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Subjects › Governance › Special Purpose Districts › Transportation Benefit Districts
Updated 12/2011

Transportation Benefit Districts

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About Transportation Benefit Districts

Transportation benefit districts (TBDs) are quasi-municipal corporations with independent taxing authority, including the authority to impose property taxes and impact fees for transportation purposes. RCW 36.73.020 governs formation by counties, and RCW 35.21.225 governs formation by cities.

In 1987, the Legislature created TBDs as an option for local governments to fund transportation improvements.1 In 2005, the Legislature amended the TBD statute to expand its uses and revenue authority. In 2007, the Legislature amended the TBD statute to authorize the imposition of vehicle fees and transportation impact fees without a public vote. In 2010, the Legislature amended the TBD statute again to clarify project eligibility, the use of impact fees, and sales tax expenditures, and make TBD governance more flexible. For an overview, see the following items:

Transportation Benefit District Legislation

Quick View of Jurisdictions with Transportation Benefit Districts

Jurisdictions are listed in the table below by the year the transportation benefit district was created. The funding source is noted as vehicle license fees or sales tax. The date the funding was first collected is noted in parenthesis. The name of each jurisdiction is linked to related documents and websites listed in the next section.

Jurisdiction Vehicle License Fee Sales Tax
TBDs Passed in 2011
Grandview $20 (02/01/2012)  
Mabton $20 (12/01/2011)  
North Bend   $0.002 sales tax (on ballot 11/2011)
Snohomish County   $0.002 sales tax (passed 08/2011)
Spokane $20 (09/01/2011)  
TBDs Passed in 2010
Bellingham   $0.002 sales tax on car dealers and leasing companies (04/01/2011)
King County    
Leavenworth   $0.002 sales tax (04/01/2011)
Lynnwood $20 (07/01/2011)  
Seattle $20 (05/01/2011)  
Snohomish   $0.002 sales tax (01/01/2012)
Snoqualmie $20 (03/01/2011)  
TBDs Passed in 2009
Bremerton $20 (12/07/2011 res. passed)  
Burien $10 (02/01/2010)  
Prosser $20 (11/01/2009)  
Shoreline $20 (02/01/2010)  
University Place    
TBDs Passed in 2008
Des Moines $20 (09/01/2009)  
Edmonds $20 (09/01/2009)  
Lake Forest Park $20 (09/01/2009)  
Olympia $20 (10/01/2009)  
Ridgefield   $0.002 sales tax (04/01/2009)
Sequim   $0.002 sales tax (04/01/2010)
TBDs Passed Prior to 2008
Liberty Lake (2002)    
Point Roberts, Whatcom County (1992)   Special gas tax $0.01/gallon (1992)

List of Transportation Benefit Districts, Including Proposals

1. Historical Note: Prior to the 2007 legislation, only three TBDs had been formed - Fords Prairie (Centralia and Lewis County) in 1993, Point Roberts (Whatcom County) in 1992, and Liberty Lake in Spokane County in 2002. Fords Prairie was dissolved after two attempts to obtain voter approval of the funding package. Funding was approved by the majority of the voters, but the requirement of a three-fifths majority was not met. See history in Transportation Benefit Districts Analysis and Report (Adobe Acrobat Document), Washington State Department of Transportation, 1998, and Centralia TBD Ordinances (Adobe Acrobat Document).