DALLAS — A $15.1 billion, 16-year transportation package proposed by Washington State House Democrats includes more than $8 billion of new projects to be funded with an increase in the state gasoline tax and up to $4.3 billion of state general obligation bonds.
The multi-bill proposal unveiled April 13 by leaders of the Democratic majority in the state House is similar to a transportation measure passed by the Republican-controlled Senate in early March.
Both proposals would raise vehicle registration fees and phase-in an 11.7 cent per gallon increase the state gasoline tax, which is now at 37.6 cents. The tax would go up 5 cents in July, 4.2 cents in July 2016, and 2.5 cents in July 2017.The State Office of Financial Management predicted in November that Washington's current fuel tax will generate $13 billion over the next 10 years.
The bond bill in the Democratic package would authorize up to $4.3 billion of GO bonds but the spending plan calls for issues totaling $3.65 billion with total debt service of $210 million over the 16 years.
Washington's $18.9 billion of outstanding GO bonds, including $7.5 billion of debt supported by the fuel tax and toll revenues, are rated Aa1 by Moody's Investors Service and AA-plus by Standard & Poor's.
The Washington state House proposal would provide $8.3 billion for road projects, $1.7 billion for maintenance and repairs, $676 million for the state ferryboat system, and $666 million for local projects.
The Senate transportation package includes a bill allowing Seattle's Central Puget Sound Regional Transit Authority to ask voters for up to $11 billion of local option revenues to partially fund an extension of its rail system. The House version authorizes up to $15 billion of local funding, enough to complete the entire project.
A special session may be needed if the two transportation plans cannot be reconciled by the end of the legislative session on April 26, said Rep. Judy Clibborn, D-Mercer Island, chair of the House Transportation Committee.
"It doesn't take months to negotiate if you really, really want to do the negotiations," she said.
The House proposal includes $500 million to fund projects that haven't yet been identified in the transportation plan, said Rep. Marcus Riccelli, D-Spokane.
"This is a 16-year package," he said. "We can't predict every project or repair that might be necessary over that time."
Oregon Gov. Jay Inslee, a Democrat, said he prefers the House package over the Senate version, although neither includes the carbon-based tax that he proposed.
"I appreciate that it funds safety and maintenance, completes projects, fully authorizes light rail, and invests in transit, bicycle, and pedestrian projects," he said.
Three states — Iowa, Utah, and South Dakota — have raised their gasoline taxes this year, and lawmakers in several others have tax increases on the table.
The Missouri General Assembly is considering a proposal to raise the state gasoline tax to 19 cents per gallon in 2016 from the current 17 cents to provide the state match for federal highway funds in 2017.
In Louisiana, state Sen. Robert Adley, a Republican, has filed a measure to increase the state's gasoline tax of 20 cents per gallon to 24 cents. Adley said the increase would generate an additional $120 million a year for city and parish road projects.
