Spokane7
56°
January 10, 2012 in News
Gregoire: Pass new oil fee to fix roads
Calls for $1.50 fee per barrel
OLYMPIA — Washington’s roads, bridges and ferries need billions in maintenance that the state doesn’t have, Gov. Chris Gregoire said today in urging the Legislature to pass a new fee on oil.
In her state of the state address, Gregoire proposed a series of fees, including a fee of $1.50 per barrel on oil produced in Washington, to raise $3.6 billion over the next 10 years.
While some Democrats called the new proposal “a good beginning,” Republicans were skeptical that the oil fee was a viable solution to a growing problem with road maintenance.
Senate Republican budget leader Joe Zarelli of Ridgefield said there seems to be no guarantee that the money raised by the fee would always be dedicated to transportation projects. Unless it fell under the same constitutional provision as the gasoline tax, it could be “swept” into the General Fund for other uses.
Senate Republicans are likely to argue that this is actually a tax on oil, not a fee. While the distinction wouldn’t make a difference at the pump, it could determine whether the plan can pass the Legislature.
Even though it would create jobs through new transportation projects, the fee would also find its way to the pump and make Washington a more expensive place to do business, House Minority Leader Richard DeBolt of Chehalis said.
A fee can be levied with a simple majority, which Democrats hold in both houses; a tax must receive a two-thirds majority in both houses, which Democrats don’t have in either. A ruling by Lt. Gov. Brad Owen, who presides over the Senate, that the proposal is a tax would make the proposal all but impossible to pass.
Republicans in the Legislature signaled they might prefer a gas tax increase for transportation projects — which could be approved by voters with a simple majority — under certain circumstances. They have in the past, Senate Majority Leader Mike Hewitt of Walla Walla said. But these are different times, and there is no such proposal to study right now.
“We just saw (the governor’s proposal) last night,” Hewitt added.
The call for a fee on oil was a new element in Gregoire’s speech. She also reiterated requests for the Legislature to tackle the state’s budget problems quickly, send a half-cent sales tax to the voters to save some programs she wants the state to cut because of those budget problems, reform education and government, and pass a bill allowing same-sex marriage.
Legislators of both parties applauded when Gregoire made general exhortations, like telling them the state’s future was in their hands and they should show state residents they can all work together.
Applause sometimes came only from Democrats, however, when she mentioned the temporary half-cent sales tax or same-sex marriage.
Recent stories by Jim Camden
Recent stories in News
Gay marriage foes: referendum has enough signatures May 30, 2012 30- 1992 murder trial begins against sex offender May 30, 2012 1
- Supermajority for taxes unconstitutional, judge rules May 30, 2012 29
- Man dies following early Saturday car crash May 30, 2012 16
- Sex trafficking suspects released as probe continues May 29, 2012 7
fhstorey on January 10 at 2:16 p.m.
When shifting funds from one year to the next no longer works, we want to call a tax a fee to circumvent the law and undesireable things like cutting off the automatic growth of state government are too horrible, then change the subject. Oh let’s spend our sixty days debating gay marriage or more properly the Defense of Marriage Act. Some think it is time for our Lisa Brown and Frank Chopp to face reality like look at what more successful states have done to increase revenue by private sector job growth rather than tax rate increases. Oops, that might offend the unions. Better to hope the electorate has a short memory about requirements to raise taxes and offend them instead.
valleyman on January 10 at 2:39 p.m.
Governor Nevermetataxorfeeshedidn’tlike won’t be out of office soon enough…
scaleram on January 10 at 2:42 p.m.
When is a “fee” imposed by government not a tax? Answer - it is always a tax. They like to call it a fee or a surcharge but the governor just wants more money to waste on more government spending. I have a novel idea, cut spending. Eliminate about half the people on the state payroll and I am not talking about the usual pawns, police and firemen. Any time they talk about cutting spending they like to say that we have to eliminate police and firemen because they know that will have the most emotional impact. What if they said; “we are going to have to eliminate all of the bloated middle management.” Who would care?
DHF on January 10 at 3:26 p.m.
Get rid of the upper layers of management ,or better yet get rid of Department of Social and Health Services. Downsize government and you wont need fees or increased taxes. The government is still to bloated.
dataxman on January 10 at 4:15 p.m.
One more reason for the tankers to bypass Anacortes and continue on down the coast. A court ruling last month is going to force expensive clean-air upgrades on the refiners. Now we want to add a $1.50 fee per barrel. As it stands now a refiner is subject to the hazardous substance tax, petroleum products tax, the manufacturing b&o tax and property tax. Move out of state and those taxes drop dramatically
westerly on January 10 at 4:24 p.m.
“She said passing a transportation package is necessary to improve the state’s crumbling infrastructure, emphasizing that the state faces a potential $1.6 billion shortfall over the next 10 years just to maintain highways.”
And Spokane needs $1.5 billion to finish a brand new project, NS freeway?? Never will get funded..not in our lifetime…
Blondscence on January 10 at 4:32 p.m.
Cut the unions, cut the programs that shouldn’t exist. No Fees or taxes ( same thing). Common roads should be funded by common money. She’d better get this right. …or we wait for a smarter governor and I don’t think it’ll be quite so “blue” this trip. Dems have screwed the St up for over 20 years. This is what you get.
deacon46 on January 10 at 4:32 p.m.
The crumbling infrastructure she is referring too is her administration and the bloated government. We need road repair for sure but we need more government cuts much more. If not we will have the same issues and more “fees”. Perpetual mess.
David Bray on January 10 at 4:53 p.m.
There is one over-riding problem with this tax, err, I mean “fee”…With Gregoire at the helm in a Democratic led State….there’s no guarantee that any money collected would go to the purpose we were told it would go! None! Gregoire is a proven liar. Washington is constantly dictated to by the liberal left hunkered down in King County. Absolutely nothing the State government does while Democrats are running the show is cost effective! They always spend more than they have and always will! Then they come up with some scheme to reach into taxpayer pockets again and again whenever they need a few bucks (millions) to cover their shortfalls….
Washington is NOT a taxpayer friendly state and never will be.
force_vector on January 10 at 5:47 p.m.
Any “oil fee” will just be passed onto the consumer, lowering the ability to spend, and cut into the collected sales tax revenues. When will these people learn? Every new “fee” on business is nothing more than an additional burden on us. Irritating.
liberal_in_right_wing_land on January 10 at 6:04 p.m.
Thankfully the idiots posting on here have no say in the liberal, democratic lead Washington State congress and this fee hopefully will be enacted.
You people don’t like this state and how this liberal government in Washington does it, move over to Idaho and join the rest of your tea bagging conservatives over there….I hear they got a big surplus buy cutting all their programs and education and, of course, like all republican lead states, by sucking tax money from the federal government.
Dazzeetrader11 on January 10 at 6:25 p.m.
Sorry tutu…you move, we prefer to change things that leads to this nonsense.
The state house will not approve her tax. Too many taxes have ruined or hurt the state already. Time to roll back the shortages by sutting expenses, regulations and outlandish spending. YOU take it or leave it. I do hope you’ll stay as the state needs colorful people. If you chose to leave, I’m sure your ilk won’t be mourned.
NO NEW TAXES!
RedCedar on January 10 at 6:59 p.m.
What does “produced” mean? I’m not aware of any oil well anywhere in Washington that has ever produced, not even at Oil City, despite a few attempts to find some. So, the tax must be on refiners, not producers, and must be on petroleum products rather than “oil”. It would be nice if the reporter would sort this out and clarify it. Isn’t the only refinery in Washington the one at Cherry Point near Anacortes? I can’t think of any other one. So basically she wants to impose a tax on not just one minor industry, but on one particular plant.
If she wants to go down that road of singling out particular companies for special tax treatment, I’d suggest she start by removing the sales tax exemption for airplanes. Airplanes are the only product other than food that can be manufactured in Washington and sold to an end user who has a business presence in Washington without the seller having to collect and remit sales tax, or the buyer having to pay use tax on it. Why do you suppose that it? The amount of sales tax not being paid on airplanes sold in Washington dwarfs anything that could imaginably be collected from the oil refinery.
Want more money for roads? Be honest about it and raise the gas tax.
woamike on January 10 at 7:10 p.m.
Lib,
You are no better than dazzee. You come off as a bitter little man who has few rivals when it comes to childish name calling. Do you want people to read what you have to say and think about it or do you just want to vent and insult everyone who doesn’t think the way you do????
liberal_in_right_wing_land on January 10 at 7:17 p.m.
woamike, my only insult, and its only an insult according to people on the right, is saying the phrase tea baggers….which again the Tea Party themselves started calling themselves.
HOWEVER, I will make a promise that as of today, since the Tea Party has basically become irrelevant, I will no longer use the word tea bagger. If it slips out, feel free to call me on it.
However, unlike Dazzee, my insults where never directed at someone due to the sexual preference, so yeah, please call out your fellow conservatives every now and then please.
pmbrown49 on January 10 at 7:55 p.m.
Please, giving this governor more money to waste is like giving a gallon of scotch to an alcoholic and thinking there to be something left in the bottle in the morning. She’s clueless.
Let’s wait for Gov. McKenna to give us a realistic assessment of whether we need new taxes (aka “fees”) in 2013.
meadman on January 10 at 8:08 p.m.
DHF == please tell me how getting rid of the DSHS will be helpful to the state. Will you step up to take care of all the programs they handle? Will you take care of all the mental health issues, the abused children, the abused adults, the quality of care in nursing homes and day care centers, the needs of thousands of citizens, etc. etc. etc? Or will you just push all these folks who need help out on the street and let them die? Do you even have any idea what sorts of programs and problems DSHS deals with every day??? Waiting for your answer……
johnclarke on January 10 at 8:09 p.m.
http://www.thenewstribune.com/2012/01/10/v-lite/1977794/gregoire-says-oil-refinery-charge.html
nslopeofw on January 10 at 8:43 p.m.
Lib in rt wing land,
How about w stay, and drive libtards like you to California where you belong. (SF for you)
johnclarke on January 10 at 9:03 p.m.
So slope, if you stay how will you drive libtards to California? Also, you do realize this state is primarily liberal right? You understand that the very liberal King County funds essentially supports the entire state? Spokane can’t support itself.
Now listen, I would ask we call a halt to the gay bashing. I could be calling you all a bunch of backwards redneck inbred morons, but I have not. Keep it civil, and I will promise to do the same. For the record I am not gay, but I do like gay people. They tend to have better manners and serve good wine. Thanks.
force_vector on January 10 at 9:27 p.m.
It’s unfortunate that as a society we’ve replaced common sense with the opposites thereof known as “liberal” and “conservative”. These are nothing more than designations for two flocks of sheep following their respective shepherds, for the shepherds sake alone.
misjustice on January 10 at 9:49 p.m.
I’m okay with the proposed fee/tax as long as the money gets used for the roads. Sweeping the money into the general fund? Then no, not so much.
misjustice on January 10 at 9:57 p.m.
“For the record I am not gay, but I do like gay people. They tend to have better manners and serve good wine. Thanks.”
I like gay people too! My gay guy friends are soooooo cute, and they really will tell you if those pants make your butt look big, but in a nice way so it won’t hurt your feelings. AND they can decorate, their apartments are always the trendiest, AND they give the most interesting parties.
Just sayin’…
DHF on January 11 at 5:38 a.m.
(Meadman I worked 39 years for the State. before DSHS was created and after. It was run a hell of a lot better before this monster was created, with all these bureaucratic bloated giveaway social liberal programs. It was once a magnet and known all over the US for its generous welfare .I was a nurse in the Mental Health Div. and I got to see first hand some of the stupidity when and how taxpayers money was squandered. Hope this answers your question.