House Bill 1304 would allow Seattle to increase car tabs significantly to pay for Sound Transit budget deficit

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House Bill 1304 (HB 1304) would allow Seattle voters to increase car tab fees up to $250 per 10,000 of assessed value, which for a car or truck valued at $30,000, the fee increase would be up to $750 per year. For an new F-150 XLT pickup, the fee increase would be as high as $1,125 and would triple the amount of money Sound Transit receive from car owners paying the tax.

Sound Transit is facing a temporary shortfall in tax revenue due to less people travelling during the pandemic, but HB 1304 would increase taxes permanently. This is in despite of the $54 billion Sound Transit 3 package passed by voters in 2018 which has already significantly increased car tabs in the transit area and has been subject to several lawsuits challenging its passage.

Other options being considered to make up the tax revenue shortfall are including a phased approach to the light rail expansion that voters approved in Snohomish County, reducing some of the planned midday services, relocating a maintenance facility that was planning on top of a landfill and re-routing the line around some apartments in West Seattle. These apartments, even though they are not completed yet, would need to be demolished if the line is not moved.

Despite the revenue shortfall, Sound Transit is considering expanding its service hours and trips back to pre-pandemic levels even though ridership is down.

Sound Transit needs to reduce its costs and not increase them as it carefully considers its response to its revenue shortfall. The same people that have been at home and out of work due to the lockdowns, are the same people HB 1304 would require to pay more for their car tabs.

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