See how a transportation package, gas tax and carbon fuel standards will affect businesses.
While a new, two-year state operating budget was approved June 30, avoiding a government shutdown, the Legislature failed to enact key bills to implement that budget agreement, forcing the state senate back into session July 3. The third special session could extend until July 27, unless lawmakers finish their work before this latest 30-day extension.
The state Legislature also enacted a $15 billion gas tax increase to fund various highway and transit projects, including “… the west side of the new Highway 520 bridge, the North Spokane Corridor freeway, the widening of Interstate 405, an extension of the Interstate 90 rebuild over Snoqualmie Pass, and the Highway 167 project in South King and North Pierce counties. The proposals also funded rail and transit projects, pedestrian walkways and bike paths,” according to The Seattle Times. Lawmakers refused to send the measure to the ballot as a referendum to the people for their approval. The nearly 12-cent-per-gallon increase will be phased-in over two years, starting with a seven cent hike in the first year, followed by a 4.9 cent increase the next. NFIB was the only statewide business association to oppose the gas tax increase.
The gas tax package did include a temporary ban on implementing a low-carbon fuel standard (LCFS), which Gov. Jay Inslee sought to impose by executive action. An LCFS was estimated to add a dollar or more to the price of a gallon of gasoline or diesel at full implementation. NFIB research indicated more than 11,000 jobs could be lost as a result of this initiative. NFIB ran radio and online ads opposing the LCFS. More information about that campaign can be found at NoNewEnergyTaxes.org.
Meanwhile, NFIB/Washington’s SAFE Trust political action committee is focusing on two special elections for the state House of Representatives that could have tremendous impact on the balance of power in that chamber. In the Federal Way based 30th Legislative District, appointed Rep. Carol Gregory, a long-time education union leader, faces a spirited challenge from Teri Hickel, a former chamber of commerce and nonprofit executive. A Hickel victory would leave the House Democrats with a scant 50-48 majority. Fifty votes are required to pass most bills in that chamber, so any one Democrat could throw the body into a tie, giving Republicans equal control of the House. That is predicated on Republicans retaining a seat in the usually safe 9th Legislative District in the southeast corner of the state. Small-business owner and appointed Rep. Mary Dye faces both a Republican and Democrat challenger in the primary. A Democrat upset could be key to that party maintaining effective control of the House.
Contact state director Patrick Connor at (360) 786-8675 or by email to [email protected] for more information or to contribute to Washington SAFE Trust’s efforts to support small business candidates for the state Legislature.
