MYNORTHWEST NEWS

State Democrats remove proposed fuel export tax from transportation package

Feb 26, 2022, 7:06 PM | Updated: Feb 28, 2022, 6:44 am

Fuel tax...

(Getty Images)

(Getty Images)

A fuel export tax proposed by Democrats in the Washington state Legislature is officially dead, after it was removed from a 16-year transportation package on Saturday.

Alaska governor urges Washington to ‘rethink’ controversial fuel export tax

The proposal would have levied a $0.06 per gallon tax on fuel refined along the Puget Sound, which is then shipped to states like Oregon, Alaska, and Idaho.

Leaders in all three states roundly criticized the tax, with each making threats to enact retaliatory measures in what appeared to be the early signs of an interstate trade war. That criticism ultimately was what fueled the decision from Washington Democrats to cut the tax from the package altogether.

“People told us loud and clear that this was not going to work,” state House Transportation Chair Jake Fey said in a Saturday press release.

Legislative staff in Washington estimated that the tax would have added roughly $2 billion to the state’s Motor Vehicle fund over a 16-year period. On a larger scale, supporters pointed out that Washington has been assuming the environmental risks and impacts brought on by refining oil along the Puget Sound, without reaping any of the rewards from exporting it out-of-state.

It’s unclear how Democrats plan to replace the funding the tax would have provided the transportation package, with Fey stating only that they will “review the investments as well as other revenue options” moving forward.

MyNorthwest News

Coca-Cola facility...

KIRO Newsradio staff

Coca-Cola facility in Bellevue sued over alleged polluted runoff reaching Lake Washington

A local environmental group is suing Swire Coca-Cola, USA, and Western Washington Coca-Cola Bottling.

57 minutes ago

garbage truck fire NB I-5...

Jason Sutich

NB I-5 off-ramp to West Seattle fully blocked after garbage truck catches fire

The exit ramp to West Seattle from northbound I-5 is fully blocked on Monday while a garbage truck burns in the middle of the roadway.

2 hours ago

Seattle police...

MyNorthwest Staff

SPD looking for man suspected of sexually assaulting child

The Seattle Police Department (SPD) is looking for a man suspected of sexually assaulting a child earlier this month.

2 hours ago

Seattle (4)...

KIRO 7 News Staff

One shot in Seattle’s Yesler Terrace neighborhood, second later dropped off at hospital

One person was shot in Seattle’s Yesler Terrace on Sunday night, and a second person was later dropped off at the hospital.

3 hours ago

Olympia...

Julia Dallas

Olympia looks to close 3 schools amid another $3.5 million in projected cuts

Olympia is looking to consolidate three elementary schools as the district projects another $3.5 million in cuts.

3 hours ago

Seattle mayor Katie Wilson police chief...

Luke Duecy

Seattle police chief search: Non-profit plans public listening sessions instead of Mayor Katie Wilson

Seattle Mayor Katie Wilson said she wants the public to help shape the search for the city’s next permanent police chief.

5 hours ago

State Democrats remove proposed fuel export tax from transportation package