WA Legislature approves gas tax increase

The Washington Legislature has enacted a transportation revenue package featuring a 6-cent increase in the gas tax, the first adjustment in nearly ten years. This increase will raise the gas tax from 49. 4 cents to 55. 4 cents per gallon, with annual 2% increases to offset inflation. Expected to generate $1.

4 billion over six years, the gas tax hike is part of a broader strategy to combat a projected $1 billion shortfall in the state’s transportation budget. Additional increases in diesel taxes and various vehicle-related fees aim to bring in a total of $3. 2 billion. Lawmakers highlighted the necessity of the measures due to rising construction costs and diminishing gas tax revenues. While Democrats support the package, Republicans argue it imposes too heavy a tax burden on working-class residents.

Senate Bill 5801 also introduces multiple other fee hikes, including higher passenger vehicle weight fees and increased sales taxes on vehicles. The urgency for these measures stems from the need to maintain infrastructure and fulfill commitments to constituents regarding safe and well-maintained roads.