TagHB1505(3)

Washington State House Bill 1505 aims to promote the alternative jet fuel industry by establishing tax breaks for businesses that produce or sell alternative jet fuel, updating the state's Clean Fuels Program to better support aviation fuels, and directing Washington State University to convene a workgroup to study and make recommendations on alternative jet fuel policy. The bill also expands the Department of Commerce's Statewide Office of Renewable Fuels to include alternative jet fuels as a focus area. While the bill primarily addresses fuel economics and climate goals rather than airport noise directly, it is relevant to Sea-Tac Airport operations as it could influence the types of fuels used by aircraft flying in and out of the region.

This fiscal note summarizes the estimated financial impact of Washington State House Bill 1505, which concerns alternative jet fuel. The bill is projected to generate costs across multiple state agencies—including the Departments of Revenue, Commerce, and Ecology—totaling over $3 million in operating expenditures for the 2023-25 biennium, while also reflecting growing tax revenue reductions reaching over $9 million by 2027-29 as alternative jet fuel incentives take effect. No capital budget expenditures are anticipated across any of the involved agencies.

Washington House Bill 1505 (2023) aims to promote the production and use of sustainable aviation fuels (SAF) by establishing tax incentives, clean fuel credits, and research initiatives to grow the alternative jet fuel industry in the state. The bill defines 'alternative jet fuel' as lower-carbon fuels that can be blended with conventional jet fuel without modifying aircraft engines or existing infrastructure. Beyond reducing greenhouse gas emissions, the legislation highlights improved air quality benefits for airport workers and communities surrounding airports like Sea-Tac.