Washington raises $2B in first year of carbon pollution auctions

A Volvo XC40 electric vehicle

A Volvo XC40 electric vehicle featured at a December 2021 news conference in Olympia where Gov. Jay Inslee announced several climate-related proposals for the 2022 legislative session, including a plan to offer rebates on the purchase of new and used electric vehicles for qualified buyers. (AP Photo/Ted S. Warren)

Washington raised another $370.6 million in its final carbon auction of 2023, bringing the total to slightly more than $2 billion in the first year of the state cap-and-invest program, the Ecology Department announced Wednesday.

Carbon-emitting corporations bid every three months on state allowances for the pollution emitted by their facilities. The winning bidders all pay the same price on those allowances after the auction. The “settlement” prices in the first few Washington auctions were $48.50 for roughly one metric ton of carbon for the first quarter of 2023; $56.01 for the second quarter; $63.03 for the third; and $51.89 for the December auction.

Of the total $2 billion raised through the program, $1.82 billion goes toward environmental investments and another $376 million will go to gas and electric utilities to help ratepayers, especially low-income families.

The cap-and-invest system passed by the Legislature in 2021 is aimed at decreasing carbon emissions to a small fraction of their current levels by 2050.

In addition to clean energy investments, the program has made driving gas-powered vehicles more expensive. It has raised Washington’s price at the pump from 15 to 50 cents per gallon, depending on who is calculating. Republicans have been slamming Gov. Jay Inslee over those increases and a conservative group has been gathering signatures to send an initiative to the Legislature to get Washington out of carbon pricing.

Washington has traditionally had some of the nation’s highest gas prices due to various geographical and economic factors outside of the cap-and-invest program.

For the program’s first two years, the Legislature appropriated $2.1 billion in cap-and-invest revenue for numerous climate mitigation projects. On Monday, Inslee said the state expects to collect $941 million in additional cap-and-invest money in the first half of 2024, bringing the overall income to roughly $3 billion over the system’s first 18 months and adding that much to be spent on climate projects. 

Inslee’s supplemental budget request includes: 

- A one-time $200 credit to the utility bills of roughly 750,000 low- and moderate-income households in Washington. 

- Speeding the transition from diesel school buses to electric school buses across the state. 

- Installing electric heat pumps in low-income multiple-family homes, replacing gas furnaces.

- Providing matching funds for competitive federal grants to bring clean-energy jobs to Washington. 

- Converting a large diesel ferry into a hybrid fuel/electric ferry. As Washington’s ferries are breaking down in increasing numbers, Inslee also said on Monday that future cap-and-invest income could speed up replacing the old ferries with new hybrid ones.

CORRECTION: Fixes the amount raised in the most recent action and how it was distributed.

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WA wants to join CA, Quebec in pollution pricing marketplace

motorist filling a tank at a gas station

In a July 2023 photo, a motorist fills up at an Englewood, Colorado, Shell station. Republican lawmakers say the new cap-and-trade system is leading to higher gas prices. (AP Photo/David Zalubowski)

Washington wants to link its carbon pricing program with California and the Canadian province of Quebec in hopes of trimming economic ripple effects, the Ecology Department announced Thursday.

“Connecting the market here in Washington to similar programs elsewhere … would incentivize wise long-term strategies to reduce emissions,” Ecology Department Director Laura Watson wrote in a blog post. 

A recent Ecology Department preliminary analysis concluded the proposed coalition would likely improve the cap-and-invest program’s economic durability, longevity and efficacy. “In a larger, more liquid market with a greater number of participants, allowance prices would likely be lower and change more predictably. Predictable prices can foster greater investments in decarbonization,” the report said.

Participants in Washington’s cap-and-invest program would be able to improve their long-range planning, and perhaps more readily pursue carbon reduction measures, the report said. 

Washington’s carbon pricing market is slightly bigger than Quebec’s, but smaller than California’s. 

Joel Creswell, Washington Ecology Department climate pollution reduction program manager, recently briefed the state House Energy & Environment Committee about this proposed move. He said a three-government cap-and-trade collation would likely shrink Washington’s final bid prices in its quarterly cap-and-invest auctions. 

Washington’s final “settlement” prices were $48.50 per allowance (roughly one metric ton of carbon) for the first quarter of 2023; $56.01 per allowance for the second quarter; and $63.03 per allowance for the third quarter.

Watson said a final decision will depend on talks with the California-Quebec coalition. The earliest that the two markets could link is 2025.

Critics of cap-and-invest are blaming the program’s high final bid prices for increasing gasoline prices at the pump. However, program supporters blame the increasing gasoline prices on oil companies’ greed. Washington’s Democratic legislators plan to introduce an oil industry financial transparency bill in the 2024 session.  

"California has the highest gas prices in the country and the third highest retail electricity rates in the country. ...  Everything California policymakers touch related to energy markets ends in disaster for consumers," State Rep. Mary Dye, ranking Republican on the House Energy & Environment Committee, said in a news release. 

A Crosscut analysis showed numerous independent factors are in play — increasing crude oil prices, high real estate costs, oil transportation costs, different states having different margins between wholesale and retail prices, what is happening elsewhere globally and several other reasons.

Washington’s health insurance exchange, which launched its open enrollment period Wednesday, is expanding access to health and dental plans to every state resident regardless of citizenship or immigration status, the Washington Health Benefit Exchange announced.

Federal subsidies such as sliding scale tax credits continue to be available solely to U.S. citizens or immigrants with legal documentation, according to the agency. However, people without immigration documentation with modest incomes could be eligible for the state subsidy program. The program, Cascade Care Savings, will be available to anyone in Washington who meets the income eligibility limits, regardless of immigration status.

About one out of four of the remaining uninsured in Washington are people who are undocumented, according ot the state. 

“Disparities exist and access to insurance coverage can often be the difference between life and death,” Wynne McHale, chief of staff at the Washington Health Benefit Exchange, told Crosscut. “We are glad to be opening our doors to everybody.”

Washington is one of the few states to offer access and state subsidies for health insurance through its exchange to all residents regardless of immigration status. Generally, the federal Affordable Care Act prohibits undocumented immigrants from purchasing health care through state exchanges. Washington received an innovation waiver from the federal government last year that allows the state to expand its enrollment to “work towards its goals of improving health equity and reducing racial disparities by expanding access to coverage for the uninsured population” without raising costs. The waiver is effective from 2024 to 2028.

A similar expansion of Washington Apple Health, the state’s Medicaid plan, is scheduled to launch in July 2024.

Five states – California, Illinois, Oregon, New York and Colorado – and the District of Columbia currently offer state-funded coverage or subsidies to all residents, according to health policy nonprofit KFF. Minnesota has plans to do so as well by 2025.

Enrollment through the Washington State Healthplanfinder is open through Jan. 15. People who enroll by Dec. 15 can sign up for a plan that starts Jan. 1. People who enroll between Dec. 16 and Jan. 15 can sign up for a plan that will start Feb. 1.

Olympia cannabis testing lab has WA license suspended

Cannabis harvest

Cannabis harvest in Washington state. (Matt Mills McKnight/Crosscut)

Washington’s Liquor and Cannabis Board has suspended the certification of an Olympia cannabis testing laboratory.

The True Northwest lab received an emergency suspension of its state certification on Tuesday and has 180 days to appeal that decision to the Cannabis Board.

The agency’s staff determined that the lab failed to meet several accreditation requirements, including not having a lab director and not having its scales properly calibrated. The lab provided incorrect results to its customers, the Board said in a news release.

In September, the Cannabis Board received documents that suggested the lab was producing inaccurate test results. On Sept. 19, an independent lab certification firm, RJ Lee, confirmed that True Northwest had failed proficiency tests on June 16, 2022 and May 23, 2023.

On Oct. 9, the Board and RJ Lee audited True Northwest and found five major deficiencies. Board spokeswoman Julie Graham said the deficiencies included the lack of a lab director, improperly labeled chemicals, improperly calibrated balances and scales, calibration curves for residual solvents being noncompliant with regulations, and the inability to complete the lab’s data review process.

On Oct. 11, the Board ordered True Northwest not to accept new samples or proceed with tests. After Tuesday’s suspension, Washington has seven remaining marijuana quality-assurance labs. 

The lab tested marijuana samples for THC levels (the potency of the substance that gets you high) and CBD levels (the substance that helps medical patients deal with pain and nausea), as well as moisture and bacteria content. The THC results are sent to the state marijuana testing database and to growers. Those numbers would then be put on the labels for the pot to be sold.

At least one other marijuana quality-assurance lab — Praxis Laboratory in Centralia — has had its certification suspended. Inspections determined in 2021 that Praxis sent inflated THC figures to its grower clients, tricking them into thinking their cannabis was more potent than it really was. Praxis did not contest the suspensions after the 180-day waiting period, and lost its certification. 

Washington clears rape test kit backlog after years of advocacy

A box with pieces of paper instructions labeled "sexual assault evidence collection kit."

Lutheran Community Services Northwest has sexual assault evidence collection kits at their offices for their work with victims of violence and sexual assault. State legislators are working to increase the number of SANE nurses in rural areas. (Rajah Bose for Crosscut)

Washington’s backlog of about 10,000 sexual-assault test kits has been cleared, eight years after the state began targeted efforts to analyze old evidence that had been collected but never processed, Attorney General Bob Ferguson’s office announced this week.

As a result of testing thousands of kits and uploading the data to a national DNA database known as CODIS, defendants have been charged in 21 cases, all dating from 2015 to 2022, Ferguson’s office announced. 

Prior to a 2015 law that set clear deadlines for handling and processing rape test kits, some law enforcement agencies didn’t have a consistent system for processing them, in some cases storing untested evidence for more than a decade. According to Ferguson’s office, some kits found during efforts to clear the backlog dated back to the 1980s.

About 1,000 tested kits still need to be processed and uploaded to CODIS, a process that should be completed by the end of the year, according to Ferguson’s office.

Other steps that the state has taken to clear the cases include a tracking system for the test kits, funding for testing in private labs and the completion of a new Washington State Patrol crime lab in Vancouver.

Sexual-assault kits contain tools used by medical professionals to collect and preserve physical evidence for later DNA testing during the investigation. The evidence could be blood, semen, saliva or other biological traces. The kit also includes procedures for packaging the evidence and preserving the chain of custody as it gets processed.

Try on proposed King County property tax changes with this tool

ballots being sorted in King County

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

King County voters deciding how to vote on the proposed property tax increases on the Nov. 7 ballot can use an online tool to estimate the potential financial impact of that choice.

King County Assessor John Wilson offers his Taxpayer Transparency Tool for the sake of government transparency.

“Taxpayers have a right to know where their money is going, and what each proposed property tax levy will cost them,” he said in a news release Monday when the 2023 election tool was released. “Property taxes keep going up. We need to make sure the public understands why.”

The tool is designed to help property owners in Kirkland, Maple Valley, Seattle, Enumclaw, Fife and Kent, plus those who live within the boundaries of the Skykomish School District; the King County FIre Protection District 27 in Fall City; Snoqualmie Pass Fire and Rescue; the Valley Regional Fire Authority covering Auburn, Algona and Pacific; and the Si View Metropolitan Park District in North Bend.

King County has offered the Tax Transparency Tool since 2018. It was developed by a software company called Spatialest, which focuses on property assessment data analysis.

The tax increase estimates offered by the tool are likely not accurate for the life of any levy, as those numbers usually change during the life of the tax.

New group begins ad campaign to recruit Democrats in Central WA

A pile of ballots at the King County Elections office

A pile of ballots at the King County Elections office. (Matt M. McKnight/Crosscut)

Starting this week, voters in the 4th Congressional District in Central Washington will see radio ads in Spanish and English explaining how Democratic Party values align with voters’ beliefs in a region where conservative candidates have generally dominated. 

The ads are part of a $350,000, 14-month public awareness campaign from Rural Americans United. Doug White, a fourth-generation farmer and Democrat from Yakima, formed the organization and developed the group’s strategy based on what he learned during his unsuccessful run for Congress against U.S. Rep. Dan Newhouse, R-Sunnyside, who was elected to a fourth term in 2022.  

The marketing campaign will feature 20,000 English and Spanish radio spots on a variety of issues, including public education, healthcare access, improving roads and other infrastructure, job creation, immigration reform, unions and supporting veterans. 

In a news release announcing the campaign, White contends there are more Democratic-leaning voters in the region than election results let on, but that those voters haven’t received messaging that would compel them to vote for Democratic candidates. 

“On the campaign trail, I learned that 80 percent of the Central Washington population has never heard a positive Democratic message,” White claimed. “Worse yet, younger generations are being constantly bombarded with one-sided far-right rhetoric.”

Rural Americans United has several goals for the 2024 election: increase votes for Democratic candidates by 11% percent, shift more independent voters, and increase Latinx voter turnout by 7%. 

The group also wants to double the number of active Democrats in Central Washington, create revenue opportunities for the party and attract more Democratic candidates.

The 4th District has not elected a Democrat to Congress since Gov. Jay Inslee won a single term in 1992. Inslee lost that seat to Republican Doc Hastings but continued his political career by relocating to Western Washington. Hastings served in Congress for two decades before retiring in 2015.

This story, originally published on Oct. 19, 2023, was recently revised to correct the amount of the 14-month public awareness campaign. It was $350,000, not $330,000. 

Northwest hydrogen projects to get up to $1B in federal support

The Wells hydroelectric dam

The Wells hydroelectric dam east of Wenatchee has been the primary power-generating resource for the Douglas County Public Utility District. Excess power from the dam will eventually be sent to the new hydrogen plant to produce green hydrogen fuel. (Courtesy of Douglas PUD)

The Pacific Northwest is among seven regions picked to receive federal money to become hydrogen industrial hubs.

The Northwest venture — the public/private Pacific Northwest Hydrogen Association involving Washington, Oregon and Montana — could receive up to $1 billion in federal dollars. The exact amount and parameters still have to be negotiated.

“The projects in this hub will support thousands of new jobs in Washington and the Northwest, while slashing emission in sectors such as heavy transportation, maritime, agriculture and industrial operations,” said Gov. Jay Inslee in a written statement.

The U.S. Department of Energy announced seven regional winners Friday chosen from 33 finalist proposals. Five of the winners are in Texas or further east. California is the only other winner west of Texas.

The Pacific Northwest coalition believes it can meet a DOE target of producing 50 to 100 metric tons of hydrogen fuel daily. Under this program, each hub is required to provide matching funds to make up at least 50% of the total costs.

While there are many ways to produce hydrogen fuel, this federal venture is interested in “green hydrogen,” created using water and sources of electricity like solar, wind or hydropower. The carbon footprint from this production process can be close to zero.

According to a 2020 Department of Energy report, the U.S. already produces upward of 10 million metric tons of hydrogen annually, but most of this is made using a method that involves natural gas. Only about 1% comes from the non-carbon-emitting “electrolysis” process that yields green hydrogen.

Projects already under in Washington include Fortescue Future Industries of East Perth, Australia, which is planning to build a green hydrogen production facility on the site of a closed coal mine next to the TransAlta coal-fired power plant in Centralia in Lewis County. The only one in Washington, TransAlta's coal-fired plant is scheduled to close in 2025.

The ports of Tacoma and Seattle are brainstorming developing fuel production facilities.

The Douglas County Public Utility District in Central Washington is building a complex along the Columbia River to produce hydrogen. That plant is on track to begin operating in 2024.

Several companies are planning to test hydrogen aircraft near Moses Lake.

National realtors group drops $659k in Seattle, Spokane elections

an exterior shot of seattle city hall

Seattle City Hall (Paul Christian Gordon for Crosscut)

The National Association of Realtors is spending big to back candidates in Seattle and Spokane this election cycle.

According to an Oct. 6 filing with the Washington Public Disclosure Commission, NAR spent $225,781 in support of Seattle City Council candidates and $150,779 on Spokane City Council and mayoral candidates in the general election. NAR spent an additional $282,745 in Spokane during the primary, according to a July 7 filing.  

In Seattle, the Association spent $61,324 in support of Tanya Woo, District 2; $54,425 for Joy Hollingsworth, District 3; $57,404 for Maritza Rivera, District 4; and $52,628 for Bob Kettle, District 7. The money paid for direct mail, phone banking and online advertising in support of the candidates.

In Spokane, NAR spent $99,008 in support of mayoral candidate Nadine Woodward during the primary and another $4,165 for the general election so far. In the races for Spokane City Council, the group has spent $13,256 on Michael Cathcart (District 1) in the general and $66,574 on Earl Moore (District 3); $184,672 on Kim Plese (City Council President); and $65,847 on Katey Treloar (District 2) in the primary and general.

Crosscut reached out to the National Association of Realtors for comment on their investments in Seattle and Spokane elections and will update this story if they respond.

Chicago-based NAR is the country’s largest real estate industry trade association with more than 1.5 million members. The Association recently made national headlines when several of the country’s largest real estate brokerages, including Seattle-based Redfin, announced they were leaving the organization in the wake of sexual harassment allegations against its leadership and two antitrust class-action lawsuits.

Seahawks greats Chancellor, Sherman open Bellevue restaurant

Former Seattle Seahawks players Kam Chancellor and Richard Sherman stand in front of the restaurant Legion they are opening in Bellevue with business partner Leilani Wong.

Former Seattle Seahawks Kam Chancellor and Richard Sherman stand in front of the restaurant, Legion, they are opening in Bellevue with business partner Leilani Wong. (Rachel Belle/Crosscut)

Former Seattle Seahawks players Kam Chancellor and Richard Sherman are opening a new soul-food restaurant and sports bar in Bellevue’s Lincoln Square this week.  

“I love food,” said Chancellor, a longtime safety for the Seahawks. “But the reason I wanted to start a restaurant was years ago I did a barbecue back home in Norfolk, Virginia. I served thousands of people free food and brought the community together and I wanted to stop as much violence as I could. But it was always over food. I love soul food, it’s always been in my heart.” 

The new restaurant is called Legion, a nod to the Legion of Boom (the team’s legendary defensive backfield, which included both Sherman and Chancellor) and serves “upscale soul food.” Chancellor hand-picked Legion’s chef, Reginald Jacob Howell, after eating his cooking at the popular restaurant En Rama in Tacoma.

On the menu are classics like fried chicken and country-fried catfish, and more inventive dishes like a gumbo burger, which includes a shrimp patty, a chicken andouille patty, Holy Trinity rice, herb crab meat, charred pickled okra and roux ketchup.  

This isn’t Sherman’s first taste of the restaurant world; he owned two Wing Stop franchises in Seattle. 

Legion soft-opens tonight, Oct. 3, at 5 p.m. with a limited menu. The full dinner menu will be unveiled on Friday, Oct. 13.  

Legion, located at 700 Bellevue Way N.E., took over the Pearl Seafood and Oyster Bar space, which closed in 2020 at the start of the pandemic.  

Spokane mayoral, City Council president debate tonight at 6 p.m.

Nadine Woodward and Lisa Brown.

Nadine Woodward and Lisa Brown. (Courtesy of the campaigns) 

The Spokane Public Library, in partnership with the Spokane NAACP and Thin Air Community Radio, hosts a mayoral and City Council president forum tonight from 6-8 p.m. at the downtown location, 906 W. Main Ave. 

Listen to the Candidate Forum & Town Hall on Thin Air Community Radio, a nonprofit radio station in Spokane, at 88.1 and 92.3FM, or streaming at KYRS.org. The livestream can also be found here, courtesy of Thin Air Community Radio. 

If interested in attending in person, registration is required

Nonpartisan incumbent Nadine Woodward faces former Democratic state Sen. Lisa Brown in the mayoral race. Current Spokane City Councilmember Betty Wilkerson will participate in tonight’s City Council president forum. Competitor Kim Plese will not be in attendance. 

Additional debates and forums currently planned for Spokane elections will continue through October. Confirmed events include:

  • The Gonzaga University Climate Change Forum will be held on campus at Cataldo Hall on Wednesday, Oct. 4 at 6 p.m. All candidates for city office in Spokane have been invited to this event. Currently, Brown has accepted and Woodward has declined to participate.
  • The Rotary Club of Spokane will host a debate for City Council president candidates on Thursday, Oct. 5 from noon to 1 p.m. in partnership with KXLY.
  • The Spokesman-Review will host Spokane mayoral and City Council president debates on Oct. 11 at Gonzaga University. City Council president candidates will take the stage at the Myrtle Woldson Performing Arts Center at 6 p.m., followed by mayoral candidates at 7 p.m.
  • KSPS, Spokane’s local PBS station, will hold City Council debates. Candidates for District 1 will debate on Tuesday, Oct. 10 from 10 a.m. to noon, with candidates from District 2 debating later that day from 2-4 p.m. Northwest Spokane candidates will debate Tuesday, Oct. 17 from 6:30-8 p.m., and Council president candidates will debate Wednesday, Oct. 18 from 10 a.m. to noon.
  • KHQ and Greater Spokane Inc. will jointly host a mayoral debate on Oct. 17. KREM will host a mayoral debate on Oct. 26.