1. Calculation of Motor Vehicle Fuel Tax Distribution Factors for 2010 and 2011 Presented By: Don Zimmer Road System Inventory Manager Washington State County Road Administration Board

2. 7/1/2008 - STATUTORY NET DISTRIBUTION OF MOTOR VEHICLE FUEL TAX (RCW 46.68.090) 2008 Total Pre-2003 - 23 Cents20032005-2008Distribution 5 Cents9.5 Cents 37.50 Cents %Cents RAP2.5363%0.5833n/a Counties COUNTIES Normal19.2287%4.4226n/a0.50 5.96 CAPP1.9565%0.4500n/a($1.5M - TPA) + Normal10.696%2.4601n/a0.50 Cities CITIES 2.96 Small Citiesn/a ($1.0M - TPA) + Speical Cat. 'C'3.2609%0.7500n/a Highways Normal44.3870%10.2090n/a 15.96 WSDOT Nickel Constructionn/a5.00n/a + Ferries 2.3726%0.5457n/a Ferries (Capital) 1.08 Ferries 2.3283%0.5355n/a (Operating)+ TPA Transportation n/a 8.50 Partnership Account + UATA7.5597%1.7387n/a TIB 3.04 TIA5.6739%1.3050n/a($2.5M - TPA) ll 100%23.00+5.00+9.50=37.50 (see RCW 46.68.295) (Noted TPA fixed dollar amounts additive to fuel tax shown)

4. ROAD NEEDS ADDRESSED BY THE CURRENT COUNTY GAS TAX FORMULA The current county gas tax formula (the “10-30-30-30” formula) has been in effect with only minor revisions since 1954. The final report to the Legislature in 1954 discussed the formula and how it addresses “needs”. The final report evaluated various combinations of the needs and concluded that the “10-30-30-30” was the most equitable allocation of funds. There are four factors used in the calculations: –Equal Distribution (10%) –Equivalent Population (30%) –Annual Road Costs (30%) –Annual “Money” Needs (30%)

5. County Gas Tax Distribution Formula (RCW 46.68.122-124) EQUAL 10% COST 30% EQUIVALENT POPULATION 30% NEEDS 30% 1/39 TO EACH COUNTY EQUIVALENT POPULATION ANNUAL ROAD COST* ANNUAL NEEDS Unincorporated Population + 25% Incorporated Population Annual Maintenance Cost + 1/25 Replacement Cost Annual Road Cost - Actual County Road Levy Amount + Federal Forest Funds + State Timber Excise Tax + Island Counties Refund * Includes all roads, bridges, ferries

6. #1 Equal Distribution Factor (10%) This is reflected in the “equal” portion. This category addresses needs that are independent of road use, road miles, or financial ability. This factor addresses the minimum fixed costs of “doing business”. 10% divided by 39 Counties =.2564% ROAD NEEDS ADDRESSED BY THE CURRENT COUNTY GAS TAX FORMULA

7. #2 Equivalent Population Factor (30%) The best indicator of road use is the number of vehicle miles traveled. Sufficient and accurate traffic counts for all roads are not available, nor are they likely to be. The original basis for this information was “registered motor vehicles”. Since 1982, “equivalent population” is used for this portion of the formula. ROAD NEEDS ADDRESSED BY THE CURRENT COUNTY GAS TAX FORMULA

8. GAS TAX 2010 - 2011 EQUIVALENT POPULATION UnincorporatedIncorporated25%Equivalent100%30%Total% of CountyPopulation IncorporatedPopulationFactor PopulationState Total Good 4-2009 Data Adams8,7559,2452,31111,0660.30900.092718,0000.27% Asotin13,0108,4902,12315,1330.42250.126821,5000.32% Benton34,975134,32533,58168,5561.91420.5743169,3002.54% Chelan31,15541,44510,36141,5161.15920.347872,6001.09% Clallam41,34028,1607,04048,3801.35090.405369,5001.04% Clark210,415220,78555,196265,6117.41642.2249431,2006.47% Columbia1,2352,8657161,9510.05450.01634,1000.06% Cowlitz41,99057,61014,40356,3931.57460.472499,6001.49% Douglas21,29016,3104,07825,3680.70830.212537,6000.56% Ferry6,7951,0052517,0460.19670.05907,8000.12% Franklin14,10558,59514,64928,7540.80290.240972,7001.09% Garfield7251,5253811,1060.03090.00932,2500.03% Grant40,84545,25511,31452,1591.45640.436986,1001.29% Grays Harbor28,20542,99510,74938,9541.08770.326371,2001.07% Island53,93026,3706,59360,5231.68990.507080,3001.20% Jefferson20,1058,8952,22422,3290.62350.187029,0000.43% King343,1801,566,120391,530734,71020.51456.15431,909,30028.63% Kitsap170,39577,20519,301189,6965.29671.5890247,6003.71% Kittitas18,06021,8405,46023,5200.65670.197039,9000.60% Klickitat13,5506,6501,66315,2130.42480.127420,2000.30% Lewis45,55529,6457,41152,9661.47890.443775,2001.13% Lincoln4,7705,6801,4206,1900.17280.051910,4500.16% Mason47,8358,9652,24150,0761.39820.419556,8000.85% Okanogan24,38516,1154,02928,4140.79340.238040,5000.61% Pacific14,4157,3851,84616,2610.45400.136221,8000.33% Pend Oreille9,8053,09577410,5790.29540.088612,9000.19% Pierce382,115431,485107,871489,98613.68134.1044813,60012.20% San Juan14,0402,26056514,6050.40780.122316,3000.24% Skagit49,91568,98517,24667,1611.87530.5626118,9001.78% Skamania8,4652,3355849,0490.25270.075810,8000.16% Snohomish328,285376,01594,004422,28911.79113.5373704,30010.56% Spokane135,104329,89682,474217,5786.07521.8226465,0006.97% Stevens34,1259,8752,46936,5941.02180.306544,0000.66% Thurston139,010110,79027,698166,7084.65481.3964249,8003.75% Wahkiakum3,5255751443,6690.10240.03074,1000.06% Walla 16,99042,21010,55327,5430.76900.230759,2000.89% Whatcom84,686108,41427,104111,7903.12140.9364193,1002.90% Whitman6,28537,0159,25415,5390.43390.130243,3000.65% Yakima89,130149,27037,318126,4483.53061.0592238,4003.58% #s come from "Population"#s go to "Factors" TOTALS2,552,5004,115,7001,028,9253,581,425100.000030.00006,668,200100.00%

9. #3 Annual Road Cost Factor (30%) The greater the number of road miles, the more it costs to construct and maintain the roads. The original formula based this on “trunk miles”, which were school bus and mail routes. Since 1982, the formula uses all road miles, divided into categories, with costs for each category, plus bridges. ROAD NEEDS ADDRESSED BY THE CURRENT COUNTY GAS TAX FORMULA

10. GAS TAX 2010-2011 MAINTENANCE AND REPLACEMENT COSTS Done:9/2/2009 8:04Done:9/2/2009 8:04Done:9/2/2009 8:04 ROADSBRIDGESFERRY (Statewide Average 1988 RJC Costs, inflated to 2009)(1988 RJC Costs, inflated to 2009)(Acutal 2007/2008 Costs) Maint-Repl-1 / 25ANNUALMaint-Repl-1 / 25ANNUALMaint-Repl-1 / 25ANNUALTOTAL100%30% COUNTYenanceacementReplCOSTenanceacementReplCOSTenanceacementReplCOSTCOSTSFACTOR ===== Adams21,380,787890,539,87235,621,59557,002,38277,23645,363,5891,814,5441,891,780 58,894,1613.41671.0250 Asotin5,799,097266,154,07510,646,16316,445,26052,07238,284,4601,531,3781,583,451 18,028,7111.04590.3138 Benton12,953,925518,341,02620,733,64133,687,56636,22620,838,262833,530869,756 34,557,3232.00480.6014 Chelan9,838,627371,864,91014,874,59624,713,22471,06250,435,2792,017,4112,088,473 26,801,6971.55490.4665 Clallam8,450,544262,417,98310,496,71918,947,26487,46828,216,6291,128,6651,216,133 20,163,3971.16980.3509 Clark29,248,018978,122,78539,124,91168,372,92959,07432,870,4761,314,8191,373,893 69,746,8224.04631.2139 Columbia5,964,174265,006,43610,600,25716,564,43252,85426,343,1261,053,7251,106,579 17,671,0111.02520.3076 Cowlitz10,907,655334,862,27813,394,49124,302,146123,61158,923,1972,356,9282,480,539 26,782,6851.55380.4661 Douglas16,838,859836,399,84633,455,99450,294,85325,5029,020,269360,811386,313 50,681,1652.94020.8821 Ferry7,216,267357,778,46214,311,13821,527,40622,61912,035,308481,412504,031 22,031,4371.27810.3834 Franklin13,698,500521,635,64520,865,42634,563,92684,01228,409,7821,136,3911,220,403 35,784,3292.07600.6228 Garfield5,146,783238,161,5129,526,46014,673,24419,7998,302,104332,084351,884 15,025,1270.87170.2615 Grant35,502,5601,309,055,47752,362,21987,864,779181,18778,132,5223,125,3013,306,488 91,171,2665.28921.5868 Grays Harbor9,151,378317,627,24612,705,09021,856,468214,903143,121,1205,724,8455,939,747 27,796,2161.61260.4838 Island11,903,691356,878,32514,275,13326,178,8240000 1.51870.4556 Jefferson6,164,706211,279,3658,451,17514,615,88153,97719,097,323763,893817,870 15,433,7510.89540.2686 King45,741,2611,582,345,34863,293,814109,035,075368,273277,261,38111,090,45511,458,728 120,493,8036.99042.0971 Kitsap23,868,743807,798,57932,311,94356,180,68633,75617,447,673697,907731,662 56,912,3483.30170.9905 Kittitas8,647,443318,153,40512,726,13621,373,58083,64654,215,3012,168,6122,252,258 23,625,8381.37060.4112 Klickitat13,694,436540,618,48921,624,74035,319,17643,54728,425,0031,137,0001,180,547 36,499,7232.11750.6353 Lewis18,306,577568,986,62022,759,46541,066,042175,738112,113,1834,484,5274,660,265 45,726,3072.65280.7958 Lincoln21,429,050974,423,99038,976,96060,406,01068,73639,813,6361,592,5451,661,281 62,067,2913.60081.0802 Mason10,961,739338,460,32713,538,41324,500,15274,55136,933,5221,477,3411,551,891 26,052,0431.51140.4534 Okanogan16,842,998705,015,44628,200,61845,043,61542,84632,530,3661,301,2151,344,061 46,387,6762.69120.8073 Pacific5,899,068184,750,2127,390,00813,289,07760,10639,931,0701,597,2431,657,348 14,946,4250.86710.2601 Pend Oreille7,199,838277,615,44811,104,61818,304,45652,37729,322,4671,172,8991,225,276 19,529,7311.13300.3399 Pierce43,220,0341,503,006,86760,120,275103,340,308140,80185,429,7873,417,1913,557,9923,766,37939,730,6001,589,2245,355,603112,253,9046.51231.9537 San Juan4,103,986137,747,1285,509,8859,613,8721,988707,14328,28630,274 9,644,1450.55950.1678 Skagit14,524,092493,837,81919,753,51334,277,604200,64299,974,8363,998,9934,199,6351,791,15713,877,394555,0962,346,25340,823,4922.36840.7105 Skamania3,654,042124,480,0354,979,2018,633,24449,35423,810,857952,4341,001,788 9,635,0310.55900.1677 Snohomish38,475,9611,415,006,91056,600,27695,076,238362,798178,469,1077,138,7647,501,562 102,577,8005.95101.7853 Spokane43,798,2771,561,020,36662,440,815106,239,092141,41279,458,4523,178,3383,319,750 109,558,8426.35601.9068 Stevens19,411,740754,123,23030,164,92949,576,66948,60025,604,9521,024,1981,072,798 50,649,4672.93840.8815 Thurston21,816,579730,489,60329,219,58451,036,164106,97771,643,6732,865,7472,972,724 54,008,8883.13330.9400 Wahkiakum2,526,82182,139,8263,285,5935,812,41418,68911,434,769457,391476,080741,9225,590,000223,600965,5227,254,0160.42080.1263 Walla 13,858,681569,419,60922,776,78436,635,46687,16853,303,1822,132,1272,219,295 38,854,7612.25410.6762 Whatcom17,755,257581,147,70823,245,90841,001,165129,78773,292,8362,931,7133,061,5012,000,41219,868,000794,7202,795,13246,857,7982.71840.8155 Whitman19,482,935930,411,20337,216,44856,699,383157,13591,305,2623,652,2103,809,345 60,508,7293.51041.0531 Yakima26,910,418985,728,62139,429,14566,339,562250,335137,585,8875,503,4355,753,770 72,093,3334.18251.2547 #s go to "Needs Factor"#s go to "Factors" TOTAL652,295,55124,202,852,034968,114,0811,620,409,6323,860,8622,199,407,79087,976,31291,837,1738,299,87079,065,9943,162,64011,462,5101,723,709,315100.000030.0000

11. #4 Annual Needs Factor (30%) The less the ability to raise local funds for roads, the greater is the need for state support. For purposes of the formula, the only independently- certified “local” road funds are:  Road Levy Proceeds  Forest Funds  Island County Refunds ROAD NEEDS ADDRESSED BY THE CURRENT COUNTY GAS TAX FORMULA

12. GAS TAX 2010-2011 NEEDS FACTOR CALCULATION CALCULATION OF NET NEEDS TOTAL RESOURCES FOR NEEDS CALCULATION Total Net CountyFederalStateIslandTOTAL Annual Needs100%30%COUNTYRoadForestTimberRefundRESOURCES CostsResourcesTotalsFactor LevyFundsExcise 58,894,1611,221,92057,672,2414.53361.3601 Adams1,221,92000 18,028,711848,24917,180,4621.35050.4052 Asotin788,66658,3361,247848,249 34,557,3234,997,22229,560,1012.32370.6971 Benton4,997,22200 26,801,6976,110,05620,691,6411.62660.4880 Chelan4,951,5001,125,58432,9726,110,056 20,163,3977,400,24412,763,1531.00330.3010 Clallam5,950,032976,997473,215 7,400,244 69,746,82233,661,13836,085,6842.83670.8510 Clark33,441,2067,493212,43933,661,138 17,671,011876,20816,794,8031.32020.3961 Columbia597,321178,456100,431876,208 26,782,6859,447,18117,335,5041.36270.4088 Cowlitz8,449,155179,197818,8299,447,181 50,681,1653,604,67847,076,4873.70061.1102 Douglas3,604,22204563,604,678 22,031,4371,036,32820,995,1091.65040.4951 Ferry642,906393,4220 1,036,328 35,784,3292,271,54633,512,7832.63440.7903 Franklin2,271,54600 15,025,127325,40914,699,7181.15550.3467 Garfield220,983100,5453,881325,409 91,171,2666,911,31284,259,9546.62361.9871 Grant6,911,31200 27,796,2165,911,15221,885,0641.72040.5161 Grays Harbor4,129,860290,9301,490,3625,911,152 26,178,82411,698,65714,480,1681.13830.3415 Island6,956,442004,742,21511,698,657 15,433,7515,008,43010,425,3210.81950.2459 Jefferson3,419,0751,317,711271,6445,008,430 120,493,80381,166,18139,327,6223.09150.9275 King79,974,015912,024280,14281,166,181 56,912,34823,325,53233,586,8162.64020.7921 Kitsap23,250,759074,77323,325,532 23,625,8384,294,47119,331,3671.51960.4559 Kittitas3,831,293414,33248,8464,294,471 36,499,7232,798,03233,701,6912.64930.7948 Klickitat2,396,00372,369329,660 2,798,032 45,726,30713,056,66532,669,6422.56810.7704 Lewis8,859,4442,151,3202,045,90113,056,665 62,067,2911,516,06560,551,2264.75991.4280 Lincoln1,516,06500 26,052,0439,614,39616,437,6471.29210.3876 Mason8,637,461301,019675,9169,614,396 46,387,6764,237,93242,149,7443.31340.9940 Okanogan3,301,012897,22939,6914,237,932 14,946,4253,209,40011,737,0250.92260.2768 Pacific2,558,7340650,666 3,209,400 19,529,7311,952,93117,576,8001.38170.4145 Pend Oreille1,232,313470,152250,4661,952,931 112,253,90455,115,47757,138,4274.49161.3475 Pierce54,331,028329,005455,44455,115,477 9,644,1456,103,2733,540,8730.27830.0835 San Juan3,325,99101,4032,775,8796,103,273 40,823,49212,418,26228,405,2302.23290.6699 Skagit11,567,055546,708304,49912,418,262 9,635,0315,955,6113,679,4200.28920.0868 Skamania1,235,5054,580,515139,591 5,955,611 102,577,80049,997,14252,580,6584.13331.2400 Snohomish48,831,943920,437244,76249,997,142 109,558,84215,549,52294,009,3207.39002.2170 Spokane15,478,962070,56015,549,522 50,649,4674,791,36145,858,1063.60491.0815 Stevens4,033,045179,658578,6584,791,361 54,008,88817,971,94736,036,9412.83280.8498 Thurston17,661,2871,951308,70917,971,947 7,254,016761,6386,492,3780.51040.1531 Wahkiakum492,7920268,846 761,638 38,854,7614,268,23034,586,5312.71880.8156 Walla 4,257,9263,1827,1224,268,230 46,857,79817,094,49729,763,3012.33970.7019 Whatcom16,143,148828,500122,84917,094,497 60,508,7291,870,98758,637,7424.60951.3828 Whitman1,870,98700 72,093,33313,193,13158,900,2024.63011.3890 Yakima11,652,2841,464,85275,995 13,193,131 # from"M&RCosts"# from Col. "L"#s go to "Factors" # from "Levy&Pop"# from "Forest"# to Col. "B" 1,723,709,315451,592,4121,272,116,903100.000030.0000 414,992,42018,701,92410,379,9757,518,093451,592,412

13. GAS TAX 2010-2011 2010 ALLOCATION FACTOR COMPUTATIONS COMBINE 2010 EQUALEQ.POPCOSTSNEEDS20102009% FROMMAX AT WITHINFACTORMAXADJUSTFINAL COUNTY(10%)(30%) UNADJ.ACTUAL2010 Act+ 5%-5%+/- 5% WITHINFACTORS ADJUST Adams0.25640.09271.02501.36012.73422.72220.44%2.7342 Asotin0.25640.12680.31380.40521.10211.1028-0.06%1.1021 Benton0.25640.57430.60140.69712.12922.1761-2.15%2.1292 Chelan0.25640.34780.46650.48801.55861.5842-1.62%1.5586 Clallam0.25640.40530.35090.30101.31361.3229-0.70% 1.3136 Clark0.25642.22491.21390.85104.54624.5534-0.16%4.5462 Columbia0.25640.01630.30760.39610.97640.96960.70%0.9764 Cowlitz0.25640.47240.46610.40881.60371.59150.77%1.6037 Douglas0.25640.21250.88211.11022.46122.44260.76%2.4612 Ferry0.25640.05900.38340.49511.19401.18800.50% 1.1940 Franklin0.25640.24090.62280.79031.91041.88441.38%1.9104 Garfield0.25640.00930.26150.34670.87380.87080.35%0.8738 Grant0.25640.43691.58681.98714.26724.23490.76%4.2672 Grays Harbor0.25640.32630.48380.51611.58261.56551.09%1.5826 Island0.25640.50700.45560.34151.56051.54650.90% 1.5605 Jefferson0.25640.18700.26860.24590.95790.95140.69%0.9579 King0.25646.15432.09710.92759.43539.9022-4.71%9.4353 Kitsap0.25641.58900.99050.79213.62803.61930.24%3.6280 Kittitas0.25640.19700.41120.45591.32051.3261-0.42%1.3205 Klickitat0.25640.12740.63530.79481.81391.8252-0.62% 1.8139 Lewis0.25640.44370.79580.77042.26642.25800.37%2.2664 Lincoln0.25640.05191.08021.42802.81652.79890.63%2.8165 Mason0.25640.41950.45340.38761.51691.51640.04%1.5169 Okanogan0.25640.23800.80730.99402.29582.2989-0.14%2.2958 Pacific0.25640.13620.26010.27680.92950.92390.61% 0.9295 Pend Oreille0.25640.08860.33990.41451.09941.07881.91%1.0994 Pierce0.25644.10441.95371.34757.66207.51801.92%7.6620 San Juan0.25640.12230.16780.08350.63010.61901.79%0.6301 Skagit0.25640.56260.71050.66992.19942.2039-0.21%2.1994 Skamania0.25640.07580.16770.08680.58670.57771.55% 0.5867 Snohomish0.25643.53731.78531.24006.81906.76850.75%6.8190 Spokane0.25641.82261.90682.21706.20286.08701.90%6.2028 Stevens0.25640.30650.88151.08152.52592.52110.19%2.5259 Thurston0.25641.39640.94000.84983.44273.4564-0.40%3.4427 Wahkiakum0.25640.03070.12630.15310.56650.56140.91% 0.5665 Walla 0.25640.23070.67620.81561.97901.97560.17%1.9790 Whatcom0.25640.93640.81550.70192.71022.66131.84%2.7102 Whitman0.25640.13021.05311.38282.82252.81710.19%2.8225 Yakima0.25641.05921.25471.38903.95943.9785-0.48% 3.9594 Levy&PopM&RcostsNeeds#s go to "Report" 10.000030.0000 100.0000 11.69%0.0000 100.00000.0000100.0000 0.0000100.0000

14. ESTIMATED 2010 REVENUES MOTOR VEHICLE FUEL TAX June 2009 Revenue Forecast$145,612,700 County Roadlog Certified January 1, 2009 2010 AllocationEstimated COUNTYPercentRevenue Adams 2.7342 $3,981,342 Asotin1.1021$1,604,798 Benton2.1292$3,100,386 Chelan1.5586$2,269,520 Clallam1.3136$1,912,768 Clark4.5462$6,619,845 Columbia0.9764$1,421,762 Cowlitz1.6037$2,335,191 Douglas2.4612$3,583,820 Ferry1.1940$1,738,616 Franklin1.9104$2,781,785 Garfield0.8738$1,272,364 Grant4.2672$6,213,585 Grays Harbor1.5826$2,304,467 Island1.5605$2,272,286 Jefferson0.9579$1,394,824 King9.4353$13,738,994 Kitsap3.6280$5,282,829 Kittitas1.3205$1,922,816 Klickitat1.8139$2,641,269 Lewis2.2664$3,300,166 Lincoln2.8165$4,101,182 Mason1.5169$2,208,799 Okanogan2.2958$3,342,976 Pacific0.9295$1,353,470 Pend Oreille1.0994$1,600,866 Pierce7.6620$11,156,845 San Juan0.6301$917,506 Skagit2.1994$3,202,606 Skamania0.5867$854,310 Snohomish6.8190$9,929,330 Spokane6.2028$9,032,065 Stevens2.5259$3,678,031 Thurston3.4427$5,013,008 Wahkiakum0.5665$824,896 Walla 1.9790$2,881,675 Whatcom2.7102$3,946,395 Whitman2.8225$4,109,918 Yakima 3.9594 $5,765,389 TOTAL 100.0000 $145,612,700

15. Questions?