California bill penalizing windfall oil profits makes little progress
California lawmakers are having their first public hearing on a proposal to penalize some oil company profits
SACRAMENTO, Calif. (AP) — After gas prices in California spiked to more than $6.40 per gallon last summer, Gov. Gavin Newsom led a charge against an industry he says is “ripping you off."
Months later, it's not clear if California's Legislature is following him.
Newsom, a Democrat, called lawmakers into a rare special session in December to pass what would be the nation's first penalty on excessive oil company profits. But the bill is still sitting in the Democratic-controlled Legislature three months later, with no details on how much the penalty would be or when oil companies would have to pay it.
The oil industry spent about $34 million lobbying the Legislature in the last two-year session and remains a powerful political force, particularly among Democrats who represent parts of the state where the industry provides jobs. The proposal would need support from a majority of lawmakers to pass.
