No gas tax increase for viaduct, says governor

OLYMPIA – Gov. Christine Gregoire said today she opposes increasing the gas tax any further to help cover the cost of replacing the Alaskan Way Viaduct.

Gregoire said she thinks Seattle and the state might need to look at charging tolls instead.

"We're going to have to look at other ways to fund other than the gas tax," Gregoire said during a news conference.

Meanwhile, Gregoire, who has final say over what sort of structure to build, said she has not decided whether she favors replacing the aging viaduct with another elevated structure or with a more expensive tunnel. She said she will announce that decision before the Legislature convenes in January.

"I do not want to go into the legislative session with this up in the air," Gregoire said.

The price tag for both alternatives have grown substantially. The cost estimate for a new elevated structure has grown from $2.4 billion to $2.8 billion, according to a state report released last week.

Cost projections for building a tunnel grew by $1 billion – to as high as $5.5 billion, although the state Department of Transportation now says its "likely" figure is $4.6 billion.

Gregoire and state lawmakers last year approved a 9-cent per gallon gas tax increase as part of a transportation improvement package that includes more than $2 billion for the viaduct.

Gregoire said she thinks the state is responsible for covering about $460 million of the increased costs – the amount needed to replace the viaduct's current capacity on an elevated structure.

She said she has not ruled out the tunnel as an option, but said the state will not be picking up the extra costs. Mayor Greg Nickels has said the city can raise as much as $2.2 billion through tolls, local taxes, utility fees and other means to help cover the added cost for a tunnel.

In a 7-1 vote last week, the Seattle City Council declared that a tunnel is its preferred alternative. The council also decided against putting it up for a public advisory vote, a move criticized by the governor.

"I would like to have heard from the citizens of Seattle," Gregoire said.

Ralph Thomas: 360-943-9882 or rthomas@seattletimes.com