The State of California has yet to pass a mileage tax to replace the gas tax.

Palmdale, California,- Assembly Bill 1421, a legislative measure, has been approved to extend a long-standing study on the feasibility of implementing a mileage-based taxation system for drivers in the state.

Last week, the California Assembly passed Assembly Bill 1421. The bill mandates the California Transportation Committee to conduct a study on the idea and submit a comprehensive report next year.

The revenue generated from this tax would be allocated towards funding road maintenance and other transportation-related expenditures within the state.

California currently has the highest gas taxes among the 50 states. The state’s current excise tax is 61.2 cents per gallon, in addition to the state’s 2.25% sales tax.

The bill requires the California Transportation Commission to compile and consolidate data from state, local, and private entities. The commission must submit a comprehensive report to the Legislature by January 1, 2027.

The proposed study will now be sent to the Senate for a series of hearings and a final vote.