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Commission moves ahead with outreach on 50% low‑income toll discount as financial analysis shows manageable long‑term impacts
Summary
Commission staff proposed a 50% discount for eligible households (<=200% FPL) on Good To Go toll rates for SR 509 and SR 167; state treasurer’s office and WSDOT models show a roughly 6–8% long‑term revenue reduction under the program and projected sufficiency after 2027 while flagging near‑term monitoring needs.
Commission staff and the state treasurer presented a financial analysis and outreach timetable for a proposed low‑income toll discount during the Washington State Transportation Commission’s June meeting. The commission’s draft program would offer a 50% discount on applicable Good To Go toll rates for two‑axle vehicles whose household income is at or below 200% of the federal poverty guideline.
WSDOT and the Office of State Treasurer modeled two scenarios — a base case and a base case with the proposed discount — and concluded that the low‑income program would reduce net toll revenues by roughly 6–8% after the program matures. Both scenarios show projected sufficiency to meet planned debt service and program costs in the medium term, with a modest projected shortfall in fiscal 2026 tied to startup timing that staff said should be clarified with updated actuals. The presenters highlighted key financial controls: a flow of funds that prioritizes operations and maintenance, debt service coverage covenants (1.30× standard), working capital, a revenue stabilization account, and a self‑insurance reserve the state is exploring to protect against business interruption.
Enrollment would rely on existing, verifiable benefit programs to confirm income eligibility (examples staff cited included DSHS programs, Washington Health Care Authority, King County transit low‑income programs and Social Security Administration benefit evidence). Applicants would submit proof of program enrollment plus vehicle registration; approvals would remain valid for 12 months.
Staff outlined outreach and next steps: an online open house (June 22–July 10), a virtual public input session (July 7, evening), formal virtual testimony at the July 21 commission meeting, and WSDOT enrollment work through the fall with targeted timing to tie implementation to the SR 167 opening (late 2026/December 2026).
Treasury staff cautioned that early‑year revenue tightness increases the risk that the commission may eventually need to consider rate adjustments if actual toll receipts diverge materially below forecast, but said that updated toll transactions on the recently opened SR 509 segment have run above early projections and that the near‑term deficit shown in modeling is modest and likely resolvable with updated actuals.
The commission opened public comment and directed staff to continue outreach and modeling refinements ahead of its July decision.
