NPI asks Legislature to drop plans to divert billions of dollars in sales tax receipts to transportation

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beginning in 2027

Good afternoon, Senators. For the record, Andrew Villeneuve from the Northwest Progressive Institute, here in respectful opposition to Senate Bill 5802. At NPI, we believe strongly in fiscal responsibility and in leading by example. We believe that this body has a solemn, constitutional responsibility to uphold Washington’s paramount duty and to prepare budgets that ensure the needs of the people of our state are met.

We also believe that we are well served in both the short and long terms by adhering to sound fiscal practices. That means not depleting our rainy day fund, for example, when we know more tough times are likely ahead, and it means not relying on accounting gimmicks or fund transfers to make the operating and transportation budgets work.

Problematically, this legislation attempts to find dollars for transportation through the use of a large fund transfer that would begin in the biennium after this next one.

As you heard in the staff report, the proposed substitute says that beginning July 1st, 2027, 0.3 percent of the 6.5 percent state sales and use tax must be deposited in the Multimodal Transportation Account rather than the State General Fund.

What the bill report doesn’t mention is that around three-fifths of the general fund currently goes to K‑12 and higher education. We really ought to call it the Mainly Education Fund as opposed to the General Fund — that would be a more accurate name.

https://www.nwprogressive.org/weblog/2025/04/npi-asks-legislature-to-drop-plans-to-divert-billions-of-dollars-in-sales-tax-receipts-to-transportation-beginning-in-2027.html