Bill > SB5989

This bill amends existing law to change how aircraft fuel tax revenue is distributed, specifically by modifying RCW 82.42.090. The key changes involve the allocation of moneys collected from the aircraft fuel excise tax and from use or retail sales taxes on aircraft fuel. Previously, all collected moneys were transmitted to the state treasurer and credited to the aeronautics account, which could only be spent on aviation-related purposes after appropriation. This bill mandates that a portion of the revenue from use and retail sales taxes on aircraft fuel will be distributed differently: from July 1, 2026, to June 30, 2027, an amount equivalent to a 0.5 percent tax will go to the aeronautics account, and beginning July 1, 2027, an amount equivalent to a one percent tax will be credited to the aeronautics account. The remaining portion, calculated as 6.5 percent minus the amount allocated to the aeronautics account, will be credited to the state general fund. Additionally, starting July 1, 2026, the aviation division of the department of transportation is required to track funds awarded for airport projects through the airport aid grant program and report annually to the legislature on project details, state grant amounts, and matching funds from federal and local sources until 2031, and thereafter as needed. The bill also requires a biennial report on the estimated amount of funds returned to the general fund, considering taxes generated by funded airport projects. This act takes effect on July 1, 2026.

Budget and Finance, Transportation and Infrastructure

https://app.leg.wa.gov/billsummary?BillNumber=5989&Year=2025&Initiative=false