Washington Initiative 976, Limits on Motor Vehicle Taxes and Fees Measure (2019)

Washington Initiative 976
Election date November 5, 2019
Topic Taxes and Transportation
Status a/ot Overturned
Type State statute	Origin Citizens
List of Washington measuresWashington Initiative 976Washington Washington Referendum 88Washington Senate Joint Resolution 8200Washington Advisory Vote 20Washington Advisory Vote 21Washington Advisory Vote 22Washington Advisory Vote 23Washington Advisory Vote 24Washington Advisory Vote 25Washington Advisory Vote 26Washington Advisory Vote 27Washington Advisory Vote 28Washington Advisory Vote 29Washington Advisory Vote 30Washington Advisory Vote 31Submit

Washington Initiative 976, the Limits on Motor Vehicle Taxes and Fees Measure, was on the ballot in Washington as an Initiative to the Legislature, a type of indirect initiated state statute, on November 5, 2019. It was approved, but the Washington Supreme Court overturned the initiative.

A yes vote supported the initiative to do the following: Limit annual license fees for vehicles weighing under 10,000 pounds at $30 except voter-approved charges; Base vehicle taxes on the Kelley Blue Book value rather than 85% of the manufacturer's base suggested retail price; and Repeal authorization for certain regional transit authorities, such as Sound Transit, to impose motor vehicle excise taxes.

A no vote opposed the initiative to limit annual license fees for vehicles weighing under 10,000 pounds at $30 and make changes to transportation taxes.

I-976 was frequently referred to as the $30 Tabs Initiative.

Aftermath

Governor's statement

Washington Governor Jay Inslee (D), who opposed I-976, released a statement on November 6, 2019, saying, "In response to the will of the people, I am taking immediate action. I have directed the Washington State Department of Transportation to postpone projects not yet underway. I have also asked other state agencies that receive transportation funding, including the Washington State Patrol and Department of Licensing, to defer non-essential spending as we review impacts. I will work with legislators, agency leadership and stakeholders on how best to respond to the impacts of this initiative. I remain committed to finding solutions to meet Washington’s growing and urgent transportation needs."

Lawsuit

  

Lawsuit overview
Issue: Does Initiative 976 violate the single-subject rule, separate subject-in-title requirement, and other provisions of the Washington Constitution?
Court: Filed in King County Superior Court; appealed to Washington State Supreme Court
Ruling: On November 27, 2019, the judge blocked Initiative 976 from taking effect, pending the case's conclusion. On December 4, 2019, the state supreme court affirmed that the measure would remain on hold pending the resolution of the case. On October 15, 2020, the Washington Supreme Court ruled that Initiative 976 was invalid because it violated the state's single-subject rule and had an inaccurate ballot title.
Plaintiff(s): Garfield County Transportation Authority; King County; City of Seattle; Washington State Transit Association; Association of Washington Cities; Port of Seattle; Intercity Transit; Amalgamated Transit Union Legislative Council of Washington; and Michael Rogers	Defendant(s): State of Washington
Plaintiff argument: I-976 violated the single-subject rule, the separate subject-in-title requirement, the requirement to disclose the repeal of statutes, and other constitutional provisions	Defendant argument: Ballot titles can be general; I-976 followed constitutional provisions

  Source: KingCounty.gov

On November 13, 2019, nine plaintiffs, including the governments of Seattle and King County, filed a legal complaint to block Initiative 976 as violating the Washington Constitution. The complaint named the State of Washington as the defendant. Attorney General Bob Ferguson (D) was tasked with defending the state. The complaint read, "As with prior initiatives by the same sponsor, I-976 is a poorly drafted hodge-podge that violates multiple provisions of the Constitution." The complaint argued that Initiative 976 violated the single-subject rule, the separate subject-in-title requirement, the requirement to disclose the repeal of statutes, and other constitutional provisions. Tim Eyman, the proponent of Initiative 976, responded to Attorney General Ferguson defending the ballot measure in court. Eyman said, "On one side, you have Seattle government suing the voters. And on the other side is Bob Ferguson 'defending' our vote. An AG who is pro-Sound Transit, anti-Eyman, and actively undermining I-976 with the Dept of Licensing. So it's two opponents of I-976 colluding to negate the people's vote." He also said, "Seattle government suing the voters because they didn’t like the voters’ decision is arrogant and infuriating. The people outside Seattle don’t want these dishonest vehicle taxes and fees and they shouldn’t be forced to continue to pay them just because Seattle is OK with such dishonesty." On November 26, 2019, Judge Marshall Ferguson blocked Initiative 976 from taking effect on December 5, pending the conclusion of the case. Judge Ferguson said that plaintiffs possessed "a clear legal and equitable right because they are likely to prevail on the merits of their constitutional challenge… specifically the 'subject-in-title' requirement." The subject-in-title requirement states that "No bill shall embrace more than one subject, and that shall be expressed in the title." Plaintiffs contended, "... the [I-976] title misleadingly suggests that voters will retain the authority to approve vehicle charges, but several provisions of I-976 then repeal statutes that provide for voter-approved charges." Judge Ferguson also said, "If the collection of vehicle license fees and taxes stop on December 5, 2019, there will be no way to retroactively collect those revenues if, at the conclusion of this case, the Court concludes that I-976 is unconstitutional and permanently enjoins its enforcement. Conversely, refunds of fees and taxes impacted by I-976 can be issued if the State ultimately prevails in this matter, albeit at some expense to the State.” Attorney General Ferguson responded to the injunction, saying, "This is not a final judgment, and this case is far from over. We will continue working to defend the will of the voters. This case will ultimately wind up before the State Supreme Court." Attorney General Bob Ferguson filed an emergency motion on December 2, 2019, seeking to overturn the lower court's ruling. In the motion, Deputy Solicitor General Alan Copsey wrote, "The only way to protect the voters’ will is for this court to stay the injunction so that I-976 can take effect as our constitution specifies. Failure to do so would frustrate the will of the voters without justification and force hundreds of thousands of Washingtonians to pay vehicle taxes and fees higher than they should now owe." On December 4, 2019, the Supreme Court affirmed that the measure would remain on hold pending the resolution of the case. In the ruling, the court wrote, "We believe a stay is justified because the State has demonstrated that the issues presented are debatable and that the harms it will suffer absent a stay outweigh the financial injuries I-976's challengers will face with a stay. ... The state has shown the injuries it would suffer without a stay outweigh those the initiative's challengers would suffer with a stay. While the challengers point to significant losses in revenue and service that could result from a stay and the State highlights the cost of any necessary taxpayer refunds, these monetary injuries are not the only ones that matter." On February 12, 2020, Judge Marshall Ferguson ruled that the plaintiffs did not demonstrate that the ballot summary was misleading and that the measure violated the state's single-subject rule. However, Judge Ferguson declined to rule on whether the initiative was unconstitutional because it interfered with the contracting authority of the city of Burien and favored one private company by requiring the Kelley Blue Book valuation of cars. Tim Eyman filed a lawsuit in Thurston County Superior Court against the state of Washington requesting a ruling on the constitutionality of I-976. The court dismissed the case on January 31, 2020. Superior Court Judge Chris Lanese said, "There is no basis under the law for me to retain this case and decide this." On March 12, 2020, King County Superior Couty Judge Marshall Ferguson ruled that certain provisions of I-976 could be severed from the remainder of the initiative and could possibly go into effect pending a final decision on March 27. On March 27, 2020, however, Ferguson ruled that the injunction against Initiative 976 going into effect would remain in place pending a ruling by the Washington Supreme Court.

On October 15, 2020, the Washington Supreme Court ruled that Initiative 976 was invalid because it violated the state's single-subject rule and had an inaccurate ballot title.

Election results

Washington Initiative 976
Result		Votes	Percentage
Yes		1,055,749	52.99%
No		936,751	47.01%

Results are officially certified.

Source

Overview

What was I-976 designed do?

Initiative 976 was designed to do the following:

• limit annual license fees for vehicles weighing under 10,000 pounds at $30 except voter-approved charges;
• base vehicle taxes on the Kelley Blue Book value rather than 85% of the manufacturer's base suggested retail price;
• repeal local Transportation Benefit District (TBD) fees;
• repeal the $150 fee on electric vehicles;
• repeal authorization for certain regional transit authorities, such as Sound Transit, to impose motor vehicle excise taxes; and
• limit certain taxes and fees related to transportation.

Car tab fees going into the election

Going into the election, Washington residents had to pay the following:

• A standard vehicle fees for basic passenger cars of $38.75 that included the basic renewal fee of $30, county filing fee of $3, license service fee of $0.75, and a service fee of $5.
• A vehicle weight fee of $25 for vehicles weighing around 4,000 pounds, $45 for vehicles weighing around 6,000 pounds, and $65 for vehicles weighing around 8,000.
• Local taxes and fees such as a transportation benefit district (TBD) fee may be levied and vary from $0-100. For example, this tax was $80 in Seattle, $20 in Spokane and Wenatchee, and $40 in Olympia.
• Those who live in the Sound Transit Regional Transit Authority district of King, Pierce, and Snohomish counties must pay an RTA motor vehicle excise tax to fund local mass-transit projects. The RTA tax was calculated based on the vehicle's MSRP, a depreciation schedule, and taxed at a rate of 1.1 percent. According to the Washington Department of Licensing, the RTA tax for a 2012 Toyota Prius was $150.
• There was also a $150 tax on electric vehicles.

Tax rates under I-976

For a person with a 2012 Toyota Prius, all of the levied taxes and fees (before I-976) combined would equal about $254.

For those with a 2018 Chevrolet Volt (an electric vehicle), all of the levied taxes and fees (before I-976) combined would equal about $575.

Under I-976, the total taxes and fees were designed to be capped at $30 except for voter-approved changes in the future, which would need to be based on the Kelley Blue Book value rather than 85% of the manufacturer's base suggested retail price.

Campaign finance

Ballotpedia identified two committees registered in support of the measure: Voters Want More Choices (VWMC) and Permanent Offense. Both committees were managed by the initiative's sponsor, Tim Eyman. Together, the committees raised $695,348.94 in contributions. Tim Eyman provided $500,000 in loans to the VWMC committee, which had repaid $5,000 as of the most recent reports available as of December 10, 2019. Together, the committees reported expenditures of $723,043.25. VWMC hired Citizen Solutions LLC to collect signatures for the petition to qualify this measure for the ballot. A total of $560,000 was spent on signature gathering.

Ballotpedia identified one committee, Keep WA Rolling, registered to oppose the initiative. The committee reported $5.2 million in contributions and $4.5 million in expenditures. Microsoft was the largest donor to Keep WA Rolling, which contributed $650,000.

Measure design

Initiative 976 was designed to set annual license fees for vehicles weighing under 10,000 pounds at $30 except voter-approved charges, base future vehicle taxes on the Kelley Blue Book rather than 85% of the manufacturer's suggested base retail price, and otherwise limit taxes and fees related to transportation. Click the arrows to expand each section below.

Motor Vehicle License Fees: $30 car tabs

$30 car tabs

Initiative 976 was designed to limit annual state and local motor vehicle license fees for vehicles weighing 10,000 pounds or less to $30 regardless of make, model, year, or value. The initiative defined state and local motor vehicle license fees as the general license tab fees paid annually at the time of initial vehicle registration and registration renewal for licensing motor vehicles, including but not limited to cars, sport utility vehicles, light trucks, motorcycles, and motorhomes.

Vehicle weights

I-976 was designed to limit vehicle license fees to $30 for vehicles weighing 10,000 pounds or less. To put that into perspective, below is a list of some vehicles and their weights:

• Around 25,000 pounds: Conventional school bus
• Around 10,000 pounds: Average ambulance
• Around 6,500-7,500 pounds: Ford F-250 Super Duty Crew Cab, Dodge RAM 3500
• Around 5,000 pounds: Honda Odyssey minivan, Chevrolet Silverado, Ford F-150, Humvee
• Around 4,000 pounds: Toyota RAV4 Hybrid AWD, Jeep Wrangler 4x4
• Around 3,500 pounds: Honda Element
• Around 3,000 pounds: Honda Civic, Ford Focus, Toyota Prius, average mail truck

Distribution of revenue from vehicle license fees going into the election

Going into the election, revenue collected from vehicle license fees was distributed as follows, according to the Revised Code of Washington (RCW) 46.68.030—Disposition of vehicle registration and license fees:

• $23.60 of each initial or renewal vehicle license fee must be deposited in the State Patrol Highway Account in the Motor Vehicle Fund (MVF) for the sole use of the Washington State Patrol for highway activities;
• $2.02 of each initial vehicle license fee and $0.93 of each renewal vehicle license fee must be deposited every two years in the Puget Sound ferry operations account; and
• Any remaining amounts of vehicle license fees and renewal vehicle license fees must be deposited in the Motor Vehicle Fund.

Repeal and remove authority to impose certain vehicle taxes and charges: Repeal and remove certain taxes; limit regional transit authorities' taxing powers; provisions surrounding Sound Transit

Provisions related to Sound Transit

Initiative 976 was designed to repeal the authorization of certain regional transit authorities, specifically Sound Transit, to impose local-option voter-approved motor vehicle taxes. I-976 mandated that such regional transit authorities, mainly Sound Transit, must retire, defease, or refinance any outstanding bonds.

Section 13 of I-976 was designed to reduce the amount of a voter-approved motor vehicle excise tax (MVET) that a regional transit authority may impose. If Sound Transit does not comply with I-976's mandate to retire bonds by March 31, 2020, then effective April 1, 2020, the maximum MVET they can collect is limited to two-tenths of one percent rather than the previously authorized amount of eight-tenths of one percent.

Other taxes repealed by I-976

I-976 was also designed to repeal:

• The vehicle weight fee for motorhomes;
• Additional fees imposed on electric-powered vehicles;
• The authorization for local transportation authorities whose boundaries are on Puget Sound to impose local-option motor vehicle excise taxes to fund passenger-only ferry services; and
• The ability of independent taxing authorities (transportation benefit districts) to impose annual vehicle fees collected by the Department of Licensing as currently provided by RCW 82.80.140 (Vehicle fee—Transportation benefit district—Exemptions); and
• A tax of three-tenths of one percent (0.3%) of the selling price on each retail sale of a vehicle in Washington, which was first levied beginning on July 1, 2003. Going into the election, the revenue from this tax was deposited into the Multimodal Transportation Account.

Base future vehicle taxes and fees on Kelley Blue Book value: Calculate future vehicle taxes using KBB value

Initiative 976 was designed to require any new vehicle taxes or fees to be based on the Kelley Blue Book (KBB) value of a car rather than 85% of the manufacturer's base suggested retail price. KBB is a vehicle valuation and automotive research company.

Effective dates and severability clauses: Effective dates of certain provisions

What happens if Sound Transit does not retire bonds when mandated?

Initiative 976 requires Sound Transit to retire, defease, or refinance bonds by March 31, 2020. If Sound Transit does not comply with I-976's mandate to retire bonds by March 31, 2020, then effective April 1, 2020, the maximum MVET they can collect is limited to two-tenths of one percent rather than the previously authorized amount of eight-tenths of one percent.

What would happen if a provision of the initiative is ruled invalid?

If a provision or section in the measure is found invalid, the remainder of the initiative is not be affected. If the application of a provision is found to be invalid in relation to a certain person or circumstance, the application of the provision was designed to still apply to other persons or circumstances.

Text of measure

Ballot title

The ballot title for this initiative is below:

“

Initiative Measure No. 976 concerns motor vehicle taxes and fees. This measure would repeal, reduce, or remove authority to impose certain vehicle taxes and fees; limit annual motor-vehicle-license fees to $30, except voter-approved charges; and base vehicle taxes on Kelley Blue Book value. Should this measure be enacted into law?

”

Ballot summary

The ballot summary for this initiative is below:

“

This measure would repeal or remove authority to impose certain vehicle taxes and fees; limit state and local license fees to $30 for motor vehicles weighing 10,000 pounds or less, except charges approved by voters after the measure's effective date; base vehicle taxes on Kelley Blue Book value; require regional transit authorities to retire bonds early where allowed; and either reduce or repeal taxes pledged to bonds depending on whether bonds are retired by 2020.

”

Explanatory statement

The explanatory statement for I-976, provided in the Washington Voters' Guide for the 2019 general election, is below:

“ The Law as It Presently Exists: A. Motor Vehicle Registration and License Fees Owners of motor vehicles pay state and local license fees and excise taxes when they register vehicles and obtain license tabs each year. The total, combined amount depends on the type and weight of the vehicle, as well as where the vehicle is registered. The base annual license fee ranges from $30 to $93 for most passenger vehicles, such as cars, motorcycles, and light-duty trucks. An additional fee is then added depending on the vehicle’s weight. The vehicle weight fee can range from $25 to $65 for most passenger vehicles. Funds from the license and vehicle weight fee are used to pay for a variety of state transportation purposes, including road and highway repairs. Owners of snowmobiles pay an annual license fee of $50. The snowmobile license fee helps pay for snowmobile facilities and snowmobile safety, enforcement, and education programs throughout the state. Owners of commercial trailers pay $34 for initial registration and $30 for each annual renewal. These license fees also pay for state transportation purposes. Additional taxes and fees may be added depending on the city and county where the vehicle is registered. These taxes and fees help pay for local transportation improvement projects, passenger-only ferries, and other transportation purposes. Some residents of King, Pierce, and Snohomish County also pay voter-approved, annual motor vehicle excise taxes (MVET) that help pay for mass transit projects run by Sound Transit. The MVET is calculated based on a vehicle valuation and depreciation schedule that is set in state law. The total rate of the current MVET is one and one tenths percent (1.1%) of the value of the vehicle as determined by the statutory formula. Future approved MVET’s cannot exceed eight-tenths of one percent (0.8%) of the value of the vehicle. Finally, other fees may be included in the total amount, such as for county filing and service fees, fees for special license plates, or fees for certain types of vehicles. For example, owners of electric vehicles currently pay a $150 fee that goes toward paying for transportation feasibility studies and other transportation purposes. An additional $75 transportation electrification fee will go into effect for electric vehicles on August 1, 2019. This fee will be used to support green transportation projects. B. Taxes on Selling, Leasing, or Renting a Motor Vehicle Each retail sale or lease of a motor vehicle is subject to an additional state excise tax known as the “motor vehicle sales/lease tax.” This tax, which is in addition to general sales and use taxes, is set at three-tenths of one percent (0.3%) of the selling price of every motor vehicle in the state. Off-road vehicles, snowmobiles, and other non-highway vehicles are not subject to the tax. Farm tractors and vehicles are also not subject to the tax so long as the vehicles are not used for marijuana production. Funds from the motor vehicle sales/lease tax pay for transportation services in the state. Regional transit authorities in King, Pierce, and Snohomish counties may also impose additional sales and use tax on car rentals. The rate of the tax may not exceed 2.172 percent (2.172%) of the selling price of the rental. Funds from this tax are used to provide mass transit services run by Sound Transit. C. Sound Transit Funding State law authorizes Sound Transit to collect multiple types of taxes from some King, Pierce, and Snohomish County residents to help pay for mass transportation projects. These taxes include the MVET and the additional sales and use tax on rental cars previously described, as well as a local property tax and a local sales and use tax on purchases made within the district. Sound Transit also uses federal grants, transit fares, interest earnings, and other revenue to pay for its transportation projects. Since 1999, Sound Transit has issued and sold public bonds to finance its transportation projects. Sound Transit uses the revenue from the MVET and other taxes to pay the principal and interest on the bonds. It promised its bondholders that it would continue to collect the taxes until the bonds are retired. In 2006, the Washington Supreme Court held that state law could not change the terms of any existing Sound Transit bond contracts while the bonds are still outstanding. This means that Sound Transit must continue to use the tax rate and valuation formula that were in effect at the time the bond was issued, even if state law later changes the rate or formula, until the bonds are retired, defeased, or refinanced under different contract terms. The Effect of the Proposed Measure if Approved: This measure would reduce funding for state and local transportation projects by repealing, reducing, or removing state and local authority to impose certain vehicle taxes and fees. The measure would limit annual state and local license fees for motor vehicles weighing 10,000 pounds or less to $30, unless the fee is approved by voters. License fees, such as the motor vehicle weight fee and transportation benefit district fees, would be eliminated. The electric vehicle license fee would be lowered to $30. The transportation electrification fee would remain the same. The license fee for snowmobiles and commercial trailers would be lowered to $30. Other fees, such as service and filing fees, would remain the same. The measure would also eliminate the state motor vehicle sales/lease tax and eliminate authority to impose a local motor vehicle excise tax that supports passenger-only ferries. Any regional transit authority, such as Sound Transit, that has issued bonds financed by a motor vehicle excise tax would be required to defease, refinance, or retire the bonds early, if the bond contracts allow such action. Once the bonds have been defeased, refinanced, or retired, the authority to impose the MVET and the additional sales and use tax on rental cars would be repealed automatically. If the regional transit authority is not able to completely defease, refinance, or retire the bonds by March 31, 2020, any existing voter-approved MVETs would remain unchanged, and the maximum rate of future voter-approved MVETs would be reduced from 0.8% to 0.2%. The measure would also require that any future vehicle taxes, including voter-approved MVETs, be determined by using a vehicle’s base model Kelley Blue Book value. The base value would not include any applicable federal excise taxes, state and local sales and use taxes, transportation or shipping costs, and preparatory and delivery costs. The measure would require the Department of Licensing to use a vehicle’s base model Kelley Blue Book value for any appeal of the valuation of the vehicle. ”

Full text

The full text of the measure can be read below. Struck-through text was deleted and underlined text was added:

Readability score

See also: Ballot measure readability scores, 2019

Using the Flesch-Kincaid Grade Level (FKGL and Flesch Reading Ease (FRE) formulas, Ballotpedia scored the readability of the ballot title and summary for this measure. Readability scores are designed to indicate the reading difficulty of text. The Flesch-Kincaid formulas account for the number of words, syllables, and sentences in a text; they do not account for the difficulty of the ideas in the text. The Washington Attorney General wrote the ballot language for this measure. The FKGL for the ballot title is grade level 10, and the FRE is 42. The word count for the ballot title is 51, and the estimated reading time is 13 seconds. The FKGL for the ballot summary is grade level 12, and the FRE is 44. The word count for the ballot summary is 72, and the estimated reading time is 19 seconds.

Fiscal impact statement

The fiscal impact statement for I-976, prepared by the Washington Office of Financial Management, estimated that I-976 would result in a revenue loss to the state of $1.9 billion and a loss to local governments of $2.3 billion over the next 6 years following the measure's implementation. The statement is available here.

Support

Permanent Offense led the campaign in support of the initiative.

Sponsors

• Tim Eyman, a political activist and frequent initiative sponsor in Washington
• Mike Fagan, Spokane City Councilman
• Jack Fagan

Supporters

• Washington State Republican Party

Arguments

Tim Eyman wrote, "Recently, state and local governments have jacked [car tab prices] back up again. Worst of all, they’re dishonestly calculating the value of our vehicles to artificially inflate the taxes we’re forced to pay. Saying a $10,000 truck is worth $25,000 is fraud. But they’re continuing to do it because nobody has given taxpayers a way to fight back... Taxpayers have been screaming at politicians for years about this injustice. Initiative 976 fixes it. We get rid of the vehicles taxes and fees imposed since our earlier $30 tabs initiatives passed and explicitly repeal that dishonest vehicle valuation schedule. So it’ll cost you and your friends and family just $30 per year to license your cars, trucks, vans, SUVs, motorcycles and other vehicles. $30 means $30."

Official arguments

Following are the official arguments in support of I-976 included in the Washington Voters' Guide for the 2019 general election. Click [show] to expand the arguments.

I-976 official supporting arguments

“ $30 tabs now! Taxpayers are getting ripped off, politicians know it, refuse to fix it Taxing a $10,000 vehicle like it’s $25,000 is fraud. I-976 repeals the dishonest valuation schedule politicians are currently using to artificially inflate your taxes. No more price gouging! I-976 limits license tabs to a flat, fair, and reasonable $30 per year for your car, truck, motorcycle, motorhome, and other vehicles. We’re paying sales taxes when we buy, gas taxes when we use, we shouldn’t have to pay dishonest triple taxes just to own it. Working class folks, not just rich people, should be able to afford a newer vehicle. If politicians had any compassion for the average taxpayer, I-976 wouldn’t be necessary Washington is one of the highest taxed states in the nation. Dishonest vehicle taxes, skyrocketing property taxes, crushing sales taxes, massive gas taxes, obnoxious tolls, and costly fees on everything. Despite record revenues and $3.5 billion tax surplus, Olympia imposed 11 new taxes costing $27 billion. It’s insane. Now they’re demanding income taxes, carbon taxes, pay-per-mile taxes. Enough! If we can’t get tax relief when there’s a huge $3.5 billion tax surplus… …when can we? Besides, all the money taxpayers save will get pumped right back into our state’s economy. Opponents’ threats, lies, and scare tactics are absurd – I-976 only affects a tiny fraction of government spending. Stop getting ripped off – your vote for I-976 tells politicians you’re taxed out Politicians will never limit taxes – here’s our only chance. Vote “Yes.” Rebuttal of argument against: Triple taxing vehicles is indefensible. Taxing a $10,000 vehicle like it’s $25,000 is fraud. Taxpayers are getting ripped off – that’s the issue. Personally attacking Tim Eyman? Distraction. (the truth: “Eyman risks $500K of his own money to fund car tab initiative”). The threats, lies, and scare tactics about I-976 are silly: massive $3.5 billion tax surplus and record revenues can easily backfill affected programs. I-976 forces politicians to reexamine, prioritize. Reject dishonest taxes. Vote “Yes.” ” These arguments were prepared by I-976 sponsor Tim Eyman and I-976 supporters/signature gatherers Bob Henkel, Suzie Burke, Sid Maietto, Connie Christiansen, and Erma Turner.

Opposition

Keep WA Rolling led the campaign in opposition to I-976.

Opponents

The following groups were part of the No on 976 coalition or have otherwise indicated their opposition to I-976:

Organizations The Permanent Defense PAC Northwest Progressive Institute, which sponsors the Permanent Defense PAC Washington Roundtable Seattle Metropolitan Chamber of Commerce Downtown Seattle Association Economic Alliance of Snohomish County Transportation Choices Coalition Washington Environmental Council/Washington Conservation Voters Climate Solutions Audubon The Urbanist Transit Riders Union Sierra Club Seattle Subway Washington State Labor Council, AFL-CIO Washington State Building & Construction Trades Council, AFL-CIO Washington State Patrol Troopers Association All Aboard Washington American Council of Engineering Companies – Washington City councils Seattle City Council Everett City Council Edmonds City Council Officials U.S. Senator Patty Murray (D) Washington Senate Majority Leader Andy Billig (D-3)

Arguments

• No on 976 argued, "By repealing critical transportation funding, I-976 cripples our ability to fix dangerous highways, retrofit bridges and overpasses, fund transit, expand light rail, maintain ferries, build voter-approved projects, improve freight corridors, and invest in the Washington State Patrol. Vulnerable neighbors are impacted most by I-976. Not only does I-976 threaten funds to build and maintain roads, bridges and safe and reliable transit, but it specifically targets funds that pay for special services for seniors, veterans, children and the disabled."

• Justin Leighton from the Washington State Transit Association said, "I-976 is a false premise to our community which offers a loaded question on the people without any clear impacts of what it really means. I-976 would mean the elimination of all grant programs that provide financial assistance to transit agencies around the state no matter what community they are in."

Official arguments

Following are the official arguments in opposition to I-976 included in the Washington Voters' Guide for the 2019 general election. Click [show] to expand the arguments.

I-976 official opposing arguments

“ Tim Eyman’s latest misguided, deceptive initiative would irresponsibly slash state and local transportation funding by more than $4.2 billion over the next six years, undermining our ability to address critical safety and traffic problems. Vote NO on 976! 976 Threatens Transportation Safety Washington has over 160 bridges and overpasses in “poor” condition. 976 jeopardizes public safety, delaying projects to fix dilapidated bridges, overpasses, and tunnels that do not meet earthquake safety standards. The Washington State Troopers Association says, “We oppose this dangerous measure because it would stop thousands of needed road safety repair projects across the state, putting driver and pedestrian safety at greater risk.” 976 Will Harm Your Local Community This measure eliminates important local transportation funding in 62 cities throughout Washington. As a result, cities from Seattle to Spokane, from Anacortes to Zillah, would lose nearly $60 million a year in funding needed for bus service, to repair potholes, upgrade safety, provide transit to seniors and people with disabilities, and reduce congestion. 976 Will Devastate Public Transit Public transit connects people to jobs, education, health care, and each other. Many in our communities rely on public transportation as their primary way to get around. This measure would gut voter-approved light rail expansion and eliminate hundreds of thousands of bus trips each year for commuters, people with disabilities, teenage and elderly riders. Public safety and transportation experts, business, labor and environmental groups all oppose Eyman’s latest flawed and deceptive money-making scheme. Vote NO on 976! Rebuttal of argument for: Eyman’s 976 might sound good, but in reality it slashes transit and transportation funding by billions, harming our ability to maintain and improve our roads, bridges, ferries, buses and light rail. And 976 isn’t fair. It will give huge tax breaks to owners of brand-new luxury cars, and almost nothing to someone who drives a 10-year-old Corolla – while leaving all of us stuck in traffic. Vote NO on 976! ” These arguments were prepared by Steve Mullin, president of the Washington Roundtable; Larry Brown, president of the Washington State Labor Council, AFL-CIO; Alex Hudson, executive director of Transportation Choices Coalition; Jeff Merrill, president of the Washington State Patrol Troopers Association; Paula J. Hammond, former Washington State Transportation Secretary; and Tim Archer, president of the Spokane Firefighters Local 29.

Media editorials

See also: 2019 ballot measure media endorsements

Support

Ballotpedia did not identify any media editorials in support of I-976. If you are aware of one, please send an email with a link to editor@ballotpedia.org.

Opposition

• The Seattle Times: "The real-life Initiative 976 is a direct threat to Washington’s well-being. It would cut repairs to streets and bridges of 62 districts across the state, delay voter-approved mass transit in mid-construction and cost taxpayers more money in the long run. The statewide transportation budget, including highway construction and the State Patrol, would be shorted $4 billion over the next decade. Nothing about I-976 is a good idea, in terms of responsible governance or prudent money management. Eyman asks voters to buy a falsity that there’s some miraculous way to fund our state’s backlog of bridge, road and transit needs. Because the courts cannot end this toxic nonsense quickly enough, voters must reject I-976 themselves."

• The Columbian: "Initiative 976 on the Nov. 5 statewide ballot imagines a fantasy world in which Washington’s highways, roads and bridges either come without cost or are already and forevermore complete. ... Like any tax-reduction proposal, the measure has populist appeal; who wouldn’t like lower taxes? But it ignores the reality that a robust economy requires money to maintain and upgrade infrastructure. ...Passage of I-976 would put a damper on economic development and would have far-reaching negative impacts. Yes, everybody who owns a vehicle would save a little money; in truth, we can’t afford to save that much."

• The Herald: "Yes, approval of I-976 would save most vehicle owners some money each year when they renew their tabs. But that savings would quickly be eaten up by the cost of longer commutes, greater wear and tear from bad roads, lost jobs from delayed or canceled construction projects and lost economic opportunities from businesses unwilling to expose employees or their goods and services to more congestion. I-976 is not worth it. Vote no."

• The Union-Bulletin: "Initiative 976 will harm state’s roads and highways. The initiative reduces car tab fees that fund transportation projects and road repairs. Initiatives are generally a lousy way to make law. They are written in a vacuum by those with a narrow agenda."

• The Tacoma News Tribune: "There’s no question that reliable roads, bridges, and public transit are essential to Washington’s economy and quality of life. So there’s no question that voters should reject I-976 in the Nov. 5 election. ... Owners of newer cars are disgruntled that Sound Transit uses an inflated valuation formula to calculate tabs. Legislators have dithered for three years on plans to provide some relief; they need to get it done in 2020. ... Voters should resist Tim Eyman’s recycling of a simplistic slogan. They should reject his latest effort to break Washington’s transportation backbone."

Discussion surrounding I-976's impact on Sound Transit 3

Eyman statements about Sound Transit

During an interview, KIRO Radio's Dori Monson asked initiative sponsor Tim Eyman, "How much money would this strip away from Sound Transit?" Eyman said, "[Sound Transit] brought in $54 billion that we authorized. They say, if we believe their numbers, that our initiative would impact about 7 to 9 billion of it, about 10-15% of their revenue, that's a nice swift kick in the shins for them."

Earlier in the interview, Eyman also stated that Sound Tranist "is doing this illegal, completely immoral, artificially inflating of the value of our vehicles in order to take more money than they’re really entitled to."

When discussing his earlier initiatives, Eyman said that his Initiative 776 of 2002 was "upheld by the courts on all accounts, but they still allowed Sound Transit to continue to collect that tax because they said [I-776] did not explicitly mandate that the government retire their bonds early. This new effort addresses that by specifically requiring them to retire those bonds."

Statement from Sound Transit

Sound Transit said the following in a statement:

“

If enacted and enforced, the measure would eliminate a projected $6.95 billion in Sound Transit MVET revenues forecasted through 2041. However, the scope of the financial impact would be much greater than that. The initiative contains provisions that, if enforced, seek to mandate Sound Transit change the use of local taxes from funding voter-approved transit projects and services to the retirement of previously issued bond debt and TIFIA loans up to forty years earlier than required in the bond and loan agreements. Sound Transit is analyzing the scope of the further reduction in the agency’s funding sources and financial capacity that would result from diverting tax revenues to retiring debt early, as well as from reduced borrowing available under a lower tax revenue base and from having to pay higher interest rates. If enacted, the initiative would divert a significant amount of tax revenues away from implementing voter-approved transit projects... The projects cannot be built as planned without the revenue and financial capacity provided by the motor vehicle tax.

”

Campaign finance

See also: Campaign finance requirements for Washington ballot measures

The campaign finance information on this page was last updated according to the most recent reports available on December 10, 2019.

Total campaign contributions:
Support:	$695,348.94
Opposition:	$5,213,578.43

Ballotpedia identified two committees registered in support of the measure: Voters Want More Choices (VWMC) and Permanent Offense. Both committees were managed by the initiative's sponsor, Tim Eyman.

Together, the committees raised $695,348.94 in contributions. Tim Eyman provided $500,000 in loans to the VWMC committee, which had repaid $5,000 as of the most recent reports available as of December 10, 2019. Together, the committees reported expenditures of $723,043.25. VWMC hired Citizen Solutions LLC to collect signatures for the petition to qualify this measure for the ballot. A total of $560,000 was spent on signature gathering.

Ballotpedia identified one committee, Keep WA Rolling, registered to oppose the initiative. The committee reported $5.2 million in contributions and $4.5 million in expenditures. Microsoft was the largest donor to Keep WA Rolling, which contributed $650,000.

Support

Committees in support of Washington Initiative 976 Supporting committees Cash contributions In-kind services Cash expenditures Voters Want More Choices $629,626.74 $0.00 $685,171.67 Permanent Offense $62,713.58 $3,008.62 $37,700.59 Total $692,340.32 $3,008.62 $722,872.26

Totals in support Total raised: $695,348.94 Total spent: $725,880.88

Top donors

Below are the top four donors to the support campaign.

Donor	Cash	In-kind	Total
Tim Eyman	$494,000.00	$0.00	$494,000.00
National Electrical Contractors Association PAC-- Puget Sound Chapter	$25,000.00	$0.00	$25,000.00
Help Us Help Taxpayers	$21,472.07	$0.00	$21,472.07
Suzanne M. Burke	$12,000.00	$0.00	$12,000.00

Opposition

Committees in opposition to Washington Initiative 976 Opposing committees Cash contributions In-kind services Cash expenditures Keep WA Rolling $5,084,573.77 $129,004.66 $4,375,773.63 Total $5,084,573.77 $129,004.66 $4,375,773.63

Totals in opposition Total raised: $5,213,578.43 Total spent: $4,504,778.29

Top donors

Below are the top four donors to the opposition campaign.

Donor	Cash	In-kind	Total
Microsoft	$650,000.00	$0.00	$650,000.00
Amazon	$500,000.00	$48.11	$500,048.11
Vulcan, Inc.	$200,000.00	$44,893.59	$244,893.59
ACEC Washington	$150,000.00	$0.00	$150,000.00

Methodology

To read Ballotpedia's methodology for covering ballot measure campaign finance information, click here.

Background

Car tab fees going into the election

Going into the election, Washington residents had to pay the following:

• A standard vehicle fees for basic passenger cars of $38.75 that included the basic renewal fee of $30, county filing fee of $3, license service fee of $0.75, and a service fee of $5.
• A vehicle weight fee of $25 for vehicles weighing around 4,000 pounds, $45 for vehicles weighing around 6,000 pounds, and $65 for vehicles weighing around 8,000.
• Local taxes and fees such as a transportation benefit district (TBD) fee may be levied and vary from $0-100. For example, this tax was $80 in Seattle, $20 in Spokane and Wenatchee, and $40 in Olympia.
• Those who live in the Sound Transit Regional Transit Authority district of King, Pierce, and Snohomish counties must pay an RTA motor vehicle excise tax to fund local mass-transit projects. The RTA tax was calculated based on the vehicle's MSRP, a depreciation schedule, and taxed at a rate of 1.1 percent. According to the Washington Department of Licensing, the RTA tax for a 2012 Toyota Prius was $150.
• There was also a $150 tax on electric vehicles.

Car registration costs by state

See also: Car registration costs by state, 2019

Costs to register a vehicle and obtain a title vary from state to state and, sometimes, between localities within a state. Registration is a process proving that you have paid to a state or other government authority all fees and taxes associated with owning the car in that state.

As of May 2019, the range for vehicle registration costs in the 45 states with a fixed cost was between $8 and $225. The cost for a title in those states ranged from $3 to $100. As of May 2019, five states had variable costs based on either the MSRP or the age and weight of the vehicle. Since Ballotpedia's study in May 2018, registration fees increased in 13 states and decreased in five states, while title fees increased in six states and decreased in seven states.

Note that the registration amounts detailed below may not account for all fees and/or taxes levied by state and/or local government at the time a vehicle is registered. It is also possible for a state to apply different registration fees based on the age of the vehicle being registered. In such cases, we have recorded the registration costs for a new vehicle. See the map and table below for further information on the cost of car registration in the states.

For more information on car registration costs by state, click here.

Sound Transit 3

I-976 was designed to repeal the authority of Sound Transit to levy RTA motor vehicle excise taxes.

In 2015, the Washington Legislature approved a transportation bill titled Senate Bill 5987. Gov. Inslee (D) signed SB 5987 on July 15, 2015. Part of SB 5987 authorized Sound Transit, a regional transportation authority, to impose an annual excise tax of up to 0.8 percent on the value of motor vehicles, an additional 0.5 percent sales and use tax, and a property tax of 25 cents per $1,000 of assessed value. Sound Transit needed to refer to the ballot a measure asking for permission from voters to increase these taxes. Sound Transit offers train, light rail, and bus services in the greater Seattle, Washington, area.

Sound Transit referred an expansion package, known as Sound Transit 3 (ST3), to the November 8, 2016, ballot. The measure was designed to enact a 0.005 percentage point sales tax increase, a 0.008 percent excise tax on motor vehicles, and a property tax of 25 cents per $1,000 of assessed value. The expansion package was intended to add 62 additional miles of light rail and 37 stations, expand regional rail service, provide bus rapid transit for Interstate 405, State Route 518, State Route 522 and Northeast 145th Street, and add more park-and-ride lots. Voters approved the ballot measure.

Eyman's initiatives concerning transportation and taxes

Tim Eyman has proposed, sponsored, or was otherwise involved with initiatives relating to transportation and taxes every year since at least 1999. Most of all, his initiatives concerned $30 car tabs and requiring a two-thirds vote in the legislature or voter approval for tax increases. Detailed below are some measures related to Initiative 976.

1999 The Washington Voter Approval for Tax Increases Initiative, also known as Initiative 695, was on the November 2, 1999 ballot in Washington as an Initiative to the People, where it was approved, but later overturned. The measure would have required voter approval for any tax increase, repealed existing fees and excise taxes for motored vehicles, and imposed a license tab fee of $30 per year. 2000 Washington Initiative 722 appeared on the ballot in Washington on November 7, 2000. It passed with 1,295,391 voters in favor and 1,022,349 voters opposed. The Washington Supreme Court ultimately declared that I-722 violated that state's single-subject rule and declared it unconstitutional on those grounds. I-722 would have nullified certain 1999 tax and fee increases, exempted vehicles from property taxes, and limit property tax increases except on new construction to 2 percentage points annually. Initiative 745 was on the November 7, 2000 election ballot as an Initiative to the People in Washington, where it was defeated. I-745 would have required that 90% of transportation funds be spent constructing and maintaining roads and would have exempted road construction from sales tax. 2001 Washington Initiative 747 appeared on the ballot in the state of Washington in November 2001. I-747 was popular at the ballot box, with 826,258 voters in favor and 609,266 voters opposed. The purpose of Initiative Measure 747 was to limit property tax increases to 1 percentage point per year. Six years later on November 8, 2007, the Washington Supreme Court by a 5-4 vote invalidated I-747 in the case of Washington Citizens Action v. State, asserting that the state's voters did not understand what they were voting for. 2002 Washington Initiative 776 was on the November 2002 ballot as an Initiative to the People in the State of Washington, where it was approved, but later overturned. The measure passed with 51% in favor, but a Washington judge declared less than three months after the election that I-776 violated the Washington Constitution. I-776 would have required license tab fees to be $30 per year for motor vehicles, including light trucks. Certain local-option vehicle excise taxes and fees used for roads and transit were repealed by the measure, but reinstated when the judge ruled against it. King County Superior Court judge Mary Yu said in her 2003 ruling against I-776 that it violated the state's single-subject rule because it sought "to achieve two unrelated purposes" -- to set license fees at $30 and to encourage a public revote on Sound Transit's light rail program." In Pierce County. v. Washington State (2006), the Washington state supreme court held that section 6 of I-776 was unconstitutional because it impaired existing contracts between Sound Transit and its bondholders and as a result, I-976 had no legal effect of preventing Sound Transit from continuing to fulfill its contractual obligation to levy the motor vehicle excise tax for so long as the bonds remained outstanding. Referendum 51 also known as Referred Bill 51, was on the November 2002 ballot in the State of Washington as a legislatively-referred state statute. Referendum 51 asked voters whether to approve or reject House Bill 2969 passed by the Legislature. Voters rejected the bill, which would have increased fuel excise taxes, sales tax on vehicles, and weight fees on trucks/large vehicles to fund improvements in Washington's transportation infrastructure. 2003-2018 Every year between 2003 and 2018, Tim Eyman filed multiple versions of initiatives related to taxes and/or transportation. More often than not, initiatives related to $30 car tabs were filed by Eyman but did not make it to the ballot, which was the case in 2009 and 2012-2018. Eyman sponsored many initiatives that were designed to require a two-thirds vote in the Legislature or voter approval for any tax increases. All four times they've made the ballot— in 2007, 2010, 2012, and 2015— the initiatives were approved and later overturned.

To read more about Tim Eyman and his comprehensive initiative history, click here.

Path to the ballot

See also: Laws governing the initiative process in Washington

The state process

In Washington, the number of signatures required to qualify an indirectly initiated state statute—called an Initiative to the Legislature in Washington—for the ballot is equal to 8 percent of the votes cast for the office of governor at the last regular gubernatorial election. Initial filings for indirect initiatives cannot be made more than 10 months before the regular session at which their proposal would be presented to lawmakers. Signatures must be submitted at least 10 days prior to the beginning of the legislative session in the year of the targeted election.

The requirements to get an Initiative to the Legislature certified for the 2019 ballot:

• Signatures: 259,622 valid signatures were required.
• Deadline: The deadline to submit signatures was January 4, 2019.

The secretary of state verifies the signatures using a random sample method. If the sample indicates that the measure has sufficient signatures, the measure is certified to appear before the legislature. If the legislature does not approve the measure, it is certified to appear on the ballot. However, if the sample indicates that the measure has insufficient signatures, every signature is checked. Under Washington law, a random sample result may not invalidate a petition.

Details about this initiative

• Tim Eyman submitted this initiative on March 19, 2018.
• A ballot title and summary were issued for it on March 26, 2018.
• Tim Eyman reported collecting 250,000 signatures as of September 17, 2018.
• Eyman reported submitting 352,111 signatures on January 3, 2019.
• On January 15, 2019, Washington Secretary of State Kim Wyman declared that enough valid signatures were submitted and that the measure was certified to the legislature.
• The Washington State Legislature adjourned on April 28, 2019, without acting on I-976, thereby certifying it for the ballot.

Cost of signature collection:
Sponsors of the measure hired Citizen Solutions LLC to collect signatures for the petition to qualify this measure for the ballot. A total of $560,000.00 was spent to collect the 259,622 valid signatures required to put this measure before voters, resulting in a total cost per required signature (CPRS) of $2.15.

How to cast a vote

See also: Voting in Washington

Poll times

Washington is an all-mail voting state. Individuals who prefer to vote in person rather than by mail may do so at local voting centers, which are open for 18 days prior to the election. The voting period ends at 8:00 p.m. on Election Day. Contact your county elections department for more information on voting center locations and times.

Registration requirements

Check your voter registration status here.

To vote in Washington, one must be a citizen of the United States, a resident of the state, and at least 18 years of age.

One may register to vote online, by mail, or in-person at a county elections department. Registration must be completed eight days in advance if done by mail or online. In-person registration is available through Election Day.

In 2018, Washington lawmakers enacted legislation providing for same-day voter registration and automatic voter registration.

Automatic registration

Washington automatically registers eligible individuals to vote through the Department of Motor Vehicles, health benefit exchange, and other state agencies approved by the governor.

Online registration

See also: Online voter registration

Washington has implemented an online voter registration system. Residents can register to vote by visiting this website.

Same-day registration

Washington allows same-day voter registration.

Residency requirements

Washington law requires 30 days of residency in the state before a person may vote.

Verification of citizenship

See also: Laws permitting noncitizens to vote in the United States

Washington does not require proof of citizenship for voter registration. An individual must attest that they are a U.S. citizen when registering to vote. According to the state's voter registration application, a voter who knowingly provides false information or knowingly make a false declaration about their qualifications "will have committed a class C felony that is punishable by imprisonment for up to five years, a fine of up to ten thousand dollars, or both."

All 49 states with voter registration systems require applicants to declare that they are U.S. citizens in order to register to vote in state and federal elections, under penalty of perjury or other punishment. Seven states — Alabama, Arizona, Georgia, Kansas, Louisiana, New Hampshire, and Wyoming — have laws requiring verification of citizenship at the time of voter registration, whether in effect or not. In three states — California, Maryland, and Vermont — at least one local jurisdiction allows noncitizens to vote in some local elections. Noncitizens registering to vote in those elections must complete a voter registration application provided by the local jurisdiction and are not eligible to register as state or federal voters.

Verifying your registration

The site Vote WA, run by the Washington Secretary of State office, allows residents to check their voter registration status online.

Voter ID requirements

Washington is an all-mail voting state and does not require voters to present photo identification (ID). Voters may choose to vote in person at a local voting center. According to state law RCW 29A.40.160, “The county auditor shall require any person desiring to vote at a voting center to either sign a ballot declaration or provide identification.” Accepted forms of ID include driver's licenses, state ID cards, and student ID cards. For a list of all accepted forms of ID, see below.

The following list of accepted ID was current as of April 2023. Click here for the Washington State Legislature's voter ID regulations to ensure you have the most current information.

• Driver's license
• State identification card
• Student identification card
• Tribal identification card
• Employer identification card

See also

2019 measures

• 2019 ballot measures
• Taxes on the ballot
• Transportation on the ballot
• 2019 petition deadlines

Washington

• Washington ballot measures
• Washington initiative laws

News and analysis

• Ballot measure lawsuits
• Ballot measure readability
• Ballot measure polls
• Ballot measure signature costs

External links

• Initiative #976 Full text
• Washington 2019 General Election Voters' Guide
• Washington 2019 General Election Voters' Guide (PDF version)
• I-976 fiscal impact statement

Support

• Voters Want More Choices campaign website
• Voters Want More Choices Facebook page
• Tim Eyman on Twitter

Opposition

• No on 976 campaign website
• No on 976 Facebook page
• No on 976 on Twitter