The Hazardous Substance Tax suit

In 1988, the public approved Initiative 97 creating the Model Toxics Control Act that included a Hazardous Substance Tax on petroleum products. Recently, the Legislature diverted over $100 million in HST taxes to general revenue purposes which AUTO believes is contrary to both votes of the people.

Further, during the 2010 Legislative Session, HB3181 was introduced and endorsed by Governor Gregoire, Speaker of the House Chopp, and Senate Majority Leader Brown. The measure would place up to approximately 6 cents per gallon of additional excise taxes on motor fuel that would ultimately be paid in the form of higher pump prices. Nearly 75% of the tax would be permanently diverted into general revenue accounts and spent for purposes other than transportation.

With elected officials seemingly determined to continue to press for funding non-transportation issues with increased taxes on motor fuels, AUTO retained former Supreme Court Justice Phil Talmadge and the firm Talmadge/Fitzpatrick. On March 22, 2010 AUTO filed suit in King County contesting the application of the Hazardous Substance Tax on motor fuels sold for consumption on public highways. (Download the suit and legal briefs below)