Mr. Speaker, Californians could soon be paying over $8 a gallon for gasoline. That is the result of the disastrous policies that have been imposed by Gavin Newsom and the California Legislature's supermajority. The most recent news is that there are two refineries that are closing operations in California: the Phillips 66 refinery in L.A. by the end of 2025, and the Valero refinery by April 2026. According to a letter from Senate Minority Leader Brian Jones in California, these two facilities produce about 20 percent of California's in-State gasoline supply. According to a recent study by USC Professor Michael Mische, the effect of this is going to be an increase in gas prices in California of up to 75 percent by April of 2026. The projections estimate a 33.6 percent increase just by April of 2025. By next year, 2026, we could see prices rising as high as $8.43 per gallon by the end of 2026. This is because we are going to see a severe decline in in-State production. Indeed, it could fall from over 34 million gallons per day in 2023 to just 27 million gallons by the end of 2026. Then you factor in the higher transportation costs. You are going to see Californians not only paying these astronomical prices at the gas station, but it is going to increase the cost of goods and services throughout the economy. That is not to mention that it is going to lead to the loss of hundreds of jobs for the folks who were working at these refineries. The gas that we are now going to have to import from other States or other countries is not only going to cost a lot more, but it is going to be way worse for the environment, releasing way more emissions. The fact is California already has, by far, the highest gas prices in the country. We pay over 30 cents more than second-place Hawaii, which is an island State. This is because of nonsensical regulations, including the new fuel standard that was just recently imposed by the Air Resources Board, as well as a slew of other regulations relating to the fuel mix and other factors, as well as having the highest gas tax of any State in the country. By the way, you would think that, since we have the highest tax, we must have great roads as a result. No, that is not the case either. We have just about the worst roads of any State in the country. How does that work: highest taxes, deepest potholes? It is a stark illustration of our State government's utter inability to provide effective services to our citizens. Mr. Speaker, I am calling on Governor Newsom and the State legislature to take immediate action to prevent Californians from having to pay over $8 a gallon for gas by the end of next year. We need immediate action to overturn regulations and to restore common sense in our State. Fraud in California
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