Which states, cities are offering up to $1,050 because of high gas prices?
The national average price of a gallon of gasoline is $4.06, down from $4.75 a month ago. And while prices are dropping, they remain unusually high, especially when drivers are also dealing with inflationary prices on everything from food and housing to utilities and everyday necessities.
Some lawmakers are looking for a way to help buffer the impact.
A group of Congressional Democrats have introduced the Gas Rebate Act that would provide $100 per month for adults and $100 for each dependent for the remainder of 2022 for any month where the national average gas price exceeds $4 a gallon.
The plan is modeled after previous stimulus checks designed to jumpstart the economy amid the COVID-19 pandemic. The first stimulus payment of $1,200 per person was made in March 2020 followed by $600 in December 2020 and $1,400 in March 2021.
Like the earlier stimulus payments, the gas money would be sent to single filers earning less than $75,000 per year before phasing out for those making $80,000 or more. Joint filers earning less than $150,000 would receive the payments, phasing out at $160,000.
Some states and cities aren’t waiting for Congress to act, however. Here’s a look at some of the gas rebates being offered or considered:
California: California, home to some of the nation’s highest gas prices, has suspended the state sales tax on diesel fuel. The state is also providing general “inflation relief” checks of $1,050 per family. Eligible recipients will start receiving payments in October with all rebates issued by January 2023.
Gov. Gavin Newsom failed, however, in a plan to distributed $400 debit cards, up to two cars per family, to cover the high cost of gas.
North Carolina: Democratic state senators in North Carolina proposed giving all licensed drivers a one-time payment of $200 towards gasoline. The plan would cost $1.3 billion and would be covered by the state surplus.
The measure is still under consideration. If it passed, the payments would start Oct. 1.
Chicago: Chicago is issuing 50,000 prepaid $150 gas cards and 100,000 prepaid $50 transit cards. To be eligible, recipients must be at least 18 years old, in possession of a valid driver’s license and earn no more than $73,000.
The city is accepting applications for the cards and recipients will be chosen monthly via via lottery.