April 13, 2026
Mr. Kiley of California introduced the following bill; which was referred to the Committee on Transportation and Infrastructure
To amend title 23, United States Code, to provide for withholding of funds for noncompliance with State gas tax restriction, and for other purposes.
Section 1. Short title
This Act may be cited as the Gas Tax Reduction Act
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Sec. 2. Withholding of funds for noncompliance with State gas tax restriction
(a) In general
Chapter 1 of title 23, United States Code, is amended by adding at the end the following:
180. Withholding of funds for noncompliance with State gas tax restriction
The Secretary shall withhold 8 per centum of the amount required to be apportioned to any State under each of paragraphs (1) and (2) of section 104(b) on the first day of each fiscal year after the first fiscal year beginning after the date of enactment of this section in which the tax for gasoline in such State is equal to or greater than $0.50 per gallon.
(b) Clerical amendment
The table of sections for chapter 1 of title 23, United States Code, is amended by adding at the end the following: