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Proposed repeal of state carbon tax cap and trade laws From Wikipedia, the free encyclopedia
Initiative No. 2117 (I-2117) is a ballot initiative in the U.S. State of Washington that appeared on the ballot on November 5, 2024. The initiative was brought to the state legislature by Let's Go Washington, a Redmond-based political action committee founded by Brian Heywood.[1] The initiative seeks to repeal the Washington Climate Commitment Act (CCA), a cap and trade program adopted by the state in 2021 to begin pricing carbon emissions in order to create a downward pressure on state carbon emissions.[2][3]
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This measure would prohibit state agencies from imposing any type of carbon tax credit trading, and repeal legislation establishing a cap and invest program to reduce greenhouse gas emissions. | |||||||||||||||||||
| Reporting | as of Nov. 23, 8:18 PM PST | ||||||||||||||||||
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| Website | WA Secretary of State | ||||||||||||||||||
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The effort to repeal the CCA through initiative was one of six ballot efforts spearheaded by Let's Go Washington in 2023.[1] I-2117 collected a total of 466,072 signatures on the way to certification and introduction to the state legislature during their 2024 legislative session.[4] I-2117 was one of three bills that Senate majority leader Andy Billig (D) and Speaker of the House Laurie Jenkins (D) announced on February 16, 2024, that the state legislature would not hold hearings on.[5] This decision not to take action on the referred initiative placed the decision on the question to the November 2024 general election.
The establishment of a carbon tax has been a priority for Washington state Democrats since at least 2009, when HB1819 and SB 5735 were proposed to reduce greenhouse gas emissions through a cap and trade program.[6] The effort to pass the bill failed to pass in either the 2009 or 2010 session, ultimately dying during the 2010 special session. Subsequent efforts to establish a carbon market involved the initiative process with the introduction of Initiative 732 in 2016 and Initiative 1631 in 2018, both of which failed to pass by a vote of the people. Supporters of establishing a carbon market finally found success in 2021 with the passage of the Climate Commitment Act (CCA) in 2021.[7] The goal of the CCA is to reduce Washington state carbon to net zero by 2050 by establishing gradually declining caps on the amount of carbon businesses are permitted to release and requiring them to purchase allowances on a state-run market managed by the Department of Ecology for exceeding permitted carbon emission levels.[7]
One of the main concerns around the passage of the CCA was the impact the climate legislation could have on the price of gas in the state. The particular impact on agricultural production was addressed in the legislation itself by establishing a five-year exemption for agricultural vehicles in particular.[8] State officials in charge with implementing CCA also sought to reassure the public that the impact on gas prices would be negligible as they worked to bring the law into force in 2022.[9] However, following implementation of the CCA on January 1, 2023, the state saw a rise in gas prices above what had been expected absent the CCA. As of July 1, 2023, the state of Washington had an average gas price of $4.95/gallon, which was $1.43/gallon higher than the national average for that day in 2023 and $0.81/gallon more above the national average than Washington had been in 2022.[10] A former economist for the state of Washington had anticipated a surge in gas prices related to the CCA implementation and noted so in his reports, an act for which he claims to have later been fired.[11]
The rise in gas prices tied to the CCA spurred efforts became the primary argument against the CCA adopted by conservative opponents adopted when making a push to repeal the CCA through initiative.[12] The initiative repeal effort was led by Let's Go Washington, a PAC founded by the libertarian-leaning hedge fund manager Brian Heywood to circumvent the Democratic-dominated state legislature and attempt to repeal six laws that he and other conservatives found objectionable.[12] Signatures for the repeal effort were certified in December, with the state legislature declining to take action on the proposals in February.[13][14] This decision by legislative leaders put I-2117 on track for public consideration on the November 2024 general election ballot.
I-2117 places the following question before the citizens of Washington:
Initiative Measure No. 2117 concerns carbon tax credit trading.
This measure would prohibit state agencies from imposing any type of carbon tax credit trading, and repeal legislation establishing a cap and invest program to reduce greenhouse gas emissions.
Should this measure be enacted into law? Yes [ ] No [ ]
The CCA raised approximately $1.8 billion through its quarterly auction of carbon credits during its first full year of implementation in 2023.[15] The revenues raised by carbon credit auctions are required by law to focus on three priority areas above the costs of administering the program itself (which is capped at 5% of revenues): reducing transportation-related carbon emissions, increasing community and ecological resilience, and reducing health disparities across economic and racial lines related to air pollution and other environmental contaminants.[16] The largest immediate impact of the CCA's repeal on the state expenditure side of the ledger would be cuts to public transit and state transportation spending.[15]
As of September 24, 2024, Let's Go Washington and the Taxpayers Accountability Alliance are registered as sponsors of the initiative.[17] During a debate held on September 10, 2024, Republican gubernatorial candidate Dave Reichert reaffirmed his support of I-2117.[18]
As of September 24, 2024, the 45th district Democratic Party, the Clean and Prosperous America No on 2117 Committee, Defend Washington, Fuse Voters, the Green Jobs PAC, the No on 2117 PAC, Protect Washington, the SEIU 775 Ballot Fund, and the Stop Greed PAC are registered as opponents of the initiative.[17] During a debate held on September 10, 2024, Democratic gubernatorial candidate Bob Ferguson reaffirmed his opposition to I-2117.[18]
| Poll | Sponsor | Dates | Margin of Error | Mode | Sample Size | Support | Oppose | Undecided |
|---|---|---|---|---|---|---|---|---|
| SurveyUSA[19] | Seattle Times, KING-TV, & UW Center for an Informed Public | Oct 9–14, 2024 | ± 5% | Online | 703 LV | 30% | 48% | 22% |
| Elway[20] | Cascade PBS | Oct 8–12, 2024 | ± 5% | Live Phone & Text | 401 LV | 31% | 46% | 23% |
| Elway[21] | Cascade PBS | Sep 3–6, 2024 | ± 5% | Live Phone & Text | 403 RV | 30% | 46% | 24% |
| SurveyUSA[22] | Seattle Times, KING-TV, & UW Center for an Informed Public | July 10–13, 2024 | ± 5% | Online | 708 LV | 48% | 34% | 18% |
| Scott Rasmussen National Survey[23] | May 20–23, 2024 | ± 3.5% | 800 RV | 45% | 39% | 16% | ||
| Elway | Cascade PBS | May 13–16, 2024 | ± 5% | Live Phone & Text | 403 RV | 41% | 31% | 28% |
| GBAO Strategies | Defend Washington | April 11–14, 2024 | ± 4% | Live Phone & Text | 600 LV | 37% | 57% | 6% |
Although the election has not yet been certified, early results show the measure failing with 62% voting "No" and 38% voting "Yes" with around 79% of estimated votes counted.[24]
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