The $16 billion Moving Washington Forward package depends on several revenue sources, but a 6 cent fuel export tax is proving controversial across state lines. Leaders from both parties have come out strongly against the tax on fuel refined along Puget Sound and sold to neighboring states, with some observers calling it a trade or border war within the Pacific Northwest.

Oregon Gov. Kate Brown, a Democrat, told Gov. Jay Inslee that “unilateral action to increase gas prices for Oregon families and businesses is unacceptable.” Two Republican members of the Oregon Legislature testifiedThursday during a Washington House Transportation Committee hearing, calling the tax “offensive” and a hardship for struggling Oregonians.

Idaho Gov. Brad Little and Attorney General Lawrence Wasden, both Republicans, sent Inslee a letter calling the tax “dangerous” and saying “the Washington Legislature is venturing into new, uncertain territory.”

Alaska Rep. Kevin McCabe, R-Big Lake, calls Washington’s proposed fuel export tax “colonialism” and pledged to counter with a new tax on Alaskan fish caught by visitors and out-of-state boats moored in Alaska.

AWB has put together an issue brief with information about the Move Ahead Washington package, including pros and cons. From the start, AWBhas had numerous concerns about the proposal, including the $4.4 billion in new taxes and fees. Unless those concerns are adequately addressed, the AWB Government Affairs Council has voted to oppose the package in its current form.

The Seattle Times Editorial Board says the transportation package suffers an unsteady foundation due to its partisan creation, and urges Democratic leaders to involve the Republicans who represent the majority of Washington’s geographic areas to help craft a more balanced bill.

The spending portions of the package (SB 5975 and HB 2118) were up for hearings this afternoon in the House and Senate, along with hearings for the 2022 supplemental transportation budget (SB 5689 and HB 1786). Executive session committee votes could come this week. 

Contact Government Affairs Director Mike Ennis to learn more and get involved.