Lawmakers approved a trio of bills to fund Washington state's many transportation needs, putting the state deeper in debt as it contends with construction cost increases, long-neglected road repair and the destruction left by December's catastrophic flooding.
Overall, the Legislature on Thursday approved $1.3 billion in new debt for work stretching through at least 2031. The $16.6 billion budget, passed by the House in a 69-26 vote and unanimously in the Senate, amends the $15.5 billion plan approved in last year's regular 105-day session.
The money will pay for a wide range of work, from a bridge in Pierce County that's been closed since last spring to a highway expansion on the east side of the state.
Going into this year's short, 60-day session, Gov. Bob Ferguson urged legislators to tap the state's borrowing power. They listened, in part, and authorized bonds for road work, megaprojects and safety upgrades, but ignored Ferguson's proposal to borrow an additional $1 billion to build three new ferries, work not related to the three ferries already contracted to be constructed by Eastern Shipbuilding in Florida.
Our state has been underfunding preservation and maintenance work for decades," Ferguson said in a statement after the budget passed. He said the budget "is an important first step in taking care of our roads and bridges — which is good for individuals, communities and our economy."
State Rep. Andrew Barkis, R-Olympia and the top Republican on the House Transportation Committee, said he supported parts of the budget but ultimately voted against it due to the debt it incurred.
"The final agreement relies on new bonding authority that was not part of the House proposal," Barkis said in an email. "Bonding can be a useful tool as part of a long-term plan, but in a supplemental year, I do not believe it is the right time to take on additional debt."
Over the past two decades, the state has "significantly increased its reliance on bonds to implement legislative spending plans for transportation projects," according to a recent report from the state treasurer.
Before this budget, at the end of fiscal 2025, about 31% of the state's $24 billion in debt obligations was related to transportation projects — $7.4 billion of outstanding transportation bonds and loans. Most of that debt is supposed to be paid back using the state's gas tax, which at 55.4 cents per gallon is one of the nation's highest.
Rep. Jake Fey, D-Tacoma and the head of the House Transportation Committee, could not be reached for comment, but state Sen. Marko Liias, D-Edmonds, said use of gas tax revenues and the relatively small 4% interest on bonds made borrowing for big projects, with 10% to 15% increase in costs, pencil out.
"What do you want to pay for, and when do you want to pay for it?" Liias, who leads the Senate Transportation Committee, said in an interview. "There is no free lunch here."
In the end, gobs of money is headed to highways, with billions to be spent over the next six years, in part for cost increases on a handful of highway expansion projects, including the Highway 520 bridge replacement project in Seattle, the north-south freeway in Spokane, and the Puget Sound Gateway between Seattle and Tacoma.
The $500 million in new debt authorized for the 520 project, replacing a bridge and building a lid on top of it, won't be paid back with gas tax funds, but by tolls on the bridge.
Beyond 520, the state's collection of old bridges got some attention this session. The state has 342 bridges that are at least 80 years old, and 212 are rated in poor condition.
Top of the list was the Fairfax Bridge over the Carbon River in Pierce County. The town of Wilkeson was allocated $2.5 million to help mitigate the effects from the long-term closure of the bridge, which was shut down in April 2025 after inspections found deteriorated and bent steel supports. The 494-foot-long bridge that opened in 1921 was a key route to Mount Rainier National Park, and its absence has dealt a blow to the local economy.
The Washington State Department of Transportation estimated last year that it would cost up to $175 million to replace the bridge, but no funding for that work came this session. Instead, lawmakers directed WSDOT to expedite the planning work and report better cost and timelines estimates so the Legislature can consider funding replacement next year.
The devastation from December’s floods highlighted the deteriorating transportation system, as it took out roads and bridges across the state's western half. Budget writers included $45 million in loans for counties and cities to deal with the damage, with the notion that federal assistance will eventually pay that money back.
"We all expect the federal government will come through with resources, but it's taking a bit longer than we hoped," Liias said, adding that the state loans will allow repairs to begin immediately and not force towns to delay other work.
The budget has $31 million for electrifying the Seattle, Bainbridge and Clinton ferry terminals, bringing spending on terminal electrification to $320 million over the next six years. Upgrades to the terminals are part of the mandate to completely electrify and modernize the Washington State Ferries' fleet by 2040, a $6.2 billion endeavor that includes building 16 new hybrid electric vessels and adding charging stations to 16 terminals.
The mandate also included retrofitting six diesel ferries to hybrid electric, but Ferguson indefinitely suspended the work after the costly and delayed conversion of the Wenatchee, and the state budget has no money going toward that work over its six-year timeline. Money previously dedicated to this work was put to terminal electrification.
"We have decided not to convert the remaining vessels" until the 2030s, if ever, Liias said. "We just can’t afford to have the jumbos out of service for the next four years until the new vessels arrive. It just doesn't make sense.
Lawmakers have $28 million over six years headed to WSF's Eagle Harbor Maintenance Facility, with the goal of increasing its ability to return broken ferries to service more quickly.
Safety was also a focus this session. Lawmakers doubled, to $200 million, the money to fix state highways that run through cities, like Aurora Avenue in Seattle and Highway 7 in Tacoma. Earmarked for 2027-31, the funds will pay for work that comes with Complete Streets requirements to make the roads safer for pedestrians and bicyclists. According to Transportation Choices, an advocacy group focused on urban highways, 47% of fatal pedestrian collisions in Washington occur on these roads.
Besides the money headed to urban state highways, the Legislature said its focus on safety extended to staffing levels at Washington State Patrol, which will get $2.7 million to help the agency return to full employment and, it is hoped, nab more unsafe drivers. With this funding, WSP said it could be fully staffed within two years.
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