One thing the Dems should do, especially in states or cities they gain power, is to avoid the temptation to use consumption taxes of any sort to micromanage either funding or behavior. People hate consumption taxes, and notice them much more than income tax withholding. The amount of funds derived is also usually puny, and if not regressive, definitely not progressive. I do make an exception for a carbon tax, properly structured which IMO is more of an “externalities tax” than a consumption tax.
On the issue of the CA gas tax, it’s really pretty dumb - it raises tiny money and gives the GOP a hook for campaigning. People notice it, and hate it, and yet it doesn’t bring in much money.
For example, the avg working adult in CA will use about 400 gallons of gas in a year, meaning they will pay $60 in gas tax. That’s a small amount, only a bit over a buck a week, and yet it’s buck that slaps people in the face when they go to the pump. It’s not rational, but it is human nature.
Compare that $60/yr per working adult in revenue ($60 X roughly 22 million working adults is $1.3 billion, or about 0.6% of all state/local combined spending in CA.) Pocket change, but pocket change that pisses off voters.
By contrast a 1% increase in income tax on the top 20% of earners in CA would bring in approximately 10 times the total revenue as a gas tax and although high earners would oppose it initially, it would fade into the background quickly (no weekly slap in the face) and it would not impact most voters. It would be progressive, not regressive also.
I guess this is a pet peeve of mine but conservatives often pass stupid “sin” taxes and liberals often pass stupid targeted taxes, and we should avoid both. Tax to obtain the revenue needed; don’t micromanage; tax progressively, and try to keep it simple if possible. Those are my general principles for tax policy.
Anyhow, TLDR: gas tax = dumb.