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Investing in Washington's Future

Washington State’s transportation system connects us to our families, friends, neighbors, jobs, and communities. Transportation is also the key to economic development, connecting businesses with customers and suppliers. Washington citizens live and work in the most trade-dependent state in the country, and our transportation system links Washington to the global economy.

From 1991 until 2003, the state gas tax was 23-cents a gallon. While the buying power of that 23 cents had fallen, the demands on the system had increased dramatically. From 1980 to 2000, the state’s population grew 43 percent. During the same period, the number of jobs increased by 58 percent and vehicle registrations jumped by 57 percent.

I-5 Federal Way - ConstructionIn 2000, a Blue Ribbon Commission found Washington’s transportation system needed $50 billion to $100 billion in new investment to maintain the system, improve safety and reduce congestion. And the highways were facing more congestion. According to the Texas Transportation Institute, the Puget Sound Region’s travel time delay index score was 12th worst in the country in 2003.

 

 

Ground breaking I-5 Grand MoundThe Legislature in 2003 adopted a 5-cent-per-gallon increase to the state gas tax that funded a specific set of projects to be built over a 10-year period. When the 2003 projects are built, and the accompanying bonds are paid off, the five-cent-per-gallon gas tax increase will expire.

In 2005, the Legislature enacted a revenue package to pay for the construction of a specific list of projects throughout Washington. The 9.5-cent increase was phased in over four years (3¢ in July 2005, 3¢ in July 2006, 2¢ in July 2007, 1.5¢ in July 2008). The last increase takes place July 1. The 1.5-cent increase will increase the typical fuel bill by $9 per year per vehicle (see chart below).

Where does the gas tax go?

Washington’s gas tax is 37.5 cents a gallon (pdf 606 kb). Of that,

  • Man in earth mover9.5 cents pays for 257 transportation projects included in the 2005 revenue package (1 cent of that is dedicated to cities and counties).
  • 5 cents pays for 130 projects included in the 2003 revenue package
  • 11 cents goes to cities and counties for local roads
  • 4 cents goes to pay off bond debt that funded past highway and ferry projects
  • 8 cents is left for state highway maintenance and operations, as well as preservation, safety improvements and congestion relief projects

How much am I paying?

I-5 Construction - ribbon cutting

The 2005 revenue package increased the gas tax by 9.5 cents, which was phased in over four years (3¢ in July 2005, 3¢ in July 2006, 2¢ in July 2007, 1.5¢ in July 2008). The last increase takes place July 1. The 1.5-cent increase will increase the typical fuel bill by $9 per year per vehicle (see chart below).

What Does the Average Driver Pay Annually in Gas Tax?


(assumes 12,000 miles of driving per year)

 implemented  30 mpg 20 mpg  10 mpg
 July 1, 2003 (Nickel Gas Tax) 5¢$20.00 $30.00 $60.00
 July 1, 2005 (portion of the 9.5¢) 3¢ $12.00  $18.00  $36.00
 July 1, 2006 (portion of the 9.5¢) 3¢ $12.00  $18.00  $36.00
 July 1, 2007 (portion of the 9.5¢) 2¢ $8.00  $12.00  $24.00
 July 1, 2008 (portion of the 9.5¢) 1.5¢ $6.00  $9.00  $18.00
subtotal of increases14.5¢$58.00 $87.00 $174.00
existing state gas tax23¢$92.00 $138.00 $276.00
total state gas tax37.5¢$150.00 $225.00 $450.00


What was included in the 2003 and 2005 revenue packages?


Construction I-5 SR 502 InterchangeThe 2003 and 2005 revenue packages both included a specific list of projects – 130 projects for the 2003 package and 257 projects for the 2005 package. Combined, the two revenue increases comprise the largest transportation capital delivery program in the United States, totaling more than $13 billion. The projects ranged from small safety improvement projects to the largest of mega projects such as the Alaskan Way Viaduct and SR 520 bridge replacement projects.

What has WSDOT done with the 2003 and 2005 revenue increases?

As of June 30, 2008, WSDOT has successfully delivered 148 of 391 projects funded by the 2003 and 2005 revenue increases. WASOT completed 19 projects in the three months from March to June 2008. The 129 projects completed as of March 2008 were collectively delivered for almoste $6 million less than the $1.3 billion legislative budget expectation.

  • 91 percent of these projects were delivered early or on time.
  • 84 percent of these projects were under or on budget.

What’s coming next?

WSDOT continues to deliver the 2003 and 2005 revenue earth mover and workerspackage projects. We have 85 projects funded from the 2003 and 2005 revenue packages that are either under construction or advertised for construction. In the coming six months 18 projects valued at approximately $836 million are scheduled to advertise. More than 40 additional projects will be advertised for construction within the next year.

Work also continues on the SR 520 bridge replacement and the SR 99 Alaskan Way Viaduct projects. WSDOT, King County, the City of Seattle, and FHWA are moving forward to replace or repair approximately half of the Alaskan Way Viaduct by 2012.

This summer, WSDOT also is helping motorists make choices about how they will commute. We are working with local cities and counties to quickly expand available park and ride lots by coordinating agreements with churches, grocery stores, malls and other locations. We also are upgrading Rideshareonline.com, a tool that helps commuters find carpool and vanpool matches. Since March, Rideshareonline.com registrations have grown by 50 percent.