Colorado Politics

House Democrats OK bill to save Coloradans about $13 in gas, vehicle registrations

Democrats in the state House passed a bill Monday to delay a gas fee and reduce a vehicle registration fee, saving the average Coloradan just under $13 by the end of 2023.

The measure is a key plank of the Democratic majority, which earlier this year outlined an agenda to offer economic relief to Coloradans facing soaring inflation and rising prices of commodities. Republicans blame Democrats for the crisis, arguing the majority approved raised they fees they are now trying to delay in an election year. 

If enacted, House Bill 1351 would delay the start of the phased-in road usage fee of $0.02 per gallon from July 1, 2022 to April 1, 2023. The bill would also decrease the road safety surcharge for vehicle registrations in 2023 by $11.10 – $5.55 more than the currently scheduled fee reduction.

Though the state estimates the bill will save Coloradans a collective $79 million, it works out to about $5.55 in savings for annual vehicle registration fees and $7.20 in savings for gas for an average 24-gallon vehicle that fills up 15 times during the bill’s implementation period, according to calculations from bill sponsor Rep. Dylan Roberts.

“In the last few months, gas prices have been driven up by national and global influences, so at a state level, we have a responsibility to adapt and do whatever we can to save Coloradans money at the pump,” Roberts, D-Avon, said. “This bill will help Coloradans keep some money in their pockets.”

The House passed the bill in a 38-25 vote on Monday, with all Republicans in opposition and all Democrats in support, except for Boulder Democrat Rep. Judy Amabile. The bill now heads to the Senate for consideration. 

Some opponents said Democrats are taking credit for delaying the gas fee that they established in the first place. The $0.02 per gallon fee scheduled to go into effect in July was created by SB21-260 – a $5.4 billion, 10-year plan to build out roads and bridges, create electric vehicle charging stations, boost mass transit and mitigate air pollution.

SB21-260 passed the legislature almost entirely along party lines, with all but one Democrat voting for the bill and all but one Republican voting against it. The defectors were Vail Democrat Sen. Kerry Donovan and Henderson Republican Sen. Kevin Priola.

“While I do love a good fee reduction, the problem with this one is SB21-260 … was forced through by the ruling majority,” said Rep. Kevin Van Winkle, R-Highlands Ranch. “This simply delays that fee increase that was forced through for a couple months. We ought to get rid of those fees altogether, if you ask me.”

Other opponents said the small savings provided by the bill are not worth the trouble.

Supporters argued that every penny counts – thanks to changing global conditions since SB21-260 passed last year. They pointed the economy’s recovery from the COVID-19 pandemic and the war in Ukraine as significantly rising the price of gas.

Last month, the average gas price in Colorado hit $3.91 per gallon, nearing the all-time state record of $4.09 from 2008, according to AAA Colorado.

“This bill will provide relief to Coloradans when they need it most while keeping critical infrastructure projects on schedule,” said bill sponsor Rep. Barbara McLachlan, D-Durango. “Coloradans are feeling the impacts of pandemic-induced inflation and supply chain challenges that are driving up the cost of gas, so we are providing immediate relief.”

Under the bill, one-time federal COVID-19 relief funds would be used to offset the nearly $80 million decrease in revenue from the fee reductions.

gas pump gas station shell
Jakob Rosen/Unsplash

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