SEATTLE NEWS ARCHIVES & FEATURES

Sound Transit lawsuit kicks off over ST3 car tab fees

Jun 5, 2018, 6:30 PM | Updated: Jun 6, 2018, 1:30 pm

car tab, car-tab fees, sound transit lawsuit...

(MyNorthwest)

(MyNorthwest)

The issue of Sound Transit’s car tab controversy isn’t going away. In fact, the matter is likely headed to court through a lawsuit alleging the agency violated the state constitution when it presented ST3.

“The ball is in their court,” Joel Ard told KTTH Radio’s Todd Herman. “Things like class certification are just a short way down the road.”

RELATED: Professor testifies that ST3 violated Washington constitution

Along with Professor David DeWolfe, Ard has filed a complaint with the intention to sue Sound Transit over the car tab issue. The transit agency was served with the notice Tuesday. It will have some time to respond before the case progresses to a court where Ard aims to achieve class action status. The plaintiffs seek to recover $240 million of “unauthorized taxes paid to Sound Transit by vehicle owners in King, Pierce, and Snohomish counties, and to prevent the collection of such unauthorized taxes in the future.”

Voters approved Sound Transit 3 in 2016. It’s a taxing package to fund mass transit infrastructure over the coming decades. Part of the package adds to car tab fees. But drivers were shocked when they got their next car tab bills. It turns out, Sound Transit opted to use an outdated method of calculating car tab fees. It’s a method that has been frequently rejected by lawmakers in the past. The result has been inflated vehicle values and higher fees.

And to accomplish this, Sound Transit had to modify state statutes.

“The essential thing here is that our state constitution has some great protections in it for citizens … if you are going to amend a statute, you have to say what you are changing. You have to point to the existing statute and what it says, and how it is going to be different in the future. That wasn’t done in the legislation that enabled the Sound Transit 3 bond issuance.”

Sound Transit’s statement:

The lawsuit seeks to eliminate Sound Transit’s ability to collect voter-approved MVET revenues. It challenges provisions of extensively debated legislation under which collections currently use the same vehicle depreciation schedule that has been in place for two decades. We are confident in the validity of the law and will be reviewing and responding to the lawsuit. Since voters’ decisive approval of ST3 highway congestion has only worsened, and it will continue to worsen. Any reduction of MVET revenues would delay or kill voter-approved transit alternatives.

Sound Transit lawsuit

Ard said that Sound Transit’s ST3 package was unclear as to how the agency wanted to use car tab fees. He says the average voter would not know what they were reading when researching ST3.

“It’s a big statute. It’s a 100-plus pages long,” Ard points out. “And buried in there is a section that doesn’t really make a lot of sense. You have to put in a lot of time to figuring out what they are getting at. You have to have access to all sorts of legislative history materials and so one.”

“And the state constitution says you are just not allowed to do that,” he said. “You’ve got to give fair notice to people when you put together a bill and tell them what you are up to.”

Ard plans to argue that the ST3 motor vehicle excise tax is unconstitutional, given how Sound Transit presented it.

This is essentially what Professor DeWolfe told a legislative committee in September 2017; that Sound Transit was not clear about its intentions with voters:

My opinion was that this (ST3) statute didn’t follow the constitution and if it were brought before a court, I believe a court would say, ‘Sorry, this is unconstitutional. It didn’t follow the procedure you were supposed to follow in preparing something for a vote.’

Ard said that it does not matter if Sound Transit meant to mislead voters or not. What counts is if the process used to get the ST3 initiative passed was clear and understandable.

“It really doesn’t matter whether you meant to do it or did it accidentally,” he said. “It’s something the (State) Supreme Court has held … that is not merely about what legislators want, or drafters want, it is a protection for the citizens of the state to know what their legislators are voting on. It’s hard to call your legislator and say ‘Don’t vote for that bill, I’m opposed to it,’ if you can’t figure out what the bill means.”

Associated Press

Israel’s president taps opposition candidate Eisenkot to form a government, in setback for Netanyahu

JERUSALEM (AP) — Israeli President Isaac Herzog said Saturday night that he was giving opposition candidate Gadi Eisenkot the first opportunity to form a governing coalition following elections on Oct. 27. Eisenkot, a former military chief, ran as the main challenger to Prime Minister Benjamin Netanyahu, leading a bloc of parties seeking to oust Israel’s […]

18 minutes ago

FILE - Jessie Liu, then U.S. Attorney for the District of Columbia, speaks during a news conference...

Associated Press

Judge wants former US attorney to investigate whether the government misled her in Trump golf case

WASHINGTON (AP) — A federal judge said Saturday she intends to appoint an ex-top federal prosecutor in the nation’s capital during President Donald Trump’s first term to investigate whether she was purposefully misled by lawyers and administration officials in a lawsuit challenging one of his prized Washington construction projects, the renovation of a historic public […]

2 hours ago

Los Angeles Mayor-elect Nithya Raman speaks on Thursday, Nov. 5, 2026, in Los Angeles. (AP Jae C. H...

Associated Press

Nithya Raman to take charge in LA amid homeless crisis and political division

LOS ANGELES (AP) — In her bid for Los Angeles mayor, Nithya Raman ran as an outsider. The democratic socialist didn’t win a single endorsement from her 14 colleagues on the city council. The police union opposed her, she had friction with the Jewish community and the Democratic establishment lined up squarely behind the incumbent, […]

5 hours ago

Associated Press

Berkshire Hathaway buys back $9.6 billion of its own stock but its profits declined

OMAHA, Neb. (AP) — Berkshire Hathaway repurchased $9.6 billion worth of its own shares in the third quarter, but Geico disappointed and its overall profit fell more than 28% as the value of its investments changed. But the buybacks likely came to a halt recently as Berkshire’s Class A stock price surged past $878,000 and […]

5 hours ago

Options traders, including Ravi Bhandari, center, works on the floor of the New York Stock Exchange...

Associated Press

From high-flying AI stocks to tariff-hit alcohol companies, the midterms shook up Wall Street

NEW YORK (AP) — The overwhelming victory by the Democrats in the midterm elections shook up Wall Street this week. The biggest tremors were felt in shares of companies tied to the boom in artificial intelligence on concerns that a Democratic Congress will put the brakes on further development of data centers. Defense and oil […]

6 hours ago

First lady Melania Trump speaks during a meeting with Russian and Ukrainian representatives in the ...

Associated Press

Melania Trump and LSU are set to announce a scholarship program for students who were in foster care

WASHINGTON (AP) — Melania Trump was headed to Louisiana on Saturday to announce a partnership between Louisiana State University and her “Fostering the Future” program to provide scholarships for LSU students who came through the foster care system. The first lady also planned to attend the LSU-Alabama football game in the afternoon. The foster care […]

7 hours ago

Sound Transit lawsuit kicks off over ST3 car tab fees