HomeMy WebLinkAboutR-2002-003 Supporting feasibility study of East-West passenger rail serviceRESOLUTION NO. R-2002- 03
A RESOLUTION supporting feasibility study of East-West passenger rail service by the
State Department of Transportation.
WHEREAS, the 2000 Legislature approved a limited amount of funding for a
preliminary east -west study of passenger rail in Eastern Washington; and
with a
WHEREAS, the preliminary study and report were completed in the summer of 2001
ocus primarily on the track between Auburn and Pasco via Yakima; and
WHEREAS, the State Department of Transportation in its 2001 report made the
following recommendation: "In light of the finding of the preliminary assessment, the study
team recommends that Washington State undertake a detailed study of the feasibility of east -west
passenger rail service on all three cross state corridors...";
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF YAKIMA:
The City Council of the City of Yakima recommends that the detailed additional study
suggested by the State Department of Transportation would be beneficial to Eastern Washington,
including Yakima, and, therefore the Council urges the 2002 Legislature to authorize, and to
approve sufficient funding for a detailed east -west study of rail passenger service in Eastern
Washington including service at Yakima.
ADOPTED BY THE CITY COUNCIL this 8th day of January , 2002.
ATTEST:
Mayor
City Clerk
A SUMMARY OF THE CASE FOR A SPECIAL TAX TO BE LEVIED BY THE STATE OF
WASHINGTON AND BY LOCAL GOVERNMENTS ON THE RETAIL SALE OF FUEL FOR
HIGHWAY MOTOR VEHICLES TO FUND PASSENGER TRAINS, BUSES, AND TERMINALS AS
ALTERNATIVE TRANSPORTATION
There is a need on the state level for a source of funding of passenger trains and buses, terminals, and
passenger -only ferries. Local governments, particularly those in the Puget Sound region, also need a
source of funding for the necessary costs of acquiring, constructing, maintaining, and operating systems
of buses, passenger trains, and terminals for public use.
California has a state sales tax on gasoline and diesel. The California sales tax is included in the price
of fuel paid at the pump with the state and federal highway taxes also included
In the State of Washington aviation fuel is subject to the retail sales tax and is included in the price at
the pump. The State Department of Revenue collects, without difficulty, the sales tax on aviation fuel.
About one year ago the Governor's Blue Ribbon Commission recommended a tax on the sale of motor
vehicle fuel to fund transportation The recommendation was to levy at the "rack"' a 6.5 percent regular
sales tax upon the sale of motor vehicle fuel with an 80 cent per gallon cap on the sales price.
The Washington Attorney General has written an opinion about the constitutionality of the Blue Ribbon
Commission's recommendation of a tax on the sale of fuel for highway motor vehicles. This opinion is
dated March 21, 2001, and cited as AGO 2001 Number 2. For several reasons the Attorney General
stated that there would be much similarity between Blue Ribbon sales tax and the highway tax on
gallons of motor vehicle fuel; and for that reason, the Attorney General expressed the view that a court
of law could rule unconstitutional the Blue Ribbon recommendation for the sales tax. However the
Attorney General did volunteer the statement that if the state levied a 6.5 percent tax on the retail sale
of gasoline and diesel, then such a tax would not violate the Washington Constitution.
Section 40 of Article II of the State Constitution reads as follows:
Section 40. Highway Funds
All fees collected by the State of Washington as license fees for motor vehicles
and all excise taxes collected by the State of Washington on the sale, distribution or use
of motor vehicle fuel and all other state revenue intended to be used for highway
purposes, shall be paid into the state treasury and placed in a special fund to be used
exclusively for highway purposes. Such highway purposes shall be construed to include
the following:
(a) The necessary operating, engineering and legal expenses connected with
the administration of public highways, county roads and city streets;
'The rack is defined under state law, RCW 82.36.010(23), generally as the mechanism, such as
trucks or rail cars that take the fuel from the refinery to points of distribution.
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12.08-01
(b) The construction, reconstruction, maintenance, repair, and betterment of
public highways, county roads, bridges and city streets; including the cost and expense
of (1) acquisition of rights-of-way, (2) installing, maintaining and operating traffic signs
and signal lights, ,3, policing by the stale of public highways, I ivvayo, (4) operation of movable
span bridges, (5) operation of ferries which are a part of any public highway, county
road, or city street;
(c) The payment or refunding of any obligation of the State of Washington, or
any political subdivision thereof, for which any of the revenues described in section 1
may have been legally pledged prior to the effective date of this act;
(d) Refunds authorized by law for taxes paid on motor vehicle fuels;
(e) The cost of collection of any revenues described in this section:
Provided, That this section shall not be construed to include revenue from
general or special taxes or excises not levied primarily for highway purposes, or
apply to vehicle operator's license fees or any excise tax imposed on motor vehicles or
the use thereof in lieu of a property tax thereon, or fees for certificates of ownership of
motor vehicles [bold type added for emphasis].
Page 7 of the Attorney General's Opinion contains the following statements:
"As an initial matter, 'it would not violate Article Il, Section 40 to extend the sales
tax to motor fuel and use the proceeds of the tax for non -highway purposes.' [Bold
type added for emphasis.] At present, a sales tax is imposed on retail sales at the rate
of 6.5 per cent of the selling price ... "
"The retail sales tax falls within the proviso. It is not a ... [tax on gallons] because it is
levied on the selling price of the fuel. It is a general tax, and it is not levied for highway
purposes."
The opinion of the Attorney General is very helpful and much appreciated. Nevertheless, I am not able
to agree with the part of the opinion that seems to say that the Washington Constitution limits a tax on
gallons only for highway purposes. It is my opinion that a tax levied by the legislature exclusively for
non -highway transportation purposes on gallons of fuel or on the sale of fuel for use by highway motor
vehicles would not violate the Washington Constitution.2
Sincerely,
J. O. Neal
21n the case of State of Washington vs. Slovin, 75 Wa2d 554, 1969, the legislature had appropriated
$250,000.00 from the highway fund to finance a study in the metropolitan Puget Sound about public transportation.
The Supreme Court ruled that the study of public transportation was not highways and the appropriation violated
the State Constitution. It is my opinion that the Slovin case stands for the proposition that passenger trains, buses,
terminals, and passenger -only ferries are not within the definition of highways and, therefore, taxes levied on motor
vehicle fuel for these purposes would not violate Article II, Section 40.
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12-08-01
Washington State
�I Department of Transportation
East-West Passenger Rail Feasibility Study:
A Preliminary Analysis
What is the purpose of this study?
The purpose of the East-West Passenger Rail Feasibility Study is to provide
policymakers and the public with information regarding the potential for new
passenger rail service between the communities of eastern and western
Washington. This study presents a preliminary assessment of the feasibility of
new service along one of Washington's three cross -state rail corridors—the
Stampede Pass rail corridor—connecting Seattle, the Tri -Cities, and Spokane.
The study also provides a list of priorities for future action, as well as technical
appendices that will serve as a foundation for future, in-depth analysis of east -
west passenger rail service within the state of Washington.
Why does the study focus on only one of the three cross -state rail
corridors?
Due to limited funding, a comprehensive study of all potential corridors was not
possible. This limited route feasibility study was decided upon as the most
effective way to begin the in-depth study process with limited funding.
What are the key findings of the study?
The introduction of daylight passenger rail service along the Stampede
Pass route is physically and operationally feasible.
Preliminary analysis indicates that Amtrak service along Stampede Pass is
feasible, but further analysis of the route should be perforined to obtain accurate
ridership, scheduling, and cost information.
At least $350 million in infrastructure improvements are recommended for
safe and reliable passenger rail service between Seattle, the Tri -Cities,
and Spokane.
These improvements represent the minimum recommended for one daily round
trip between Seattle, the Tri -Cities, and Spokane. Many of these improvements
would also provide for more efficient freight movement along the Stampede Pass
line, as well as additional frequencies of passenger service beyond this single
daily round trip.
WSDOT Rail Office, 1-800-822-2015 (705-7901 in Thurston County)
E-mail: rail@wsdot.wa.gov
July 2001
Page 1
It would cost approximately $14 million per year to operate daily round trip
service between Seattle, the Tri -Cities, and Spokane.
This cost estimate assumes that train service similar to western Washington's
Amtrak Cascades service would operate on the rail line connecting these cities.
It does not include any revenue projections from ticket sales or express freight
service, which would offset this operating cost.
The travel time between Seattle, the Tri -Cities, and Spokane would be at
least 7 hours, 21 minutes.
This travel time estimate is based on the assumption that the equipment used on
this line would be similar to Amtrak Cascades equipment. If other train
equipment were to be used, the travel times become longer. This travel time
estimate would be refined as station locations are selected.
It will take many years to make new East-West passenger rail service a
reality.
This preliminary analysis indicates that the service along the Stampede Pass rail
corridor is physically and operationally feasible. However, costs identified for the
introduction of the service are very expensive, and it is unlikely that partnership
funding of this magnitude could be obtained under the state's current
transportation funding mechanisms and backlog of projects already scheduled for
construction.
What next steps are recommended for the years ahead?
In light of the findings of this preliminary assessment, the study team
recommends that Washington State undertake a detailed study of the feasibility of
east -west passenger rail service on all three cross -state rail corridors. This study
should include:
• Refined capital and operation cost estimates;
• Origin and destination analysis and ridership projections; and
■ A thorough assessment of east -west freight rail traffic data and growth
projections.
This information, when considered in its entirety, will be the foundation upon
which full analysis of the costs and benefits of such a service can be based.
How can I get a copy of the study?
The study is available at www.wsdot.wa.gov/pubtran/passrail/eastweststudy.cfin.
If you prefer a printed copy of the study, contact the WSDOT Rail Office at
1-800-822-2015, or by e-mail at rail@wsdot.wa.gov.
July 2001
Page 2
WSDOT Rail Office, 1-800-822-2015 (705-7901 in Thurston County)
E-mail: railwsdot.wa.gov
BUSINESS OF THE CITY COUNCIL
YAKIMA, WASHINGTON
AGENDA STATEMENT
Item No.
For Meeting of 1/8/02
ITEM TITLE: Resolution of Support for Rail Passenger Service
SUBMITTED BY: Glenn Rice, Assistant City Manager
CONTACT PERSON/TELEPHONE: Glenn Rice, 575-6040
SUMMARY EXPLANATION: In response to the request of several Eastern Washington
Cities and other private organizations including Yakima (Resolution R-99-36), the 1999
Legislature approved $1,500,000 for a feasibility study for Eastern Washington passenger trains.
The approval by the voters of I-695 in the fall of 1999 eliminated most of the funding for this
study project. The 2000 Legislature approved only $150,000 for a preliminary study of Eastern
Washington passenger train service which was completed in the summer of 2001. The State
Department of Transportation, while limited due to funding, is recommending further study of
this project. The official report is lengthy, but Washington State Department of Transportation
makes the following recommendation:
"In light of the finding of the preliminary assessment, the study team recommends Washington
State undertake a detailed study of the feasibility of east -west passenger rail service on all three
cross state corridors..."
Attached for your review is the summary referred to by Mr. Neal.
Resolution X Ordinance Contract Other (Misc. Information)
Funding Source
APPROVED FOR SUBMITTAL
City Manager
STAFF RECOMMENDATION: Adopt resolution.
BOARD/COMMISSION RECOMMENDATION:
COUNCIL ACTION: Resolution adopted. RESOLUTION NO. R-2002-03