MYNORTHWEST NEWS

New lawsuit accuses Sound Transit of spiking car tab fees since the ’90s

Sep 30, 2019, 1:54 PM

Car tabs, sound transit, No on I-976, license plate shortage...

Washington state is currently copting with a license plate shortage. (MyNorthwest photo)

(MyNorthwest photo)

A second lawsuit has been filed against Sound Transit over car tab fees. While the first lawsuit targets the more-recently-passed ST3, this new class action lawsuit takes aim at the agency’s original proposal approved by voters in 1996.

‘Stunning admission’ during car tabs court case

The lawsuit was filed by seven plaintiffs on Sept. 27. It addresses the fee calculation from the 1990s, known as ST1. It also accuses the agency of over-inflating car values, resulting in higher car tab fees.

According to a press release from the attorneys representing the plaintiffs:

Plaintiffs sued Sound Transit again after the Department of Licensing revealed it has been breaking the law for nearly a decade in its calculation of car tabs. The new class action lawsuit seeks to prevent the DOL and Sound Transit from unconstitutionally hiking vehicle excise taxes under ST1, because the law authorizing higher tax rates (which Sound Transit has ignored for years) failed to follow requirements in the state constitution. The new suit could result in millions more refunds of illegally collected taxes.

The plaintiffs’ counsel Joel Ard argues that the transit agency has broken the law by using an outdated method to calculate car tab fees, one that the state moved away from in the ’90s and inflates the value of a vehicle. He further argues this was illegal and Washington State Attorney General Bob Ferguson has not defended the law equally by not holding Sound Transit accountable.

“Sound Transit and the department of Licensing are required to follow the law and the state constitution in calculating taxes,” Ard said. “The attorney general can’t pick and choose which state agencies and local governments get to break the law. Sound Transit can’t use a repealed law to calculate taxes, but instead has to give taxpayers fair notice of how much they will be charged.”

Another lawsuit currently before the Washington State Supreme Court accuses the agency of doing nearly the same thing to pay for ST3. Attorneys offered a settlement in that case that would force Sound Transit to re-calculate car tab fees and provide partial refunds, but that was rejected.

“Bob Ferguson and Sound Transit simply can’t defend the law with the same factual errors,” he said. “They are going to be forced in this case to admit the truth. The sad part is that the lawsuit and the cost to transit of hundreds of millions of dollars could have been avoided if they had accepted the settlement offer last week. We only hope they elect to resolve these cases before the rapidly approaching deadline for securing a billion and half dollars in federal transit funds that could otherwise go to another state.”

MyNorthwest’s Dyer Oxley contributed to this report.

Please follow our Community Guidelines

MyNorthwest News

The Okanogan-Wenatchee National Forest. (Photo courtesy of the U.S. Forest Service via Flickr Creat...

Tom Brock

Search launched in Okanogan County for missing plane with two people on board

Authorities launched a search for a missing small plane Saturday, that may have disappeared while flying over northeast Washington state.

14 hours ago

A photo of a Seattle Police Department vehicle. (Photo courtesy of KIRO 7)...

Tom Brock

Drive-by shooting at south Seattle nightclub leaves one dead, one injured

Seattle police are searching for a murder suspect after a drive-by shooting in south Seattle left a man dead and a woman hurt early Sunday morning.

18 hours ago

Washington State Ferries...

Luke Duecy

The Spin: Washington State Ferries’ ‘People First’ message puts workers ahead of stranded passengers

When a disruption hits Washington State Ferries, the public wants to know what happened, how long it will last, and what officials are doing to help.

22 hours ago

closures (1)...

Nate Connors

Seattle highway closures, southbound I-405 shutdown in Bothell mean weekend detours

Drivers traveling through Seattle and Bothell should plan for highway and ramp closures.

2 days ago

2 Tom Wales...

James Lynch

25 years after federal prosecutor Tom Wales’ killing, investigators say the case is still active

For 25 years, investigators have been pursuing the killing of Tom Wales, an assistant U.S. Attorney shot at his desk in his home in Seattle’s Queen Anne neighborhood. Federal officials said they are still investigating and need information that could turn what they know into evidence they can present in court. “This is an open […]

2 days ago

ferry (2)...

James Lynch

‘Not a problem that can be solved immediately’: Gov. Ferguson pledges to address ferry crew wage gaps

Gov. Ferguson said he’s committed to working with the union representing Washington State Ferries engine-room crews on wage gap concerns.

2 days ago

New lawsuit accuses Sound Transit of spiking car tab fees since the ’90s