WA state employee files claim over order to falsify fuel forecast

A motorist fills a vehicle’s tank at a Shell station

A motorist fills a vehicle’s tank at a Shell station Wednesday, July 5, 2023, in Englewood, Colo. Republican lawmakers say the new cap-and-trade system is leading to higher gas prices. (AP Photo/David Zalubowski)

A recently retired state economist has filed a complaint against the Washington State Department of Transportation, alleging he was ordered not to include Washington’s cap-and-invest costs in an early 2023 revenue forecast.

In his complaint filed Thursday, Scott Smith, 64, said he left WSDOT after more than five years as a gasoline tax revenue and gasoline price forecaster for this reason. He is seeking $750,000 in lost income because he felt pressured to leave the agency before he was ready to retire.

A complaint must be filed 60 days prior to the filing of a lawsuit seeking damages from the state. Smith is represented by Citizen Action Defense Fund, a conservative organization that opposes Washington’s new cap-and-invest carbon pricing program.

The same organization filed a lawsuit against the state in Thurston County Superior Court last January, alleging the Legislature’s 2022 transportation bill, which included the nuts and bolts of the cap-and-invest program, violated the Washington Constitution by covering more than one subject. CADF lost in Superior Court and is appealing the ruling to the Washington Supreme Court.

Smith’s complaint filed this week alleges that when he prepared his gas revenue and price forecasts at the beginning of 2023 for WSDOT’s revenue forecast council, he calculated that Washington’s cap-and-invest program — which went into effect on Jan. 1, 2023 — would have a significant impact on gas prices and gas tax revenue. He says he was told to remove those calculations from his forecast by WSDOT officials and the Washington Office of Financial Management.

“He was approached by a supervisor and told not to include what the impacts of cap-and-trade will be. … They were asking him to lie, and he wouldn’t do that,” said Jackson Maynard, Citizen Action Defense Fund’s executive director, in an interview.

Maynard and the complaint said Smith was told he would need OFM approval on future calculations, he was denied a promotion, and was denied leave to see a sick family member, which he alleges was retaliation. 

The state’s cap-and-invest programs became controversial in June when Washington posted the highest gas prices in the nation. Republicans have seized this as a major political issue, with Democrats defending the program.

A Crosscut analysis showed economists calculating that the cap-and-invest program has increased gasoline prices from 26 to 50 cents per gallon, depending on who is doing the number-crunching. The same analysis showed numerous factors beyond the cap-and-invest program are contributing to Washington’s high gas prices.

Gov. Jay Inslee’s office first became aware of Smith’s situation on Thursday, said governor’s spokesman Mike Faulk. The governor’s office receives its gasoline price and revenue information from the state Ecology Department and not from WSDOT, Faulk said.

Ecology Department spokesman Andrew Wineke said in an email that the Legislature directed Ecology to develop and implement the cap-and-invest program – not the Department of Transportation. "Ecology used its own economists to conduct the regulatory analysis for the cap-and-invest program, with support from a respected independent economics firm. No one from the Department of Transportation provided input on that analysis,” Wineke said.

OFM spokesman Hayden Mackley added that the transportation revenue forecasts are important in developing the state's budget. "It’s important that this complex work is completed by professional forecasters. We rely on staff in other agencies who have this expertise to fill this role,” Mackley said.

Kris Abrudan, spokeswoman for WSDOT, said: “Transportation revenue forecasts are complex and highly variable. … Data integrity, transparency, and consistency are integral to this process and any changes to that model to include incorporating (the cap-and-invest program)  would be a much broader determination than any one employee or agency.”

Meanwhile on Friday evening, Faulk sent out an email that said:

  • The appropriate OFM official does not recall discussing this matter with Smith, and does not recall declaring that Smith’s work needed to be reviewed by OFM.
  • The Legislature eliminated Smith’s position last session, with his functions transferred to the state’s Economic Revenue Forecast Council. Therefore, his position was not eliminated by WSDOT.
  • WSDOT was considering Smith’s request to be able to work remotely, but he did not finish the process for that decision-making.
  • Smith’s request for time with his mother around Thanksgiving conflicted with a presentation that he was scheduled to give.

Updated Dec. 3, 2023: This story has been updated to include comment from the Washington State Department of Transportation, and information emailed Friday evening by governor's spokesperson Mike Faulk. 

More Briefs

The Bremerton High School football coach who won a U.S. Supreme Court ruling that said school employees had a right to practice “private personal prayer” on the field has resigned after one game.

Assistant football coach Joe Kennedy submitted the resignation letter to the Bremerton School District this week, the district confirmed on its website. The resignation is pending board approval at Thursday’s regularly scheduled meeting. District spokesperson Karen Bevers told Crosscut that the district would not make any additional statements.

Kennedy confirmed his resignation in a prepared statement on his website:

“I believe I can best continue to advocate for constitutional freedom and religious liberty by working from outside the school system so that is what I will do. I will continue to work to help people understand and embrace the historic ruling at the heart of our case. As a result of our case, we all have more freedom, not less. That should be celebrated and not disrespected,” said Kennedy.

Last year the Supreme Court ruled in Kennedy’s favor and ordered the district to offer him a football coaching job for this season.

His lawsuit gained national prominence as it progressed through the court system as a potentially precedent-setting religious-freedom case, which also was expected to show the effect of the U.S. Supreme Court’s first year with a strongly conservative majority.

The court ruled that Bremerton School District administrators violated Kennedy’s rights when they asked him to stop praying with players on the 50-yard line after games, which Kennedy said he had done regularly since he started coaching at the high school.

A person stands on the 50-yard line on a high school football field.
Bremerton High School assistant football coach Joe Kennedy stands at the center of the field on the 50 yard line at Bremerton Memorial Stadium, Nov. 5, 2015. (Larry Steagall/Kitsap Sun)

The controversy stirred up a media circus during the 2015 season. During one game, members of the public rushed the field to pray alongside Kennedy. At another, a group of Bremerton High School students invited Satanists to pray on the field.

When the district suspended Kennedy with pay in 2015, district administrators said in an announcement at the time that his actions possibly violated the First Amendment’s establishment clause, which states that the government will not favor one religion over another. The following season, Kennedy did not apply to continue his football contract with Bremerton High School, though his lawyers maintained that this was the same as being fired.

Kennedy, who moved to Florida several years ago to help his wife’s family through medical issues, told right-wing personality Glenn Beck last year that he intended to return to Bremerton High School.

“I'm a man of principle, I guess. And that's my hometown. My kids … live right by the school. All my family's there, all my friends.”

Kennedy returned to the Bremerton Knights last month in the run-up to the football season, and was included in off-season communications. The Knights’ season opener was a home game against an out-of-conference high school team, the Mount Douglas Rams from Victoria, B.C., five days before he submitted his resignation.

WA Proud Boy Ethan Nordean sentenced for Jan. 6 insurrection

A man in a backwards hat speaks into a megaphone amidst a crowd

Proud Boy member Ethan Nordean walks toward the U.S. Capitol in support of President Donald Trump on Jan. 6, 2021. (AP Photo/Carolyn Kaster)

A federal judge Friday sentenced a Washington resident and leader of the Proud Boys to 18 years in prison for helping to storm the U.S. Capitol during the Jan. 6, 2021 insurrection.

Ethan Nordean, of Auburn, also received 36 months of supervised release, according to a news release by the U.S. Department of Justice. Nordean, 33, is one of several members of the Proud Boys to be sentenced this week by U.S. District Court Judge Timothy J. Kelly.

A group of right-wing street brawlers, the Proud Boys played a role in the attempt to prevent the peaceful transfer of power as former President Donald Trump sought to overturn the results of the 2020 election.

In May, a jury found Nordean guilty of six federal counts, including seditious conspiracy, destruction of government property and conspiracy to obstruct an official proceeding.

Along with Proud Boy members Enrique Tarrio, Joseph Biggs, Zachary Rehl and Dominic Pezzola, Nordean “participated in every consequential breach at the Capitol on January 6,” according to a sentencing memo by federal prosecutors.

“Nordean led a group of nearly 200 men to the Capitol and onto Capitol grounds,” according to another sentencing memo by the federal government. “He immediately moved to the front of the throng and took action by tearing down the fence, which permitted the rioters to proceed further into the restricted area.”

“He defied law enforcement’s calls to disperse, and he ignored calls from his own men to leave. Nordean was there to use force against the government and lead what he viewed as a second American Revolution …” according to the memo, which requested a 27-year sentence for Nordean.

An email from Crosscut to Nordean’s attorney seeking comment was not immediately returned, but his attorney submitted a sentencing memo which stated in part: “The penalties Nordean has already incurred as a result of this case are sufficient to deter him from ever again entering the Capitol, protesting there, and recidivating.”

More than 1,100 individuals have been arrested since the insurrection, according to the Department of Justice.

Share a photo that shows the soul of your Seattle neighborhood

Fremont’s beloved piece of public art, "Waiting for the Interurban"

Fremont’s beloved piece of public art, "Waiting for the Interurban," was dressed up with face masks in April 2020. (Matt M. McKnight/Crosscut)

Hello creative Seattle. While you’re considering who to vote for in November, take a few minutes to think about how you picture your City Council district. Where is the heart of your district? What image represents your community’s place in Seattle?

Does the Fremont Troll best represent District 6? Or is it Waiting for Interurban? Or something else?

Here’s your chance to participate in the Nov. 7 election and show off your artistic vision. Crosscut is asking the voters of Seattle to submit photos of their City Council districts, and we will choose our favorites to illustrate our district election profiles.

This handy district map on the Seattle page of our voter guide will help you find your district or help you submit a photo of another district. Submit your photos here and please let us know why you think this photo best represents your district.

We’ll give the photographers credit for their winning photos, of course, and send you some Crosscut swag as thanks for contributing.

What questions do you have for 2023 WA local election candidates?

Ballots are sorted at the King County Elections headquarters

Ballots are sorted at the King County Elections headquarters on Aug. 5, 2019 (Photo by Dorothy Edwards/Crosscut)

Hello Crosscut readers, what’s on your mind? What questions do you want us to ask the candidates for the local elections in your city? What do you need to know before deciding how to mark your ballot for the Nov. 7 election?

Crosscut’s election coverage is inspired by The Citizens Agenda. Instead of just letting candidates set the campaign agenda, we ask the public what issues they want candidates to talk about on the campaign trail.

We will be asking each candidate mentioned in our voter guide two questions. This is where we need your help. Please submit your ideas here for what you think those questions should be. The best questions require candidates to share a specific idea on how to address the challenges unique to your community. Please stay away from questions they can answer with a yes or no.

Instead of attending a public forum where you may hope to get your questions answered, ask them in a much bigger room, where the answers can be seen by everyone who visits the Crosscut voter guide. Become part of Crosscut’s citizens agenda and help yourself as well as your neighbors.

The general election voter guide will be posted in mid-October.

WA’s third carbon auction should push pollution credits over $1B

A Tesoro Corp. refinery, including a gas-flare flame

This April 2, 2010 file photo shows a Tesoro Corp. refinery, including a gas-flare flame that is part of normal plant operations, in Anacortes, Wash. The Washington Department of Ecology is releasing its report on the first-ever state carbon auction. (Ted S. Warren/AP Photo)

Washington will hold its third carbon auction on Wednesday under its new cap-and-invest  program.

The first two auctions sold pollution credits totaling about $800 million. The third is expected to put the total for the year well over $1 billion.

This is the first year of implementing the state’s new Climate Commitment Act, which passed in 2021. Businesses generating more than 25,000 metric tons of carbon emissions must participate in the program or face fines of up to $10,000 per violation per day. 

During the 2023 legislative session, lawmakers made decisions about how to spend the money raised through these auctions, focusing on projects to slow or adapt to climate change. Those investments include money to electrify buses and ferries and build a charging infrastructure, restore salmon habitat, accelerate clean-energy projects and help ease the burden of pollution on vulnerable communities.

The May auction sold pollution for more than $500 million. The February auction raised almost $300 million. 

The Washington Department of Ecology announced this week that the May auction sold nearly 8.6 million 2023 allowances and another 2.5 million 2026 allowances. Each unit represents one metric ton of greenhouse gas emissions.

The price on carbon was higher at the May auction, where bids were received almost entirely from energy companies and utilities. 

 

Group asks U.S. Supreme Court to strike down WA capital gains tax

The U.S. Supreme Court building

The U.S. Supreme Court building (Associated Press photo)

A conservative advocacy group has filed an appeal with the U.S. Supreme Court to challenge Washington’s capital gains tax.

Passed by the Legislature in 2021 and signed into law by Gov. Jay Inslee, the tax on some capital gains was upheld this spring by the state Supreme Court in a case known as Chris Quinn v. State of Washington.

In a 7-2 decision, the court upheld the 7% tax on profits from the sale of stocks and bonds over $250,000, ruling that it is not a tax on income, which could have led to it being struck down. The court instead ruled that it is an excise tax.

Now the Freedom Foundation is appealing to the U.S. Supreme Court, according to a statement by the advocacy group. The appeal contends the tax “violates the Commerce Clause of the U.S. Constitution, which reserves to Congress the right to regulate interstate commerce, thus depriving states of the ability to do so.”

“If the Supreme Court decides to accept the case and concludes that the tax violates the Commerce Clause, it could strike down the entirety of the tax and potentially open the door for the refund of taxes previously paid,” according to the statement.

In response, the executive director for Invest in WA Now claimed that those challenging the tax “are desperately trying to grab $800 million a year from Washington’s child care and education to give it to ultra-millionaires and billionaires.”

“Polls show Washingtonians strongly support making the wealthiest pay what they truly owe in taxes for services all of us depend on,” Treasure Mackley, whose advocacy organization has supported the capital gains tax, said in a statement. “Only when we have a fair tax code can we undo decades of racism and disinvestment that hurts families, communities, and small businesses.”

Superintendent of Public Instruction Chris Reykdal now has two challengers for the 2024 race to run Washington’s education department.

Reid Saaris, who started national education nonprofit Equal Opportunity Schools, announced his run on Wednesday, joining former state Rep. Brad Klippert, a Republican from Kennewick, who registered with the PDC and launched a campaign website earlier this year.  They both challenge Reykdal, who announced a bid for a third term earlier this year.

The Office of Superintendent of Public Instruction oversees state school budgets and statewide education policies. It is a nonpartisan position.

Reykdal, Klippert and Saaris are so far the only people who have registered with the state Public Disclosure Commission, which enforces state campaign finance laws, including reporting contributions and expenditures. The official candidate declaration period for the 2024 election starts next May.

Saaris, who grew up in Bellevue, was a teacher in South Carolina before spending 10 years heading the nonprofit that helped students of color and low-income students enroll in advanced high school courses. On his website, Saaris said his priorities include focusing on tutoring opportunities, student mental health, post-high school education and career development.

Reykdal, who had served on the Tumwater School Board and in the state Legislature before being elected state superintendent in 2016, said his priorities in his third term include increasing support for student mental health, expanding technical education, providing universal access to school meals and fully funding education.

Klippert, who left the state Legislature in 2022 for an unsuccessful bid to unseat U.S. Rep. Dan Newhouse, said he would focus on providing more school choices, including some charter schools and online schools; re-examining the state school funding formula; and increasing transparency in school curricula and budgets.

Correction: Feb. 20, 2024. An earlier version of this article incorrectly stated the date of the filing period of the 2024 election.

Judge tells Washington to redraw Central WA legislative district

A picture of an election worker handling mail ballots.

Ballots at the King County Elections office. (Crosscut Photo)

A federal judge on Thursday ordered the state of Washington to redraw one of its legislative district boundaries after finding that the Central Washington political boundary impairs the ability of Latinos to choose candidates from their own community.

The ruling comes after a coalition of Latino voters early last year sued Washington’s bipartisan Redistricting Commission, contending that the new once-a-decade political maps perpetuate the disenfranchisement of Yakima County’s minority voters.

The legal challenge focused on the commission’s decision to exclude heavily Latino communities in Yakima County that are adjacent to the new 15th District map. Instead, the new district map pulled in more white and rural communities from Grant, Benton and Franklin counties.

In his ruling released Thursday, U.S. District Court Judge Robert S. Lasnik found merit in that argument and gave the state until Feb. 7 to adopt new legislative district maps for the region.

“The question in this case is whether the state has engaged in line-drawing which, in combination with the social and historical conditions in the Yakima Valley region, impairs the ability of Latino voters in that area to elect their candidate of choice on an equal basis with other voters,” wrote Lasnik. “The answer is yes.”

As such, “the Court finds that the boundaries of LD 15, in combination with the social, economic, and historical conditions in the Yakima Valley region, results in an inequality in the electoral opportunities enjoyed by white and Latino voters in the area,” he added.

King County voters pass levy for veterans and senior services

A King County ballot drop box in the foreground, with an adult and child passing behind.

A ballot drop box at the Beacon Hill Library in an October 2020 file photo. (Jovelle Tamayo for Crosscut)

King County voters are heavily supporting the renewal of a levy for veterans, seniors and human services, which was on Tuesday’s primary ballot. So far, more than 71% of voters have voted yes on the levy.

The levy revenue, which has been collected since 2006, has been directed at assistance for military veterans including housing-stability services and mental health counseling; senior centers and programming and assistance for older people; hotlines and advocacy services for survivors of domestic and gender-based violence; and affordable housing and shelter beds, according to the county. 

This week’s ballot measure authorized a six-year property tax levy starting next year: 10 cents per $1,000 of assessed valuation – or $80 for an $800,000 home – with 3.5% increases between 2025 and 2029. Eligible seniors, veterans and people with disabilities would be exempt from the property tax. According to the county, the levy will bring in $564 million over six years.

Earlier this year, the King County Council rejected a levy rate increase to 12 cents per $1,000 of assessed valuation, despite housing advocates pushing for the tax increase to address rising construction costs.

County voters first approved a veterans and human services levy in 2005 and renewed it in 2011. In 2017, the county voters approved the levy after the county added assistance for seniors to the measure.

 

Primary results for King County Council races

Two King County ballots on a table in their envelopes.

Two King County ballots on a table. (Matt M. McKnight/Crosscut)

Voters have narrowed the field in King County Council elections, as results come in following Tuesday’s primary.

Jorge L. Barón and Sarah Reyneveld have significant leads in the race for County Council District 4, which covers the northwest parts of Seattle from Belltown to the city limits. 

Barón, the former executive director of the Northwest Immigrants Rights Project, received about 50% of the vote. Reyneveld, an assistant attorney general for the state, received about 28%. They both lead Becka Johnson Poppe, a King County budget and policy manager, who received 19%. Incumbent Councilmember Jeanne Kohl-Welles, who first took the seat in 2016 after more than 20 years in the state legislature, announced her retirement earlier this year.

For District 8, which covers Capitol Hill, West Seattle, Vashon and Maury islands and parts of Burien and Tukwila, Teresa Mosqueda and Sofia Aragon have significant leads over GoodSpaceGuy. Mosqueda, who is on the Seattle City Council, had about 57% of the vote, and Aragon, the mayor of Burien and executive director of the Washington Center for Nursing, had 37%. GoodSpaceGuy, a frequent candidate for elected office, received 4%. Incumbent Councilmember Joe McDermott, a former state legislator, decided not to run for re-election after 13 years on the County Council.

The top two leaders in each race will face off in the general election in November. County Council members are elected by the voters in their geographic district. The positions are nonpartisan. Also on the general election ballot will be King County Councilmembers Girmay Zahilay in District 2 and Claudia Balducci in District 6. Zahilay, whose district includes Skyway, southeast Seattle, Central District, the University District, Laurelhurst and Ravenna, and Balducci, whose district includes Redmond, parts of Kirkland, north Bellevue and Mercer Island, drew no challengers.

Updated at 4:15 p.m. Aug. 3, 2023 to reflect the latest vote count from King County.

Correction: an earlier version of this story incorrectly stated the year that King County Councilmember Jeanne Kohl-Welles took her council seat.