Overview
- The Assembly-approved AB 1421 is now before the Senate Rules Committee and does not impose a mileage fee on drivers.
- The bill directs the California Transportation Commission and Transportation Agency to study potential road‑usage charge systems and report to lawmakers in 2027, with study authority extendable to 2035.
- State officials project roughly $31 billion in lost fuel‑tax revenue over the next decade due to higher fuel efficiency and rising electric‑vehicle adoption.
- California’s August 2024–January 2025 pilot tested mileage‑measurement approaches and evaluated a potential rate near 2.8 cents per mile, providing inputs for the new study.
- Public opposition centers on costs, privacy and fairness, while legal analysts say any future per‑mile charge would likely require employer reimbursement under California Labor Code Section 2802.