Tax proposal called triple hit on Washington farmers and ranchers

Washington Ag Today February 23, 2010 The revenue raising plan Governor Chris Gregoire put forth last week includes a near tripling of the hazardous substance tax, from point-seven percent to two percent. Republican State Senator Mark Schoesler says that would be a triple hit on farmers and ranchers because it would mean higher prices for fuel, fertilizer and crop protection chemicals.

Substitute House Bill 3181 includes the hike in the hazardous substance tax. At a recent House committee hearing on the legislation, Jim Fitzgerald of FarWest Agribusiness, which represents ag fertilizer and chemical dealers, expressed his organization’s opposition. One reason was the impact of higher gas and diesel prices on FarWest’s members.

Fitzgerald: “But when we look at big picture, what is really important to us is those other vital agricultural input products necessary for agricultural production. We are sympathetic to you that need to find a way to fund some of the stormwater runoff but we can‘t support an increased tax on those that bear the responsibility for feeding the public. Stormwater concerns really originate on impervious layers and agricultural production not only produces the food but it does so today, in modern agriculture, in an environmentally sound way. You see farms have conservation plans. Malls, streets, parking lots, don’t.”

Fitzgerald also pointed out that 70% of the revenue generated by this tax increase won’t go for pollution clean up but will go instead into the state general fund.

I’m Bob Hoff and that’s Washington Ag Today on the Northwest Ag Information Network.