STATE OF CALIFORNIA )
COUNTY OF ORANGE ) SS
CITY OF TUSTIN )
I, Erica N. Yasuda, City Clerk and ex -officio Clerk of the City Council of the City of Tustin,
California, do hereby certify that the whole number of the members of the City Council is
five; that the above and foregoing Resolution No. 22-26 was duly and regularly passed
and adopted at a regular meeting of the City Council held on the 17th day of May, 2022
by the following vote:
COUNCILMEMBER AYES:
COUNCILMEMBER NOES:
COUNCILMEMBER ABSTAINED:
COUNCILMEMBER ABSENT:
ERICA N. YASUDA,
City Clerk
Resolution No. 22-26
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